Adjusted EBITDA was $87 million, down 7.6% sequentially, with margins compressing to 31.7% from 33.5%.
Cash balance increased to $405 million, up approximately $58 million sequentially, supported by positive inventory and accounts payable movements and lower CapEx.
GAAP income was $49 million in Q2 versus $54 million in Q1; adjusted net income was $53 million with EPS of $0.66.
Legal expenses and reserves related to litigation increased by approximately $2 million to $5.1 million in Q2.
Net CapEx was approximately $11.1 million in Q2, with a reduced full-year 2025 CapEx outlook of $40 million to $45 million.
Operating income declined $12 million or 22.1% sequentially, with margin compression due to tariffs, lower rental revenue, and legal expenses.
Pressure Control segment revenue declined 5.5% sequentially to $180 million, driven by lower rental business revenue and unfavorable product mix.
Q2 2025 revenue was $274 million, a sequential decline of 2.4%.
Spoolable Technologies segment revenue increased 3.9% sequentially to $96 million, with improved operating income and margins.
The Board approved an 8% increase in the quarterly dividend to $0.14 per share.
Cash flow from operations is projected between $460 million and $500 million for fiscal 2025, supported by stable utility earnings and contributions from other segments.
Higher utility margins at New Jersey Natural Gas post rate case, a $0.30 per share benefit from the sale of the residential solar portfolio, improved Storage & Transportation performance, and strong Energy Services results contributed to the financial improvement.
NJR reported a third quarter NFEPS of $0.06 compared to a net financial loss of $0.09 per share last year, showing a significant turnaround.
The company maintains a strong balance sheet with an adjusted FFO to adjusted debt ratio projected at 19% to 21%, and $825 million in credit capacity.
Utility gross margin for the quarter was stronger than expected, driven by the new rate case benefits and operational expense improvements.
Year-to-date NFE was $313.4 million or $3.13 per share, representing a nearly 55% increase year-over-year.
Dafinchi