CES Energy Solutions Corp., based in Calgary, Alberta, has achieved a historic financial milestone in the second quarter of 2026. The company announced record quarterly revenue of $714.1 million, a 24% increase compared to the same period in 2025. This marks the highest revenue in CES's history for a single quarter, driven by strong performance in key markets and higher service intensity across operations.
The company's Adjusted EBITDAC, a primary measure of operating performance, reached $119.2 million during the quarter, a 35% increase year-over-year. The associated margin improved to 16.7%, surpassing the 15.4% recorded in the second quarter of 2025 and the 16.4% margin in the first quarter of 2026. This improvement reflects the company's ability to control costs and improve operational efficiency, leading to stronger profitability.
Shareholder Rewards
As part of its ongoing commitment to rewarding shareholders, the company's board of directors has approved a quarterly cash dividend of $0.055 per share. This payment is scheduled for October 15, 2026, and will be distributed to shareholders who are registered on the company’s books as of the close of business on September 30, 2026. This decision highlights CES's focus on delivering consistent returns to its investors.
In addition to the dividend, the company returned $25.0 million to shareholders during the quarter. A large portion of this return came through the repurchase of 0.8 million shares at an average price of $17.00 per share, totaling $13.3 million. Another $11.6 million was distributed as dividends, demonstrating CES's dedication to maintaining strong investor relations and returning value.
Robust Regional Performance and Increased Market Share
U.S. Market Success
U.S. operations played a key role in the company's success, with revenue hitting a record $497.0 million in the second quarter. This represents a 14% increase from the previous quarter and a 23% rise compared to the same period in 2025. The company’s market share in the U.S. drilling fluids segment has also grown, reaching 28% in the second quarter and 27% for the first half of 2026.
The Canadian market was equally vital to the company’s performance. Revenue for the quarter reached $217.1 million, up 29% compared to the same period in 2025. While the company experienced a typical 11% seasonal decline from the first quarter, it maintained a strong hold on the drilling fluids market, achieving 36% market share in the quarter and 40% for the first half of 2026.
Financial Strength and Growth
Looking at the broader first half of 2026, revenue across all regions totaled $1.4 billion, a 16% increase compared to the same period in 2025. This growth was driven by strong market positions, higher service intensity, and the impact of recent acquisitions. CES remains well-positioned to build on this momentum in the coming quarters. For the first half of the year, Adjusted EBITDAC reached $230.9 million, up 23% compared to $188.2 million in the first half of 2025.
CES maintained a financially conservative approach, with a Total Debt/Adjusted EBITDAC ratio of 1.15x on a trailing twelve-month basis. This disciplined capital structure allows the company to fund future growth initiatives while continuing to reward shareholders through dividends and share repurchases. This unique positioning has allowed CES to generate strong financial results and gain significant customer recognition during the second quarter.
These factors, combined with the company’s focus on innovation and customer service, have positioned CES as a leader in the industry.
The company is optimistic about the continued growth in the coming quarters and its ability to deliver value to shareholders.