Archrock raises FY23 adjusted EBITDA view to $430M-$450M from $400M-$430M

The company said, “Looking ahead, we believe natural gas production fundamentals remain durable and promising, particularly given our strong leverage to associated gas plays. In addition, the compression industry is as tight as we’ve ever seen, our competitive position is as strong as it’s ever been and our balance sheet offers distinctive flexibility within the compression sector. Based on our current outlook for 2024, we expect to be in the enviable position to grow our dividend, with a 2024 target of 5%, maintain a dividend coverage ratio of approximately 2.0x, and concurrently drive our leverage ratio even lower to a range of 3.0 to 3.5 times, all while also funding our growth capital expenditures and preserving optionality to buy back additional shares.”