Flowco (NYSE:FLOC) Releases Quarterly Earnings Results, Misses Estimates By $0.09 EPS

Flowco (NYSE:FLOC) announced its quarterly earnings data on Tuesday. The company reported $0.28 earnings per share for the quarter, missing analysts’ consensus estimates of $0.37 by ($0.09), FiscalAI reports. The firm had revenue of $235.86 million for the quarter. Flowco had a net margin of 5.49% and a return on equity of 48.49%.

Here are the key takeaways from Flowco’s conference call:

• Positive Sentiment: Flowco delivered solid Q2 growth, with revenue up 13% sequentially to $236 million, adjusted EBITDA up 10% to $93.9 million, and margins near 40%; free cash flow was approximately $50 million.
• Positive Sentiment: The Valiant acquisition is performing ahead of expectations, with integration substantially complete and early cross-selling opportunities emerging across Flowco’s broader artificial-lift and production-optimization platform.
• Negative Sentiment: Production Solutions margins declined 229 basis points because of a less favorable mix and higher operating, maintenance, fuel, and lubricant costs. Management expects these cost pressures to continue into Q3, with limited ability to pass lubricant costs through to customers.
• Positive Sentiment: Management guided to Q3 adjusted EBITDA of $92 million to $98 million, while citing continued demand for production-optimization technologies, rising customer activity, and potential efficiency gains from AI-enabled fleet maintenance and operational data.
• Positive Sentiment: Flowco ended the period with leverage below one times and approximately $446 million of available credit capacity; the board also approved a one-time $0.14-per-share special dividend for Class A shareholders in addition to the regular $0.09 dividend.

Flowco Trading Up 2.2%

Shares of Flowco stock traded up $0.52 during trading on Wednesday, reaching $23.78. 552,068 shares of the stock were exchanged, compared to its average volume of 621,761. The company has a quick ratio of 1.48, a current ratio of 3.09 and a debt-to-equity ratio of 1.00. The firm has a market cap of $2.15 billion, a price-to-earnings ratio of 20.32 and a beta of 0.90. Flowco has a 1 year low of $14.03 and a 1 year high of $28.26. The stock’s fifty day moving average is $21.37 and its 200 day moving average is $22.55.

Flowco Dividend Announcement

The company also recently announced a special dividend, which will be paid on Monday, August 31st. Stockholders of record on Friday, August 21st will be issued a dividend of $0.14 per share. The ex-dividend date is Friday, August 21st. Flowco’s dividend payout ratio is currently 30.77%.

Analyst Ratings Changes

A number of brokerages have commented on FLOC. Wall Street Zen upgraded shares of Flowco from a “hold” rating to a “buy” rating in a research report on Sunday. Weiss Ratings lowered shares of Flowco from a “hold (c)” rating to a “hold (c-)” rating in a report on Monday, August 3rd. Jefferies Financial Group reiterated a “buy” rating and issued a $33.00 target price on shares of Flowco in a research report on Thursday, May 7th. Piper Sandler cut their price target on shares of Flowco from $32.00 to $31.00 and set an “overweight” rating for the company in a research report on Tuesday, July 14th. Finally, Citigroup began coverage on Flowco in a research note on Thursday, May 28th. They set a “neutral” rating and a $31.00 price objective on the stock. Four investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $29.20.

Institutional Investors Weigh In On Flowco

Several institutional investors and hedge funds have recently bought and sold shares of FLOC. Parallel Advisors LLC raised its holdings in shares of Flowco by 8,929.4% during the fourth quarter. Parallel Advisors LLC now owns 1,535 shares of the company’s stock valued at $29,000 after acquiring an additional 1,518 shares in the last quarter. Zions Bancorporation National Association UT bought a new stake in Flowco in the fourth quarter valued at $29,000. Aster Capital Management DIFC Ltd purchased a new position in Flowco during the 4th quarter valued at $29,000. Tower Research Capital LLC TRC raised its holdings in Flowco by 95.6% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,643 shares of the company’s stock worth $47,000 after purchasing an additional 1,292 shares in the last quarter. Finally, US Bancorp DE bought a new position in Flowco in the 3rd quarter worth $61,000.

Flowco News Roundup

Here are the key news stories impacting Flowco this week:

• Positive Sentiment: Strong Q2 operating performance: Revenue increased to $235.9 million from $193.2 million a year earlier, while adjusted EBITDA reached $93.9 million, up 23%. Operating cash flow was $95.2 million and free cash flow totaled $49.8 million, supporting Flowco’s recurring-dividend model. Flowco Holdings Reports Second Quarter 2026 Results
• Positive Sentiment: Special dividend announced: Flowco declared a one-time $0.14-per-share cash dividend for Class A shareholders of record on August 21, payable August 31, in addition to its regular $0.09 quarterly dividend. The payout signals confidence in liquidity and cash generation, although the stock typically adjusts around the ex-dividend date. Flowco Announces Special Dividend
• Positive Sentiment: Valuation support: An analysis argues that Flowco trades at roughly 6.5 times estimated 2026 EBITDA, below compression-industry peers at approximately 8–10 times, despite balance-sheet strength and recurring well-lifecycle service revenue. The Valiant acquisition is also contributing to rental revenue and EBITDA growth. Flowco Continues Steady Performance
• Neutral Sentiment: Q3 outlook indicates stable but potentially slower growth: Management forecast adjusted EBITDA of $92 million to $98 million, broadly in line with Q2, while integrating Valiant and managing cost pressures. Flowco Forecasts Q3 Adjusted EBITDA
• Negative Sentiment: Quarterly earnings missed expectations: Diluted EPS was $0.28, below the $0.37 consensus estimate and down from $1.26 a year earlier, creating a key overhang despite the revenue and cash-flow gains. Flowco Misses Q2 Earnings Estimates
• Negative Sentiment: Insider selling remains a risk: Reported insider activity showed no purchases and approximately 8.97 million shares sold over the past six months, which may raise concerns about insider confidence or near-term supply.

About Flowco

We are a leading provider of production optimization, artificial lift and methane abatement solutions for the oil and natural gas industry. Our products and services include a full range of equipment and technology solutions that enable our customers to efficiently and cost-effectively maximize the profitability and economic lifespan of the production phase of their operations. Our principal products and services are organized into two business segments: (i) Production Solutions; and (ii) Natural Gas Technologies.