Flowco (FLOC) Registration Filing summary

Company overview and business model

• Leading provider of production optimization, artificial lift, and methane abatement solutions for the oil and natural gas industry, with two main segments: Production Solutions and Natural Gas Technologies.

• Core technologies include high pressure gas lift (HPGL), conventional gas lift, plunger lift, vapor recovery units (VRU), and proprietary digital solutions for real-time monitoring.

• Operates a fleet of over 4,300 active systems and serves every major onshore oil and gas region in the U.S., with a customer base including supermajors and large independents.

• Vertically integrated business model with domestic manufacturing, reducing supply chain risk and supporting innovation.

• Formed through a 2024 business combination of Estis, Flowco Production Solutions, and Flogistix, creating a pure-play market leader.

Financial performance and metrics

• Pro forma revenue for the nine months ended September 30, 2024: $547.3 million; Adjusted EBITDA: $149.9 million.

• Fiscal year 2023 pro forma revenue: $665.3 million; Adjusted EBITDA: $241.3 million.

• Net income for the nine months ended September 30, 2024: $57.9 million; for fiscal year 2023: $73.3 million.

• Cash provided by operating activities for the nine months ended September 30, 2024: $117.2 million.

• As of September 30, 2024: $23.1 million in cash, $575.5 million in long-term debt, and $1.6 billion in total assets.

Use of proceeds and capital allocation

• Estimated net proceeds of $358.1 million (or $413.3 million if underwriters exercise their option) based on a $22.00 per share IPO price.

• Proceeds will be used to acquire LLC Interests, repay indebtedness under the Credit Agreement, redeem $18.7 million of LLC interests from non-affiliate holders, and for general corporate purposes.

• Intends to initiate a dividend program post-IPO, subject to board discretion and debt covenants.