Archrock : May Investor Handout- Updated May 20, 2025
AROC
Published on 05/20/2025 at 22:00
ARCHROCK, INC.
Investor Handout May 2025
Archrock - Company Overview
Returns oriented energy infrastructure company
NYSE: AROC
Market Cap: $4.3 billion(2)
Enterprise Value: $6.6 billion(2)(3)
Dividend: $0.19/quarter(4)
Yield: 3.1%(2)(5)
Shares Outstanding: 177 million(2)
Natural gas compression company based in Houston, Texas
A premier outsourced compression provider in U.S.(1)
Compression is a must-run service for gas transportation
Specialize in large HP servicing midstream gathering systems and electric motor drive
Fee-based contracts with high-quality, long-term customers
Strong geographic diversity across all major U.S. gas & oil basins
Our vision is to provide superior compression services, unmatched technical expertise and an
unwavering commitment to safety
(1) Based on total horsepower as of March 31, 2025. (2) Stock price as of April 25, 2025, and shares outstanding as of May 1, 2025. (3) Includes debt balance as of March 31, 2025. (4) To be paid on May 13, 2025. (5) Yield calculated as most recent quarterly dividend annualized and divided by the stock price as of April 25, 2025. 3
Archrock Investment Highlights
Midstream gathering and gas lift applications; a premier provider of
Resilience Through Cycles
Solid Financial Position Sustainable Future
large HP, 74% of fleet(1)and electric motor drive, 19% of fleet(1)
Compression is a must-run service for gas production and transportation
Attractive, long-term & diversified customer relationships
Business driven by oil and gas production
Multi-year, fee-based contracts
Positive EBITDA generated through cycles
Tied to long-term, structural demand for U.S. natural gas
Natural gas is reliable, cleaner and affordable
Diversified asset footprint in leading associated gas basins
15% YoY increase in dividend per share in Q1 25 and $65MM remaining under share repurchase authorization
Strong dividend coverage of 3.9x(2)
Target leverage ratio of 3.0-3.5x
Digital transformation drives future cost, service and environmental benefits
Invested in helping our customers reduce emissions
Leading provider of electric motor drive capabilities
(1) Based on total horsepower as of April 1, 2025, pro-forma for NGCS acquisition excluding backlog. (2) Quarter ended March 31, 2025. 4
Significant value drivers
Transformed Platform. Highly standardized large horsepower units deployed in stable infrastructure segment and electric motor drive units leveraged to Permian oil production and gas lift.
Compelling financial position and capital allocation. Strong balance sheet drives focus on increasing shareholder returns and reducing
leverage.
Robust Market For Compression. Archrock Q1 2025 exit utilization of 96%; sold out of new build equipment for 2025 and continuing to sign contracts for 2026.
Long-term prospect to leverage technology for a more digitized, automated and sustainable future. Opportunity to bring methane and carbon capture technology to market.
Exceptional performance. Our business continues to deliver exceptional performance; including record utilization, pricing and profitability
increases.
2025 Adjusted EBITDA Outlook Reflects Pricing and Profitability Increases(1)
$MM
96% 96%
$790-830
100%
93%
89%
89%
84%
82%
595
95%
90%
85%
352
417
415
361
363
450
2018
2019
2020
2021
2022
2023
2024
2025 Guidance
80%
75%
(1) See Addendum I on Slide 47 regarding non-GAAP measures for information on adjusted EBITDA. 2025 guidance updated on May 6, 2025. Includes 8 months contribution from NGCS. 5
Disclaimer
Archrock Inc. published this content on May 20, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 21, 2025 at 01:59 UTC.