Nine Energy Service (NINE) investor relations material

Executive summary

• Emerged from Chapter 11 bankruptcy on March 5, 2026, implementing a prepackaged plan that canceled prior equity and debt, issued new equity, and applied fresh start accounting, resulting in non-comparable predecessor and successor financials.

• First quarter split into predecessor (Jan 1–Mar 5) and successor (Mar 6–Mar 31) periods due to restructuring.

• Q1 was marked by operational disruptions from severe weather and a $5.5 million non-cash inventory write-down, impacting net income and adjusted EBITDA.

• No material customer or vendor losses occurred during the transition.

• Over 500,000 Scorpion Composite Plugs sold, with new product launches planned.

Financial highlights

• Q1 2026 revenue was $130 million, with $88.4M in the predecessor period and $41.6M in the successor period.

• Adjusted EBITDA for Q1 was $0.9M (Successor), $16.5M (Predecessor), and $3M overall, including the inventory write-down.

• Net loss for Successor period was $1.3M; Predecessor period net income was $107.9M (driven by $124.1M reorganization gain).

• Cash and cash equivalents at quarter-end were $11.2 million, with total liquidity of $46.9 million.

• $90.4 million in borrowings under the revolving credit facility as of March 31, 2026; additional $5 million borrowed in April.

Outlook and guidance

• Q2 2026 revenue projected at $136 million–$146 million; adjusted EBITDA guidance of $10 million–$15 million.

• Full-year 2026 capital expenditures expected between $20 million–$30 million; annual cash interest expense about $7 million.

• Expects improved financial performance in Q2 due to less weather-related downtime and operational efficiencies, with sequential improvement in revenue and earnings.

• No meaningful change in U.S. rig count anticipated for Q2, but potential for increased completion activity and DUC drawdowns.

• Macro outlook remains uncertain due to geopolitical events, commodity price volatility, and operator capital discipline.