Breaking Down Enservco Corporation (ENSV) Financial Health: Key Insights for Investors

You're looking at Enservco Corporation (ENSV) because you see the massive volatility-the stock is trading around $0.0050 as of November 2025-and you're wondering if this is a deep-value play or just a liquidation event. Honestly, the financials show a company in a critical turnaround phase, where the risk is as high as the potential reward is distant. The analyst consensus for the full 2025 fiscal year projects revenue to hit $36 million, which is a solid jump, but that growth is overshadowed by a forecasted Earnings Per Share (EPS) of -$0.07 for the same period. Plus, the company is still grappling with a debt-to-equity ratio of 2.59 and a thin current ratio of just 0.59, meaning they have a tough time covering their short-term bills. It's a high-stakes bet on their ability to execute their logistics segment expansion while managing a working capital deficit that was already at $5.4 million at the end of Q3 2024.

Revenue Analysis

You need to know if Enservco Corporation (ENSV) is a growth story or a turnaround story, and the revenue numbers for the 2025 fiscal year tell a clear tale of strategic pivot. The market expects the company to hit a total annual revenue of $36 million in 2025. Here's the quick math: that forecast represents a projected year-over-year revenue growth of approximately 58.01% compared to the $22.77 million in trailing twelve months (LTM) revenue reported as of September 30, 2024. That's a significant jump, but it's driven by a major shift in their business model.

The company is intentionally moving away from its historical, highly seasonal business mix. This is a deliberate effort to achieve more consistent, year-round cash flow. You can see this change clearly by looking at the segment contribution before and after their strategic moves.

The primary revenue sources are now split between two key segments, reflecting a strategic shift from a heavy reliance on seasonal heating services:

• Production Services: This is the legacy business, offering hot oil and acidizing services for well maintenance.
• Logistics Services: This is the new, high-growth segment, established in 2024 via the acquisition of Buckshot Trucking.

In Q1 2024, before the full impact of their strategic exit from certain businesses, their Completion Services (mostly frac-water heating) brought in $7.3 million of the $9.8 million total revenue, making it the dominant segment at about 74.49%. The Production Services segment only contributed $2.5 million, or about 25.51%. That's a lot of eggs in a very seasonal basket.

But by Q3 2024, the picture was already different, showing the new direction. The total revenue for Q3 2024 was $3.98 million, a massive 51.7% increase year-over-year, largely due to the new Logistics Services revenue. The Logistics Services segment alone generated $1.66 million in Q3 2024, instantly becoming a major player. This is a much healthier mix for risk management.

Here is a snapshot of the segment contribution shift from Q1 to Q3 2024, which maps directly to the company's new strategy:

The biggest change? Enservco Corporation announced the sale of its Colorado frac water heating assets in August 2024, effectively exiting that part of the Completion Services business. This move, coupled with the logistics acquisition, is what's fueling the projected $36 million 2025 revenue. It's a classic case of shedding a low-margin, high-volatility asset to focus on a new, more cost-efficient segment like logistics. If you want to dig deeper into who's buying into this new direction, you should check out Exploring Enservco Corporation (ENSV) Investor Profile: Who's Buying and Why?

Profitability Metrics

You need to know how efficiently Enservco Corporation (ENSV) turns its revenue into profit, especially given the volatility in the oilfield services sector. The direct takeaway is that while the company has shown a stark improvement in its gross margin (the first level of profitability) due to strategic shifts, it is still struggling with significant losses at the net level, putting it far behind the industry median.

Looking at the trailing twelve months (TTM) ending September 2024-the most recent full-year picture available in the 2025 fiscal period-Enservco Corporation reported total revenue of $22.77 million [cite: 9 from first search]. The profitability story starts strong but ends with a clear cash-burn issue.

Gross, Operating, and Net Margins

The company's Gross Profit for the TTM period was $2.85 million [cite: 9 from first search], which translates to a TTM Gross Margin of approximately 12.5%. This is a critical number, but it's not the whole story. The real challenge appears further down the income statement.

Here's the quick math on the key profitability ratios, based on the most recent TTM data and Q3 2024 actuals:

• Gross Margin: The TTM figure is around 12.5%, but the Q3 2024 actual Gross Margin was a much stronger 39%. This jump is defintely a bright spot.
• Operating Profit/Loss: While a precise TTM Operating Margin is complex to calculate with the public data breakdown, the Q3 2024 Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) loss narrowed by 31% to $0.96 million. This shows the core business is still operating at a loss, but the loss is shrinking.
• Net Profit Margin: The TTM Net Loss was $8.82 million [cite: 9 from first search], resulting in a Net Margin of approximately -38.74% [cite: 9 from first search]. This is a massive loss.

Trends and Operational Efficiency

The trend in profitability is a classic tale of strategic diversification trying to overcome a legacy business decline. Enservco Corporation's profitability has generally been declining, with its earnings seeing an average annual decline of -22.7%, contrasting sharply with the broader Energy Services industry's annual earnings growth of 50.2% [cite: 9 from first search].

The operational efficiency analysis points directly to the new Logistics Services segment, which was introduced in 2024. This segment is more cost-efficient and is the primary driver behind the Q3 2024 Gross Margin improvement to 39% from 33.2% in Q3 2023. The company is actively trying to manage costs, as seen by the decline in operating expenses for the Production Services segment to $2.43 million in Q3 2024 from $3.15 million a year prior. Still, the rising Selling, General, and Administrative (SG&A) expenses, which rose 80.2% to $1.76 million in Q3 2024 due to logistics integration and compensation, are eating away at that gross profit improvement.

Industry Comparison

To put Enservco Corporation's performance in perspective, we can compare its TTM and Q3 2024 figures against the median profitability ratios for the closely related Oil and Gas Extraction sector in 2024. The difference is stark, highlighting the financial risk.

The fact that Enservco Corporation's Gross Margin of 39% in Q3 2024 is actually above the industry median of 37.8% is a testament to the new logistics business model. But, the massive negative Net Margin shows that the company's operating expenses, interest, and taxes (or lack of tax benefit realization) are overwhelming its core operational gains. It's a classic case where a good gross profit is destroyed by high overhead and non-operating costs.

If you are interested in a more comprehensive look at the company's position, you can read the full post: Breaking Down Enservco Corporation (ENSV) Financial Health: Key Insights for Investors. Finance: draft a 13-week cash view by Friday, focusing on SG&A and integration costs.

Debt vs. Equity Structure

You want to know how Enservco Corporation (ENSV) is funding its operations-a smart question, because the balance between debt and equity tells you everything about a company's risk appetite and financial stability. For Enservco Corporation, the picture is one of extreme leverage, despite aggressive recent efforts to shed debt. The company is heavily reliant on debt financing, and that's a serious red flag.

The most recent quarterly data shows Enservco Corporation's Total Debt to Equity (D/E) ratio sitting at an alarming 258.72% (or 2.59:1). Here's the quick math: for every dollar of shareholder equity, the company has roughly $2.59 in total debt. This is wildly outside the industry norm; the average D/E for the U.S. Oil & Gas Equipment & Services sector is around 0.57. This level of leverage means the company is highly vulnerable to any downturn in the energy market or rise in interest rates.

What makes this even more precarious is the debt composition. The Long-Term Debt to Equity ratio is only 11.68% in the most recent quarter. This implies that the vast majority of the company's approximate $9.68 million in total debt is short-term. High short-term debt means constant pressure to manage liquidity and refinance, which is defintely a high-wire act.

The company is trying to rebalance, but it's a tough climb.

• Shed $2.7 million in promissory notes from the April 2025 sale of Buckshot Trucking.
• Refinanced Utica debt, cutting monthly payments by $90,000+.
• Reduced total monthly debt obligations by $181,910 in Q1 2025.

These are positive, concrete steps that reduced the immediate cash burn, but they don't fundamentally fix the underlying imbalance. For example, the new Utica lease facility still adds $2.895 million in long-term obligation through September 2029. The balance between debt and equity is currently a survival strategy, not a growth strategy.

The lack of a formal credit rating is less important than the company's public reporting struggles-failing to file the 2024 Form 10-K and facing potential delisting from the OTCQB speaks volumes about their financial health and risk profile. When a company has to convert $2.2 million of debt to equity, as Enservco Corporation did in late 2024, it's a clear signal they are using equity funding as a tool to stave off default, not to fuel expansion. It's a defensive move.

Here is a snapshot of the key debt metrics:

To truly understand the implications of this, I recommend reading the full analysis at Breaking Down Enservco Corporation (ENSV) Financial Health: Key Insights for Investors. Your next step should be to monitor their Q3 and Q4 2025 filings for any further significant equity raises or debt conversions, as these will be the only way to quickly bring that D/E ratio back to a manageable level.

Liquidity and Solvency

You're looking at Enservco Corporation (ENSV) because you need to know if they can cover their near-term bills, and the answer is a clear challenge. The company's liquidity position, as of the most recent quarterly data ending September 30, 2024, is stressed, primarily evidenced by a significant working capital deficit and sub-1.0 current and quick ratios. This is defintely a red flag for short-term financial health.

Assessing Enservco Corporation (ENSV)'s Liquidity

A healthy company should have a Current Ratio (current assets divided by current liabilities) of 1.0 or higher, meaning it has enough liquid assets to pay its short-term debt. Enservco Corporation (ENSV) falls short of this benchmark. Based on the September 30, 2024, figures, their current liabilities stood at $13.48 million. With a reported working capital deficit of $5.4 million, we can quickly calculate the current assets at $8.08 million.

Here's the quick math on the key liquidity metrics:

• Current Ratio: 0.60 ($8.08M / $13.48M)
• Quick Ratio: 0.39 (Reported Most Recent Quarter)

The 0.60 Current Ratio means Enservco Corporation (ENSV) only has 60 cents of current assets for every dollar of current liabilities. The Quick Ratio, which strips out less-liquid inventory, is even lower at 0.39, showing a heavy reliance on assets like accounts receivable to cover immediate obligations. That's a tight spot to be in.

Working Capital and Cash Flow Trends

The $5.4 million working capital deficit as of September 30, 2024, is the core of the liquidity issue, but the trends in cash flow offer a mixed picture. While the company is actively trying to manage its debt and diversify, cash generation remains constrained. The cash position itself is razor-thin, sitting at just $0.17 million as of the same date.

The cash flow statement overview for the Trailing Twelve Months (TTM) shows the following:

• Operating Cash Flow (OCF): $0.42 million (Positive, but minimal)
• Investing Cash Flow: Significant outflows due to the $5 million acquisition of Buckshot Trucking LLC, a strategic move into logistics services.
• Financing Cash Flow: Efforts to deleverage are visible, including a reduction in long-term debt to $3.26 million from $4.88 million at the end of 2023. This is a positive step.

What this estimate hides is the ongoing need for capital to sustain operations and integrate new business segments. The positive operating cash flow is a good sign, but it's not enough to offset the capital expenditures and debt service requirements given the current liabilities load.

Liquidity Concerns and Actionable Insights

The primary concern is the company's ability to meet its obligations over the next 12 months without raising additional capital or restructuring debt. The delisting from the NYSE American exchange in late 2024, due to a failure to meet the stockholders' equity requirement, further highlights the financial strain.

For investors, the key takeaway is that Enservco Corporation (ENSV) is a turnaround story with significant near-term liquidity risk. The strategic shift to logistics is a clear opportunity for revenue growth, but the immediate risk of a capital crunch is real. You need to monitor the cash position and the working capital deficit trend in the next quarterly report very closely.

For a deeper dive into the company's strategic pivot, you can read the full analysis at Breaking Down Enservco Corporation (ENSV) Financial Health: Key Insights for Investors.

Valuation Analysis

You're looking at Enservco Corporation (ENSV) and wondering if the stock's tiny price tag means it's a steal or a trap. Honestly, the core takeaway is this: the valuation metrics scream 'distressed asset,' not 'undervalued gem,' despite a very low price-to-book ratio. The company's financial health suggests extreme caution.

The stock is trading around $0.005 per share as of November 2025, a brutal drop of over 90.57% in the last 12 months. That kind of price action doesn't happen without serious underlying issues. The market capitalization is only about $290.91 thousand, which puts it firmly in micro-cap territory, making it highly volatile and illiquid.

Is Enservco Corporation (ENSV) Overvalued or Undervalued?

On paper, Enservco Corporation looks technically 'undervalued' based on one key metric, but the reality is more complex. When a company is unprofitable, standard valuation tools like the Price-to-Earnings (P/E) ratio become negative or irrelevant. The trailing twelve-month (TTM) Earnings Per Share (EPS) is roughly -$0.28, which is why the P/E ratio is negative (around -1.02) or simply listed as N/A.

Here's the quick math on the key ratios, which map out the company's financial profile:

• Price-to-Book (P/B): 0.08-This is the one that looks 'cheap.' It suggests the stock is trading for less than eight cents on the dollar of its book value (assets minus liabilities).
• Enterprise Value-to-EBITDA (EV/EBITDA): -3.31-A negative number here means the company has negative earnings before interest, taxes, depreciation, and amortization (EBITDA), pointing to core operational losses.
• P/E Ratio (TTM): -1.02-The negative P/E confirms the company is losing money.

The low P/B of 0.08 is a classic 'value trap' signal-the stock is cheap for a reason. The losses, confirmed by the negative EV/EBITDA, are eating into the book value, and the market is pricing in the risk that the assets may be worth far less than their stated value. The Enterprise Value (EV) is substantially higher at $7.07 million, compared to the market cap of $290.91 thousand, indicating a high debt load relative to its equity.

Stock Price and Analyst Sentiment

The stock's performance over the last year has been disastrous, falling over 90%. That's a clear signal of market flight and operational distress. You can see the full picture of who is still holding on and why by Exploring Enservco Corporation (ENSV) Investor Profile: Who's Buying and Why?

As for income, Enservco Corporation is not a dividend stock. The company does not currently pay a dividend, and its financial position makes a payout unlikely in the near term.

Analyst consensus is thin, but the technical and quantitative signals are decidedly bearish. One technical analysis model rates the stock a Strong Sell. Another assessment labels it a 'Sell candidate.' This consensus reflects the high-risk environment. While one forecast suggests a 2025 average price target of $0.0639, this is a projection, not a rating, and is based on a massive, highly speculative rebound. You should view this with extreme skepticism given the current price of $0.005.

The market is telling you this is a turnaround story that hasn't turned yet. Your next step should be to review the company's latest cash flow statement to see if they can survive the current burn rate.

Risk Factors

You need to look past the recent debt restructuring wins at Enservco Corporation (ENSV) and focus on the immediate, existential compliance risks. Honestly, the biggest threat right now isn't the oil market; it's a piece of paper: the unfiled 2024 Form 10-K.

The company failed to file its Form 10-K for the fiscal year 2024 and hasn't engaged auditors to complete the necessary financial statements. This lapse is a massive red flag, leading to a notice from OTCQB that the stock faced potential delisting if compliance wasn't achieved by May 15, 2025. This kind of non-compliance risk is a direct threat to shareholder liquidity. It's a binary risk: either they file, or they face a much tougher market for their stock.

Operational and Financial Headwinds

The core financial risk remains the high probability of financial distress. Macroaxis analysis pegs Enservco's Probability of Bankruptcy at over 53%, which is substantially higher than the Energy Equipment & Services sector average. This is the cold, hard number underlying all the other issues. To be fair, management has taken decisive action to clean up the balance sheet, which is a necessary first step.

Here's the quick math on their debt mitigation efforts in Q1 2025:

• Sale of Buckshot Trucking canceled $2.7 million in promissory notes.
• Refinancing Utica debt cut monthly payments from $168,075 to $78,165.
• Settling Libertas Funding debt reduced monthly payments by an additional $92,000.

Collectively, these moves reduced monthly debt obligations by a solid $181,910. Still, the company is not profitable, with the 2025 fiscal year forecasted to show an Earnings Per Share (EPS) of -$0.07 on revenue of approximately $36 million.

Broader Industry and Market Risks

Even if the company navigates its internal compliance and debt issues, the external environment remains challenging. As an onshore oil and natural gas service provider, Enservco Corporation is highly sensitive to commodity price volatility and client capital expenditure (CapEx) budgets. The industry is facing sustained higher interest rates, which makes it more expensive for their clients-the exploration and production companies-to finance new drilling and completion projects.

Furthermore, operational risks are intensifying across the energy sector. Cybersecurity threats are a top concern, with the average cost of a data breach estimated at $4.88 million in 2024, a cost that smaller, less diversified firms can ill afford. Workforce turnover and retention, or brain drain, is another critical operational risk, especially in high-risk environments like oilfield services, requiring constant investment in safety training and process safety measures. You defintely need to keep an eye on how they manage talent.

For a deeper dive into who is betting on this turnaround, check out Exploring Enservco Corporation (ENSV) Investor Profile: Who's Buying and Why?

Next step: Financial Officer needs to confirm the auditor engagement status and a firm 10-K filing date by the end of the week.

Growth Opportunities

You're looking at Enservco Corporation (ENSV) and wondering where the growth is coming from, especially with the stock transitioning to the OTCQB market late in 2024. Honestly, the 2025 growth story isn't a top-line revenue explosion; it's a critical, strategic pivot toward operational stability and margin expansion. This is a necessary reset.

The consensus analyst forecast for the 2025 fiscal year projects annual revenue of $36 million. That's a modest top-line expectation, but what matters more is the expected jump in profitability metrics. Analysts project annual Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA)-a key measure of operating cash flow-to hit $4 million for 2025, which is a significant move toward financial health. Still, the company is forecasted to post an annual loss of -$0.07 per share.

Strategic Focus: Back to Core Services

The biggest driver for future growth is a decisive, and defintely painful, restructuring. Enservco Corporation is shedding non-core, capital-intensive, and seasonal businesses to focus on its bread and butter: specialized production services. This is a sharp reversal of the earlier 2024 strategy that included logistics.

• Hot Oiling Focus: The company is doubling down on its core hot oiling business, which is less seasonal and provides recurring, maintenance-related revenue throughout a well's life.
• Strategic Exits: The company completed the sale of its Buckshot Trucking subsidiary on April 1, 2025, which cancelled $2.7 million in promissory notes. They also exited the frac water heating business, a high-capital, seasonal segment.
• Debt Deleveraging: Financial stability is a growth driver. Through refinancing and settlements, the company reduced its total monthly debt obligations by a substantial $181,910 in 2025. Here's the quick math: the refinancing of the Utica debt alone cut monthly payments from $168,075 to $78,165.

Competitive Positioning and Near-Term Outlook

Enservco Corporation maintains a competitive edge through its specialized service mix and broad geographic footprint across key US basins. They serve over 300 exploration and production (E&P) customers, from majors to small independents. Their fleet and service capabilities in hot oiling and acidizing are necessary for maintaining production in mature fields, giving them a sticky customer base.

What this estimate hides is the risk of non-compliance; the company must resolve its delayed SEC reporting to avoid further delisting issues, which would cloud any operational success. For the near-term, the Q3 2025 revenue forecast is $10.79 million, which will be the first true test of the new, streamlined, core-focused business model. You can get a deeper look into the ownership structure and market sentiment in Exploring Enservco Corporation (ENSV) Investor Profile: Who's Buying and Why?

The company's operational strength is reflected in its ability to maintain a healthy gross margin, which was reported at 57.2% in a recent analysis, indicating strong pricing power in its specialized services. This margin is what the new strategy aims to protect and grow.

Next Step: Your team should model a sensitivity analysis on the $4 million EBITDA projection, factoring in a 10% variance in oilfield services demand to gauge cash flow resilience.