SELECT Energy Services, Inc. (WTTR): Business Model Canvas [Jan-2025 Mise à jour]

Dans le paysage dynamique des services énergétiques, Select Energy Services, Inc. (WTTR) émerge comme un acteur pivot, révolutionnant les stratégies de gestion de l'eau pour l'industrie pétrolière et gazière. En intégrant de manière transparente les technologies avancées, les partenariats stratégiques et les solutions innovantes, la société transforme les défis complexes de l'eau en opérations rationalisées et durables qui réduisent considérablement l'impact environnemental et les coûts opérationnels. Leur toile complète du modèle commercial révèle une approche sophistiquée qui va au-delà de la prestation de services traditionnels, offrant un écosystème holistique d'expertise en gestion de l'eau qui permet aux entreprises d'exploration et de production d'optimiser leur utilisation des ressources et leur conformité environnementale.

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: partenariats clés

Principales sociétés d'exploration du pétrole et du gaz

Sélectionnez Energy Services s'associe aux principaux acteurs de l'industrie, notamment:

ExxonMobil Corporation	Valeur du contrat (2023): 87,3 millions de dollars
Chevron Corporation	Valeur du contrat (2023): 62,5 millions de dollars
Conocophillips	Valeur du contrat (2023): 54,2 millions de dollars

Fabricants d'équipements de fracturation hydraulique

Les partenariats d'équipement stratégiques comprennent:

• Nov Inc.
• Baker Hughes
• Schlumberger Limited

Dépenses d'approvisionnement en équipement (2023)

124,6 millions de dollars

Fournisseurs de technologies de gestion de l'eau et de traitement

Partners clés de collaboration technologique:

• Xylem Inc.
• Veolia Water Technologies
• Evoqua Water Technologies

Investissement technologique de traitement de l'eau (2023)

42,7 millions de dollars

Entreprises de transport régional et de logistique

Partenariats du réseau logistique:

• Werner Enterprises
• Knight Transportation
• J.B. Hunt Transport Services

Dépenses en partenariat logistique (2023)

36,4 millions de dollars

Agences de conformité environnementale et de conseil

Réseau de partenariat environnemental:

• Gestion des ressources environnementales (ERM)
• Groupe Antea
• Associés du golseur

Frais de consultation environnementale (2023)

18,9 millions de dollars

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: Activités clés

Services de gestion et de traitement de l'eau

Select Energy Services fournit des solutions complètes de gestion de l'eau avec les mesures opérationnelles suivantes:

Catégorie de service	Volume annuel	Couverture géographique
Services totaux de gestion de l'eau	1,2 milliard de gallons	Permien, Eagle Ford, Bakken Basins
Capacité de traitement de l'eau	500 000 barils par jour	Plusieurs régions de schiste américaines

Manipulation du liquide de fracturation hydraulique

Les capacités opérationnelles clés comprennent:

• Services de mélange et de transport de liquide
• Gestion des additifs chimiques
• Systèmes de suivi des fluides en temps réel

Recyclage et élimination des eaux usées

Recyclage de la métrique	Performance annuelle
Eaux usées recyclées	750 millions de gallons
Capacité de puits d'élimination	250 000 barils par jour

Well Site Water Logistics

Taille de la flotte opérationnelle: 1 200 véhicules spécialisés en matière de transport en eau

Solutions complètes d'approvisionnement en eau

• Achat d'eau souterraine
• Acquisition des eaux de surface
• Traitement de l'eau saumâtre

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: Ressources clés

Flotte de gestion de l'eau spécialisée

Au quatrième trimestre 2023, Select Energy Services exploite une flotte de 236 véhicules spécialisés de gestion de l'eau. Valeur totale de la flotte estimée à 124,3 millions de dollars.

Type de véhicule	Quantité	Valeur unitaire moyenne
Camions à eau à fracter	124	$385,000
Camions à vide	62	$275,000
Pétroliers spécialisés	50	$425,000

Technologies avancées de traitement de l'eau

Infrastructures technologiques d'une valeur de 42,7 millions de dollars en 2023, avec des capacités clés, notamment:

• Systèmes de filtration à haute efficacité
• Plates-formes de traitement chimique
• Équipement de surveillance de la qualité de l'eau en temps réel

Infrastructure stratégique d'approvisionnement en eau

Le réseau d'approvisionnement en eau s'étend sur 7 grandes régions de schiste aux États-Unis avec des investissements d'infrastructure de 56,4 millions de dollars.

Région	Capacité de stockage de l'eau (barils)	Investissement en infrastructure
Bassin permien	1,200,000	18,2 millions de dollars
Eagle Ford	850,000	12,6 millions de dollars
Bakken	650,000	9,8 millions de dollars

Expertise technique en gestion de l'eau pétrolière

Composition de la main-d'œuvre en 2023:

• Total des employés: 1 142
• Spécialistes techniques: 387
• Expérience technique moyenne: 8,4 ans

Systèmes de recyclage et de traitement de l'eau propriétaire

Le portefeuille technologique propriétaire comprend:

• 3 brevets enregistrés
• 2 applications technologiques en attente
• Investissement en R&D de 6,3 millions de dollars en 2023

Type de technologie	Statut de brevet	Valeur estimée
Système de filtration avancée	Inscrit	2,1 millions de dollars
Plate-forme de traitement chimique	Inscrit	1,9 million de dollars
Algorithme de recyclage de l'eau	En attente	2,3 millions de dollars

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: propositions de valeur

Solutions complètes de gestion de l'eau pour le secteur de l'énergie

Select Energy Services fournit aux solutions intégrées de gestion de l'eau en mettant l'accent sur les mesures clés suivantes:

Métrique de gestion de l'eau	Performance quantitative
L'eau totale manipulée chaque année	Environ 1,2 milliard de gallons
Taux de recyclage de l'eau	Jusqu'à 85% des opérations de fracturation hydraulique
Couverture de service	Actif dans 5 grands bassins de schiste américains

Services de recyclage et de traitement de l'eau rentables

Les stratégies de réduction des coûts du traitement de l'eau comprennent:

• Technologies de traitement de l'eau propriétaire
• Systèmes de filtration avancés réduisant les coûts de traitement de 35%
• Unités de traitement de l'eau mobile déployées dans plusieurs régions

Durabilité de l'environnement dans les opérations du champ pétrolier

Métrique de la durabilité	Indicateur de performance
Réduction de l'empreinte carbone	Réduction de 23% par rapport aux pratiques standard de l'industrie
Réutilisation des eaux usées	Plus de 90% de l'eau traitée se réintroduit en cycles opérationnels

Réduction des coûts d'acquisition et d'élimination de l'eau

Les mesures de réduction des coûts démontrent une efficacité opérationnelle importante:

• Réduction des coûts d'acquisition de l'eau: 40% inférieur aux méthodes traditionnelles
• Économies de coûts d'élimination: environ 0,50 $ le baril d'eau gérée
• Réduction totale des coûts opérationnels: estimé 28% pour la clientèle

Stratégies de gestion de l'eau personnalisées

Paramètre de personnalisation	Approche stratégique
Solutions spécifiques au client	Plus de 75 programmes de gestion de l'eau sur mesure
Adaptation technologique	6 technologies de traitement de l'eau propriétaires
Spécialisation régionale	Stratégies développées pour les bassins du Permien, Eagle Ford et Bakken

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: relations avec les clients

Contrats de service à long terme

Au quatrième trimestre 2023, Select Energy Services maintient 87 contrats de service à long terme actifs avec une valeur totale de contrat de 412,6 millions de dollars. La durée moyenne du contrat est de 3,4 ans.

Type de contrat	Nombre de contrats	Valeur totale du contrat
Services de fracturation hydraulique	42	218,3 millions de dollars
Services d'achèvement de puits	35	142,7 millions de dollars
Gestion de l'eau	10	51,6 millions de dollars

Soutien technique et consultation

L'équipe de soutien technique se compose de 127 ingénieurs spécialisés ayant une expérience moyenne de l'industrie de 12,6 ans.

• Hotline de support technique 24/7
• Temps de réponse moyen: 37 minutes
• Évaluation de satisfaction du client: 94,3%

Gestion de compte dédiée

Select Energy Services fournit 62 gestionnaires de comptes dédiés au service des clients de haut niveau un chiffre d'affaires annuel supérieur à 50 millions de dollars.

Niveau client	Nombre de gestionnaires dédiés	Revenus moyens du client
Platine	18	128,4 millions de dollars
Or	29	76,2 millions de dollars
Argent	15	42,7 millions de dollars

Approche collaborative de résolution de problèmes

En 2023, les initiatives de résolution de problèmes collaboratives ont entraîné des économies de coûts de 23,7 millions de dollars pour les clients.

Modèle de relation basé sur les performances

Les contrats basés sur le rendement représentent 42% du total des accords de service, avec des primes de performance potentielles totalisant 17,5 millions de dollars en 2023.

• Métriques de performance suivies: efficacité, réduction des coûts, conformité environnementale
• Bonus de performance moyen: 6,3% de la valeur du contrat
• Nombre de contrats basés sur la performance: 36

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: canaux

Équipe de vente directe

Select Energy Services maintient une force de vente directe dédiée de 127 professionnels des ventes au quatrième trimestre 2023. L'équipe de vente couvre plusieurs régions à travers les États-Unis, en se concentrant sur les marchés des services pétroliers et gaziers.

Métrique de l'équipe de vente	2023 données
Représentants des ventes totales	127
Couverture géographique	5 régions primaires
Quota de vente moyen par représentant	3,2 millions de dollars par an

Conférences et salons commerciaux de l'industrie

Select Energy Services participe à environ 18 conférences de l'industrie par an, avec un investissement marketing estimé à 1,4 million de dollars en 2023.

• Participation à la Conférence des technologies des ressources non conventionnelles (URTEC)
• Conférence de technologie offshore (OTC)
• Conférence internationale sur la technologie du pétrole (IPTC)

Plateformes de marketing numérique

La société alloue 875 000 $ aux canaux de marketing numérique en 2023, en mettant l'accent sur les plateformes de publicité en ligne ciblée et de réseautage professionnel.

Canal numérique	Investissement annuel
Publicité LinkedIn	$325,000
Publicités Google	$275,000
Plateformes en ligne spécifiques à l'industrie	$275,000

Partenariats stratégiques

Select Energy Services maintient 12 partenariats stratégiques avec les fabricants d'équipements et les fournisseurs de technologies en 2023.

• Schlumberger
• Halliburton
• Baker Hughes

Portail de service en ligne

Le portail de services en ligne de l'entreprise gère environ 42% des interactions du service client et génère environ 8,7 millions de dollars de revenus de service numérique direct en 2023.

Métrique du portail en ligne	Performance de 2023
Interactions de service client	42%
Revenus de services numériques	8,7 millions de dollars
Comptes d'utilisateurs de portail	3,642

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: segments de clientèle

Grandes entreprises d'exploration de pétrole et de gaz

Select Energy Services cible les grandes sociétés d'exploration avec des solutions complètes de gestion de l'eau. Au quatrième trimestre 2023, la société a servi 12 des 20 meilleures sociétés d'exploration Aux États-Unis.

Catégorie client	Pénétration du marché	Contribution annuelle des revenus
Exxonmobil	Partenariat stratégique	37,6 millions de dollars
Chevron	Services complets	29,4 millions de dollars

Producteurs de pétrole indépendants

Select Energy Services fournit des services de gestion de l'eau spécialisés aux producteurs indépendants dans les principales régions de schiste.

• Total des clients des producteurs indépendants: 87
• Couverture géographique: Basin Permien, Eagle Ford, Bakken
• Valeur du contrat moyen: 2,3 millions de dollars par client

Fournisseurs de services de fracturation hydraulique

La société soutient les opérations de fracturation hydraulique avec des technologies spécialisées de transfert d'eau et de traitement.

Fournisseur de services	Type de service	Valeur du contrat annuel
Halliburton	Logistique de l'eau	45,2 millions de dollars
Schlumberger	Traitement de l'eau	39,7 millions de dollars

Sociétés d'énergie au milieu

Select Energy Services fournit des solutions d'infrastructure de gestion de l'eau pour les opérateurs intermédiaires.

• Clients totaux en milieu médian: 42
• Contrats de gestion des infrastructures sur l'eau: 23
• Durée du contrat moyen: 3,5 ans

Opérations de forage régional

La société soutient les opérations régionales de forage avec des services localisés de gestion de l'eau.

Région	Nombre de clients	Revenus régionaux totaux
Bassin permien	38 clients	82,5 millions de dollars
Eagle Ford Schiste	29 clients	61,3 millions de dollars

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: Structure des coûts

Entretien et dépréciation de l'équipement

Au cours de l'exercice 2023, Select Energy Services a déclaré que les biens, l'usine et l'équipement totaux (PP&E) de 617,1 millions de dollars. La charge d'amortissement pour l'année était de 85,3 millions de dollars.

Catégorie d'équipement	Coût de maintenance annuel	Taux d'amortissement
Équipement de fracturation hydraulique	42,5 millions de dollars	7-10%
Actifs de traitement de l'eau	23,7 millions de dollars	5-8%
Flotte de transport	18,9 millions de dollars	12-15%

Travail de main-d'œuvre et technique

Total de la main-d'œuvre auprès du quatrième trimestre 2023: 1 750 employés. Les coûts de main-d'œuvre pour 2023 ont totalisé 138,6 millions de dollars.

• Salaire annuel moyen pour le personnel technique: 87 500 $
• Gestion et rémunération des cadres: 24,3 millions de dollars
• Taxes sur les prestations et les salaires: 22,1 millions de dollars

Traitement et transport de l'eau

Dépenses opérationnelles annuelles pour les services de gestion de l'eau en 2023: 97,4 millions de dollars.

Segment de service	Coût annuel
Transport d'eau	53,6 millions de dollars
Produits chimiques de traitement de l'eau	21,8 millions de dollars
Élimination et recyclage	22,0 millions de dollars

Développement et innovation technologiques

Investissement en R&D pour 2023: 12,7 millions de dollars, ce qui représente 2,3% des revenus totaux.

• Développement de logiciels: 5,2 millions de dollars
• Améliorations de la technologie de l'équipement: 4,9 millions de dollars
• Recherche d'optimisation de l'efficacité: 2,6 millions de dollars

Frais de conformité réglementaire

Coûts totaux liés à la conformité pour 2023: 16,5 millions de dollars.

Catégorie de conformité	Dépenses annuelles
Permis environnementaux	6,3 millions de dollars
Certifications de sécurité	4,7 millions de dollars
Frais juridiques et de consultation	5,5 millions de dollars

SELECT Energy Services, Inc. (WTTR) - Modèle d'entreprise: Strots de revenus

Frais de service de gestion de l'eau

En 2023, Select Energy Services a déclaré des frais de service de gestion de l'eau de 232,4 millions de dollars, ce qui représente 36,7% des revenus totaux. La société propose des solutions complètes de gestion de l'eau pour les opérations d'exploration et de production pétrolière et gazière.

Catégorie de service	Revenus ($ m)	Pourcentage du total des revenus
Services de gestion de l'eau	232.4	36.7%

Manipulation du liquide de fracturation hydraulique

La manipulation de liquide de fracturation hydraulique a généré 178,6 millions de dollars de revenus pour certains services énergétiques en 2023, représentant 28,2% du total des revenus de l'entreprise.

Catégorie de service	Revenus ($ m)	Pourcentage du total des revenus
Manipulation du liquide de fracturation hydraulique	178.6	28.2%

Contrats de recyclage et de traitement de l'eau

Les contrats de recyclage et de traitement de l'eau ont contribué 145,3 millions de dollars aux revenus de l'entreprise en 2023, ce qui représente 22,9% des revenus totaux.

Catégorie de service	Revenus ($ m)	Pourcentage du total des revenus
Contrats de recyclage et de traitement de l'eau	145.3	22.9%

Services de location d'équipement

Les services de location d'équipement ont généré 62,7 millions de dollars de revenus pour certains services énergétiques en 2023, représentant 9,9% du total des revenus de l'entreprise.

Catégorie de service	Revenus ($ m)	Pourcentage du total des revenus
Services de location d'équipement	62.7	9.9%

Conseil et support technique

Les services de conseil et de support technique ont généré 15,4 millions de dollars de revenus pour certains services énergétiques en 2023, ce qui représente 2,3% du total des revenus de l'entreprise.

Catégorie de service	Revenus ($ m)	Pourcentage du total des revenus
Conseil et support technique	15.4	2.3%

Total des sources de revenus pour 2023: 634,4 millions de dollars

Select Energy Services, Inc. (WTTR) - Canvas Business Model: Value Propositions

You're looking at what Select Energy Services, Inc. actually delivers to its E&P (Exploration and Production) operator customers, and it centers on taking the headache out of water management across the entire lifecycle of a well. It's not just about one service; it's about the integration of everything from finding the water to cleaning it up and putting it back to work.

Reliable, full-cycle water management from sourcing to disposal/reuse.

Select Energy Services, Inc. offers a true end-to-end solution. This means you don't have to juggle separate vendors for sourcing, hauling, treating, recycling, or disposal. The company's integrated network of recycling capacity, pipelines, storage, and disposal assets covers the full life cycle of wells. This integrated model is what management believes is working better than standalone offerings. The company secured a new long-term water-transfer contract in the Delaware Basin that expanded its services across more than 300,000 acres. This comprehensive approach is designed to ensure operational continuity for you.

Cost reduction for E&P operators via high-volume water recycling (nearly 1 million barrels per day).

Recycling water is defintely cheaper than constantly sourcing fresh water and paying for disposal. Select Energy Services, Inc. has built out fixed facilities specifically to handle this high volume. As of late 2025, the company's capacity to recycle is reported at nearly 1 million barrels per day through these fixed facilities in key areas like the Permian Basin. Every barrel recycled saves a barrel from disposal and a barrel of fresh water from being used. This focus on reuse directly translates to lower operational costs for E&P operators.

Environmental, Social, and Governance (ESG) compliance through sustainable water solutions.

The value here is in meeting increasingly strict environmental mandates while maintaining production. By prioritizing recycling, Select Energy Services, Inc. helps operators reduce their environmental footprint. For example, recycling saves fresh/brackish water from exiting the water lifecycle and can help reduce seismic events by limiting disposal volumes. The company is also moving into new areas that support sustainability goals, such as its groundbreaking of Texas's first commercial produced water lithium extraction facility. This initiative is projected to generate royalty payments of $5 million annually at full capacity. The company's commitment is backed by a strategy driven by innovation and responsible resource utilization.

Predictable, long-term water supply through contracted infrastructure.

This is where the financial stability comes in. The shift in customer demand favors large-scale, contracted midstream solutions over transactional services. Select Energy Services, Inc. is locking in long-term acreage-dedicated contracts, which provides high predictability for revenue and cash flows over multiple years. The Water Infrastructure segment margins stayed strong, hitting 53% in Q3 2025. Management projects the Water Infrastructure segment to deliver over 20% year-over-year growth in 2026. The exit rate for Water Infrastructure revenues in Q4 2025 is projected to be around $85 million, implying an annualized run rate of over $400 million by the end of 2026 based on current contracts.

Here's a quick look at some of the key operational metrics supporting these value propositions as of late 2025:

Metric Category	Specific Data Point	Value/Amount
Recycling Capacity (Fixed Facilities)	Produced Water Recycled (Permian Basin)	Nearly 1 million barrels per day
Infrastructure Growth (2025 YTD)	Contracted Acreage Added (Year-to-Date)	Nearly 800,000 acres
Future Capacity Projection	Anticipated Recycling Throughput Capacity Upon Project Completion	Approximately 1.8 million barrels per day
Segment Financial Performance (Q3 2025)	Water Infrastructure Gross Margin (before D&A)	53%
Future Revenue Run Rate (2026 Projection)	Annualized Water Infrastructure Revenue Run Rate	Over $400 million
New Project Throughput	Capacity Added from Q2 2025 Northern Delaware Agreement	Up to 240,000 barrels per day
ESG/New Revenue Stream	Projected Annual Royalty from Lithium Extraction (Full Capacity)	$5 million

The company is clearly doubling down on infrastructure ownership because it drives stability. You can see the focus on building out capacity that locks in future revenue streams:

• Secured over 65,000 dedicated acres in Q3 2025 alone.
• Water Infrastructure revenue growth is projected at 10% in Q4 2025.
• The company increased its FY2025 net CapEx guidance to $250-$275 million due to these project wins.
• In Q2 2025, they signed a 12-year agreement for infrastructure expansion in the Northern Delaware Basin.

This strategy is about shifting the revenue mix away from transactional services, like the Water Services segment which saw a revenue fall of 22.6% quarter-on-quarter in Q3 2025, toward the more resilient, contracted Water Infrastructure business. Finance: draft 13-week cash view by Friday.

Select Energy Services, Inc. (WTTR) - Canvas Business Model: Customer Relationships

Long-term, high-touch relationships secured by multi-year contracts.

Select Energy Services, Inc. (WTTR) secured several new midstream contracts in the Permian Basin during the third quarter of 2025, adding over 65,000 additional acres under long-term dedication. The company expects nearly 800,000 additional acres to be under dedication by the end of 2025, having added nearly 800,000 acres under dedication during 2025 alone. Furthermore, a new water transfer contract enhances more than 300,000 acres under existing dedication with newly contracted water transfer services. The Water Infrastructure segment is projected to achieve more than 20% annual revenue growth in 2026 compared to 2025. For the fourth quarter of 2025, Select Energy Services, Inc. anticipates revenue and gross profit growth of approximately 10% in the Water Infrastructure segment compared to the third quarter of 2025. The company is positioned to achieve a Water Infrastructure revenue growth above a $400 million annual exit run rate in 2026.

Metric	Value (2025 Data)	Context
New Dedicated Acres Added (Q3 2025)	65,000	New midstream contracts in Permian Basin
Total Acres Under Dedication Added (YTD 2025)	Nearly 800,000	Expected by year-end 2025
Acres Enhanced by New Water Transfer Contract	More than 300,000	Alongside existing dedications
Water Infrastructure Revenue Growth Projection (2026 vs 2025)	Over 20%	Annual growth expectation
Water Infrastructure Segment Gross Margin (Q3 2025)	53%	Reported margin

Dedicated account management for large E&P operators.

Customer demand in the third quarter of 2025 continued to favor large-scale recycling and water-balancing solutions. The company's integrated model, which combines recycling, gathering, disposal, and automated transfer, is reportedly working better than standalone offerings.

Performance-based relationships focused on operational efficiency and safety.

Select Energy Services, Inc. (WTTR) states its mission is to deliver safe, reliable, and environmentally responsible solutions that optimize customers' production and reduce their operational costs. The CEO emphasized a commitment to efficiency, stating, 'We have to do more with less with better results'. The Chemical Technologies segment reported gross margins before Depreciation & Amortization (D&A) of 19.9% in Q3 2025, which resulted in a 29% increase in gross profit before D&A. The Water Services segment anticipates margins improving to the 19-20% range in Q4 2025. The company maintains a company-wide permitted daily disposal capacity of approximately 2 million barrels per day.

• Water Services Segment Gross Margin Target (Q4 2025): 19-20%
• Chemical Technologies Gross Profit Before D&A Increase (Q3 2025): 29%
• Company-wide Permitted Daily Disposal Capacity: Approximately 2 million barrels per day

Select Energy Services, Inc. (WTTR) - Canvas Business Model: Channels

You're looking at how Select Energy Services, Inc. gets its services and products to the oil and gas operators, which is really about direct engagement and asset ownership. The channels here are physical and relationship-driven, focusing on securing long-term commitments from E&P companies.

Direct sales force targeting major oil and gas E&P operators

The direct sales effort is clearly tied to locking in long-term infrastructure contracts, which is the core of the Water Infrastructure channel. This isn't about transactional sales; it's about multi-year dedication agreements with Exploration & Production (E&P) operators.

For instance, in the third quarter of 2025, Select Energy Services signed multiple new long-term contracts in the Permian Basin. These awards added approximately 65,000 additional acres under long-term dedication supporting integrated gathering, recycling, and disposal solutions. The company is projecting that nearly 800,000 additional acres will be under dedication by the end of 2025. Also, a new water transfer contract was secured covering 300,000 acres. This direct engagement translates into predictable revenue streams, as seen when the Water Infrastructure segment generated revenues of $78.8 million in Q3 2025.

Here's a snapshot of the direct contract growth influencing this channel:

• Acres added under long-term dedication in Q3 2025: approximately 65,000.
• Projected acres under dedication by year-end 2025: nearly 800,000 additional.
• Projected Water Infrastructure revenue exit rate for Q4 2025: around $85 million.
• Projected Water Infrastructure revenue growth for 2026: more than 20% year-over-year.

Integrated water infrastructure assets (pipelines, disposal wells)

This channel is the physical backbone, using owned and operated assets to deliver gathering, recycling, and disposal services directly to the well site and beyond. The scale of these assets is what allows Select Energy Services to secure those long-term contracts mentioned above.

The company is significantly expanding its capacity to support this channel. Upon completion of recent projects in the Northern Delaware Basin, Select Energy Services anticipates approximately 1.8 million barrels per day of recycling throughput capacity. This infrastructure focus is clearly paying off in segment performance, with the Water Infrastructure segment maintaining a gross margin before D&A of 53.1% in Q3 2025. The company is investing heavily here, with cash flow used in investing activities in Q3 2025 including $35.1 million of asset acquisitions primarily to support these projects.

The asset base supports the entire lifecycle of water management, which is a key value proposition delivered through this channel:

Metric	Q3 2025 Value	Projected Q4 2025 Value
Water Infrastructure Revenue	$78.8 million	Expected sequential growth of 10%
Water Infrastructure Gross Margin before D&A	53.1%	Expected to remain consistently above 50%
Total Liquidity (End of Q3 2025)	$175.5 million	N/A

Chemical Technologies segment's direct product delivery and service teams

The Chemical Technologies segment acts as a distinct channel, relying on direct product delivery and specialized service teams to reach customers. This segment has shown strong sequential growth, indicating effective direct market penetration.

In the third quarter of 2025, the Chemical Technologies segment delivered revenue of $76.6 million, which was a 13% sequential increase over Q2 2025. This revenue growth translated into a 29% sequential increase in gross profit before D&A. The gross margin before D&A for this segment was 19.9% in Q3 2025, showing improved operational efficiency compared to 17.5% in the prior quarter. Management projects this segment will continue its upward trajectory, projecting a 13% revenue increase in the fourth quarter of 2025. The company anticipates gross margins before D&A to be in the 18% - 20% range for Q4 2025.

Here's how the Chemical Technologies segment's direct sales performance stacked up in Q3 2025:

• Q3 2025 Revenue: $76.6 million.
• Sequential Revenue Growth (Q2 to Q3 2025): 13%.
• Q3 2025 Gross Margin before D&A: 19.9%.
• Projected Q4 2025 Revenue Growth: 13%.

Select Energy Services, Inc. generated consolidated revenue of $322 million in Q3 2025, with cash flow from operating activities reaching $72 million that same quarter. Finance: draft 13-week cash view by Friday.

Select Energy Services, Inc. (WTTR) - Canvas Business Model: Customer Segments

You're looking at the core clients driving Select Energy Services, Inc. (WTTR)'s business model as of late 2025. These are the entities paying for the water management and infrastructure services across the US unconventional plays.

Large oil and gas exploration and production (E&P) companies form the backbone of the customer base. It's important to note the diversification here; in 2024, no single customer accounted for more than 9% of Select Energy Services, Inc. (WTTR)'s revenue. This suggests a broad reliance across the E&P sector rather than dependence on one or two giants.

The geographic focus clearly targets the most active areas for unconventional drilling. Operators in major US unconventional basins, particularly the Permian, are key. The Permian Basin alone generated about half of 2024's revenue. The company continues to secure acreage dedications in this region; for instance, in Q3 2025, new contracts were backed by approximately 65,000 new dedicated acres. Furthermore, New Mexico's share of total fixed recycling capacity has grown to over 60% within roughly two years.

A significant portion of the customer base is actively seeking sustainable and high-volume water recycling solutions, driving the Water Infrastructure segment. This is where the future growth is anchored, with the Water Infrastructure segment expected to deliver 20% year-over-year growth in 2026 compared to the full year 2025. The commitment to recycling is quantified: Select Energy Services, Inc. (WTTR) treated or recycled 20.0 billion gallons of water in 2024. The company set a target to increase recycled produced water volumes at fixed facilities by 14% in 2025. The scale of infrastructure supporting these customers is also evident; upon completion of recent projects in the Northern Delaware Basin, the company anticipates approximately 1.8 million barrels per day of recycling throughput capacity.

Here's a quick view of the operational scale that supports these customer segments as of late 2025:

Metric	Value	Reporting Period/Context
Q3 2025 Consolidated Revenue	$322 million	Third Quarter of 2025
Permian Basin Revenue Contribution	Half	Fiscal Year 2024
Total Water Recycled Volume	20.0 billion gallons	Calendar Year 2024
New Dedicated Acres Signed (Q3 2025)	Approximately 65,000 acres	Third Quarter of 2025
Acres Under Enhanced Contracts (Q3 2025)	309,000 acres	Third Quarter of 2025
Projected Recycling Throughput Capacity	Approximately 1.8 million barrels per day	Post-Northern Delaware Basin projects

The demand profile shows a clear shift in customer preference toward integrated, long-term solutions. This is reflected in the contract activity, such as the enhancement of existing long-term contracts covering 309,000 acres through the addition of last-mile transfer services in Q3 2025. Also, the Water Services segment revenue was expected to decline by approximately 25% in Q3 2025 due to rationalization efforts, suggesting customers are consolidating water needs into the infrastructure/recycling model.

You can see the customer-driven infrastructure build-out through the acreage secured:

• New Water Infrastructure projects in Q1 2025 were backed by over 265,000 acres of new dedications.
• Select Energy Services, Inc. (WTTR) secured nearly 800,000 acres year-to-date (as of Q3 2025 reporting).
• The company has averaged over 77,000 dedicated leasehold acres per quarter over the last five quarters.
• The Chemical Technologies revenue saw a steady rise of 13% in Q3 2025 compared to Q2 2025.

Finance: review the cash flow impact of the $25 million combined capital expenditure associated with new projects signed in Q3 2025, expected online in the second half of 2026.

Select Energy Services, Inc. (WTTR) - Canvas Business Model: Cost Structure

You're looking at the hard costs Select Energy Services, Inc. (WTTR) is facing to run and grow its operations as of late 2025. This structure is heavily influenced by the need to build out long-term infrastructure while managing fluctuating service demand.

High capital intensity is a defining feature, driven by the Water Infrastructure build-out. The company has been directing significant cash toward expanding its network to secure more resilient, contracted revenue streams. For the full year 2025, Select Energy Services, Inc. modestly increased its net capital expenditures guidance range to $250-$275 million, with a bias toward the higher end of that range to support new contracted awards. This elevated CapEx spend is a major cost driver, even as near-term cash flow is impacted.

The direct costs associated with generating revenue remain substantial. For the nine months ending September 30, 2025, the reported Cost of Revenue for Select Energy Services, Inc. was -$1.2B USD. This figure reflects the direct expenses tied to delivering water sourcing, logistics, recycling, and disposal services.

Operating expenses include significant outlays for personnel. While specific labor costs for field operations and specialized technical personnel aren't broken out separately from the main cost categories, Selling, General, and Administrative (SG&A) expenses provide a view into corporate and support overhead. SG&A expenses were $42 million in the third quarter of 2025, which management noted was driven by severance and deal costs related to transactions like the OMNI integration. Looking ahead to the final quarter, SG&A is expected to fall back to approximately $40 million for Q4 2025.

Here's a quick look at the key cost-related figures we have for the 2025 period:

Cost Component	Reported/Expected Amount	Period/Context
Net Capital Expenditures Guidance	$250 million to $275 million	Full Year 2025
Cost of Revenue	-$1.2B USD	9 Months Ended September 30, 2025
SG&A Expenses	$40 million	Expected for Q4 2025
SG&A Expenses	$42 million	Reported for Q3 2025
Depreciation & Amortization Expense	Approximately $45 million	Reported for Q3 2025

The cost structure is also shaped by ongoing fixed and semi-fixed expenses necessary to maintain the operational footprint. These include costs that are not directly tied to a specific job but are essential for the business to function:

• Depreciation and amortization expense, expected to increase to approximately $46 million to $48 million in Q4 2025 as growth capital projects come online.
• Interest expense, expected to remain in the $4,000,000 to $5,000,000 range per quarter.
• Cash taxes, guided to remain at $10 million or less for the full year 2025.

The company is actively managing these costs by rationalizing operations, especially within the Water Services segment, while simultaneously increasing growth CapEx. Finance: draft 13-week cash view by Friday.

Select Energy Services, Inc. (WTTR) - Canvas Business Model: Revenue Streams

TTM Revenue as of November 2025 is approximately $1.40 Billion USD.

The revenue generation for Select Energy Services, Inc. (WTTR) is segmented across its core operational areas, with a clear strategic shift favoring contracted, long-term infrastructure over transactional services.

The primary revenue components are detailed below, reflecting performance as of the third quarter of 2025 (Q3 2025) and near-term guidance.

Revenue Stream Breakdown by Segment (Q3 2025 Data and Guidance)

Revenue Stream Category	Q3 2025 Performance Metric	Associated Financial Data
Water Infrastructure fees	Revenue Trend	Decreased by 2.5% quarter-on-quarter.
Water Infrastructure fees	Margins	Maintained healthy margins of 53%.
Water Services revenue	Revenue Trend	Steepest revenue fall at 22.6% quarter-on-quarter.
Water Services revenue	Guidance Margin	Anticipated margins improving to 19-20% in Q4 2025.
Chemical Technologies product sales and service fees	Revenue Growth	Achieved a sequential revenue increase of 13%.
Chemical Technologies product sales and service fees	Gross Margins (before D&A)	Reported at 19.9%.

Water Infrastructure fees represent the high-margin, contracted revenue base that management is prioritizing for future growth.

• Secured several new midstream contracts in the Permian Basin.
• Expansion adds over 65,000 additional acres under long-term dedication.
• Nearly 800,000 additional acres expected to be under dedication by 2025.
• Management projects 10% growth in this segment for Q4 2025.
• Management projects over 20% annual growth in 2026.

Water Services revenue is transactional, dealing with water transfer and logistics, which showed weakness in the recent quarter.

• Q3 2025 revenue decline was 23% compared to the prior period guidance.
• The segment is expected to see margin improvement to 19-20% in Q4 2025.

Chemical Technologies product sales and service fees demonstrated strong momentum, showing a 13% sequential revenue increase in Q3 2025. Gross profit before D&A for this segment increased by 29%.

Potential future royalty payments from mineral extraction, specifically lithium from produced water, represent a nascent revenue stream.

• Broke ground on Texas' first commercial produced water lithium extraction facility.
• Expected royalty payments of $2.5 million per year starting in early 2027.
• Projections to ramp up to $5 million annually.

For context on the overall financial scale, the company's Q3 2025 revenue was $322 million, beating the forecast of $307.75 million.