Form 4: Nine Energy Service Executive Sells Shares to Cover Tax Obligations, Receives Restricted Stock Award

David Crombie, Executive Vice President and COO of Nine Energy Service, sold shares to cover tax obligations related to vesting restricted stock and received an additional restricted stock award.

Summary

• On May 7, 2025, David Crombie, Executive Vice President and Chief Operating Officer of Nine Energy Service, sold 12,895 shares of common stock at a price of $0.649 per share to satisfy tax withholding obligations related to the vesting of a time-based restricted stock award granted on May 7, 2024.
• Following this transaction, Crombie directly owns 217,066 shares of Nine Energy Service common stock.
• On May 8, 2025, Crombie acquired 90,000 shares of restricted stock.
• These restricted shares will vest in three equal annual installments on the first three anniversaries of the grant date.

Sentiment

Score: 6

Explanation: The document reflects routine transactions related to executive compensation. The sale of shares to cover taxes is neutral, and the grant of restricted stock is a positive sign of aligning executive interests with the company's long-term performance.

Positives

• The grant of restricted stock to a key executive aligns their interests with the long-term performance of the company.

Future Outlook

The restricted stock will vest in three equal annual installments on the first three anniversaries of the grant date, suggesting a multi-year commitment from the executive.

Industry Context

Executive compensation packages often include restricted stock to incentivize performance and align executive interests with shareholder value. The sale of shares to cover tax obligations is a common occurrence.

Comparison to Industry Standards

• Restricted stock grants are a common component of executive compensation packages in the energy service industry, similar to companies like Halliburton and Schlumberger.
• The vesting schedule of three equal annual installments is a standard practice for aligning executive incentives with long-term company performance.

Stakeholder Impact

• Shareholders may view the restricted stock grant as a positive incentive for the executive.
• The sale of shares to cover tax obligations has a minimal impact on stakeholders.

Key Dates

Keywords

Nine Energy Service, David Crombie, restricted stock, Form 4, share sale, tax obligations, vesting