WaterBridge Lifts 2026 Volume and Ebitda Outlook

The Tip Desk · November 11, 2026 · 3 min read

Third-quarter revenue reached $240.2 million as the company raised full-year Adjusted EBITDA guidance to $465 million to $485 million.

WaterBridge Infrastructure LLC (WBI) reported third-quarter 2026 revenue of $240.2 million, a 10% sequential increase from $217.8 million in the second quarter, as produced water handling volumes hit a record 2.8 million barrels per day.

The Houston-based water infrastructure company said sequential revenue growth was driven by higher volumes and higher rates on contracts operationalized in the quarter. Volumes rose 6% from 2.6 million barrels per day in the second quarter.

Adjusted EBITDA was $124.2 million, up 7% from $115.8 million. Adjusted EBITDA margin was 52%, compared with 53% in the second quarter. Gross margin rose to $62.7 million from $58.1 million, while gross margin per barrel held at $0.22. Adjusted Operating Margin increased to $131.8 million from $124.1 million, with Adjusted Operating Margin per barrel unchanged at $0.46.

Net income was $13.3 million, down from $14.6 million in the second quarter, and net income margin compressed to 6% from 7%.

Chief Executive Officer Jason Long said volume growth was driven by outperformance across the company’s infrastructure footprint, from both new and existing customers, reflecting strong Delaware Basin activity and increased capture of existing volumes in pore-pressure-constrained areas such as the Stateline. He said the company’s third-quarter results demonstrated the strength of the full WaterBridge platform and that outperformance on both volumes and margin was driving improvements across full-year guidance.

The company said Speedway Phase I pipeline outperformed following its third-quarter in-service date, with volumes exceeding expectations and new commercial agreements signed for pipeline access. Long said those results demonstrated continued demand for long-haul, out-of-basin produced water handling solutions.

Third-quarter capital expenditures were $123.9 million, primarily driven by construction costs for the first phase of the Speedway Pipeline project and continued investments across the Delaware Basin footprint.

WaterBridge is updating full-year 2026 guidance. Produced water handling volumes are now expected in a range of 2.65 million to 2.75 million barrels per day, a 2% increase at the midpoint from the prior 2.55 million to 2.75 million barrels per day range. Adjusted EBITDA guidance is now $465 million to $485 million, a 4% increase at the midpoint from $435 million to $475 million.

Capital expenditures guidance has narrowed to $530 million to $560 million, a 3% decrease at the midpoint from $530 million to $590 million, due to timing of capital outlay for projects shifting from 2026 into 2027.

Chief Financial Officer Scott McNeely said the outperformance supports raising the midpoints of full-year volume and Adjusted EBITDA guidance by 2% and 4%, respectively, while shifting certain project timing into 2027 lowers the midpoint of capital expenditures guidance by 3%. He said the company’s infrastructure has the scale to absorb significant incremental volumes through targeted, capital-efficient investments and that the outlook for 2027 is meaningfully stronger than when the company went public.

Total liquidity was $539.7 million as of September 30, 2026, including about $505.0 million of available borrowing capacity under the revolving credit facility and $34.7 million of cash and cash equivalents. In August, WBI Operating LLC issued an additional $150.0 million of 6.50% fixed-rate senior unsecured notes due 2033, bringing the combined principal of that series to $750.0 million. Total borrowings outstanding were $1.837 billion as of September 30, compared with $1.636 billion as of June 30.

The board declared a quarterly cash dividend of $0.05 per share on Class A shares, payable December 10, 2026, to shareholders of record as of November 25, 2026.