Bri-Chem (BRY) Q4 2024 earnings summary

Executive summary

• Q4 2024 sales fell 23% YoY to $20.6M; adjusted EBITDA was negative $1.2M versus positive $1.9M, and net loss was $1.6M versus net earnings of $0.5M.

• FY 2024 sales declined 22% to $83.1M; adjusted EBITDA was negative $0.3M versus positive $6.6M, and net loss was $3.9M versus net earnings of $0.9M.

Financial highlights

• Q4 gross margin dollars decreased $1.6M YoY, primarily reflecting lower sales in fluid distribution.

• Q4 operating loss was $1.5M versus operating earnings of $1.0M YoY; lower sales and higher bad-debt expense drove the decline.

• Adjusted net loss per diluted share was $0.08 in Q4 2024 versus adjusted net earnings per diluted share of $0.02 in Q4 2023.

Outlook and guidance

• If commodity prices stabilize for an extended period, stronger US customer balance sheets could support increased drilling activity.

• Strategy is to monitor market conditions, adapt operations, mitigate risks and pursue opportunities as the outlook evolves.