Sep 30, 2022

Liberty Energy Q3 2022 Earnings Report

Announced strong third quarter financial and operational results driven by strategic plan execution and robust operational performance.

Key Takeaways

Liberty Energy Inc. reported a strong third quarter with revenue of $1.2 billion, a 26% sequential increase, and net income of $147 million, or $0.78 fully diluted earnings per share. The company successfully deployed additional fleets and repurchased 2.5% of outstanding shares, while also reinstating a quarterly cash dividend.

Revenue of $1.2 billion, increased 26% sequentially and 82% year-over-year

Net income was $147 million, or $0.78 fully diluted earnings per share

Adjusted EBITDA of $277 million, increased 41% sequentially

Repurchased 2.5% of outstanding shares at an average price of $14.89 per share, or $70 million in total

Total Revenue
$1.19B
Previous year: $654M
+81.7%
EPS
$0.78
Previous year: -$0.22
-454.5%
Adjusted EBITDA
$277M
Previous year: $32M
+765.6%
Gross Profit
$231M
Previous year: -$5.81M
-4076.3%
Cash and Equivalents
$24M
Previous year: $35M
-31.3%
Total Assets
$2.53B
Previous year: $1.97B
+28.4%

Liberty Energy

Liberty Energy

Forward Guidance

Liberty Energy anticipates relatively flat fourth quarter results compared to the third quarter, balancing incremental activity from prior fleet deployments with normal holiday and weather seasonality.

Positive Outlook

  • North American market is healthy across the energy value stream
  • Environment is strengthening balance sheets
  • Environment is beginning to restore investor confidence
  • Global energy consumer eyes focused on North America
  • North America is the largest and most reliable hydrocarbon supplier

Challenges Ahead

  • Rising interest rates
  • Elevated inflation levels
  • Chinese Covid lockdowns
  • OPEC+ preemptive cuts to production quotas
  • Impending sanctions on Russian seaborne crude