Aris Water Solutions’ Q4 2024 Earnings Conference Call: Insights and Discussions
On February 27, 2025, Aris Water Solutions, Inc. (NYSE: ARIS) held its Fourth Quarter 2024 Earnings Conference Call. The call was led by Senior Vice President-Finance & Investor Relations, David Tuerff, Founder & Executive Chairman, Bill Zartler, President & Chief Executive Officer, Amanda Brock, and Chief Financial Officer, Stephan Tompsett. Participating in the call were analysts from Goldman Sachs (John Mackay), JPMorgan (Noah Katz), Wells Fargo (Praneeth Satish), Seaport Research Partners (Jeffrey Campbell), Texas Capital (Derrick Whitfield), and Johnson Rice (Don Crist).
Company’s Performance
During the call, the company reported its financial results for the quarter ended December 31, 2024. Aris Water Solutions announced a revenue of $212.5 million, up 19% from the same period last year. The increase in revenue was driven by the company’s continued growth in its water midstream business, which includes water gathering, treatment, and disposal services.
Executive Remarks
Amanda Brock, the President & CEO, shared her thoughts on the company’s performance, stating, “We are pleased to report another quarter of strong financial results. Our water midstream business continues to grow, driven by the increasing demand for water infrastructure solutions in the Permian Basin.”
Analyst Questions and Answers
The call included a question-and-answer session, where analysts asked the company’s management about various topics, including:
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Capital Expenditures: The company discussed its capital expenditures for 2025, stating that it plans to invest around $250 million in its business, focusing on expanding its water midstream infrastructure in the Permian Basin.
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Regulatory Environment: Analysts asked about the regulatory environment in the Permian Basin and its potential impact on the company’s business. The management team expressed confidence in their ability to navigate the regulatory landscape and stated that they are actively engaging with regulators to ensure the company’s operations remain compliant.
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Competition: Analysts inquired about the competitive landscape in the water midstream industry. The company’s management team highlighted their competitive advantages, such as their extensive experience in the industry and their focus on providing customized solutions for their customers.
Impact on Individual Investors
The strong financial results reported by Aris Water Solutions and the positive outlook expressed by the company’s management team during the earnings call may be seen as a positive sign for individual investors. The company’s focus on expanding its water midstream infrastructure in the Permian Basin, coupled with its competitive advantages, could lead to continued growth and potential increases in stock value.
Impact on the World
The water midstream industry plays a crucial role in the energy sector, as it enables the extraction and production of oil and gas resources. Aris Water Solutions’ continued growth in this industry could contribute to the overall economic growth and energy security of the United States. Additionally, the company’s focus on providing water infrastructure solutions addresses a critical need for sustainable water management practices, which is essential for the long-term health of the environment and communities in the Permian Basin and beyond.
Conclusion
Aris Water Solutions’ Fourth Quarter 2024 Earnings Conference Call provided valuable insights into the company’s financial performance and growth prospects. The company’s strong results and positive outlook, as well as its focus on expanding its water midstream infrastructure and addressing sustainable water management practices, could have a positive impact on individual investors and contribute to the overall economic growth and energy security of the United States. As the water midstream industry continues to evolve, Aris Water Solutions is well-positioned to capitalize on the opportunities and challenges that lie ahead.
For more information on Aris Water Solutions, please visit their website at ariswatersolutions.com.
