Ensign Energy Services Inc. Reports 2025 Results

Executive Summary

• Ensign Energy Services reported FY 2025 revenue of C$1.639 billion, a 3% decline year‑over‑year, with Adjusted EBITDA falling 13% to C$389.8 million.
• Net loss attributable to common shareholders widened to C$38.8 million for the year (C$0.21 per share) versus a C$20.8 million loss in 2024.
• The company repaid its Term Credit Facility, extended and restated its revolving credit facility to September 2028, and generated C$370.1 million of funds flow from operations for the year.

Key Details

• Revenue: FY 2025 total C$1,638.9 M (‑3% YoY); Canada C$511.0 M (+4%), U.S. C$838.2 M (≈flat), International C$289.7 M (‑17%).
• Adjusted EBITDA: C$389.8 M for FY 2025 (‑13% YoY); Adjusted EBITDA per share $2.12 (down 13%).
• Net Loss: C$38.8 M loss for FY 2025 (‑36% vs. prior year), $0.21 per diluted share.
• Operating Activity: Total marketed drilling rigs 186 (‑8% YoY); operating days 7,689 in Q4 2025 (≈flat YoY).
• Capital Expenditures: FY 2025 net capex C$183.7 M (upgrade $48.1 M, maintenance $146.3 M) versus C$147.6 M in 2024; Q4 2025 capex $35.3 M.
• Debt & Liquidity: Total debt (net of cash) C$918.6 M at year‑end, down C$104.9 M YoY; working capital turned positive to C$89.6 M. Available borrowing under Credit Facility C$35.6 M.
• Financing Activity: Proceeds from long‑term debt C$31.5 M (↑6% YoY); repayments of long‑term debt C$28.0 M (down 80% YoY). No new convertible debentures issued in 2025.
• Interest Expense: FY 2025 interest expense C$74.8 M, down 23% YoY due to lower debt and improved rates.
• Cash Flow: Funds flow from operations FY 2025 C$370.1 M (‑15% YoY); cash provided by operating activities Q4 2025 C$67.7 M (‑54% YoY).
• Credit Facility Amendment: Extended maturity to September 29, 2028; added US$50 M secured and US$25 M unsecured letters of credit.
• Outlook: Targets cumulative debt reduction of ~$600 M, expected to be largely achieved in H1 2026; budgeted 2026 maintenance capex ≈C$161.4 M plus selective upgrade capex C$32.8 M (US$24.0 M customer‑funded).
• Conference Call: Scheduled for March 6, 2026 at 10:00 a.m. MST to discuss Q4 2025 results.

Notable Quotes

(No direct CEO/President quotes were provided in the release.)