This report does not constitute a rating action. In the first quarter of 2025, the company's ES bookings fell to $205 million, from $301 million in the fourth quarter of 2024, primarily due to reduced activity in North America. This decline reflected both the pull-forward of customer activity in late 2024 and a temporary pause in new orders amid heightened market uncertainty and commodity price volatility. Approximately 87% of Enerflex?s $1.2 billion ES backlog is concentrated in North America, where recent fluctuations in oil prices--stemming from new tariff implementations and increased OPEC+ supply--pushed the price of West Texas Intermediate (WTI) below $60 per barrel (/bbl) in the first quarter of 2025. Increased price volatility has also led to deferred capital
