Stonegate Capital Partners has updated its coverage on NCS Multistage Holdings, Inc. (NASDAQ: NCSM), highlighting the company's solid fiscal year 2025 performance. Despite a still-challenging activity backdrop, NCSM grew revenue 13% to $183.6 million, 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 the July acquisition.
The quality of growth was solid, with ex-ResMetrics revenue still increasing 10%. Adjusted EBITDA rose 20% to $26.7 million, and EBITDA margin expanded approximately 80 basis points to 15%, while adjusted gross margin held 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 and supporting the view that FY25 outperformance was driven more by share gains, product execution, and targeted expansion than by a stronger underlying market.
Key takeaways from the update include: FY25 outperformance reflected real execution, with share gains, product traction, and incremental contribution from ResMetrics. Fourth-quarter results materially outpaced expectations as U.S. fracturing demand accelerated and international markets stayed constructive. NCSM 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), provides a full spectrum of investment banking, equity research, and capital raising for public and private companies.
