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Mar 31, 2021

Liberty Energy Q1 2021 Earnings Report

Reported first quarter results, marked by revenue growth and strategic acquisition, while facing a net loss.

Key Takeaways

Liberty Oilfield Services Inc. reported a revenue of $552 million for Q1 2021, a 114% increase from the previous quarter. The company experienced a net loss of $39 million, or $0.21 loss per share, but Adjusted EBITDA increased to $32 million. The company completed its first full quarter post the OneStim® acquisition, enhancing its service offerings and geographic reach.

Revenue increased 114% to $552 million.

Net loss was $39 million, or $0.21 fully diluted loss per share.

Adjusted EBITDA reached $32 million.

Completed first full quarter after OneStim® acquisition, with integration progressing well.

Total Revenue
$552M
Previous year: $472M
+16.9%
EPS
-$0.17
Previous year: $0.02
-950.0%
Adjusted EBITDA
$32M
Previous year: $54M
-40.7%
Gross Profit
-$8.96M
Previous year: $34.8M
-125.7%
Cash and Equivalents
$69.5M
Previous year: $56.5M
+23.0%
Total Assets
$1.92B
Previous year: $1.3B
+47.6%

Liberty Energy

Liberty Energy

Forward Guidance

Liberty anticipates continued economic recovery and energy demand growth, supported by vaccine distribution and stimulus measures. The company expects improving pricing dynamics and a tighter market for next-generation equipment, leading to normalized margins in 2022.

Positive Outlook

  • Global economic growth expectations are increasingly constructive.
  • Energy demand has paralleled the economic recovery.
  • Tightening in oil supply and demand is developing.
  • E&P companies are maintaining capital discipline.
  • Frac industry underinvestment has accelerated attrition of older equipment.

Challenges Ahead

  • Risk driven by resurgent virus spread in India, Brazil and several European countries.
  • Potential reinstatement of containment measures in some regions.
  • Public E&P companies have reached roughly maintenance run-rate frac activity for 2021.
  • Market volatility and economic uncertainty persist.
  • The company experienced a net loss for the quarter.