Cactus, Inc. Reports $280.3 Million Revenue and $44.2 Million Net Income in Q1 2025

Cactus, Inc. reported a total revenue of $280.3 million for the first quarter of 2025, reflecting a 2.3% increase from $274.1 million in the same period of 2024. The company's net income attributable to Cactus Inc. was $44.2 million, up 13.5% from $39.0 million year-over-year. The earnings per Class A share increased to $0.65 from $0.60, driven by improved performance in the Pressure Control segment, which saw revenues rise by 8.7% to $190.3 million, primarily due to increased sales of wellhead and production-related equipment.

In comparison to the previous quarter, Cactus experienced a slight decline in total revenues, which decreased by 2.6% from $70.5 million in the fourth quarter of 2024. The Pressure Control segment's operating income increased by 6.9% to $54.3 million, while the Spoolable Technologies segment saw a revenue drop of 3.6% to $92.6 million, attributed to reduced customer activity levels during the seasonally slow first quarter. Overall, the company reported a total operating income of $68.6 million, down from $70.5 million in the prior quarter.

Strategically, Cactus completed the acquisition of FlexSteel Holdings, Inc. in February 2023, which has been integrated into its operations and is expected to enhance its market position in the oil and gas sector. The company operates through two segments: Pressure Control and Spoolable Technologies, with the latter focusing on the design and manufacture of spoolable pipe technologies. Cactus has also made a significant investment in a Vietnam forging manufacturing facility, acquiring a 40% ownership stake for $6 million, aimed at diversifying its supply chain.

Operationally, Cactus reported a cash balance of $347.7 million as of March 31, 2025, with no outstanding bank debt. The company had a total of 68.4 million shares of Class A common stock and 11.4 million shares of Class B common stock outstanding. Cactus continues to maintain a strong liquidity position, with $222.6 million available under its Amended ABL Credit Facility. The company anticipates capital expenditures between $40 million and $50 million for 2025, primarily focused on rental fleet investments and manufacturing enhancements.

Looking ahead, Cactus expects continued demand for its products and services, driven by oil and gas industry activity levels. However, the company acknowledges potential challenges from fluctuating commodity prices and trade policies that may impact profitability. Cactus remains committed to leveraging its recent acquisitions and investments to enhance operational efficiencies and market share in the evolving energy landscape.