KLX Energy Services Holdings, Inc. (Nasdaq: KLXE) has updated its financial outlook for the third quarter of 2026, narrowing its revenue range to $180 million to $185 million. This revision represents a sequential improvement of approximately 9% over the second quarter of 2026, according to a news release issued by the company.
The Houston-based oilfield services provider also disclosed an estimated Adjusted EBITDA Margin range of 13% to 14% for the quarter ending September 30, 2026. Management indicated this margin figure reflects a sequential improvement of approximately 200 basis points compared to the second quarter. At the midpoint of the new guidance range, KLX expects Adjusted EBITDA to increase by approximately 30% sequentially.
Chris Baker, President and Chief Executive Officer of KLX, attributed the revised figures to positive internal financials observed thus far in the third quarter. Baker stated that the company is benefiting from a full quarter of contribution from the Wolf Pack acquisition. He noted that KLX remains on track to achieve a $2.5 million annual synergy target announced in August. Baker described the updated ranges as evidence of confidence in the company's earnings trajectory and its strategic positioning for future growth.
The announcement also addressed the conclusion of the company's $125 million equity rights offering. Baker confirmed that the offering period has ended and that KLX achieved its stated objectives. He characterized the capital raise as a transformational step in the company's strategy to deleverage, positioning KLX for both organic and inorganic growth. Baker thanked stockholders and creditors for their participation in the offering, which included existing and new stockholders, creditors, board members, management, and employees.
KLX Energy Services Holdings, Inc. provides diversified oilfield services to onshore oil and natural gas exploration and production companies across major basins in the United States. The company operates from over 60 service and support facilities, focusing on drilling, completion, production, and intervention activities. Its service portfolio is supported by proprietary products and in-house manufacturing capabilities.
The company’s release included standard cautionary language regarding forward-looking statements. It noted that actual results could differ materially from expectations due to various risks, including market conditions, commodity price volatility, and supply chain issues. These risks are detailed in KLX's filings with the U.S. Securities and Exchange Commission.