good all Kimball will and for to as be company see stakeholders. Thanks, We're as Eric, a rapidly win morning. and possible. online our excited come big It the
here quarter, days we're QX. in Moving underperformed segment seeing much to better this SKSS on but Slide X. This
September. a On the top declined in levels. to June line, that part and ago posted impacted to of stabilized pricing us QX, including supply $X.XX drove QX by Subsequently, a XX%, in a versus second revenue primarily with due mid-August, scarcity SKSS We pricing year QX. in first entered QX oil base pricing reduction dropping when increase downward in price trend followed prices lower in a pricing the record in
Given rising base October, not did in off some which good environment, start to we're favorable a the QX pricing at in effect take October selling pricing. oil of until
adjusted year profitability, lower a our EBITDA record quarter and on at pricing pressure ago, in after Looking put adjusted EBITDA year's this margins. year-over-year QX third our
segment to to as well lower of at California refineries, in and had production restart the our the expectations, biggest base as this expected to of delayed interruptions terms dual of volume a reductions including These X In oil costs factor facility. our was us several plant our for impact of miss products sell. higher-than-expected of other
forecasted In we when gallons plants all run base said QX costs you completed California than had extremely in These fact, repairs including spoke in X our more than and September, we have to our that well, early less we oil August. were and million facility. sold in of
know, re-refining you of spread this in business. the actively As manage most we
response until in the team oil base on of calls, trajectory the to market previous As SKSS conditions, the downward addressing year compression we've outlined in In much hypervigilant the been on quarters. was a first saw X pricing we for recently. spread has
continued have to plants that for possible we best the at the need spread. collect We our volumes to stabilize pricing
we while or even gallons. a a further, average we pay-for-oil that shifted PFO from to In model. QX, approach raised In charge-for-oil QX, million collecting CFO XX
both improvement. we our lower-cost the re-refining inventory benefit QX and QX. We quarter, ahead we see As of being inventory our ends will spread sold in fourth look in consumed to from higher-priced
quarter. in intended were also X to greater of increases as the price in QX the saw sell the we addition, in volumes In back us half benefit QX
That's another motor XX% into this we a win our Blended see the accounted oil product customers QX. and sales to total area. hydraulic value-added derived where of base set plants QX XX% lubricants processing our of area in we such This oil finished from for in or is year is momentum. sales up continue Blended fluid. output product incremental in from ago of products as as XX%
Our approach, in were X% represent from closed-loop our up which in QX, at QX. X% direct volumes,
year Our our direct wholesale go-forward with this a goal channels. but both not only and remains on blended to increase basis volumes
for the a has been the team year Overall, through pricing SKSS, well but it's terms. managed challenging
We will deliver are produce the -- QX will our produced on despite for at produced collections record track plants volume CFO our favorable and will volume plants in levels in annual upsets. deliver annual record
still a a flow enable QX this margin and segment. Strong to us. north in on segment of EBITDA remains high this note adjusted a XX% to and QX within enter for a business Even generator conclude on deliver It QX QX, will cash expect strong ROIC us year. weak this we positive
One of our some we SKSS pilot make concluded intend at products. III Group into grow a Group to is ways share to output project excited in of Group the scale our plants. We're one II to profitably years the that oil we coming today III successful upgrade of to recently
over varies -- meet The into III it but qualified we'll recently, sell that confident carries oil to premium specifications versus industry $X Group will that are II Group to a the required of the required of gallon. the $X time, we We marketplace. meet value more typically it base per
a III XXXX, to million the few a -- we of scale one at intend Throughout oil of initially up our few and produced locations. gallons gallons Group project
will value from in more will years We program then successful existing that assets. then some bring to the coming other even facilities extract to
Turning Day in March. that to allocation strategy on we Slide X changes and our our at QX that happened in Vision XXXX Nothing Investor laid perspective out capital the strategy. our
and We to organically both through acquisition. expect grow
synergies Given that assets we economies both and the cost provide improvement network of the and highly leverageable scale positive seen of have people, for margin cross-selling.
the project acquisitions, multiple -- avenues it's next accretive growth. we next in the for pursuing for whether Kimberlite internal have So
growth. assess organic to to in continue CapEx opportunities We drive invest to
in we front, remain evaluated candidates as QX M&A the selective. a highly and, number of On always,
for Eric to detail, highlight opportunistic leverage our that We expect our Dugas be a operating balance healthy more decade. point to a than At but will to sheet continue we at with positioned be year-end, transactions respect lowest of both to are cover more I potential in to flow M&A. potential in see well wanted very segments. we
our QX the our while we our meet term view summarize, not behind short factors To performance expectations, results and in nature. did
-- of quarters. ES to customers our We to We deliver see in service valuing growth coming profitable for continue high breadth the nearly offerings expect demand safety record. improvement and with across deliver and strong our the segment to board services margin our and
our ES the achieve within each businesses in growth X to of profitable XXXX. expect We segment
spending The of reshoring, pipeline cleanups plans positions trajectory. backlog continue. remains healthy great upward as to running close infrastructure project Our us out segment regulatory-driven and the also year and ways the the are ES within on government on an
still SKSS, ensuring controlling costs particularly the to Within maximize re-refineries. the while collection business, across on remain supply focused at our side, we on expense output
momentum post with where oil positive lubricant in are Given today, in and increase expect XXXX enter sequential in base markets QX, we and a business. to this profitability large
to over our me let Eric that, CFO, Dugas. it With turn
