Fracking services firm ProFrac misses Q3 revenue expectations

Reuters11-10
Fracking services firm ProFrac misses Q3 revenue expectations

Overview

  • ProFrac Q3 revenue of $403 mln misses analyst expectations

  • Net loss for Q3 was $92 mln, an improvement from Q2's $107 mln loss

  • Adjusted EBITDA for Q3 was $41 mln, down from $79 mln in Q2

Outlook

  • ProFrac expects fourth-quarter activity levels to improve from third-quarter levels

  • Pricing in the fourth quarter expected to be lower than third quarter

  • ProFrac anticipates $85 to $115 mln annualized cash savings by mid-2026

Result Drivers

  • MARKET CONDITIONS - Challenging market conditions affected Q3 results, with mid-period improvement followed by a decline

  • COST SAVINGS - Co aims for $85 to $115 mln in annualized cash savings by mid-2026 through operational efficiency and asset optimization

  • STIMULATION SERVICES - Revenue in Stimulation Services segment fell to $343 mln in Q3 from $432 mln in Q2, impacting overall performance

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Miss

$403.10 mln

$460.04 mln (2 Analysts)

Q3 Net Income

-$92.40 mln

Q3 Operating Income

-$78.80 mln

Q3 Pretax Profit

-$112.60 mln

Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and 2 "sell" or "strong sell"

  • The average consensus recommendation for the oil related services and equipment peer group is "buy."

  • Wall Street's median 12-month price target for ProFrac Holding Corp is $4.50, about 11.8% below its November 7 closing price of $5.03

Press Release: ID:nBw5wGLDka

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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