You are given a text that consists of multiple sentences. Your task is to perform abstractive summarization on this text. Use your understanding of the content to express the main ideas and crucial details in a shorter, coherent, and natural sounding text. 
Text: I'd like to start by first recognizing all the TETRA and CSI Compressco employees and management teams for delivering another solid quarter in a very challenging environment.
Despite the sequential 36% decline in US onshore rig count, two hurricane storms that came through the Gulf of Mexico and the continued overhang from COVID-19, our team's focus on execution of our strategies resulted in positive EBITDA for each of our segments and sequential improved EBITDA margins.
I could not be more pleased with the way our management team and employees have responded to the most challenging eight months our industry has likely ever faced.
On a consolidated basis, we achieved $30 million of adjusted EBITDA in the third quarter with the related margin improving 150 basis points sequentially as a result of our focus on cost management and maximizing the value of our latest technology.
Compared to the third quarter of last year, we've reduced our cost by $345 million on an annualized basis or 41% as it impacts EBITDA.
This compares to an annualized decline of revenue of $373 million, reducing cost by $0.92 for every $1 decline in revenue.
Our positive EBITDA in the past two quarters is reflective of the successful strategy we've executed and the diversity of our business with a short cycle North America market, longer cycle deepwater and offshore segments and the steady consistent industrial chemicals market.
TETRA only generated $7.7 million of free cash flow from continuing operations in the quarter and ended the quarter with $59 million of cash at the TETRA level.
Year-to-date September, we've generated $43.5 million of TETRA-only cash from continued operations, an improvement of $66.6 million from last year.
And products third-quarter revenue decreased 27% sequentially, reflecting the seasonal second-quarter peak from our industrial European business and also due to project delays in the Gulf of Mexico as we experienced two major hurricanes in the third quarter.
Despite the lower revenue and sudden impact from the hurricanes, we achieved higher adjusted EBITDA margins by 110 basis points sequentially.
The third-quarter adjusted EBITDA margin of 26.8% was also 310 basis points better than a year ago.
International sales for completion fluids, excluding the industrial business, increased sequentially by 84%, led by some large sales for some major national oil companies in the Middle East.
Delivery for these customers is continuing into the fourth quarter.
Our industrial chemicals business continues to perform well and made up approximately 36% of the total revenue for this segment.
In the third quarter, we secured three new calcium chloride road maintenance contracts to add to already industry-leading portfolio in this industrial subsector.
Water and flowback third-quarter adjusted EBITDA remained positive despite revenue decreasing sequentially 13%.
We continue to see price erosion in the early part of the third quarter, but believe that in most of the basins, pricing has now stabilized as activity has improved in September, again in October.
During the quarter, we added a third recycling project with a super major operator in the Permian Basin.
But similar to our other recycle projects, we expect this project to operate for an extended period of time.
Based on our market knowledge and with this award, we believe, on a daily basis, we are cycling more produced water for frac reuse than any other service provider in the Permian Basin.
Integrated projects increased from 16 with 14 different customers at the end of the second quarter to 17 with 10 different customers at the end of the third quarter.
In September, 63% of our water management work was associated with integrated projects with multiple services provided by our BlueLinx automation system.
We expect this trend to continue with more integrated projects as North America activity recovers.
For the quarter, our TETRA SandStorm Advanced Cyclone Technology achieved maximum utilization while being continuously introduced to new customers.
Our SandStorm technology was able to achieve 99.4% sand filtration.
We far exceeded the current solution the customer was using, with zero wash downstream and at a peak flow rate of 40 million standard cubic feet per day.
As a result of this successful trial, which also showcased our SandStorm works equally well in high-pressure gas wells as it does in liquid plays, we are now working with this customer to replace our competitor's sand separation equipment.
Providing some perspective on the fourth quarter, we've seen a recovery in number of active frac crews and well completion activity.
Our September and October revenue was meaningfully better than July and August.
As we previously stated during our earnings call, our objective remains to keep the segment EBITDA-positive, while leveraging automation and deploying new technology, along with best-in-class services.
Based on what we know today, we are cautiously optimistic that the third quarter was the bottom of activity in this segment.
Our compression business continues to perform well despite the decline in North America activity.
Excluding new equipment sales, which we have now exited, revenue decreased 1% sequentially to $72 million.
Third-quarter adjusted EBITDA of $22.9 million was down $3.4 million from the second quarter.
Adjusted EBITDA margins improved 170 basis points sequentially.
Compression services revenue decreased 5% sequentially, and gross margins decreased 200 basis points to 52.9%.
Utilization declined from 82.1% in the second quarter to 80.3% in the third quarter.
We believe that our strategy to invest in high horsepower equipment will allow us to maintain utilization above the low point of 75.2% that was seen during the last downturn.
In the third quarter, horsepower was on standby decreased from a peak of 20% back in May to approximately 8% at the end of September as our key customers started bringing production and units back online.
As natural gas pricing outlook improves, we believe that production enhancement strategies on existing wells will become a greater priority for producers as they look to maximize cash flow.
We should see the benefit of this focus as compression is a low operating cost solution, which allows producers to increase liquids and gas production when integrated with our artificial lift strategies.
This allows the use of big data to improve performance, reliability and predictive maintenance of our compressors.
We're excited to be the only oilfield service company to have partnered with Houston's Rice University D2K program as a partnership specifically designed to analyze big data and develop machine learning modules that enhance our current predictive maintenance programs.
We've completed 25% of the hardware upgrade rollouts and expect to be fully deployed by the end of 2021.
Aftermarket services revenue declined 12% from the second quarter, while gross margins improved 200 basis points sequentially.
We expect aftermarket services to gain momentum in '21 -- 2021 as customers catch up on different maintenance -- deferred maintenance from 2020.
We're pleased to announce that we've secured a master services agreement with a large midstream provider for the provision of parts and services, representing an immediate revenue-generating opportunities to expand into 2021 and beyond.
In closing, I will mention that using all safety protocols, I and our management teams have been traveling again to visit our field locations and meet with our customers, getting direct feedback from our customers and getting in front of our field leaders is critical for our continued understanding of the rapidly changing environment.
Overall, we had another solid quarter, where margins improved, EBITDA was positive, we generated free cash flow and improved our liquidity.
Despite the uncertainty remaining in the market, we feel that our strategies, technologies and industry diversity will allow us to stay EBITDA profitable and come through this in a very strong position.
Brady mentioned that we generated $43.5 million of free cash flow year to date on a TETRA-only basis, which is an improvement of $67 million from the same time a year ago.
This was achieved despite the incurrence of severance and other restructuring related costs.
TETRA-only adjusted EBITDA was $7 million in the third quarter.
TETRA-only capital expenditures in the third quarter were $1.6 million.
Many of the service companies are generating free cash flow this year from monetizing working capital.
And as business rebounds, working capital will increase and consume cash.
We believe that a true metric for measuring the performance of the oilfield services sector during difficult times is to measure their ability to generate free cash flow during the bottom of the cycle as earnings decline and without the benefit of monetizing working capital.
In every quarter this year, TETRA, without CSI Compressco, has generated positive free cash flow without the benefit of monetizing working capital.
Essentially, every quarter this year, cash earnings, debt -- growth in capital expenditures, less interest expense and the certain tax payments has been positive.
Of the $43.5 million of free cash flow that we generated so far this year, $11.4 million is year-to-date earnings less capex, less interest expense and less taxes.
The other $32 million has been from monetizing working capital, and monetizing receivables in this environment is not easy given the financial struggles by many of our customers.
Our ability to generate $11 million in free cash flow this year without the benefit of working capital talks to the aggressive cost management we have implemented, the benefit of deploying technology to the US onshore market, and a very flexible, vertically integrated business model on the fluids side.
In the third quarter, we were slightly over $0.5 million positive free cash flow without the benefit of monetizing working capital.
For the full year of 2020, we expect TETRA-only capital expenditures to be between 9 and $12.5 million, slightly lower than the prior guidance.
We will continue to monitor and adjust our capital spending based on market conditions.
We expect total capital expenditures to be mainly for maintenance capital, and to accelerate the introduction of our new technologies such as SandStorm and our monitoring BlueLinx technologies.
TETRA-only liquidity ended the third quarter improved approximately $22 million in the same period a year ago, positioning us to be able to continue to manage through this downturn as activity begins to slowly recover.
TETRA-only liquidity is defined as unrestricted cash on hand plus availability under our revolving credit facility.
TETRA-only net debt at the end of September was $148 million with cash on hand of $59 million.
Our $221 million term loan is not due until August 2025, and our $100 million asset-based revolver does not mature until September 2023.
The only significant maintenance covenant we have to comply with is a onetime interest coverage ratio on the term loan.
At the end of September, our interest coverage was three and a half times.
Annual interest expense on this term loan is approximately 15.5 to $17 million.
And as always, I'd like to again remind everyone that TETRA's and CSI Compressco's debt are distinct and separate.
There are no cross-defaults, no cross-guarantees on the debt between TETRA and CSI Compressco.
Now, let me spend a couple of minutes on CSI Compressco.
CSI Compressco's cash on hand at the end of September was $16.7 million, up from $2.4 million at the beginning of the year.
At the end of September, there were no amounts outstanding on the revolver compared to $2.6 million that was outstanding at the beginning of the year.
The reduction in the outstanding amount of revolver plus the increasing cash represents almost a $17 million improvement from the beginning of the year despite very challenging market conditions.
And this is how CSI Compressco paid almost $5 million of legal and advisor fees to complete the debt swap in June of this year, which resulted in a net reduction of $9 million and pushed $215 million of maturities into 2025 and 2026.
CSI Compressco sold our Midland fabrication facility and related real estate and have targeted the sale of $13 million in compressor assets in the second half of this year.
They are pruning the fleet by selling older, idle smaller units to generate cash to either reduce debt, invest in technology that we believe will generate higher operating margins or invest in larger commercial units.
Their objective is to generate between $15 million and $25 million of free cash flow by early in the third quarter of 2021 to partially pay down the maturing $81 million of unsecured notes and to refinance the remaining amount.
For the full-year 2020, CSI Compressco expects capital expenditures of between 6 and $7 million, and maintenance capital expenditures of between 20 and $21 million.
Like TETRA, CSI Compressco continues to invest in technology to drive greater margins and enhance returns.
And this year, they expect to spend between 5 and $6 million.
Other than the $81 million of unsecured notes that are due August of 2022 for CSI Compressco, the $555 million of first and second lien bonds are not due until 2025 and 2026.
CSI Compressco's net leverage ratio at the end of September was 5.4 times.
This compares to over seven times during the prior downturn.
And as I've mentioned before, CSI Compressco does not have any maintenance covenants that they need to comply with.
And also, as mentioned earlier, CSI Compressco does not have any amounts drawn on the revolver.
CSI Compressco generated $14 million of free cash flow in the quarter.
And year-to-date, free cash flow is $24.7 million.
Distributable cash flow was $10.5 million in the third quarter, which increased by 25% as they benefited from the sale of used assets.
Through September, distributable cash flow was $27 million.
On an annualized basis, distributable cash flow will be $36.5 million or approximately $0.77 per common unit.
This compares to CSI Compressco's unit price at the close of business last week of $0.85, which is not a bad cash flow yield.
TETRA and CSI Compressco continued to perform well given the macro environment.
If all our segments remain EBITDA positive, both TETRA and CSI Compressco are generating free cash flow even without the benefit of monetizing working capital.
And other than $81 million of unsecured debt that is due August of 2022 for CSI Compressco, there are no near-term maturities.
Additionally, both TETRA and CSI Compressco have already filed their 10-Qs with the SEC.

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q3 revenue fell 21 percent to $153 million.
tetra technologies - q3 activity continued to decline from impacts of covid-19 while hurricanes in gulf of mexico added to this challenging environment.

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