Tetra Technologies Inc (TTI) 2025 Q2 法說會逐字稿

Great. Thank you, Chloe. Good morning, and thank you for joining Tetra's second quarter 2025 earnings call. Speakers for today will be Brady Murphy, Chief Executive Officer; and Elijio Serrano, Chief Financial Officer.

偉大的。謝謝你，克洛伊。早安，感謝您參加 Tetra 2025 年第二季財報電話會議。今天的演講者是執行長布雷迪墨菲 (Brady Murphy) 和財務長埃利吉奧塞拉諾 (Elijio Serrano)。

I'd like to remind you that this conference call may contain statements that are or may be deemed to be forward looking, including projections, financial guidance, profitability and estimated earnings. These statements are based on certain assumptions and analysis made by TETRA and are subject to several risks and uncertainties, many of which are beyond the company's control. You are cautioned that such statements are not guarantees of future performance and that actual results may differ materially from those projected in the forward-looking statements.

我想提醒您，本次電話會議可能包含或可能被視為前瞻性的陳述，包括預測、財務指導、盈利能力和預計收益。這些聲明是基於 TETRA 所做的某些假設和分析，並受到多種風險和不確定性的影響，其中許多超出了公司的控制範圍。請注意，此類聲明並非對未來業績的保證，實際結果可能與前瞻性聲明中的預測有重大差異。

In addition, we may refer to EBITDA, adjusted EBITDA, adjusted EBITDA margin, free cash flow, net debt, net leverage ratio, liquidity, returns on net capital employed or other non-GAAP financial measures. Please refer to our press release for reconciliations of non-GAAP to the GAAP measures. These reconciliations are not a substitute for financial information prepared in accordance with GAAP and should be considered within the context of our complete financial results for the period. We also encourage you to refer to our 10-Q that was filed yesterday.

此外，我們也可能參考 EBITDA、調整後的 EBITDA、調整後的 EBITDA 利潤率、自由現金流、淨債務、淨槓桿率、流動性、淨資本使用回報率或其他非 GAAP 財務指標。請參閱我們的新聞稿，以了解非公認會計準則 (Non-GAAP) 與公認會計準則 (GAAP) 指標的對帳。這些對帳不能取代根據 GAAP 編制的財務信息，應結合我們該期間的完整財務結果進行考慮。我們也鼓勵您參考我們昨天提交的 10-Q。

Before turning it over to Brady, I want to remind everyone that TETRA's executive team will be hosting an Investor Day on Thursday, September 25, 2025, at the New York Stock Exchange. During the session, attendees will gain insights in the company's operational performance, innovative technologies, emerging growth initiatives and financial prospects. The registration link can be found in the Investors section of our website. Brady?

在將發言權交給布雷迪之前，我想提醒大家，TETRA 的執行團隊將於 2025 年 9 月 25 日星期四在紐約證券交易所舉辦投資者日活動。在會議期間，與會者將深入了解公司的營運表現、創新技術、新興成長計畫和財務前景。註冊連結可以在我們網站的投資者部分找到。布雷迪？

Thank you, Kurt. Good morning, everyone, and welcome to TETRA's Second Quarter 2025 Earnings Call. Ill summarize some highlights for the quarter and provide an update on our strategic initiatives before turning the call over to Elijio to provide more details on our segments and update on our cash flow and balance sheet.

謝謝你，庫爾特。大家早安，歡迎參加 TETRA 2025 年第二季財報電話會議。我將總結本季度的一些亮點並提供我們戰略舉措的最新信息，然後將電話轉給 Elijio，以提供有關我們各個部門的更多詳細信息並更新我們的現金流和資產負債表。

Our employees delivered an exceptional second quarter. And across our current business reporting segments, a record-setting adjusted EBITDA for the first six months of 2025. For the quarter, we achieved an adjusted EBITDA of $35.9 million, with adjusted EBITDA margins of 20.6% and base business free cash flow of $37.4 million, all above our expectations. The $68.1 million adjusted EBITDA for the first six months of 2025 is a record for our current segments and $3.1 million above the upper range of guidance we provided in our first quarter 2025 earnings.

我們的員工在第二季度表現出色。在我們目前的業務報告部門中，2025 年前六個月的調整後 EBITDA 創下了紀錄。本季度，我們實現調整後 EBITDA 為 3,590 萬美元，調整後 EBITDA 利潤率為 20.6%，基本業務自由現金流為 3,740 萬美元，均高於我們的預期。2025 年前六個月的調整後 EBITDA 為 6810 萬美元，創下了我們當前各部門的最高紀錄，比我們在 2025 年第一季收益中提供的上限指導高出 310 萬美元。

This was largely driven by a record level of deepwater activity for Tetra in the first half of 2025, including 25 deepwater jobs in the first quarter alone and the completion of the three-well Neptune project in the second quarter. The team delivered an 11% sequential increase in revenue, which included another strong Northern Europe industrial chemical season. Year-over-year, total revenue was up 1% but adjusted EBITDA increased by $5.2 million or 17%. This performance was achieved despite a 16-month decline in the US rig count and lower oil prices, which is due to overall market uncertainty.

這主要是由於 Tetra 在 2025 年上半年的深水活動創下了紀錄，其中包括僅在第一季就完成了 25 項深水作業，以及在第二季度完成了三口井的 Neptune 專案。該團隊的收入連續成長了 11%，其中包括北歐工業化學品銷售旺季的強勁表現。與去年同期相比，總營收成長了 1%，但調整後的 EBITDA 增加了 520 萬美元，即 17%。儘管由於整體市場不確定性，美國鑽井數量連續 16 個月下降，油價下跌，但仍取得了這一業績。

Compared to the first quarter of 2025, Completion Fluids & Products adjusted EBITDA margins increased by 100 basis points to 36.7% for 35.7%, supported by the CS Neptune jobs previously mentioned. Year-over-year, Industrial Chemicals grew by 5.5% as it continues to outgrow both U.S. and the global GDP.

與 2025 年第一季相比，完井液和產品調整後的 EBITDA 利潤率從 35.7% 增加 100 個基點至 36.7%，這得益於前面提到的 CS Neptune 工作的支持。與去年同期相比，工業化學品成長了 5.5%，持續超過美國和全球 GDP 的成長速度。

The long-term outlook for Completion Fluids & Products business remains strong, driven by our solid deepwater market positions in key areas such as Gulf of America, Brazil and the North Sea, along with continued exceptional performance in our industrial chemicals business reaching a new high for the tenth consecutive quarter.

完井液及產品業務的長期前景依然強勁，這得益於我們在美國灣、巴西和北海等關鍵地區的穩固深水市場地位，以及我們的工業化學品業務連續第十個季度創下新高的持續出色表現。

The strength of our market position is further demonstrated by a new multi-well, multiyear ultra-deepwater 20K completions award in the Gulf of America. Although the pace of deepwater well completions can vary quarter-to-quarter, the overall annual trend is upward, as shown by a projected 10-year revenue high for this segment in 2025. Revenue for water and flowback services remained flat compared to the first quarter and decreased 10% year-over-year outperforming US frac activity, which declined 14% quarter-over-quarter and 26% year-over-year.

美國灣一項新的多井、多年期超深水 20K 完井合約進一步證明了我們強大的市場地位。儘管深水井完井速度每季可能有所不同，但整體年度趨勢是上升的，預計 2025 年該領域收入將達到 10 年來的最高水準。水和回流服務收入與第一季相比持平，年減 10%，表現優於美國壓裂活動，季減 14%，年減 26%。

Despite declining US land activity, our automated technology fleet included automated sandstorm and automated drill out is effectively fully utilized and is being recognized for reducing manpower and removing employees from the well-site red zone. Although US land drilling and completion activity has been declining, produced water volumes continue to increase and is expected to increase well into the future.

儘管美國陸地活動減少，但我們的自動化技術組合（包括自動沙塵暴和自動鑽出）得到了有效充分利用，並因減少人力和將員工從井場紅區撤出而獲得認可。儘管美國陸地鑽井和完井活動一直在下降，但採出水量卻持續增加，預計未來仍將大幅增加。

Tetra achieved an important milestone for the quarter, recording our first revenue for Permian Basin produced water desalination from our commercial Grasslands pilot operation. Although a small contribution for the quarter it represents the successful execution of our Tetra Oasis solution.

Tetra 在本季度取得了一個重要的里程碑，從我們的商業 Grasslands 試點作業中獲得了二疊紀盆地生產海水淡化的第一筆收入。儘管對於本季來說貢獻很小，但它代表了我們 Tetra Oasis 解決方案的成功執行。

Water & Flowback adjusted EBITDA margins of 10% declined from 13% in the first quarter, however, this result included nearly $2 million of costs not expected to recur in the third quarter, such as inventory write-offs and trailing exit costs for a small subsegment of the business.

水和回流調整後的 EBITDA 利潤率為 10%，低於第一季的 13%，然而，這一結果包括預計第三季度不會再次發生的近 200 萬美元的成本，例如庫存註銷和一小部分業務的尾隨退出成本。

Adjusting for the non-recurring cost, adjusted EBITDA margins would have been flat from the first quarter. We'll continue to adjust our cost structure and close underperforming service lines in the US onshore business to protect our margins and maximize free cash flow.

調整非經常性成本後，調整後的 EBITDA 利潤率與第一季持平。我們將繼續調整成本結構，關閉美國本土業務中表現不佳的服務線，以保護我們的利潤率並最大化自由現金流。

Going forward, there remains some uncertainty in US completion activity. But the demand for our automated technology, the focus on produced water treatment and recycling and a favorable mix of super majors and large independent operators will help improve margins for the rest of the year.

展望未來，美國完井活動仍存在一些不確定性。但對我們的自動化技術的需求、對採出水處理和回收的關注以及超級巨頭和大型獨立運營商的有利組合將有助於提高今年剩餘時間的利潤率。

Moving to our strategic growth initiatives. We continue to make significant progress throughout the second quarter. On the electrolyte front, energy storage power capacity is expected to surpass 45 gigawatts by 2025, representing a 76% increase from 2024 levels and growing by 25% annually over the next decade according to the US Energy Information Administration. This growth highlights the vital role that utility-scale energy storage will play an improving grid stability as the exponential rise in overall demand strains our systems.

轉向我們的策略成長計劃。我們在整個第二季度繼續取得重大進展。在電解質方面，根據美國能源資訊署的數據，預計到 2025 年儲能容量將超過 45 吉瓦，比 2024 年的水準成長 76%，未來十年每年增長 25%。這一成長凸顯了公用事業規模的能源儲存在整體需求呈指數級增長給我們的系統帶來壓力的情況下，在提高電網穩定性方面將發揮的重要作用。

Zinc-based energy storage systems, such as Eso's Z3 utility scale energy storage technology are becoming the preferred choice for utility applications. As the only known US manufacturer of zinc bromide, our US directly supports the increased focus on domestic supply chain resilience and American-made energy solutions.

鋅基儲能係統，例如 Eso 的 Z3 公用事業規模儲能技術，正在成為公用事業應用的首選。作為美國唯一知名的溴化鋅製造商，我們美國直接支持對國內供應鏈彈性和美國製造的能源解決方案的更多關注。

We're seeing strong forecast projections from the US for their energy storage electrolyte needs as they ramp up their automated production line. Once their automated line is finished, which they will expect to be in the fourth quarter of this year, we will see a material increase in electrolyte deliveries.

隨著美國自動化生產線的擴大，我們看到其對儲能電解質需求的強勁預測。一旦他們的自動化生產線完工（預計今年第四季完成），我們將看到電解質交付量的大幅增加。

In preparation, we completed the installation of our electrolyte bulk tanker loading system in West Memphis. This will enable us to shift from tote shipments to much larger volumes with less costly tanker deliveries, which we have already begun. Although our baseline electrolyte revenue in 2025 remains modest, 2026 is shaping up to be the first year with a real material impact on our business results. To meet the increasing demand for both Eos electrolyte and our bromine-based deepwater completion fluids, we remain on track with our Arkansas bromine processing facility.

在準備階段，我們在西孟菲斯完成了電解質散裝油罐車裝載系統的安裝。這將使我們能夠從手提箱運輸轉向更大批量、成本更低的油輪運輸，我們已經開始這樣做了。儘管我們 2025 年的基準電解質收入仍然不高，但 2026 年預計將成為對我們的業務業績產生真正重大影響的第一年。為了滿足對 Eos 電解質和溴基深水完井液日益增長的需求，我們將繼續推進阿肯色州溴加工廠的建設。

In the first half of 2025, we invested $22 million of the $52 million in free cash flow generated from our base business into the project. We plan to invest an additional $22 million in capital expenditures by year-end, which will greatly support site preparation, power infrastructure and the construction of the bromine tower for plant operation.

2025 年上半年，我們將基礎業務產生的 5,200 萬美元自由現金流中的 2,200 萬美元投資於該專案。我們計劃在年底前額外投資 2,200 萬美元的資本支出，這將極大地支持場地準備、電力基礎設施和工廠運營所需的溴塔建設。

Since starting this project in 2024, we've invested $44 million in Arkansas to enable the plant to go online by 2027. As outlined in the definitive feasibility and economic analysis completed in 2024, the facility is expected to produce incremental revenues of $200 million to $250 million with adjusted EBITDA of $90 million to $150 million -- $115 million annually at full capacity.

自 2024 年啟動該計畫以來，我們已在阿肯色州投資 4,400 萬美元，以確保該工廠能夠在 2027 年投入使用。根據 2024 年完成的最終可行性和經濟分析報告，該工廠預計將產生 2 億至 2.5 億美元的增量收入，調整後的 EBITDA 為 9,000 萬至 1.5 億美元——滿載運轉時每年將產生 1.15 億美元。

We continue to work closely with Standard Lithium and Equinor on their SWA lithium project with significant project synergies, including potential upstream CapEx savings of $80 million from the $270 million CapEx in the DFS study.

我們繼續與 Standard Lithium 和 Equinor 在其 SWA 鋰專案上密切合作，實現了顯著的專案協同效應，包括從 DFS 研究中 2.7 億美元的資本支出中節省 8,000 萬美元的上游資本支出。

Moving on to produced water treatment for beneficial reuse, the US oil and gas sector continues to face significant water management challenges. Rystad estimates the Permian Basin alone, over 6 billion barrels of produced water are discharged into saltwater disposal wells each year. Traditionally, this wastewater has been disposed of by injecting it underground, but this method is becoming increasingly unsustainable as downhole formation pressures continue rising. As a result, there is a growing sense of urgency among regulators and industry players to find a solution.

在對採出水進行處理以實現有效再利用方面，美國石油和天然氣產業持續面臨重大的水資源管理挑戰。Rystad 估計，光是二疊紀盆地，每年就有超過 60 億桶採出水被排放到鹽水處理井中。傳統上，這些廢水是透過注入地下來處理的，但隨著井下地層壓力的不斷上升，這種方法變得越來越不可持續。因此，監管機構和產業參與者越來越迫切地需要找到解決方案。

In March, the Environmental Protection Agency announced it would review wastewater regulations for the oil and gas industry to help unleash American Energy. And in June, the Texas governor signed a law, Texas House Bill 49, enabling and facilitating the industry to treat produced water for beneficial reuse.

今年3月，美國環保署宣布將審查石油和天然氣產業的廢水處理法規，以協助釋放美國能源。今年 6 月，德州州長簽署了一項法律，即德州眾議院第 49 號法案，授權並促進該行業對採出水進行處理以實現有益再利用。

Following the commercial announcement of our Oasis TDS water desalination technology, we continue to see customer engagement from both operators and water midstream companies. These engagements include signed NDAs, followed by visits to our research center to get insight into Oasis TDS end-to-end process and results.

在我們的 Oasis TDS 海水淡化技術商業化發布之後，我們繼續看到來自營運商和水中游公司的客戶參與。這些合作包括簽署保密協議，然後訪問我們的研究中心以深入了解 Oasis TDS 端到端流程和結果。

During the quarter, we engaged an engineering firm to begin designing our first Permian Basin commercial plant, which is planned for 25,000 barrels per day, with a design allowing for 25,000 barrel per day increments to enable scaling. One of the many benefits of the Oasis technology design is that it's well suited for scaling a key aspect of industry requirements. A completed engineering package, which we expect by the middle of the fourth quarter, will facilitate in-depth commercial discussions with numerous customers requesting commercial engagements.

在本季度，我們聘請了一家工程公司開始設計我們的第一個二疊紀盆地商業工廠，該工廠計劃每天生產 25,000 桶石油，設計允許每天以 25,000 桶的增量進行擴展。Oasis 技術設計的眾多優勢之一是它非常適合擴展行業需求的關鍵方面。我們預計將於第四季中期完成工程包，這將有助於與眾多請求商業合作的客戶進行深入的商業討論。

Looking forward to the second half of 2025, although U.S. land activity is trending lower, our automation technology continues to gain traction and will help us improve margins. Second half deepwater activity will not be at the record levels that we've seen in the first half but still strong enough to project a 10-year high for the full year 2025. We're maintaining a healthy pipeline of CS Neptune projects worldwide, but given their significance to our financials, we will wait until a project is awarded with a confirmed date before making any announcements.

展望 2025 年下半年，儘管美國陸地活動呈下降趨勢，但我們的自動化技術將繼續獲得發展動力，並將幫助我們提高利潤率。下半年深水活動不會達到上半年創紀錄的水平，但仍然足夠強勁，可以預測 2025 年全年將創下 10 年來的新高。我們在全球範圍內維護 CS Neptune 專案的健康管道，但考慮到它們對我們財務的重要性，我們將等到專案授予並確定日期後再發布任何公告。

Heading into 2026, we'll have the benefit of a full year of our Brazil Deepwater award recently awarded 20K Gulf of America award and a projected material ramp-up in Eso electrolyte deliveries. For the full year '25, we expect GAAP net income before taxes to be between $21 million and $34 million.

進入 2026 年，我們將受益於最近授予的巴西深水獎、美國灣 20K 獎以及預計的 Eso 電解質交付量增加。對於 25 年全年，我們預計 GAAP 稅前淨收入將在 2,100 萬美元至 3,400 萬美元之間。

Adjusted EBITDA between $100 million to $110 million and revenue to be between $610 million and $630 million. These guidance ranges are subject to risks associated with scheduled delays for completion fluid projects, hurricane disruptions in the Gulf of America and changes to oil and gas spending -- company spending plans.

調整後的 EBITDA 在 1 億美元至 1.1 億美元之間，營收在 6.1 億美元至 6.3 億美元之間。這些指導範圍受到完井液工程計劃延誤、美國灣颶風幹擾以及石油和天然氣支出（公司支出計劃）變化等相關風險的影響。

We have a strong free cash flow generating business that should enable us to navigate through any near-term macro uncertainty and position the company to capitalize on our emerging growth opportunities for the coming years.

我們擁有強大的自由現金流產生業務，這使我們能夠應對任何近期的宏觀不確定性，並使公司能夠利用未來幾年新興的成長機會。

Now I'll turn it over to Elijio.

現在我將把發言權交給 Elijio。

Thank you, Brady. Good morning, everybody. Second quarter free cash flow from the base business was very strong as we generated $37 million of cash. From the base business, we generated $1 million more in cash than we did EBITDA. In the first 6 months of the year, we've generated $53 million of base business free cash flow compared to $68 million of adjusted EBITDA. This ratio of free cash flow to adjusted EBITDA reflects the quality of the earnings and the focus we have on managing working capital and minimizing capital expenditures to be only on those projects with quick paybacks.

謝謝你，布雷迪。大家早安。第二季基礎業務的自由現金流非常強勁，我們產生了 3700 萬美元的現金。從基礎業務來看，我們產生的現金比 EBITDA 多 100 萬美元。今年前 6 個月，我們產生了 5,300 萬美元的基本業務自由現金流，而調整後的 EBITDA 為 6,800 萬美元。自由現金流與調整後 EBITDA 的比率反映了收益的品質以及我們對管理營運資本和最大限度地減少資本支出以僅用於那些能夠快速回報的項目的關注。

We remain on track to deliver in excess of $50 million of free cash flow from the base business. We have said that our objective is to bring the Arkansas bromine project online without stressing TETRA's balance sheet. Our objective is to keep Tetra's leverage ratio below 2 times EBITDA. Out of the $52 million of base business free cash flow generated in the first half of the year, we've invested $22 million into Arkansas in the first 6 months of the year. We increased our cash balance by $32 million and in the process, improved our net leverage ratio to 1.2 times trailing 12 months EBITDA.

我們仍有望從基礎業務中實現超過 5000 萬美元的自由現金流。我們說過，我們的目標是讓阿肯色州溴計畫上線，同時不給 TETRA 的資產負債表帶來壓力。我們的目標是將 Tetra 的槓桿率保持在 EBITDA 的 2 倍以下。在上半年產生的 5,200 萬美元基礎業務自由現金流中，我們已在前 6 個月向阿肯色州投資了 2,200 萬美元。我們的現金餘額增加了 3,200 萬美元，在此過程中，我們的淨槓桿率提高至過去 12 個月 EBITDA 的 1.2 倍。

Our objective remains to have the -- remains to have the bromine project online by the end of 2027 to keep up with the growing demand for our zinc bromide battery electrolyte and to keep up with the strong demand for deepwater offshore projects.

我們的目標仍然是到 2027 年底讓溴計畫上線，以滿足對鋅溴電池電解質日益增長的需求，並滿足對深水海上計畫的強勁需求。

Any incremental capital required above base business free cash flow will be at the project level and will not be dilutive to Tetra shareholders. We are of the opinion that the growth opportunities we have with water desalination and battery electrolyte are not yet reflected in our share price, and as such, we will take no actions to dilute our Tetra shareholders.

任何超出基本業務自由現金流所需的增量資本都將在專案層級進行，不會稀釋 Tetra 股東的權益。我們認為，我們在海水淡化和電池電解質方面的成長機會尚未反映在我們的股價中，因此，我們不會採取任何行動來稀釋我們的 Tetra 股東權益。

To fund the desalination projects that Brady mentioned, we are working toward a license model that materially reduces the need for Tetra to invest any material amounts of capital expenditures. If some customers prefer the sharing of capital instead of our license model, we'll also pursue in non-dilutive capital at the project level. Liquidity as of yesterday was approximately $219 million, up $15 million from the end of June. Liquidity includes a $75 million delayed drop feature that's available to Tetra for the bromine project.

為了資助布雷迪提到的海水淡化項目，我們正在努力建立一種許可模式，以大幅減少 Tetra 投資任何大量資本支出的需要。如果有些客戶喜歡資本共享而不是我們的授權模式，我們也會在專案層面追求非稀釋性資本。截至昨日的流動資金約為 2.19 億美元，比 6 月底增加了 1,500 萬美元。流動性包括 7500 萬美元的延遲下降功能，可供 Tetra 用於溴項目。

Let me close out by summarizing what I believe the key items everybody should focus upon. First, our base business continues to perform. Our completion fluids and calcium chloride business is achieving record highs and generating significant free cash flow. Our onshore Water & Flowback business remains in the double-digit EBITDA margins despite the continued decline in fracking activity. Our objective is cash generation.

最後，讓我總結一下我認為每個人都應該關注的關鍵事項。首先，我們的基礎業務持續表現良好。我們的完井液和氯化鈣業務正在創下歷史新高，並產生了大量自由現金流。儘管水力壓裂活動持續減少，但我們的陸上水和回流業務仍保持兩位數的 EBITDA 利潤率。我們的目標是創造現金。

Second, the balance sheet keeps getting stronger, giving us the capital necessary to fund our bromine project. Third, we continue to make very measured and methodical progress toward the growth initiatives. We are focused on getting it right and not launching anything until we have all the engineering support in place, customer acceptance and economics fully fleshed out. If it takes a bit longer, that's fine, as our focus is getting it right and not getting it faster than we believe to be appropriate.

其次，資產負債表不斷增強，為我們的溴項目提供了必要的資金。第三，我們繼續在成長計劃方面取得非常有節制和有條不紊的進展。我們專注於做好每一件事，直到我們獲得所有工程支援、客戶認可和經濟效益完全實現，我們才會推出任何產品。如果花的時間更長一些，那也沒關係，因為我們的重點是把事情做好，而不是以我們認為合適的速度完成。

And lastly, we encourage you to visit with us on September 25 at the New York Stock Exchange for our Investor Day or join us on our webcast. We plan on laying out our financial targets for our growth initiatives and lay out what Tetra will look like when these technologies have been deployed to the market.

最後，我們鼓勵您於 9 月 25 日前往紐約證券交易所參加我們的投資者日活動或加入我們的網路直播。我們計劃制定成長計畫的財務目標，並制定當這些技術部署到市場後 Tetra 將會是什麼樣子。

Brady, let me turn it back to you for some closing comments before we open it up for questions.

布雷迪，在我們開始提問之前，請容許我再給你講幾句結束語。

Thanks, Elijio. I'll save my closing comments for after the questions. So okay, we'll open it up for Q&A now.

謝謝，Elijio。我將在問題解答之後再作結束語。好的，我們現在開始問答環節。

(Operator Instructions) Martin Malloy, Johnson Rice.

（操作員指示）馬丁·馬洛伊、約翰遜·賴斯。

Congratulations on the strong quarter. I wanted to ask about desalinization. And maybe if you could spend some time broadly speaking about the economics of the desalinization projects and the amount of energy being used to desalinate the water -- the produced water and the cost and also maybe about legislative initiatives that you're following related to desalinization, potential demand?

恭喜本季業績強勁。我想問一下有關海水淡化的問題。也許您可以花一些時間大致談談海水淡化項目的經濟性以及用於淡化水的能源量 - 生產的水和成本，以及您正在關注的與海水淡化相關的立法舉措，以及潛在需求？

Okay. Let me start, I guess, with the commercial aspects of this opportunity for us that -- what we're seeing is disposal well costs for operators continuing to increase and solutions like ours from a desalinations perspective continuing to decrease. And so you've got a converging environment of operator costs increasing due to the higher pressures or taking out of basin cost, trucking, for instance, is extremely expensive, could be $5, $6 a barrel.

好的。我想，首先讓我從這個機會的商業方面開始說——我們看到的是，運營商的處理井成本持續增加，而從海水淡化角度來看，像我們這樣的解決方案的成本持續減少。因此，由於壓力增加或油盆成本增加，營運商成本不斷增加，例如卡車運輸成本極其昂貴，可能達到每桶 5 到 6 美元。

Additional pipelines, if you've seen some of the announcements of out-of-basin pipelines are extremely capital intensive. So costs continue to go up. While technologies like ours, Oasis is, we believe, one of the lower cost -- lower energy cost solutions that will be available in the market.

如果您看到一些關於盆地外管道的公告，您就會知道額外的管道需要極高的資本密集度。因此成本持續上升。雖然像我們這樣的技術，但我們相信，Oasis 是市場上成本最低、能耗最低的解決方案之一。

And so that convergence, Martin, has given us the opportunity to have these discussions with the operators, with the midstream companies who, quite frankly, need this solution in the coming years as the amount of curtailment of production just due to produced water injection disposals and pressures is really going to start to impact them.

因此，馬丁，這種融合使我們有機會與營運商、中游公司進行討論，坦率地說，他們在未來幾年需要這種解決方案，因為僅由於生產水注入處置和壓力而導致的產量削減將真正開始對他們產生影響。

The regulatory environment is extremely supportive. I think I mentioned on the call, the Texas House Bill 49 was approved, which essentially facilitates the operators and technology providers like ourselves to process produced water and distribute it into the economy, which previously was not allowed.

監管環境極為有利。我想我在電話中提到過，德克薩斯州眾議院第 49 號法案已獲批准，該法案實質上方便了像我們這樣的運營商和技術提供商處理采出水並將其分配到經濟中，而這在以前是不允許的。

EPA has been getting involved. We actually met with the EPA in Washington DC to talk about our desalination technology and the support that we would like to see from them. They're very, very supportive as well. So there's a lot of momentum on all fronts, which continues to give us the encouragement that we have about our opportunity here.

美國環保署 (EPA) 已參與其中。我們實際上與華盛頓特區的環保局會面，討論我們的海水淡化技術以及我們希望從他們那裡得到的支持。他們也非常非常支持。因此，各方面都呈現出強勁勢頭，這讓我們對這裡的機會充滿信心。

As far as the actual commercials, we're going to save that for discussions with our customers in terms of our pricing, our cost, our OpEx, our CapEx. That will be a little more refined when we get our first complete end-to-end engineering package that I'd mentioned completed by the fourth quarter, that allows us to have the level of detail of commercial contractual negotiations that we need.

就實際的商業廣告而言，我們將把它留到與客戶討論我們的定價、成本、營運支出和資本支出時再說。當我們獲得我提到的在第四季度完成的第一個完整的端到端工程包時，這將會更加完善，這使我們能夠達到我們所需的商業合約談判的詳細程度。

And Brady, I would add that preliminary discussions indicate acceptance to a license model that reduces any stress on Tetra's balance sheet.

布雷迪，我想補充一點，初步討論表明，雙方接受了許可模式，以減輕 Tetra 資產負債表的壓力。

Yeah.

是的。

That was very helpful. And then for my follow-up question, just wanted to ask about the offshore completion market. And there's indications that of -- the subsea tree order outlook has been strong. Is expected to be strong. Could you maybe spend some time just talking about level of customer conversations? And if those subsea tree orders are aligning with where your strengths are in terms of the higher pressure wells and the basins that you have a strong presence in?

這非常有幫助。然後，對於我的後續問題，我只想問一下海上完井市場。有跡象表明——海底採油樹訂單前景強勁。預計會很強勁。您能否花一些時間談論一下客戶對話的程度？這些海底採油樹訂單是否與您在高壓井和盆地方面的優勢相符？

Yeah. The trends that we're seeing, certainly in overall deepwater is continuing to increase in terms of activity over the coming years, four to five years' visibility that we often have with customers that are planning these very complex, highly technical deepwater completions. The other trend that we're seeing is the pressures are getting higher as evidenced by the other 20k rigs that are coming into the Gulf of America. Those pressures play into Tetra's strength due to the heavy bromine-based completion fluids, including Neptune for certain applications. So yes, all positive signs, particularly as we start to see the US oil production flatten out plateau. I think deepwater will continue to get a lot more attention in the coming years for additional online supply.

是的。我們看到的趨勢是，未來幾年深水區的整體活動將繼續增加，我們經常與計劃進行這些非常複雜、技術含量高的深水完井作業的客戶一起預測四到五年的可見性。我們看到的另一個趨勢是壓力越來越高，這從進入美國灣的其他 20k 鑽井平台可以看出。由於使用了重質溴基完井液（包括用於某些應用的 Neptune），這些壓力充分發揮了 Tetra 的優勢。是的，所有跡像都是正面的，特別是當我們開始看到美國石油產量趨於穩定時。我認為，未來幾年深水區將繼續受到更多關注，以增加線上供應。

(Operator Instructions) Jesse Sobelson, D. Boral Capital.

（操作員指示） Jesse Sobelson，D. Boral Capital。

I was just curious on the guidance that you guys issued for the rest of the year is really strong and very promising. I think a lot of investors are really pleased with it. I was curious, as we look to the second half, are you able to give any insight into what you're seeing this quarter versus the next? Or are we generally expecting both quarters to be pretty similar from a financial standpoint?

我只是好奇，你們為今年剩餘時間發布的指導確實強勁且前景光明。我認為很多投資者對此感到非常滿意。我很好奇，當我們展望下半年時，您能否對本季與下季相比的情況做出一些分析？或者我們是否普遍預期從財務角度來看兩個季度會非常相似？

I think activity wise, you're going to see -- we expect to see activity fairly consistent between Q3 and Q4. As I've mentioned, overall, it's not going to be the record-setting pace that we had in the first half of the year. That's just how wells activities and -- are drilled and completion activities follow the drilling. So -- but I just said annually, it's going to be a record year for us, and we think that we'll continue to build on that as we go into 2026. But I expect Q3 and Q4 to be relatively similar in terms of financials.

我認為從活動角度來看，你會看到——我們預計第三季和第四季之間的活動將相當一致。正如我所提到的，整體而言，我們不會再創下今年上半年那樣的紀錄。這就是鑽井活動和完井活動如何進行以及鑽井之後如何進行。所以 — — 但我剛才說過，每年這對我們來說都將是創紀錄的一年，我們認為，在進入 2026 年時，我們將繼續在此基礎上再接再厲。但我預計第三季和第四季的財務狀況會相對相似。

Good, I understand. And then just a really quick follow-up on the financials here. Working capital looks to have come in a little bit, generated some cash this quarter. Was this something that is seasonal? Or could this be a future source of cash flow throughout the rest of the year?

好的，我明白了。然後對這裡的財務狀況進行快速跟進。營運資金似乎有所增加，本季產生了一些現金。這是季節性的東西嗎？或者這可以成為今年剩餘時間的現金流來源嗎？

A couple of items worked in our favor, Jesse, number one, we've collected the CS Neptune project that we completed in the first half of the year. And second, as we go through our seasonality in Northern Europe, we started invoicing in April and the collections go from June into July. So we got the benefit of those two, but we still expect to continue to increase our free cash flow in the second half of the year for the base business.

有幾件事對我們有利，傑西，第一，我們收集了上半年完成的 CS Neptune 專案。其次，隨著北歐市場的季節性變化，我們從四月開始開立發票，收款期從六月持續到七月。因此，我們獲得了這兩項利益，但我們仍預期下半年基礎業務的自由現金流將繼續增加。

Great. Yes, I noticed free cash flow, just was above that $50 million guide you gave for the year already. So congrats.

偉大的。是的，我注意到自由現金流已經超過了您給出的今年 5000 萬美元的指導價。恭喜你。

(Operator Instructions) Bobby Brooks, Northland Capital Markets.

（操作員指示）Bobby Brooks，Northland Capital Markets。

Kind of a follow-up on Jesse's last question. I just first want to get my hat to you guys for the continuation of providing some guidance points. It's been very helpful in setting expectations, and I think it also allows the investment community to better understand and appreciate the TTI story.

這有點像是傑西最後一個問題的後續答案。我首先想向你們表示感謝，感謝你們繼續提供一些指導。它對於設定預期非常有幫助，而且我認為它也能讓投資界更好地理解和欣賞 TTI 的故事。

With that said, -- with that said, I was curious, what are some of the assumptions underpinning that revenue guidance? How I'm looking at it is as the first half of '25, you guys benefited from about $30 million or so from the CS Neptune wells, which are not repeating in the second half. And then you also got the seasonal industrial chemical sales in 2Q that don't repeat.

話雖如此，我很好奇，該收入指引背後的一些假設是什麼？我的看法是，在 25 年上半年，你們從 CS Neptune 油井中獲得了大約 3000 萬美元的收益，但下半年卻沒有重複這樣的收益。然後你還會看到第二季不會重複的季節性工業化學品銷售。

So when you take into account those pieces when comparing one half results to the second half implied guide, sales are flat when compared to some of your peers who are cutting guides due to lower frac activity. Obviously, Eos volumes ramping up as a benefit, but really curious to hear more about what else is underpinning your outlook?

因此，當您在將上半年結果與下半年隱含指南進行比較時考慮到這些因素時，與由於壓裂活動減少而削減指南的一些同行相比，銷售額持平。顯然，Eos 銷售的成長是一個好處，但是真的很好奇想聽聽還有什麼其他因素支撐著您的觀點？

Yeah, I'll make a few comments and then ask Elijio too, as well. I wouldn't assign all of the Neptune revenue to the number that you that you gave, Bobby. Overall deepwater activity, we look at overall deepwater activity was extremely strong in the first half of the year. I think I've mentioned we had 25 jobs in the first quarter. That's a very high pace of deepwater completions and then, of course, the Neptune wells in the second quarter with additional activity. But second year activity just won't be at that pace overall for deepwater.

是的，我會發表一些評論，然後也會問 Elijio。我不會將海王星的所有收入都分配給你給出的數字，鮑比。總體而言，我們看到上半年的深水活動總體上非常強勁。我想我已經提到我們在第一季有 25 個工作機會。深水完井速度非常快，當然，第二季海王星油井還會有更多活動。但第二年深水區的活動整體上不會達到這樣的速度。

Eos really is not a significant factor for us in this year's financials. Second year's financials, it is increasing, but off of a very low base. But as we get into 2026, as I've mentioned, when they have their first line up and running, we believe, certainly before the end of the year, that will be a material uplift for us in 2026, but not really material to us in '25.

Eos 確實不是我們今年財務狀況中的一個重要因素。第二年的財務狀況有所成長，但基數很低。但正如我所提到的，當我們進入 2026 年時，當他們的第一條生產線投入運營時，我們相信，肯定是在年底之前，這將為我們在 2026 年帶來實質性的提升，但對我們在 25 年來說並不真正具有實質性。

I'll ask Elijio maybe to add additional comments.

我可能會請 Elijio 添加其他評論。

Bobby, I would ask that people start looking at what's coming to us in 2026. We will have the second quarter seasonality again, which has been strong for three years in a row now. We've got Eos ramping up. And if you follow Eos and you look at consensus revenue '26 versus '25, they are projected to have a very meaningful ramp up.

鮑比，我希望人們開始關注 2026 年我們將面臨什麼。我們將再次迎來第二季的季節性，這一趨勢已連續三年保持強勁。我們已讓 Eos 加速發展。如果你關注 Eos，並比較 26 年與 25 年的一致收入，你會發現，預計他們的收入將實現非常顯著的成長。

The Tetra management team stays in close contact with Eos, and we continually visit their operations to see what they're doing in their automated production line, and we're very encouraged with what we see. We've mentioned that we secured an offshore deepwater Brazil project that will have a full year impact in 2026 with. And then with the deepwater activity, we expect to see significant deepwater projects, including potential Neptune next year that lays us out for a very solid 2026.

Tetra 管理團隊與 Eos 保持密切聯繫，我們不斷訪問他們的營運部門，了解他們在自動化生產線上所做的工作，我們對所看到的情況感到非常鼓舞。我們提到，我們獲得了一個巴西近海深水項目，該項目將在 2026 年產生全年影響。然後，隨著深水活動的開展，我們預計將看到重大的深水項目，包括明年潛在的海王星項目，這為我們在 2026 年取得非常穩固的成績奠定了基礎。

Okay. Got it. I can appreciate turning the page and look at '26, but could we maybe just touch on a little bit of like other factors that are driving that second half implied guide?

好的。知道了。我可以欣賞翻開新的一頁並看看 26 年，但我們是否可以稍微談談推動下半年隱含指南的其他因素？

Yeah. Keep in mind that the frac count and the drilling activity in the United States has continued to get softer. We believe technology has created a differentiator for us and has allowed us to maintain market share, but we're not focused on market share growth. We're focused on margin enhancement and cash generation on the onshore business.

是的。請記住，美國的壓裂數量和鑽井活動持續減少。我們相信科技為我們創造了差異化，並使我們能夠保持市場份額，但我們並不專注於市場份額的成長。我們專注於提高境內業務的利潤率和創造現金。

Everything else, as Brady mentioned, is timing of projects. We had a lot of the projects on the deepwater side that got completed in the first half. Now we need for those rigs to finish their drilling program so we can show up with the completion fluid at the tail end of those projects. and we think those are going to be more weighted towards early next year than the second half of this year.

正如布雷迪所提到的，其他一切都與專案的時間有關。我們在深水方面的許多項目都在上半年完成。現在我們需要這些鑽機完成其鑽井計劃，以便我們可以在這些項目結束時提供完井液。我們認為這些將更多地集中在明年年初而不是今年下半年。

Got it. Fair enough. And then I wanted to also ask on the news of engaging an engineering firm for the design of the first commercial Oasis project. It seems like this design would be more so broad-based and not necessarily for a specific project in mind. And with it being broad-based, it could be kind of used across multiple scenarios with a few minor tweaks. Am I thinking about that right?

知道了。很公平。然後我還想詢問一下有關聘請一家工程公司來設計第一個商業綠洲專案的消息。看起來這種設計的基礎更廣泛，而不一定是針對特定的項目。由於它應用範圍廣泛，只需進行一些細微調整即可應用於多種場景。我這樣想對嗎？

And then secondly, you guys mentioned in the prepared remarks, it's for 25,000 barrels a day but it will have like a modular option to add additional 25,000 barrel per day capacity. I just want to make sure I'm understanding that right, and maybe how to just think about how you would kind of plug in that extra capacity?

其次，你們在準備好的評論中提到，它的產量是每天 25,000 桶，但它將有一個模組化選項，可以額外增加每天 25,000 桶的產能。我只是想確保我理解得正確，也許只是想想如何插入額外的容量？

Yeah. So we've been working with a lot of Permian Basin operators, Bobby. And so we're very familiar now with the type of water that we're dealing with for these desal projects. Specifically, the Permian, obviously, there'll be different in South Texas or Haynesville or as you go around different basins across North America. So this 25k design will be designed to handle what we believe will be a wide variety of Permian Basin operators.

是的。因此，我們一直與許多二疊紀盆地營運商合作，Bobby。因此，我們現在非常熟悉這些海水淡化項目所處理的水的類型。具體來說，二疊紀盆地在南德克薩斯州、海恩斯維爾或北美各地的不同盆地中顯然會有所不同。因此，我們認為這個 25k 設計將用於處理各種各樣的二疊紀盆地營運商。

And in fact, we're using several of their specifications to make sure we've got that covered with Oasis. And you're absolutely right. The design is being built or the technology is being designed to accommodate 25,000 barrel per day increment. So if a customer wants to ramp up to 100,000 barrels a day, we would take essentially four of these trains, these 25k trains and link them up to provide 100,000 barrel a day type of solution. And this technology, fortunately, is very scalable along those lines. And the engineering firm we're working with will be helping us ensure that that's part of our solution.

事實上，我們正​​在使用他們的幾種規格來確保 Oasis 能夠滿足這些要求。你說得完全正確。正在建造的設計或正在設計的技術可適應每天 25,000 桶的增量。因此，如果客戶想要將日產量提高到 10 萬桶，我們基本上會採用四列這樣的列車，即 25k 列列車，並將它們連接起來，以提供日產量 10 萬桶的解決方案。幸運的是，這項技術在這方面具有很強的可擴展性。與我們合作的工程公司將幫助我們確保這是我們解決方案的一部分。

Patrick Ouellette, Stifel.

派崔克·奧爾萊特（Patrick Ouellette），Stifel。

It's Pat Ouellette on for Stephen Gengaro. You previously mentioned discussions with bromine suppliers to bridge supply as you looked for a more staged approach to develop the Arkansas bromine processing facility. Just curious how it's going to securing the bromine for the various end markets you have and especially with the expected material ramp of volumes you're expecting to see from the Eos?

帕特·奧爾萊特 (Pat Ouellette) 替換斯蒂芬·根加羅 (Stephen Gengaro)。您之前提到與溴供應商進行討論以彌補供應不足，因為您尋求採用更分階段的方法來開發阿肯色州溴加工廠。我只是好奇它將如何確保溴供應到各個終端市場，特別是考慮到您預計 Eos 材料產量將大幅增加？

Yeah. So we have discussions underway with multiple bromine suppliers. Of course, we have our existing contract. Those discussions are going well. We're not going to announce anything until we have selected a final provider or multiple providers, quite frankly, it could be multiple providers as part of the bridging supplies that we're talking about.

是的。因此我們正在與多家溴供應商進行討論。當然，我們有現有的合約。這些討論進展順利。在我們選定最終供應商或多家供應商之前，我們不會宣布任何消息，坦白說，作為我們正在討論的過渡供應的一部分，可能會有多家供應商。

And clearly, we're monitoring both our deepwater demand and the Eos demand to ensure that between our existing current supply and the bridging volumes that we're talking about, it bridges us to the 2027 target that we have for our own plant. So that's an ongoing somewhat dynamic discussions that we're having, Patrick. But I would say at this point, we're optimistic that we will have our demands covered.

顯然，我們正在監控深水需求和 Eos 需求，以確保我們現有的供應量和我們所討論的過渡量之間能夠實現我們為自己的工廠設定的 2027 年目標。派崔克，這就是我們正在進行的持續且充滿活力的討論。但我想說，目前我們樂觀地認為我們的需求將會被滿足。

All right. Great to hear the engineering design for the first commercial water desal plant. Just curious if you could give any color on expectations for either incremental pilot plants or commercial plants for '25 and '26 and then maybe any details on tractions with NDAs? I know some time ago, you talked about seven-ish NDAs in place?

好的。很高興聽到第一家商業海水淡化廠的工程設計。我只是好奇，您是否可以透露一下對 25 年和 26 年增量試驗工廠或商業工廠的預期，然後可以透露一下有關 NDA 牽引力的任何細節？我知道不久前您曾談過七項保密協議？

Yeah. So I think earlier in the year, I was of the impression that we would be doing multiple more pilot operations. I think that, that is now shifting to -- we have a pilot ongoing and we are engaging with customers who are now really, I think, starting to talk more about small commercial plants of the 10,000 to 25,000 barrel per day range and skipping what I would say, the really low volume pilot plant operation. So that's a good sign for us because I think there's a confidence growing that a small commercial plant is of more value to these customers than a really small pilot operation.

是的。所以我想，在今年早些時候，我就覺得我們會進行更多試點操作。我認為，現在情況正在發生轉變——我們正在進行試點，我們正在與客戶接觸，我認為，現在他們開始更多地談論每天 10,000 至 25,000 桶的小型商業工廠，而跳過了我所說的真正低容量的試點工廠運營。這對我們來說是一個好兆頭，因為我認為人們越來越相信，對於這些客戶來說，小型商業工廠比小型試點工廠更有價值。

But we have -- as we said, multiple and seven or so NDAs that we still have in place engaged with those particular customers. And we get into contractual commitments. We'll be announcing them as we go. But obviously, we don't want to get out in front of ourselves until we're at that point.

但正如我們所說，我們仍然與這些特定客戶簽訂了多份（大約七份）保密協議。我們達成了合約承諾。我們將隨時宣布這些消息。但顯然，在到達那個點之前，我們不想超越自己。

All right, thanks so much. I'll turn it back.

好的，非常感謝。我會把它轉回去。

Tim Moore, Clear Street.

蒂姆·摩爾，Clear Street。

Very nice execution on especially free cash flow magnitude and the working capital, ARs collection from the Gulf. I also appreciate Elijio's strong emphasis on preventing dilution to shareholders for the bromine project financing optionality beyond self-funding. So most of my questions are already answered, but I want to start off just maybe getting a little bit more on desalination, it's the hottest topic I get asked about till the last couple of years. How is that progress growing with the beneficial reuse for the growing seasons. I mean, do you have to do a couple of growing seasons hurdle? Or is that not much more of a hurdle anymore to really move forward on the commercial plant side?

執行得非常好，尤其是自由現金流規模和營運資金，以及來自海灣地區的應收帳款收集。我還讚賞 Elijio 大力強調防止股東稀釋溴項目自籌資金以外的融資選擇權。我的大部分問題都已經得到解答了，但我想先多問一些有關海水淡化的問題，這是過去幾年來我被問到的最熱門的話題。隨著生長季節的有益再利用，這項進展如何？我的意思是，你必須克服幾個生長季節的障礙嗎？或者說，這對商業工廠的真正發展來說不再是個障礙了？

Well, I will say that the progress so far on the commercial pilot that we have with EOG is going very well. Because of our NDA, I really can't get into any specific discussions about where we are and the timing and what that -- what the detailed plans for that will look like. That will ultimately be up to EOG if they want to switch from the pilot into commercial discussions. But I would say -- the only thing I can say at this point is the pilot is going extremely well.

嗯，我想說的是，我們與 EOG 合作的商業試點迄今為止進展非常順利。由於我們簽署了保密協議，我真的無法就我們的進展、時間安排以及詳細計劃進行任何具體討論。這最終將取決於EOG是否願意從試點轉向商業談判。但我想說──目前我唯一能說的是，試飛進展非常順利。

Okay. Good. That's good. No, that's a great partner to have. And just a housekeeping question on Brazil. We've got a good understanding on the CS Neptune Gulf. But for Brazil, the offshore, do you expect much more revenue and EBITDA in the second half of this year? And what do you think next year's amount could be? Could it be similar to this year or it will be just lower because you were doing more project well stuff this year in Brazil than maybe next year?

好的。好的。那挺好的。不，擁有這樣的合作夥伴真是太好了。這只是關於巴西的一個基本問題。我們對 CS 海王星灣有了很好的了解。但是對於巴西的離岸業務，您是否預計今年下半年的收入和 EBITDA 會大幅增加？您認為明年的金額會是多少？會不會與今年類似，或只是因為今年在巴西做的專案比明年多，所以會比較低？

Yeah, we will get some benefit from Brazil this year. We think most of the wells because we have a full year of the contract underway, we'll see the benefit in 2026 compared to 2025. The impact this year is not as significant as it will be next year. And the same for this, we've mentioned a new 20k rig completion in the Gulf of America that we were awarded. That's a big deal for us. That will be more significant in '26 than it is in the rest of this year.

是的，今年我們會從巴西獲得一些好處。我們認為，由於我們的合約已經執行了一整年，因此與 2025 年相比，我們將在 2026 年看到大多數油井的收益。今年的影響不如明年大。同樣，我們提到了我們在美國灣獲得的一個新的 20k 鑽井平台完工項目。這對我們來說是一件大事。這一現像在 26 年比在今年剩餘時間更為重要。

That's really good color because some investors just know you lap a little bit of the CS Gulf, but you got more next year and Brazil seems stronger next year than even this year. And then my last question is just on Eos, that's another question we get asked a lot. Just on your visibility, they're doing like you mentioned the automation line completion fourth quarter, it sounds like. I mean, do you have a rolling 90-day order of -- and I mean, how quickly can you adjust if they really ramp up severely in the fourth quarter? I mean do you have enough supply that you can get them and that kicks in pretty robustly?

這確實是個好消息，因為一些投資者只知道你們在南美海灣地區只佔了一小部分，但明年你們的收益會更大，而且明年巴西的勢頭似乎比今年還要強勁。我的最後一個問題是關於 Eos 的，這是我們經常被問到的另一個問題。僅從您的可見性來看，他們正在做您提到的第四季度自動化生產線的完成情況。我的意思是，您是否有連續 90 天的訂單 - 我的意思是，如果它們在第四季度真的大幅增加，您能多快調整？我的意思是，您是否有足夠的供應來獲得它們並且能夠產生強勁的效益？

Yeah. We have a very, very good almost daily relationship with Eos in terms of their ramp up their orders. As I've mentioned, we've converted our West Memphis plant over from being able to ship totes into bulk tankers now, which allow us to achieve a significantly higher volume of electrolyte in preparation for their ramp up. So yes, we got a forecast from them. We've been planning for all of the capacity needs that they will have when they get their first line running, which we understand is targeted to be a 2-gigawatt hour annual capacity. And so we understand that volume very well as we head into 2026.

是的。我們與 Eos 幾乎每天都保持著非常非常好的關係，幫助他們增加訂單。正如我所提到的，我們已經將西孟菲斯工廠從能夠運輸手提箱轉變為能夠運輸散裝油罐車，這使我們能夠獲得更大容量的電解質，為他們的增產做好準備。是的，我們從他們那裡得到了預測。我們一直在為他們第一條生產線投入運作後的所有產能需求進行規劃，據我們了解，他們的目標是年產能達到 2 千兆瓦時。因此，當我們邁入 2026 年時，我們非常了解這一數量。

Josh Jayne, Daniel Energy Partners.

喬許·傑恩（Josh Jayne），丹尼爾能源合作夥伴。

First one, you highlighted the uncertainty in US land completions in the second half of the year. What are your thoughts on completion activity in the US and how that frames your assumptions for the Water & Flowback business and the drivers that may allow you to continue to outperform there?

首先，您強調了下半年美國土地完工的不確定性。您對美國的完井活動有何看法？這如何構成您對水和回流業務的假設以及可能使您繼續在美國表現優異的驅動因素？

Yeah, I think the activity is a little bit hard to predict. Obviously, it's been trending down, as I've mentioned, for 16 months, and there's some outlook that, that will continue trending down. I think our view is that while overall activity is trending down, the market share opportunities that we have with our automated technology, both in Sandstorm and drill out the utilizations that we're running at will allow us to continue to at least maintain growth, maybe not necessarily achieve growth, but certainly maintain revenues in the second half of the year at what we believe will be improved margins as we use more of our technology.

是的，我認為活動有點難以預測。顯然，正如我所提到的，16 個月以來，它一直呈下降趨勢，而且有預測稱，這種趨勢還將繼續。我認為，我們的觀點是，雖然整體活動呈下降趨勢，但我們憑藉自動化技術所擁有的市場份額機會，無論是在 Sandstorm 還是在鑽探我們正在運行的利用率方面，都將使我們能夠繼續至少保持增長，也許不一定實現增長，但肯定會在下半年保持收入，我們相信，隨著我們使用更多技術，利潤率將會提高。

And keep in mind, a bigger part of our revenue base is shifting from just flat completions to produced water recycling and treatment. We're one of the largest recycling and treatment for frac reuse. And as operators slow down, the percentage of water that they use for treatment and recycling actually increases. And so we've got some areas that we think will offset the overall activity declines in the second half of the year, which is why we've provided the guidance we have.

請記住，我們的收入基礎正在從單純的完井轉向採出水的回收和處理。我們是最大的壓裂再利用回收和處理公司之一。隨著操作員的速度放慢，他們用於處理和回收的水的比例實際上增加了。因此，我們認為某些領域將抵消下半年整體活動的下滑，這就是我們提供指導的原因。

And Josh also recall that embedded in this segment is that we've got early production facilities in Argentina that are under multiyear contracts. And then we have an offshore rig cooling business that's tied to deepwater activity.

喬希還記得，在這一領域，我們在阿根廷擁有早期的生產設施，並且簽訂了多年的合約。我們還有與深水活動相關的海上鑽井平台冷卻業務。

Okay. That's helpful. And then the second one, just maybe this is more of a longer-term question, but as the base business continues to generate free cash flow and you continue to inch closer to generating free cash flow from both desal and Arkansas. How are you thinking about capital returns to shareholders in the near to intermediate future just given it will be here before you know it sort of some cash flow tailwinds over the next 18 to 24 months. Maybe you can just elaborate on your thoughts there a bit.

好的。這很有幫助。然後是第二個問題，這也許是一個長期問題，但隨著基礎業務繼續產生自由現金流，你繼續接近從海水淡化和阿肯色州產生自由現金流。您如何看待近期或中期股東資本回報？因為在您不知不覺中，未來 18 到 24 個月內就會出現一些現金流順風。也許您可以稍微詳細說明一下您的想法。

That's a very good question, Josh, you've asked that we intend to address at our Investor Day. So we'll ask you to bear with us. And at the end of September, we're going to walk you how we're going to transition the company from investing in growth opportunities to a return of our capital program.

喬希，你問的這個問題非常好，我們打算在投資人日上回答。因此，我們請求您耐心等待。九月底，我們將向您介紹如何將公司從投資成長機會轉變為投資資本回報計畫。

This concludes our question-and-answer session. I would like to turn the conference back over to Mr. Murphy for any closing remarks.

我們的問答環節到此結束。我想將會議交還給墨菲先生，請他作最後發言。

Thank you, Chloe, and thank you for all of you joining our call this morning. As we close out the call, we have a lot of good things to feel really good about. A record-setting first six months of the year, significant free cash flow from our base business to keep pace with our Arkansas project, a strong outlook for '26 and beyond for our deepwater business and electrolyte sales ramp-up and significant progress for our desalination opportunities.

謝謝你，克洛伊，也謝謝大家今天早上參加我們的電話會議。當我們結束通話時，我們有很多美好的事情值得我們感到非常高興。今年上半年創下了紀錄，我們的基礎業務產生了大量的自由現金流，與阿肯色州項目的進展保持同步，26 年及以後我們的深水業務前景看好，電解質銷售增長，海水淡化機會取得了重大進展。

So please, as Kurt and Elijio mentioned, please sign up for our Investor Day on September 25, we're very excited about our future. We'll lay out our execution strategies and plans to deliver on our future growth targets. Thank you much very much for joining us and look forward to our next call.

因此，正如 Kurt 和 Elijio 所提到的，請報名參加我們 9 月 25 日的投資者日，我們對我們的未來感到非常興奮。我們將制定執行策略和計劃，以實現未來的成長目標。非常感謝您加入我們並期待我們的下一次通話。

This concludes today's conference call. Thank you for participating. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。