Tetra Technologies Inc. press release

TETRA TECHNOLOGIES, INC. REPORTS STRONG THIRD-QUARTER 2026 RESULTS

2026-11-02

NYSE - New York Stock Exchange · Bromine · Lithium · Zinc · Salt · Sodium · United States · Corporate Finance

PR Newswire

Highest Third Quarter Revenue in a Decade

SPRING, Texas, Nov. 2, 2026/PRNewswire/ -- TETRA Technologies, Inc. ("TETRA" or the "Company") (NYSE: TTI) announced financial results for the three and nine months ended September 30, 2026.

Third-Quarter 2026 Financial Highlights

Revenues of $168.0 million, highest third quarter in ten years Net Income of $6.8 million, inclusive of $2.0 million of unusual charges Adjusted EBITDA of $25.1 million Net income per share of $0.05, adjusted net income per share of $0.06

Brady Murphy, TETRA's President and Chief Executive Officer, stated, "Third-quarter revenue of $168.0 million was up 10% year over year and represented our highest third-quarter revenue in the past ten years. International revenue reached $68.8 million, or 41% of consolidated revenue, marking the strongest third quarter in 10 years. Adjusted EBITDA of $25.1 million was our second-highest third-quarter in the past ten years.

"Our third quarter results demonstrated broad-based strength across our portfolio, with multiple businesses achieving significant performance milestones. Record-level revenue was supported by continued growth in international markets, accelerated growth in industrial chemical sales, and continued strength and outlook for deepwater markets. Industrial Chemicals generated its strongest third-quarter revenue in a decade, with 32% year-over-year growth, and accounted for more than 50% of our Completion Fluids and Products' third-quarter revenue. This growth is supported by an expanding U.S. industrial market, including semiconductor manufacturing and by demand for electrolytes for energy storage. Our Water and Flowback segment experienced year-over-year revenue growth of 21% and an Adjusted EBITDA margin increase of 480 basis points to 16.7%. This growth was the result of our production testing operations delivering a ten-year high for third-quarter revenue and Adjusted EBITDA for the segment. Production testing grew 9% quarter-over-quarter, driven largely by automated TETRA SandStorm market share gains in the U.S., and grew 60% year-over year, driven by international."

"Supporting our long-term growth and margin expansion for deepwater fluids and industrial chemicals is our Arkansas bromine plant, which continues to advance on schedule and on budget. We are now less than 12 months away from the plant being mechanically complete. Importantly, all major mechanical equipment has been engineered and is either delivered or under confirmed purchase order for future delivery, with total costs below our Board approved final investment decision (FID). Our team has done an exceptional job managing inflationary pressures while keeping the project on its original schedule and within approved capital spending levels. We remain on track to commence production at an annualized rate of 37 million pounds at the beginning of 2028 and ramp to the facility's 75-million-pound annual capacity by 2030, consistent with our ONE TETRA 2030 strategy."

"We continue to be encouraged by the quality and breadth of customer engagement with our patented TETRA Oasis Total Desalination Solution ("TETRA Oasis"), We currently have seven projects in our pipeline, including four tied to data centers or their power requirements. The combination of increasing produced water disposal constraints in the Permian Basin and substantial water requirements from data center development has created a significantly larger opportunity than we initially envisioned. We believe TETRA Oasis is uniquely positioned to help address both challenges by converting produced water from a disposal liability into a valuable resource. Permitting remains the primary next step toward commercialization, with six beneficial reuse applications currently pending before the Texas Commission on Environmental Quality (TCEQ). TETRA's customers are the permittees and we continue to engage with both the TCEQ and the Environmental Protection Agency (EPA), providing in-depth answers to their queries, including results from water quality tests."

"Looking forward to the fourth quarter and 2027, the outlook for our base business remains strong. Deepwater and International activity looks robust as does a return to more completion activity in the Gulf of America. International growth for Production Testing is expected to continue with our first automated TETRA SandStorm technology deployments to the Middle East which have supported our exceptional growth in Argentina. For the fourth quarter of 2026, we expect consolidated revenue and Adjusted EBITDA to be up double digits year-on-year and for full year 2027 we expect revenue and Adjusted EBITDA to increase relative to 2026. As our customer spending plans get announced in the fourth quarter we will further update our outlook accordingly."

Third-Quarter Financial Highlights

| | Three Months Ended | | | | | | | September 30, 2026 | | June 30, 2026 | | September 30, 2025 | | | (in thousands, except per share amounts) | | | | | | Revenue | $ 167,951 | | $ 185,657 | | $ 153,239 | | Net income (loss) | $ 6,848 | | $ 10,237 | | $ 4,151 | | Adjusted EBITDA(1) | $ 25,115 | | $ 31,866 | | $ 25,038 | | Net income (loss) per share | $ 0.05 | | $ 0.07 | | $ 0.03 | | Adjusted net income (loss) per share(2) | $ 0.06 | | $ 0.08 | | $ 0.04 |

| (1) | Adjusted EBITDA is a non-GAAP financial measure. See Schedule E for an explanation of how we calculate Adjusted EBITDA and a reconciliation to net (loss) income before taxes. | | (2) | Adjusted net income per share is a non-GAAP financial measure. See Schedule D for an explanation of how we calculate Adjusted net income per share and a reconciliation to net (loss) income before taxes. |

Completion Fluids & Products

Completion Fluids & Products delivered its highest third-quarter revenue in ten years driven by strength in Eastern Hemisphere completion fluids, long-duration energy storage electrolyte sales, and U.S. industrial chemicals. Industrial Chemicals also posted its highest third-quarter revenue in ten years. Adjusted EBITDA margin was 22.1% impacted by product mix, lower deepwater activity in the Gulf of America, and higher diesel and associated freight costs.

Water & Flowback Services

Water & Flowback Services revenue and Adjusted EBITDA increased 21% and 69%, respectively, from the prior-year period. Argentina revenue more than doubled driven by the ramp of early production facilities ("EPFs") and strong utilization of our patented automated TETRA SandStorm technology in the Vaca Muerta basin.

Capital Structure

In early October 2026, we amended our $190 million Term Credit Agreement, extending the maturity from January 12, 2030 to December 31, 2030, reducing the interest rate margin by 75 basis points to SOFR plus 5.00%, and deferring approximately $19 million of scheduled principal amortization payments to 2030. With lower borrowing costs, and an extended maturity runway, the amendment enhances TETRA's financial flexibility to fund the Arkansas bromine project and support its strategic growth initiatives.

Conference Call TETRA will host a conference call to discuss these results on November 3, 2026, at 10:00 a.m. ET. Please visit the Events & Presentations section of the TETRA Technologies websiteto pre-register and obtain your dial in number and passcode. A replay will be available for thirty days following the conference call.

Company Overview

TETRA Technologies, Inc. is an energy services and solutions company focused on developing environmentally conscious services and solutions that help make people's lives better. With operations on six continents, the Company's portfolio consists of Energy Services, Industrial Chemicals, and Critical Minerals. In addition to providing products and services to the oil and gas industry and calcium chloride for diverse applications, TETRA is expanding into the low-carbon energy market with chemistry expertise, key mineral acreage, and global infrastructure, helping to meet the demand for sustainable energy in the twenty-first century. Visit the Company's website at www.onetetra.comfor more information or connect with us on LinkedIn.

Investor Relations

Kurt Hallead Treasurer and Investor Relations khallead@onetetra.com

Media Relations

Giselle Piller Senior Director of Global Marketing & Communications gpiller@onetetra.com

Financial Statements, Schedules and Non-GAAP Reconciliation Schedules (Unaudited)

Schedule A: Consolidated Income Statement Schedule B: Condensed Consolidated Balance Sheet Schedule C: Consolidated Statements of Cash Flows Schedule D: Non-GAAP Reconciliation of Adjusted Net Income Schedule E: Non-GAAP Reconciliation of Adjusted EBIT and Adjusted EBITDA

Non-GAAP Financial Measures

In addition to financial results determined in accordance with U.S. GAAP, this press release includes the following non-GAAP financial measures for the Company: Adjusted net income, Adjusted net income per share, consolidated and segment Adjusted EBIT and Adjusted EBITDA and segment Adjusted EBITDA as a percent of revenue ("Adjusted EBITDA margin"). Schedules D and E provide reconciliations of these non-GAAP financial measures to their most directly comparable U.S. GAAP measures. Such non-GAAP measures adjust for unusual credits, which are further explained in this press release. The non-GAAP financial measures should be considered in addition to, not as a substitute for, financial measures prepared in accordance with U.S. GAAP, as more fully discussed in the Company's financial statements and filings with the Securities and Exchange Commission.

| Schedule A: Consolidated Income Statement (Unaudited) | | | | | | | | | | | | | | | Three Months Ended | | | | | | | September 30, 2026 | | June 30, 2026 | | September 30, 2025 | | | (in thousands, except per share amounts) | | | | | | Revenues | $ 167,951 | | $ 185,657 | | $ 153,239 | | | | | | | | | Cost of product sales and services | 123,039 | | 130,343 | | 107,378 | | Depreciation, amortization and accretion | 9,815 | | 9,600 | | 9,491 | | Total cost of revenues | 132,854 | | 139,943 | | 116,869 | | Gross profit | 35,097 | | 45,714 | | 36,370 | | General and administrative expense | 25,368 | | 25,584 | | 25,240 | | Operating income | 9,729 | | 20,130 | | 11,130 | | Interest expense, net | 2,361 | | 3,267 | | 4,448 | | Other expense (income), net | 939 | | 1,009 | | (1,423) | | Income before taxes | 6,429 | | 15,854 | | 8,105 | | Income tax (benefit) expense | (419) | | 5,617 | | 3,954 | | Net income attributable to TETRA stockholders | $ 6,848 | | $ 10,237 | | $ 4,151 | | | | | | | | | Basic per share information: | | | | | | | Net income attributable to TETRA stockholders | $ 0.05 | | $ 0.07 | | $ 0.03 | | Weighted average basic shares outstanding | 148,200 | | 138,997 | | 133,419 | | | | | | | | | Diluted per share information: | | | | | | | Net income attributable to TETRA stockholders | $ 0.05 | | $ 0.07 | | $ 0.03 | | Weighted average diluted shares outstanding | 149,352 | | 140,619 | | 134,837 |

| Schedule B: Condensed Consolidated Balance Sheet (Unaudited) | | | | | | | | | | | September 30, 2026 | | December 31, 2025 | | | (in thousands) | | | | | (unaudited) | | | | ASSETS | | | | | Current assets: | | | | | Cash and cash equivalents | $ 84,303 | | $ 72,628 | | Restricted cash | 50 | | 52 | | Short-term investments | 41,733 | | — | | Trade accounts receivable, net | 127,315 | | 99,578 | | Inventories | 117,805 | | 115,726 | | Prepaid expenses and other current assets | 22,892 | | 28,694 | | Total current assets | 394,098 | | 316,678 | | Property, plant and equipment, net | 256,533 | | 194,197 | | Deferred tax assets, net | 89,524 | | 87,322 | | Operating lease right-of-use assets | 32,540 | | 36,999 | | Patents, trademarks and other intangible assets, net | 18,878 | | 21,463 | | Investments | 10,584 | | 11,827 | | Other assets | 7,139 | | 7,275 | | Total long-term assets | 415,198 | | 359,083 | | Total assets | $ 809,296 | | $ 675,761 | | | | | | | LIABILITIES AND EQUITY | | | | | Current liabilities: | | | | | Trade accounts payable | $ 56,232 | | $ 54,517 | | Current portion of long-term debt | 1,000 | | 4,750 | | Compensation and employee benefits | 26,573 | | 28,934 | | Operating lease liabilities, current portion | 11,400 | | 11,326 | | Accrued taxes | 13,041 | | 15,001 | | Accrued liabilities and other | 46,562 | | 39,325 | | Current liabilities associated with discontinued operations | 7,360 | | 7,360 | | Total current liabilities | 162,168 | | 161,213 | | Long-term debt, net | 182,819 | | 176,607 | | Operating lease liabilities | 27,263 | | 32,664 | | Asset retirement obligations | 15,981 | | 15,526 | | Deferred income taxes | 3,299 | | 2,498 | | Other liabilities | 3,568 | | 4,766 | | Total long-term liabilities | 232,930 | | 232,061 | | Commitments and contingencies | | | | | TETRA stockholders' equity | 415,466 | | 283,755 | | Noncontrolling interests | (1,268) | | (1,268) | | Total equity | 414,198 | | 282,487 | | Total liabilities and equity | $ 809,296 | | $ 675,761 |

During the preparation of the financial statements for the period ended March 31, 2026, we identified an immaterial error which understated the current portion of long-term debt and overstated long-term debt by $4.8 million as of December 31, 2025. Balances as of December 31, 2025 have been revised to reflect $4.8 million of long-term debt as current, with an offsetting reduction in long-term debt.

| Schedule C: Consolidated Statements of Cash Flows (Unaudited) | | | | | | | | | | | Nine Months Ended | | | | | September

30, 2026 | | September

30, 2025 | | | (in thousands) | | | | Operating activities: | | | | | Net income | $ 25,404 | | $ 19,505 | | Reconciliation of net income to net cash provided by operating activities: | | | | | Depreciation, amortization and accretion | 28,591 | | 27,831 | | Impairments and other charges | — | | 611 | | Loss (gain) on investments | 223 | | (1,054) | | Equity-based compensation expense | 5,630 | | 5,315 | | Provision for (recovery of) credit losses | 135 | | (104) | | Amortization and expense of financing costs | 1,770 | | 1,485 | | Gain on sale of assets | (266) | | (202) | | Non-cash cumulative foreign currency translation adjustment loss

from dissolution of Canadian subsidiary | — | | 9,516 | | Deferred income tax (benefit) expense | (1,114) | | 3,723 | | Other non-cash credits | (455) | | (478) | | Changes in operating assets and liabilities: | | | | | Accounts receivable | (28,753) | | (10,840) | | Inventories | (1,696) | | 879 | | Prepaid expenses and other current assets | 5,743 | | 4,596 | | Trade accounts payable and accrued expenses | (2,827) | | 5,866 | | Other | (1,095) | | 1,985 | | Net cash provided by operating activities | 31,290 | | 68,634 | | Investing activities: | | | | | Purchases of property, plant and equipment, net | (77,645) | | (53,182) | | Purchase of short-term investments | (41,652) | | — | | Proceeds from sale of investments | — | | 19,011 | | Proceeds from sale of property, plant and equipment | 357 | | 340 | | Other investing activities | (47) | | (191) | | Net cash used in investing activities | (118,987) | | (34,022) | | Financing activities: | | | | | Proceeds from credit agreements and long-term debt | 1,387 | | 292 | | Public offering proceeds, net of offering costs of $6,770 | 108,230 | | — | | Principal payments on credit agreements and long-term debt | (387) | | (292) | | Payments on finance lease obligations | (3,483) | | (3,418) | | Taxes paid upon vesting of equity-based compensation | (7,427) | | (1,853) | | Proceeds/cash settlements from common stock and exercised stock

options | 1,232 | | — | | Payments on seller financed purchases | — | | (1,280) | | Net cash provided by (used in) financing activities | 99,552 | | (6,551) | | Effect of exchange rate changes on cash | (182) | | 1,929 | | Increase in cash, cash equivalents and restricted cash | 11,673 | | 29,990 | | Cash, cash equivalents and restricted cash at beginning of period | 72,680 | | 37,208 | | Cash, cash equivalents and restricted cash at end of period | $ 84,353 | | $ 67,198 | | | | | | | Supplemental cash flow information: | | | | | Interest paid(1) | $ 7,341 | | $ 12,992 | | Income taxes paid | $ 15,058 | | $ 10,333 | | Accrued capital expenditures at end of period | $ 19,243 | | $ 7,849 | | (1)Interest paid is net of $6.4 million and $3.0 million of capitalized interest for the nine months ended September 30, 2026 and

September 30, 2025, respectively. | | | |

| Schedule D: Non-GAAP Reconciliation of Adjusted Net Income (Loss) (Unaudited) | | | | | | | | | | | | | | The following table presents the reconciliation of adjusted net income to the most directly

comparable GAAP measure, income from continuing operations before taxes for the periods

indicated: | | | | | | | | | | | | | | | Three Months Ended | | | | | | | September

30, 2026 | | June 30,

2026 | | September

30, 2025 | | | (in thousands, except per share amounts) | | | | | | | | | | | | | Income before taxes | $ 6,429 | | $ 15,854 | | $ 8,105 | | Income tax (benefit) expense | (419) | | 5,617 | | 3,954 | | Net income attributable to TETRA stockholders | 6,848 | | 10,237 | | 4,151 | | Cost of product sales and services adjustments | 606 | | — | | — | | Former CEO stock appreciation right expense | — | | — | | 98 | | Transaction, restructuring and other expenses | 3,257 | | 1,056 | | 1,188 | | Discrete tax items | (1,889) | | — | | — | | Adjusted net income (loss) | $ 8,822 | | $ 11,293 | | $ 5,437 | | | | | | | | | Diluted per share information | | | | | | | Net income attributable to TETRA stockholders | $ 0.05 | | $ 0.07 | | $ 0.03 | | Adjusted net income per share | $ 0.06 | | $ 0.08 | | $ 0.04 | | Diluted weighted average shares outstanding | 149,352 | | 140,619 | | 134,837 |

Adjusted net income is defined as the Company's income (loss) before noncontrolling interests and discontinued operations, excluding unusual tax provision, unusual foreign exchange losses, and certain special or other charges (or credits), and including noncontrolling interest attributable to continued operations. Adjusted net income is used by management as a supplemental financial measure to assess financial performance, without regard to charges or credits that are considered by management to be outside of its normal operations.

Adjusted net income per share is defined as the Company's diluted net income per share attributable to TETRA stockholders excluding certain special or other charges (or credits). Adjusted net income per share is used by management as a supplemental financial measure to assess financial performance, without regard to charges or credits that are considered by management to be outside of its normal operations.

| Schedule E: Non-GAAP Reconciliation of Adjusted EBIT and Adjusted EBITDA

(Unaudited) | | | | | | | | | | | | | | Completion Fluids & Products | | | | | | | | | | | | | | | Three Months Ended | | | | | | | September 30,

2026 | | June 30, 2026 | | September 30,

2025 | | | (in thousands, except percents) | | | | | | Revenues | $ 91,873 | | $ 113,110 | | $ 90,264 | | Income before taxes | 16,997 | | 27,186 | | 25,314 | | Transaction, restructuring and other expenses | 743 | | 450 | | 150 | | Interest income, net | (472) | | (103) | | (170) | | Investment losses | 720 | | 165 | | — | | Adjusted EBIT | 17,988 | | 27,698 | | 25,294 | | Depreciation, amortization and accretion | 2,343 | | 2,205 | | 2,263 | | Adjusted EBITDA | $ 20,331 | | $ 29,903 | | $ 27,557 | | | | | | | | | Adjusted EBITDA as a % of revenue | 22.1 % | | 26.4 % | | 30.5 % | | | | | | | | | Water & Flowback Services | | | | | | | | | | | | | | | Three Months Ended | | | | | | | September 30,

2026 | | June 30, 2026 | | September 30,

2025 | | | (in thousands, except percents) | | | | | | Revenues | $ 76,078 | | $ 72,547 | | $ 62,975 | | Income before taxes | 4,238 | | 3,205 | | 52 | | Cost of product sales and services adjustments | 606 | | — | | — | | Transaction, restructuring and other expenses | 316 | | — | | 302 | | Interest expense, net | 150 | | 247 | | 34 | | Adjusted EBIT | 5,310 | | 3,452 | | 388 | | Depreciation, amortization and accretion | 7,396 | | 7,319 | | 7,136 | | Adjusted EBITDA | $ 12,706 | | $ 10,771 | | $ 7,524 | | | | | | | | | Adjusted EBITDA as a % of revenue | 16.7 % | | 14.8 % | | 11.9 % | | | | | | | | | Corporate | | | | | | | | | | | | | | | Three Months Ended | | | | | | | September 30,