CSI Compressco LP (CCLP) Bundle
A Brief History of CSI Compressco LP (CCLP)
Formation and Early Years
CSI Compressco LP, founded in 2008, emerged as a prominent player in the compression services sector, catering primarily to the oil and gas industry. The company's initial public offering (IPO) occurred on June 20, 2013, raising approximately $145 million.
Business Model and Services
CSI Compressco specializes in providing natural gas compression services, with a focus on wellhead compression and midstream compression. The company operates a fleet that consists of more than 1,400 compression units, which are crucial for maintaining pipeline pressure and optimizing production.
Financial Performance
As of the end of 2022, CSI Compressco reported revenue of approximately $571 million, an increase of 27% from the previous year. The company’s adjusted EBITDA for 2022 was around $196 million.
Market Position
CSI Compressco holds a significant market share, being one of the largest providers of high-pressure natural gas compression services in the North American market. In 2022, the company had a market capitalization of approximately $200 million.
Strategic Developments
In recent years, CSI Compressco has undertaken various strategic initiatives to enhance its service offerings and operational efficiency. The acquisition of Compressco Partners, L.P. in 2018 was a pivotal move, increasing their assets and capabilities. The merger allowed CSI to expand its services and customer base.
Financials Overview
| Year | Revenue ($ million) | Adjusted EBITDA ($ million) | Market Capitalization ($ million) |
|---|---|---|---|
| 2020 | 450 | 140 | 120 |
| 2021 | 450 | 154 | 140 |
| 2022 | 571 | 196 | 200 |
Operational Footprint
CSI Compressco operates across multiple locations in the United States, Canada, and internationally. The company's operational footprint includes servicing facilities strategically located near key pipeline systems, which support their extensive fleet of compression units.
Environmental Commitment
The company has focused on enhancing its sustainability practices, committing to reducing emissions associated with compression services. In 2022, CSI Compressco launched initiatives aimed at reducing greenhouse gas emissions by 25% by 2025.
Future Outlook
Looking ahead, CSI Compressco plans to invest in technology and infrastructure to improve service delivery and operational performance. The capital expenditures budget for 2023 is estimated at approximately $30 million, aimed at fleet upgrades and expansions.
Conclusion of Financial Highlights
| Financial Metric | 2020 | 2021 | 2022 |
|---|---|---|---|
| Total Debt ($ million) | 300 | 290 | 275 |
| Cash Flow from Operations ($ million) | 90 | 95 | 120 |
| Net Income ($ million) | (20) | (5) | 10 |
A Who Owns CSI Compressco LP (CCLP)
Ownership Structure
Ownership Structure
The current ownership structure of CSI Compressco LP (CCLP) primarily involves both institutional and individual investors. As of the latest filings, the company has a market capitalization of approximately $123 million as of September 30, 2023.
Top Institutional Holders
Institutional ownership plays a significant role in CCLP's equity landscape. Here is a detailed table outlining the top institutional holders as of the latest reports:
| Institution | Shares Owned | Percentage of Total Shares | Value of Shares |
|---|---|---|---|
| BlackRock, Inc. | 1,200,000 | 16.5% | $20.4 million |
| Vanguard Group, Inc. | 1,100,000 | 15.1% | $18.7 million |
| Wellington Management Group LLP | 900,000 | 12.4% | $15.4 million |
| Invesco Ltd. | 800,000 | 11.0% | $13.6 million |
| Dimensional Fund Advisors LP | 600,000 | 8.2% | $10.2 million |
Overview of Major Shareholders
Individual stakeholders also play a crucial role in the ownership mix. The following table provides an overview of the major shareholders:
| Shareholder | Shares Owned | Percentage of Ownership | Value of Investment |
|---|---|---|---|
| James M. Wingo | 300,000 | 4.1% | $5.1 million |
| Mary L. Johnson | 250,000 | 3.4% | $4.3 million |
| Robert T. Smith | 200,000 | 2.7% | $3.4 million |
| Angela R. Brown | 150,000 | 2.0% | $2.6 million |
| John D. Miller | 100,000 | 1.4% | $1.7 million |
Recent Trends in Ownership
As of the third quarter of 2023, CCLP experienced a shift in ownership dynamics, particularly with the increase in institutional investors acquiring stakes in the company. The following points reflect the recent trends:
- Total Float: 7.3 million shares
- Institutional Ownership: 45% of total shares
- Increased Foreign Investment: 10% from overseas institutions
- Average Daily Trading Volume: 200,000 shares
Financial Summary
The financial performance of CCLP has demonstrated resilience, showcasing robust revenue streams and profitability metrics. The latest reported financial data is as follows:
| Metric | Value |
|---|---|
| Revenue (2022) | $70 million |
| Net Income (2022) | $10 million |
| EBITDA (2022) | $30 million |
| Total Assets | $150 million |
| Total Liabilities | $90 million |
Conclusion of Ownership Analysis
In summary, CSI Compressco LP (CCLP) has a diversified ownership structure, characterized by significant institutional presence and a steady base of individual shareholders. This ownership mix, coupled with positive financial indicators, highlights the company's position in the market.
CSI Compressco LP (CCLP) Mission Statement
Company Overview
CSI Compressco LP (CCLP) is a leading provider of gas compression services in North America. The company specializes in the rental and service of natural gas compression equipment, catering to a broad spectrum of industries, including oil and gas, residential, and industrial sectors.
Mission Statement
The mission of CSI Compressco LP is to deliver innovative and sustainable compression solutions that help customers optimize their operations while maintaining a commitment to safety and environmental stewardship. The company aims to enhance operational efficiency through advanced technology and unparalleled customer service.
Core Values
- Safety: Commitment to the highest standards of safety across all operations.
- Integrity: Upholding transparency and honesty in all business dealings.
- Customer Focus: Delivering exceptional service and innovative solutions tailored to customer needs.
- Excellence: Striving for quality and continuous improvement in products and services.
Financial Overview
As of the most recent financial reporting, CSI Compressco LP has demonstrated a robust financial position. Below is a summary of key financial metrics:
| Financial Metric | 2022 Amount (in millions) | 2021 Amount (in millions) | 2020 Amount (in millions) |
|---|---|---|---|
| Total Revenue | $111.8 | $90.3 | $73.4 |
| Net Income | $7.2 | $2.8 | - $3.0 |
| Total Assets | $421.5 | $386.7 | $365.2 |
| Total Liabilities | $186.0 | $168.5 | $162.0 |
| EBITDA | $33.4 | $24.5 | $20.1 |
Market Position
CSI Compressco LP is strategically positioned in the gas compression market. Market analysis indicates that the global gas compression market is projected to grow from $21.5 billion in 2022 to $30 billion by 2027, reflecting a compound annual growth rate (CAGR) of approximately 7%.
Environmental Commitment
The company is committed to reducing its environmental footprint. Key initiatives include:
- Emission Reduction: Implementing technology to minimize emissions from compression activities.
- Sustainability Practices: Utilizing eco-friendly materials and processes in equipment manufacturing.
- Community Engagement: Participating in local environmental initiatives and education programs.
Customer Commitment
CSI Compressco LP focuses on building lasting relationships with its customers. The company employs a dedicated team of professionals to ensure:
- 24/7 Support: Providing round-the-clock service for clients across various time zones.
- Customized Solutions: Offering tailored compression solutions to meet specific client needs.
- Continuous Improvement: Regular feedback mechanisms to enhance service delivery and product offerings.
Conclusion
The mission statement and operational ethos of CSI Compressco LP position the company as a leader in the gas compression industry, dedicated to innovation, customer service, and sustainability.
How CSI Compressco LP (CCLP) Works
Business Overview
Business Overview
CSI Compressco LP (CCLP) is a leading provider of compression services and equipment to the natural gas and oil industries. The company operates mainly in the United States, but also has a presence in international markets.
CCLP focuses on providing compression for natural gas production, processing, and transmission. Their services are essential for enhancing the efficiency and reliability of natural gas operations.
Service Offerings
-
Compression Services: CCLP offers various compression services, including rental and aftermarket services for natural gas and oil applications.
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Equipment Sales: The company sells a variety of compression equipment, tailored to meet the needs of specific operations.
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Maintenance Services: CCLP provides maintenance and repair services for compression equipment to ensure optimal performance.
Financial Overview
- Compression Services: CCLP offers various compression services, including rental and aftermarket services for natural gas and oil applications.
- Equipment Sales: The company sells a variety of compression equipment, tailored to meet the needs of specific operations.
- Maintenance Services: CCLP provides maintenance and repair services for compression equipment to ensure optimal performance.
Financial Overview
As of the end of Q2 2023, CCLP reported revenues of approximately $203.7 million. The gross margin for the same period was approximately 42%.
The company reported a net income of $7.5 million and had an EBITDA of $49.6 million.
Operational Metrics
CCLP operates a fleet of over 1,500 compression units across various locations. The company’s average utilization rate was reported at 82% in the latest quarter.
Market Presence
CCLP services a diverse customer base that includes major oil and gas producers, pipeline operators, and various industrial end-users. The company's market share in the U.S. compression sector is estimated at approximately 10%.
Recent Developments
In 2023, CCLP launched a new line of environmentally friendly compression units aimed at reducing carbon emissions by 30% compared to traditional units. This initiative aligns with the industry’s trend towards sustainability.
Financial Performance Table
| Metric | Value |
|---|---|
| Revenue (Q2 2023) | $203.7 million |
| Gross Margin | 42% |
| Net Income (Q2 2023) | $7.5 million |
| EBITDA (Q2 2023) | $49.6 million |
| Compression Units in Fleet | 1,500+ |
| Average Utilization Rate | 82% |
| Market Share in U.S. Compression Sector | 10% |
| Emission Reduction (New Units) | 30% |
Client Portfolio
CCLP’s client portfolio includes notable industry players, such as:
- ExxonMobil
- Chevron
- ConocoPhillips
- Enbridge
Future Outlook
CCLP aims to expand its operations internationally, focusing on emerging markets in South America and the Middle East. The company also plans to invest in technology upgrades and environmentally friendly solutions to enhance efficiency and meet regulatory standards.
How CSI Compressco LP (CCLP) Makes Money
Business Overview
CSI Compressco LP (CCLP) is a provider of compression services and equipment primarily for the natural gas and oil industries. The company operates in the following segments:
- Compression Services
- Product Sales
- Parts and Services
Compression Services Revenue
In 2022, CCLP generated approximately $190 million from its compression services. The company offers a range of services including:
- Field Maintenance
- Renting of Compressors
- Installation services
The rental fleet consists of over 1,100 compressors with a total compression capacity of over 2.0 million horsepower, which directly contributes to its revenue.
Product Sales
CCLP recorded product sales revenues of about $50 million in 2022, which includes the following products:
- New Compressors
- Replacement Compressors
Each new compressor is priced between $100,000 and $1.5 million, depending on specifications and capacity. This segment is vital for direct sales revenue.
Parts and Services Revenue
Revenue from parts and services was approximately $30 million in 2022. This includes:
- Replacement parts
- Maintenance contracts
CCLP ensures customer retention by offering maintenance contracts, which account for about 60% of parts revenue.
Geographical Distribution of Revenue
| Region | Revenue ($ Million) | Percentage of Total Revenue (%) |
|---|---|---|
| North America | 190 | 75 |
| South America | 30 | 12 |
| International | 30 | 12 |
Cost Structure
As of 2022, CCLP's total operating expenses were about $160 million. The breakdown is as follows:
- Cost of Goods Sold (COGS): $90 million
- Selling, General & Administrative Expenses: $40 million
- Depreciation and Amortization: $30 million
Recent Financial Performance
For the fiscal year 2022, CCLP reported:
- Total Revenue: $270 million
- Net Income: $15 million
- Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA): $65 million
Market Trends and Outlook
CCLP's growth is influenced by market trends such as:
- Increasing demand for natural gas
- Investment in oil and gas infrastructure
These trends are projected to enhance CCLP’s revenue growth over the next five years, with expected annual growth rates of 5-10% in the compression sector.
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