Mammoth Energy Services, Inc. Announces Third Quarter 2024 Operational and Financial Results

Core Viewpoint - Mammoth Energy Services reported a significant decline in revenue and increased net loss for Q3 2024, but anticipates a rebound in the fourth quarter due to improved market conditions and plans to invest in its divisions after becoming debt-free [2][3]. Financial Overview - Total revenue for Q3 2024 was $40.0 million, down from$65.0 million in Q3 2023 [3][21]. - The net loss for Q3 2024 was $24.0 million, or$0.50 loss per diluted share, compared to a net loss of $1.1 million, or$0.02 loss per diluted share, in the same quarter last year [3][22]. - Adjusted EBITDA for Q3 2024 was ($6.4) million, compared to$13.4 million for Q3 2023 [3]. Segment Performance Well Completion Services - Revenue from the well completion services division was $2.2 million in Q3 2024, down from$20.3 million in Q3 2023, with no active pressure pumping fleets during the quarter [4]. Infrastructure Services - The infrastructure services division generated $26.0 million in revenue for Q3 2024, slightly down from$26.7 million in Q3 2023, with an average crew count of 77 compared to 81 in the previous year [5]. Natural Sand Proppant Services - Revenue from natural sand proppant services was $4.9 million in Q3 2024, down from$10.6 million in Q3 2023, with sales of approximately 163,000 tons at an average price of $22.89 per ton [6]. Drilling Services - The drilling services division contributed$1.6 million in revenue for Q3 2024, compared to $2.3 million in Q3 2023 [7]. Other Services - Other services, including aviation and equipment rentals, generated$7.0 million in revenue for Q3 2024, up from $6.0 million in Q3 2023 [7]. Expenses and Liquidity - Selling, general and administrative expenses were$8.7 million for Q3 2024, down from 10.4 million in Q3 2023, with SG&A expenses as a percentage of total revenue increasing to 22% from 16% [8]. - Interest expense and financing charges for Q3 2024 were 9.7 million, compared to $2.9 million in Q3 2023 [9]. - As of September 30, 2024, the company had unrestricted cash of$4.2 million and total liquidity of $17.9 million [9]. Future Outlook - The CEO expressed optimism about a market rebound in Q4 2024 and plans to invest in both Infrastructure Services and Well Completion Services divisions, including upgrading equipment to more efficient technology [2].