3Q 2020 Earnings October 2020 Forward Looking and Cautionary Statements Forward-Looking Statements The information in this investor presentation of Mammoth Energy Services, Inc. ("Mammoth" or "Mammoth Energy") includes "forward-looking statements." All statements, other than statements of historical facts that address activities, events or developments that Mammoth expects, believes or anticipates will or may occur in the future are forward-looking statements. The words "anticipate," "believe," "ensure," "e ...

Financial Data and Key Metrics Changes - Operating cash flows for the first half of 2020 were positive at $7 million, with debt remaining relatively flat at $89 million and cash increasing by $5 million to $18 million [19][20] - Capital expenditures (CapEx) during Q2 2020 were approximately $3 million, with a total of $4 million spent in the first half of the year, and the full-year CapEx budget is expected to be $10 million [19] Business Line Data and Key Metrics Changes - The infrastructure division, excluding Puerto Rico operations, achieved a gross margin of 17% in Q2 2020, with EBITDA growing nearly 50% per quarter over the past two quarters when excluding interest on the PREPA receivable [13] - The oilfield service segment faced challenges due to fluctuating oil prices, with 658 stages pumped using an average of 1.9 fleets during Q2 2020 [16][17] Market Data and Key Metrics Changes - The operating environment for the oilfield services remains challenged, with oil prices impacted by the COVID-19 pandemic, although prices have stabilized but remain below historical norms [16] - The infrastructure business is positioned for growth, with a diverse customer base and ongoing bidding opportunities [14] Company Strategy and Development Direction - The company is focusing on diversifying its operations away from the cyclicality of oil and gas, with plans to expand into engineering and manufacturing to bid for EPC (engineering, procurement, and construction) contracts [15][25] - There is a strong emphasis on renewable energy projects, with the company exploring opportunities in solar energy, which is expected to see significant growth in the coming years [25] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, highlighting the positive performance of the infrastructure business and the potential for growth despite current challenges in the oilfield market [42][43] - The management team is confident in their ability to continue growing revenue and improving margins in the infrastructure segment, despite disruptions caused by COVID-19 [31][32] Other Important Information - The company has been pursuing avenues to collect outstanding payments related to its work in Puerto Rico, with a recent RAND report validating the reasonableness of their procurement process and rates charged [8][11] Q&A Session Summary Question: Progression of infrastructure business into the second half of 2020 - Management indicated that they are moving towards larger EPC projects and are optimistic about growth in the infrastructure segment, particularly in renewables [24][25] Question: Outlook for margins in the infrastructure side - Management noted that EBITDA margins for the infrastructure segment were approximately 8.5% in Q2 and expect continued improvement in Q3 and Q4 [30] Question: Ability to grow revenue in the second half of the year - Management confirmed that they have the ability to grow revenue, with successful bidding on contracts contributing to revenue stabilization [31] Question: Update on take-or-pay contracts and sand business - Management stated that take-or-pay contracts remain in force and they have negotiated cost savings in their sand business, which should help improve competitiveness [34][36] Question: Outlook for fleet activity in the third quarter - Management indicated that Q3 is expected to have flat activity levels compared to Q2 [38]

PART I. FINANCIAL INFORMATION [Item 1. Condensed Consolidated Financial Statements (Unaudited)](index=12&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) The company reported a net loss of **$15.2 million** in Q2 2020 and **$99.2 million** for the six months, primarily due to **$67.9 million** in asset impairments, while operating cash flow improved significantly Condensed Consolidated Balance Sheet Data (in thousands of USD) | Account | June 30, 2020 | December 31, 2019 | | :--- | :--- | :--- | | **Total current assets** | $418,702 | $406,980 | | Property, plant and equipment, net | $293,150 | $352,772 | | Goodwill | $12,608 | $67,581 | | **Total assets** | **$838,470** | **$952,385** | | **Total current liabilities** | $111,737 | $130,397 | | Long-term debt | $89,250 | $80,000 | | **Total liabilities** | **$268,405** | **$283,644** | | **Total equity** | **$570,065** | **$668,741** | Condensed Consolidated Statement of Comprehensive (Loss) Income (in thousands of USD, except per share amounts) | Metric | Three Months Ended June 30, 2020 | Three Months Ended June 30, 2019 | Six Months Ended June 30, 2020 | Six Months Ended June 30, 2019 | | :--- | :--- | :--- | :--- | :--- | | **Total revenue** | $60,109 | $181,820 | $157,492 | $443,958 | | Operating (loss) income | $(26,486) | $(25,795) | $(115,532) | $1,361 | | **Net (loss) income** | **$(15,205)** | **$(10,889)** | **$(99,176)** | **$17,444** | | Net (loss) income per share (diluted) | $(0.33) | $(0.24) | $(2.18) | $0.39 | - For the six months ended June 30, 2020, the company recorded significant impairment charges, including **$55.0 million** for goodwill and **$12.9 million** for other long-lived assets, which were not present in the same period of 2019[21](index=21&type=chunk)[24](index=24&type=chunk) Condensed Consolidated Statement of Cash Flows (in thousands of USD) | Cash Flow Activity | Six Months Ended June 30, 2020 | Six Months Ended June 30, 2019 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $6,834 | $(101,855) | | Net cash used in investing activities | $(1,880) | $(28,435) | | Net cash provided by financing activities | $7,336 | $69,825 | | **Net change in cash and cash equivalents** | **$12,153** | **$(60,380)** | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=47&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the significant revenue decline and net loss to the COVID-19 pandemic and depressed commodity prices, leading to cost reductions, service line shutdowns, and significant credit risks from large receivables, yet liquidity is deemed sufficient [Recent Developments and Industry Overview](index=47&type=section&id=Recent%20Developments%20and%20Industry%20Overview) The company's performance was severely impacted by the COVID-19 pandemic and oil price drops, leading to cost-cutting, service line shutdowns, challenges with the PREPA contract, and an oversupplied natural sand proppant market - The company has taken mitigating steps to preserve liquidity in response to the COVID-19 pandemic and depressed commodity markets, including reducing headcount, adjusting pay, and limiting spending[163](index=163&type=chunk) - As of June 30, 2020, PREPA owed the company approximately **$227 million** for services, excluding interest, with collection dependent on FEMA funding due to PREPA's bankruptcy proceedings[166](index=166&type=chunk) - In response to adverse market conditions, the company has temporarily shut down several oilfield service lines, including cementing, acidizing, flowback, contract drilling, rig hauling, coil tubing, and full service transportation operations[171](index=171&type=chunk) - The natural sand proppant market is oversupplied, causing pricing to fall significantly, with two of the company's three sand facilities idled or running at approximately **10% capacity**[175](index=175&type=chunk)[176](index=176&type=chunk) [Results of Operations](index=52&type=section&id=Results%20of%20Operations) Q2 2020 total revenue plummeted **67%** to **$60 million**, with a **$26 million** operating loss, while six-month revenue fell **65%** to **$157 million**, resulting in a **$116 million** operating loss due to significant impairment charges Revenue by Segment - Three Months Ended June 30 (in thousands of USD) | Segment | 2020 | 2019 | % Change | | :--- | :--- | :--- | :--- | | Infrastructure services | $30,579 | $41,821 | -27% | | Pressure pumping services | $16,571 | $84,641 | -80% | | Natural sand proppant services | $6,237 | $40,393 | -85% | | Drilling services | $1,275 | $7,657 | -83% | | **Total Revenue (Consolidated)** | **$60,109** | **$181,820** | **-67%** | Revenue by Segment - Six Months Ended June 30 (in thousands of USD) | Segment | 2020 | 2019 | % Change | | :--- | :--- | :--- | :--- | | Infrastructure services | $56,285 | $150,542 | -63% | | Pressure pumping services | $60,192 | $176,780 | -66% | | Natural sand proppant services | $16,486 | $78,254 | -79% | | Drilling services | $6,054 | $21,452 | -72% | | **Total Revenue (Consolidated)** | **$157,492** | **$443,958** | **-65%** | - For the six months ended June 30, 2020, the company recorded impairment expenses of **$55 million** for goodwill and **$13 million** for other long-lived assets, which significantly contributed to the operating loss of **$116 million**[218](index=218&type=chunk)[219](index=219&type=chunk)[220](index=220&type=chunk) [Non-GAAP Financial Measures](index=61&type=section&id=Non-GAAP%20Financial%20Measures) Consolidated Adjusted EBITDA decreased to **$6.9 million** in Q2 2020 and **$20.3 million** for the six months, reflecting reduced operational activity, while Adjusted Net Loss for the six months was **$31.3 million** after excluding impairments Consolidated Adjusted EBITDA Reconciliation (in thousands of USD) | Metric | Three Months Ended June 30, 2020 | Three Months Ended June 30, 2019 | Six Months Ended June 30, 2020 | Six Months Ended June 30, 2019 | | :--- | :--- | :--- | :--- | :--- | | Net (loss) income | $(15,205) | $(10,889) | $(99,176) | $17,444 | | **Adjusted EBITDA** | **$6,897** | **$8,573** | **$20,349** | **$91,329** | Adjusted Net (Loss) Income Reconciliation (in thousands of USD) | Metric | Six Months Ended June 30, 2020 | Six Months Ended June 30, 2019 | | :--- | :--- | :--- | | Net (loss) income, as reported | $(99,176) | $17,444 | | Impairment of goodwill | $54,973 | $— | | Impairment of other long-lived assets | $12,897 | $— | | **Adjusted net (loss) income** | **$(31,306)** | **$17,444** | [Liquidity and Capital Resources](index=64&type=section&id=Liquidity%20and%20Capital%20Resources) As of June 30, 2020, the company had **$18.0 million** cash and **$18.5 million** available credit, with operating cash flow improving to **$6.8 million** and capital expenditures significantly reduced, though future liquidity depends on receivable collections - As of July 29, 2020, the company had **$16 million** in cash and **$20 million** of available borrowing capacity under its revolving credit facility[238](index=238&type=chunk) - The company has reduced its 2020 capital expenditure estimate to a maximum of **$10 million**, a significant decrease from prior spending levels[252](index=252&type=chunk) - The board of directors suspended the quarterly cash dividend in July 2019 due to market conditions and collection delays from PREPA[236](index=236&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=69&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to significant market risks from volatile oil and natural gas prices, exacerbated by COVID-19, interest rate risk on its variable-rate debt, foreign currency risk from Canadian operations, and substantial customer credit risk from large receivables with uncertain collectability - The company's business is highly dependent on the volatile oil and natural gas industry, with the COVID-19 pandemic and commodity price drops in 2020 adversely affecting pricing and utilization for its oilfield services[259](index=259&type=chunk)[260](index=260&type=chunk) - The company has interest rate risk on its **$89 million** of borrowings under its revolving credit facility, where a **1%** change in interest rates would affect annual interest expense by approximately **$1 million**[263](index=263&type=chunk) - Significant customer credit risk exists due to large receivable balances from customers involved in legal disputes or bankruptcy proceedings, which could adversely affect financial results if not collected[265](index=265&type=chunk) [Item 4. Controls and Procedures](index=70&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of June 30, 2020, with no material changes to internal control over financial reporting during the quarter - Based on an evaluation as of June 30, 2020, the Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures are effective[268](index=268&type=chunk) - No material changes to the company's internal control over financial reporting occurred during the quarter ended June 30, 2020[269](index=269&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=71&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings, including class action lawsuits, derivative lawsuits, government investigations, and disputes with PREPA and Gulfport, as detailed in Note 18 of the financial statements - The company is involved in various legal proceedings, which are detailed in Note 18 of the financial statements, including disputes with PREPA and Gulfport, class action lawsuits, and government investigations[130](index=130&type=chunk)[135](index=135&type=chunk)[137](index=137&type=chunk)[142](index=142&type=chunk) [Item 1A. Risk Factors](index=71&type=section&id=Item%201A.%20Risk%20Factors) Existing risk factors remain consistent with prior disclosures, but their negative impacts may be heightened or exacerbated by the ongoing COVID-19 pandemic and its economic repercussions - The company states that existing risk factors may be heightened or exacerbated by the COVID-19 pandemic and its economic consequences[272](index=272&type=chunk) [Item 4. Mine Safety Disclosures](index=71&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) The company's sand mining operations are subject to federal mine safety regulations, with required disclosures provided in Exhibit 95.1 of this report - The company's mining operations are subject to federal mine safety regulations, and required disclosures are provided in Exhibit 95.1[274](index=274&type=chunk)

2Q 2020 Earnings Presentation July 2020 Forward Looking and Cautionary Statements Forward-Looking Statements The information in this investor presentation of Mammoth Energy Services, Inc. ("Mammoth" or "Mammoth Energy") includes "forward-looking statements." All statements, other than statements of historical facts that address activities, events or developments that Mammoth expects, believes or anticipates will or may occur in the future are forward-looking statements. The words "anticipate," "believe," "e ...

Mammoth Energy Services, Inc. (NASDAQ:TUSK) Q1 2020 Results Conference Call May 11, 2020 4:00 PM ET Company Participants Don Crist - Director-Investor Relations Arty Straehla - Chief Executive Officer Mark Layton - Chief Financial Officer Conference Call Participants Daniel Burke - Johnson Rice Stephen Gengaro - Stifel Tommy Moll - Stephens Operator Good day, ladies and gentlemen, and welcome to the Mammoth Energy Services First Quarter 2020 Earnings Conference Call. At this time, all participants are in li ...

1Q 2020 Earnings Presentation May 2020 Forward Looking and Cautionary Statements Forward-Looking Statements The information in this investor presentation of Mammoth Energy Services, Inc. ("Mammoth" or "Mammoth Energy") includes "forward-looking statements." All statements, other than statements of historical facts that address activities, events or developments that Mammoth expects, believes or anticipates will or may occur in the future are forward-looking statements. The words "anticipate," "believe," "en ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2020 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO Commission File No. 001-37917 Mammoth Energy Services, Inc. (Exact name of registrant as specified in its charter) Delaware 32-0498321 (State or other jurisdiction of incorporatio ...

Part I [Business](index=8&type=section&id=Item%201.%20Business) Mammoth Energy Services is an integrated company serving North American electric utility and oil and gas industries, strategically shifting towards broader industrial focus - The company operates through four reportable segments: infrastructure, pressure pumping, natural sand proppant, and drilling services, with drilling newly designated in 2019[27](index=27&type=chunk) - In Q4 2019, the company initiated a strategic shift towards a broader industrial focus by starting infrastructure engineering and oilfield equipment manufacturing operations[24](index=24&type=chunk) - Customer concentration is high, with the top five customers accounting for **53% of revenue in 2019**, including PREPA (**15%**) and Gulfport Energy Corporation (**20%**)[26](index=26&type=chunk)[95](index=95&type=chunk) [Our Services](index=9&type=section&id=Item%201.%20Business%20-%20Our%20Services) The company offers diverse services including electrical grid work, hydraulic fracturing, and frac sand mining, with some operations temporarily suspended due to market conditions - The company's substantial revenue-generating work for PREPA in Puerto Rico concluded on **March 31, 2019**, with PREPA owing approximately **$227 million** for services plus **$42 million** in interest as of December 31, 2019[29](index=29&type=chunk)[30](index=30&type=chunk) - The company owns six pressure pumping fleets with an aggregate capacity of **291,750 horsepower**, but a long-term contract with key customer Gulfport is currently under dispute[34](index=34&type=chunk)[37](index=37&type=chunk)[44](index=44&type=chunk) - Due to market conditions, the company temporarily shut down flowback, cementing, and acidizing operations in July 2019, and contract land drilling operations in December 2019[50](index=50&type=chunk)[62](index=62&type=chunk)[71](index=71&type=chunk) [Our Industries](index=15&type=section&id=Item%201.%20Business%20-%20Our%20Industries) The company operates in the Electric Infrastructure, Oil and Natural Gas, and Natural Sand Proppant industries, all subject to distinct market dynamics and volatility - The frac sand market became oversupplied in the second half of 2019 due to new capacity additions and customer capital discipline, leading to significant price drops and mine idling[86](index=86&type=chunk) - Demand for oil and gas services weakened in Q3 and Q4 2019 due to customer budget exhaustion and capital discipline, despite relatively stable oil prices throughout the year[79](index=79&type=chunk)[80](index=80&type=chunk) [Our Strengths and Business Strategy](index=19&type=section&id=Item%201.%20Business%20-%20Our%20Strengths%20and%20Business%20Strategy) The company leverages long-term customer relationships and strategic positioning, aiming to expand through accretive acquisitions and maintain a conservative balance sheet - A key strategy is to expand through selective, accretive acquisitions, primarily focusing on infrastructure services, completion and production services, and industrial-based companies[93](index=93&type=chunk) - The company aims to capitalize on activity in unconventional resource plays like the Utica Shale, SCOOP/STACK, and Permian Basin by strategically deploying specialized equipment and personnel[90](index=90&type=chunk)[97](index=97&type=chunk) [Marketing, Customers, and Backlog](index=21&type=section&id=Item%201.%20Business%20-%20Marketing%2C%20Customers%2C%20and%20Backlog) The company serves approximately 590 customers with significant concentration, and its infrastructure services backlog is substantial but largely non-binding Top Customer Revenue Concentration | Year | Top 5 Customers' % of Revenue | PREPA % of Revenue | Gulfport % of Revenue | | :--- | :--- | :--- | :--- | | 2019 | 53% | 15% | 20% | | 2018 | 77% | 60% | 8% | | 2017 | 71% | 29% | 30% | - As of December 31, 2019, the infrastructure services backlog was **$490 million**, entirely from continental U.S. operations, with an estimated **$148 million** to be realized in 2020[96](index=96&type=chunk) - Approximately **$479 million** of the backlog is from master service agreements where customers are not contractually committed to minimum service purchases and can often be canceled on short notice[97](index=97&type=chunk) [Regulation](index=23&type=section&id=Item%201.%20Business%20-%20Regulation) The company's operations are subject to extensive regulations, including transportation, environmental, and mine safety, with hydraulic fracturing facing increasing scrutiny - The company's trucking operations are subject to DOT and FMCSA regulations, holding a "satisfactory" rating as of December 31, 2019[112](index=112&type=chunk)[114](index=114&type=chunk) - Hydraulic fracturing faces increased public and regulatory scrutiny, with federal agencies asserting authority and potential legislative proposals to restrict or increase costs[132](index=132&type=chunk)[138](index=138&type=chunk) - The Mine Safety and Health Administration (MSHA) has primary jurisdiction over the company's commercial silica operations, conducting at least two annual inspections of its production facilities[139](index=139&type=chunk) [Risk Factors](index=30&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks from high customer concentration, particularly the PREPA non-payment and Gulfport dispute, alongside government investigations and industry cyclicality - A significant risk is the potential non-collection of approximately **$227 million** (plus **$42 million** in interest) owed by PREPA, which is in bankruptcy, with recovery efforts currently stayed by the court[148](index=148&type=chunk)[150](index=150&type=chunk) - The company is under investigation by the SEC and DOJ related to its PREPA contracts, following a criminal indictment against a former subsidiary president, leading to multiple class action and derivative lawsuits[152](index=152&type=chunk)[153](index=153&type=chunk)[154](index=154&type=chunk) - Gulfport, a major customer, filed a lawsuit in December 2019 seeking to terminate its pressure pumping contract and recover alleged damages, which could materially impact the segment[159](index=159&type=chunk) - The company amended its revolving credit facility on **February 26, 2020**, to avoid a potential breach of financial covenants that could have occurred as early as Q1 2020[161](index=161&type=chunk)[162](index=162&type=chunk) [Unresolved Staff Comments](index=56&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments from the SEC - None[278](index=278&type=chunk) [Properties](index=57&type=section&id=Item%202.%20Properties) The company's corporate headquarters are in Oklahoma City, with owned and leased properties, and key natural sand proppant facilities in Wisconsin with significant capacity and reserves Sand Production Facility Rated Capacity (as of Dec 31, 2019) | Plant Location | Annual Rated Dry Plant Capacity (Thousands of Tons) | | :--- | :--- | | Taylor (Jackson County, WI) | 2,190 | | Piranha (Barron County, WI) | 2,628 | | Muskie (Pierce County, WI) | 876 | | **Total** | **5,694** | Estimated Proven Sand Reserves (Thousands of Tons) | Mine Location | Dec 31, 2019 | Dec 31, 2018 | | :--- | :--- | :--- | | Taylor (Jackson County, WI) | 25,121 | 26,325 | | Piranha (Barron County, WI) | 41,001 | 42,358 | | **Total** | **66,122** | **68,683** | - Due to adverse market conditions, production at the Muskie facility in Pierce County, Wisconsin has been temporarily idled since September 2018[286](index=286&type=chunk) [Legal Proceedings](index=59&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in several significant investigations and legal proceedings, including those related to PREPA contracts and a dispute with Gulfport Energy - The company is involved in significant legal proceedings and investigations related to its contracts with PREPA and a contract dispute with Gulfport, as detailed in Item 1A and Note 20 of the report[295](index=295&type=chunk) [Mine Safety Disclosures](index=60&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) The company's mining operations are subject to the Federal Mine Safety and Health Act of 1977, with required disclosures included in Exhibit 95.1 - The company's operations are subject to stringent health and safety standards from the Mine Safety and Health Administration (MSHA)[298](index=298&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=61&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on Nasdaq, but quarterly dividends were suspended in July 2019 due to market conditions and PREPA collection issues, with no equity repurchases Cash Dividends Paid Per Share | Year | Total Dividends Paid (in thousands) | Per Share | | :--- | :--- | :--- | | 2019 | $11,219 | $0.25 | | 2018 | $11,201 | $0.25 | - In July 2019, the board of directors suspended the quarterly cash dividend due to oilfield market conditions and challenges with collecting payments from PREPA[304](index=304&type=chunk) [Selected Financial Data](index=62&type=section&id=Item%206.%20Selected%20Financial%20Data) The company's financial performance shows significant volatility, with revenue peaking in 2018 at **$1.69 billion** before falling to **$625 million** in 2019, resulting in a net loss and increased long-term debt Selected Historical Financial Data (in thousands, except per share data) | Metric | 2019 | 2018 | 2017 | 2016 | 2015 | | :--- | :--- | :--- | :--- | :--- | :--- | | **Total Revenue** | $625,012 | $1,690,084 | $691,496 | $230,625 | $367,937 | | **Operating (Loss) Income** | $(128,383) | $394,451 | $62,771 | $(34,630) | $(15,773) | | **Net (Loss) Income** | $(79,044) | $235,965 | $58,964 | $(92,453) | $(21,820) | | **Net (Loss) Income per Share (diluted)** | $(1.76) | $5.24 | $1.42 | $(2.94) | $(0.73) | | **Cash flows from operations** | $(95,318) | $386,668 | $57,616 | $29,689 | $69,639 | | **Total Assets** | $952,385 | $1,073,091 | $867,243 | $502,362 | $536,412 | | **Long-term Debt** | $80,000 | $0 | $99,900 | $0 | $95,000 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=65&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the 2019 financial downturn to the end of the PREPA contract and oil and gas market weakness, leading to a net loss, impairments, and credit facility amendments [Results of Operations](index=70&type=section&id=Item%207.%20MD%26A%20-%20Results%20of%20Operations) Total revenue decreased by **$1.1 billion** (63%) from 2018 to 2019, primarily due to the PREPA contract ending, leading to an operating loss and significant impairment charges Revenue by Segment (2019 vs. 2018, in thousands) | Segment | 2019 | 2018 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Infrastructure services | $214,449 | $1,082,371 | $(867,922) | -80% | | Pressure pumping services | $246,350 | $369,492 | $(123,142) | -33% | | Natural sand proppant services | $99,590 | $168,275 | $(68,685) | -41% | | Drilling services | $32,226 | $66,653 | $(34,427) | -52% | | **Total Revenue** | **$625,012** | **$1,690,084** | **$(1,065,072)** | **-63%** | - The company recorded impairment charges of **$33.7 million** for goodwill and **$7.4 million** for other long-lived assets in 2019, compared to **$3.2 million** and **$5.7 million**, respectively, in 2018[364](index=364&type=chunk)[365](index=365&type=chunk) - Other income increased significantly in 2019 due to the recognition of **$42 million** in interest on delinquent trade accounts receivable from PREPA[367](index=367&type=chunk) [Non-GAAP Financial Measures](index=77&type=section&id=Item%207.%20MD%26A%20-%20Non-GAAP%20Financial%20Measures) The company uses Adjusted EBITDA and Adjusted Net Income as supplemental non-GAAP measures, both showing sharp declines in 2019 reflecting severe operating performance Reconciliation of Net (Loss) Income to Adjusted EBITDA (in thousands) | Line Item | 2019 | 2018 | 2017 | | :--- | :--- | :--- | :--- | | **Net (loss) income** | **$(79,044)** | **$235,965** | **$58,964** | | Depreciation, depletion, amortization & accretion | $117,033 | $119,877 | $92,124 | | Impairment of goodwill & other long-lived assets | $41,022 | $8,855 | $4,146 | | Interest on delinquent accounts receivable | $42,040 | $0 | $0 | | Other adjustments | $(43,768) | $82,571 | $10,054 | | **Adjusted EBITDA** | **$77,283** | **$547,268** | **$165,288** | Adjusted Net (Loss) Income (in thousands) | Metric | 2019 | 2018 | | :--- | :--- | :--- | | Net (Loss) Income, as reported | $(79,044) | $235,965 | | Adjustments (Impairment, Equity Comp) | $41,022 | $26,342 | | **Adjusted Net (Loss) Income** | **$(38,022)** | **$262,307** | [Liquidity and Capital Resources](index=81&type=section&id=Item%207.%20MD%26A%20-%20Liquidity%20and%20Capital%20Resources) Liquidity tightened significantly in 2019, with cash dropping and net cash used in operations, leading to a credit facility amendment and reduced capital expenditures for 2020 - On **February 26, 2020**, the company amended its revolving credit facility to avoid a potential covenant breach, reducing the maximum borrowing amount to **$130 million** while providing more flexible covenants[415](index=415&type=chunk)[416](index=416&type=chunk) Capital Expenditures by Segment (in thousands) | Segment | 2019 | 2018 | 2017 | | :--- | :--- | :--- | :--- | | Infrastructure services | $5,643 | $100,701 | $20,144 | | Pressure pumping services | $14,703 | $33,774 | $85,853 | | Natural sand proppant services | $2,877 | $17,935 | $16,376 | | Drilling services | $3,156 | $13,398 | $8,927 | | Other | $9,382 | $26,135 | $2,553 | | **Total** | **$35,761** | **$191,943** | **$133,853** | Contractual Obligations as of Dec 31, 2019 (in thousands) | Obligation Type | Total | Less than 1 year | 1-3 Years | 3-5 Years | | :--- | :--- | :--- | :--- | :--- | | Long-term debt | $80,000 | $0 | $0 | $80,000 | | Operating lease obligations | $46,831 | $17,948 | $21,928 | $6,074 | | Purchase commitments | $25,245 | $24,416 | $821 | $8 | [Critical Accounting Policies and Estimates](index=87&type=section&id=Item%207.%20MD%26A%20-%20Critical%20Accounting%20Policies%20and%20Estimates) Management identifies several critical accounting policies requiring significant estimates and judgments, including allowance for doubtful accounts, impairment assessments, and revenue recognition - A significant estimate is the allowance for doubtful accounts, especially given the **$227 million** receivable from PREPA, which is in bankruptcy, though the company believes the amount is collectible[442](index=442&type=chunk)[550](index=550&type=chunk) - The company tests goodwill for impairment annually and long-lived assets when triggering events occur, with these tests relying on uncertain estimates of future undiscounted cash flows and fair value[444](index=444&type=chunk)[445](index=445&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=90&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to commodity price risk, interest rate risk through its revolving credit facility, and minor foreign currency risk from its Canadian operations - The company has interest rate risk on its **$80 million** of outstanding debt under its credit facility, where a **1%** change in interest rates would impact annual interest expense by approximately **$1 million**[456](index=456&type=chunk) - The company is exposed to foreign currency risk from its Canadian remote accommodation business, which generates revenue and incurs expenses in Canadian dollars[457](index=457&type=chunk) [Financial Statements and Supplementary Data](index=91&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section indicates that the company's audited consolidated financial statements and supplementary data are included in the report, beginning on page F-1 - The required financial statements and supplementary data are located starting on page F-1 of the report[461](index=461&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=91&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - Not applicable[462](index=462&type=chunk) [Controls and Procedures](index=91&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded the company's disclosure controls and procedures were effective as of December 31, 2019, with no material changes to internal control over financial reporting - Management concluded that the company's disclosure controls and procedures were effective as of December 31, 2019[464](index=464&type=chunk) - The independent auditor, Grant Thornton LLP, issued an unqualified opinion on the effectiveness of the company's internal control over financial reporting as of December 31, 2019[469](index=469&type=chunk)[471](index=471&type=chunk) [Other Information](index=94&type=section&id=Item%209B.%20Other%20Information) The company reports no other information for this item - Not applicable[478](index=478&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=95&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information regarding directors, executive officers, and corporate governance is incorporated by reference from the company's definitive Proxy Statement for the 2020 Annual Meeting of Stockholders [Executive Compensation](index=95&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive compensation is incorporated by reference from the company's definitive Proxy Statement for the 2020 Annual Meeting of Stockholders [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=95&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information regarding security ownership is incorporated by reference from the company's definitive Proxy Statement for the 2020 Annual Meeting of Stockholders [Certain Relationships and Related Transactions, and Director Independence](index=95&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information regarding related party transactions and director independence is incorporated by reference from the company's definitive Proxy Statement for the 2020 Annual Meeting of Stockholders [Principal Accountant Fees and Services](index=95&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information regarding principal accountant fees and services is incorporated by reference from the company's definitive Proxy Statement for the 2020 Annual Meeting of Stockholders Part IV [Exhibits, Financial Statement Schedules](index=96&type=section&id=Item%2015.%20Exhibits%2C%20Financial%20Statement%20Schedules) This section lists the financial statements, financial statement schedules, and exhibits filed as part of the Form 10-K, including various agreements and certifications [Form 10-K Summary](index=98&type=section&id=Item%2016.%20Form%2010-K%20Summary) The company indicates that there is no Form 10-K summary - None[495](index=495&type=chunk)

4Q 2019 Earnings Presentation February 2020 Forward Looking and Cautionary Statements Forward-Looking Statements The information in this investor presentation of Mammoth Energy Services, Inc. ("Mammoth" or "Mammoth Energy") includes "forward-looking statements." All statements, other than statements of historical facts that address activities, events or developments that Mammoth expects, believes or anticipates will or may occur in the future are forward-looking statements. The words "anticipate," "believe, ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2019 o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO Commission File No. 001-37917 Mammoth Energy Services, Inc. (Exact name of registrant as specified in its charter) Delaware 32-0498321 (State or other jurisdiction o ...