ProFrac Holding Corp. has recently released its 10-Q report, providing a detailed look into its financial performance for the three and six months ended June 30, 2024. The company operates as a technology-focused energy services holding company in the United States, offering hydraulic fracturing, well stimulation, in-basin frac sand, and other completion services to upstream oil and natural gas companies. Additionally, it manufactures and sells a range of products such as high horsepower pumps, valves, piping, swivels, large-bore manifold systems, and fluid ends.
In the 10-Q report, ProFrac reported total revenue of $579.4 million for the three months ended June 30, 2024, representing a decrease of $129.8 million from the same period in 2023. For the six months ended June 30, 2024, total revenue was $1,160.9 million, reflecting a decrease of $405.8 million from the same period in 2023. The net loss attributable to ProFrac Holding Corp. for the three months ended June 30, 2024, was $66.7 million, and for the six months ended June 30, 2024, it was $64.9 million, both showing a decrease from the same periods in 2023. The net losses in 2024 included a pretax goodwill impairment charge of $67.7 million.
Cash provided by operating activities for the six months ended June 30, 2024, was $192.6 million, a decrease of $194.6 million from the same period in 2023. The total principal amount of long-term debt was $1,234.4 million at June 30, 2024, an increase of $126.5 million from December 31, 2023.
In terms of developments in 2024, ProFrac acquired all of the remaining equity interests of BPC, the parent company of FHE, which manufactures equipment used in the hydraulic fracturing industry. The company also acquired 100% of the issued and outstanding capital stock of AST, a pressure pumping services provider serving the Permian Basin, and 100% of the issued and outstanding common stock of NRG.
The report also delves into the breakdown of revenues by reportable segment, including stimulation services, proppant production, manufacturing, and other. It details the factors contributing to changes in revenues for each segment, as well as cost of revenues, selling, general and administrative expenses, depreciation, depletion, and amortization, acquisition and integration costs, goodwill impairment, and other operating expenses.
The report further provides insights into interest expense, gain (loss) on extinguishment of debt, other (expense) income, and income taxes. Lastly, it discusses the company's liquidity and capital resources, highlighting its primary sources of liquidity as cash flows from operations and availability under its revolving credit facility. Following these announcements, the company's shares moved -5.5%, and are now trading at a price of $5.77. If you want to know more, read the company's complete 10-Q report here.
