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ProFrac Holding Corp. Reports 2023 Full Year and Fourth Quarter Financial and Operational Results
ACDCProFrac (ACDC) Prnewswire·2024-03-13 10:00

Core Viewpoint - ProFrac Holding Corp. reported a decline in net income for 2023, with total revenue increasing to 2.63billionbutanetlossof2.63 billion but a net loss of 59 million compared to a net income of 343millionin2022.Thecompanyaimstoenhanceitspositionintheoilfieldservicesindustrythroughstrategicinitiativesandimprovedoperationalefficienciesin2024[2][3][4].FinancialPerformance−Totalrevenuefor2023was343 million in 2022. The company aims to enhance its position in the oilfield services industry through strategic initiatives and improved operational efficiencies in 2024 [2][3][4]. Financial Performance - Total revenue for 2023 was 2.63 billion, up from 2.43billionin2022[2].−Thenetlossfor2023was2.43 billion in 2022 [2]. - The net loss for 2023 was 59 million, a significant decline from a net income of 343millionin2022[2].−AdjustedEBITDAfor2023was343 million in 2022 [2]. - Adjusted EBITDA for 2023 was 688 million [2]. - Net cash provided by operating activities was 554million,withcapitalexpenditurestotaling554 million, with capital expenditures totaling 267 million [2]. - Free cash flow increased by 173% to 293millioncomparedto2022[2].QuarterlyResults−InQ42023,totalrevenuewas293 million compared to 2022 [2]. Quarterly Results - In Q4 2023, total revenue was 489 million, down from 574millioninQ32023[3].−ThenetlossforQ4was574 million in Q3 2023 [3]. - The net loss for Q4 was 97 million, compared to a net loss of 18millioninQ32023[3].−AdjustedEBITDAforQ4was18 million in Q3 2023 [3]. - Adjusted EBITDA for Q4 was 110 million [3]. - Free cash flow for Q4 was 13million[3].StrategicInitiatives−Thecompanyhasfocusedonthreestrategicpriorities:enhancingservicequality,improvingutilization,andachievingthelowestoperatingcostsintheindustry[4].−ProFrachasincreaseditsfleetcountandimprovedpumpingefficiencies,achievingnearly2013 million [3]. Strategic Initiatives - The company has focused on three strategic priorities: enhancing service quality, improving utilization, and achieving the lowest operating costs in the industry [4]. - ProFrac has increased its fleet count and improved pumping efficiencies, achieving nearly 20% higher pumping hours per active fleet in early 2024 compared to the 2023 average [5]. Business Segment Performance - The Stimulation Services segment generated 2.29 billion in revenue for 2023, with an Adjusted EBITDA of 480million[7].−TheProppantProductionsegmentgenerated480 million [7]. - The Proppant Production segment generated 383 million in revenue for 2023, resulting in 196millionofAdjustedEBITDA[8].−TheManufacturingsegmentgenerated196 million of Adjusted EBITDA [8]. - The Manufacturing segment generated 176 million in revenue for 2023, with an Adjusted EBITDA of 15million[8].−OtherBusinessActivitiesgenerated15 million [8]. - Other Business Activities generated 193 million in revenue for 2023, resulting in a negative Adjusted EBITDA of 1.6million[9].CapitalExpendituresandOutlook−Totalcapitalexpendituresfor2023were1.6 million [9]. Capital Expenditures and Outlook - Total capital expenditures for 2023 were 267 million, a 25% reduction from 2022 [10]. - For 2024, the company expects capital expenditures between 150millionand150 million and 200 million for maintenance and an additional 100millionforgrowthinitiatives[10].−ThecompanyanticipatesmodestimprovementinmineutilizationandpricingintheProppantProductionsegmentinearly2024[6].BalanceSheetandLiquidity−AsofDecember31,2023,totalnetdebtwas100 million for growth initiatives [10]. - The company anticipates modest improvement in mine utilization and pricing in the Proppant Production segment in early 2024 [6]. Balance Sheet and Liquidity - As of December 31, 2023, total net debt was 1.08 billion, an increase of approximately 27millionfromQ32023[11].−Totalcashandcashequivalentswere27 million from Q3 2023 [11]. - Total cash and cash equivalents were 25 million, with $103 million in liquidity available [11].