Loading...
•
Jun 30, 2024
ProPetro Q2 2024 Earnings Report
ProPetro's financial performance declined due to customer delays and pricing pressure, but free cash flow generation remained strong and strategic initiatives, including fleet optimization and acquisitions, progressed.
Key Takeaways
ProPetro reported a decrease in revenue and a net loss for Q2 2024, impacted by customer delays and pricing pressures. However, the company maintained strong free cash flow generation and continued to advance its strategic initiatives, including the transition to electric fleets and opportunistic acquisitions.
Total revenue decreased by 12% compared to the prior quarter, reaching $357 million.
Net loss was $4 million, a shift from the prior quarter's net income of $20 million.
Adjusted EBITDA was $66 million, representing 19% of revenue, and decreased by 29% compared to the prior quarter.
Free cash flow was $48 million, supported by net cash provided by operating activities of $105 million.
Revenue by Segment
Forward Guidance
ProPetro anticipates the second half of the year to mirror the first half, expecting resilient earnings due to strong demand for electric equipment and continued integration of recent acquisitions. The company will persist in evaluating opportunities to improve financial returns and competitiveness, while focusing on operational excellence and technology adoption.
Positive Outlook
- Demand for FORCESM electric equipment continues to outstrip current supply.
- Continued integration of recent acquisitions should support more resilient earnings.
- Strong balance sheet and steady free cash flow generation.
- Excellent progress on all strategic priorities.
- Company will continue to evaluate opportunities to further enhance financial returns and the overall competitiveness of our offering.
Challenges Ahead
- Second quarter results reflect a remarkable turnaround unfolding at ProPetro, one of reliable free cash flow generation.
- Revenues and profitability were impacted by some customer delays and pricing pressures predominantly on Tier II diesel frac fleets.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...