Stonegate Capital Partners has updated its coverage on NCS Multistage Holdings, Inc. (NASDAQ: NCSM), emphasizing the company's solid financial performance in fiscal year 2025 despite a challenging operational environment. The company reported revenue of $183.6 million, a 13% increase year-over-year, driven by product strength across regions, U.S. momentum in fracturing systems and Repeat Precision, continued traction in the North Sea and Middle East, and a $5.2 million contribution from ResMetrics following its acquisition in July.
The quality of growth was underscored by a 10% increase in revenue excluding ResMetrics, while adjusted EBITDA rose 20% to $26.7 million. EBITDA margin expanded approximately 80 basis points to 15%, and adjusted gross margin held steady at 41% despite some service-mix pressure. Free cash flow after non-controlling interests nearly doubled to $18.9 million, reinforcing the benefits of the company's asset-light model. Stonegate noted that the outperformance was driven more by share gains, product execution, and targeted expansion than by a stronger underlying market.
In the fourth quarter of fiscal 2025, NCSM materially outpaced expectations as U.S. fracturing demand accelerated and international markets remained constructive. The company exits FY25 with a strong balance sheet, supporting continued reinvestment, integration execution, and tuck-in M&A flexibility. For more details, the full announcement is available here.
Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Its affiliate, Stonegate Capital Markets (member FINRA), offers a full spectrum of investment banking, equity research, and capital raising for public and private companies. For inquiries, contact Stonegate at (214) 987-4121 or visit www.stonegateinc.com.
