ProFrac (US:ACDC)2025-05-07 20:05Financial Performance - Total revenue for Q1 2025 was $600.3 million, an increase of $18.8 million or 3.2% from Q1 2024[96] - Net loss attributable to ProFrac Holding Corp. for Q1 2025 was $17.5 million, a decrease of $19.3 million from Q1 2024[96] - Stimulation Services revenue increased by $7.2 million, or 1%, to $524.5 million in Q1 2025 compared to Q1 2024[97] - Proppant Production revenue decreased by $10.4 million, or 13%, to $67.3 million in Q1 2025 due to lower average pricing[98] - Manufacturing revenue increased by $22.3 million, or 51%, to $65.8 million in Q1 2025, driven by higher intercompany demand[99] Costs and Expenses - Total cost of revenues for Q1 2025 was $419.4 million, an increase of $45.7 million or 12.2% from Q1 2024[101] - Selling, general and administrative expenses increased by $3.0 million, or 6%, to $53.6 million in Q1 2025, primarily due to labor and facility costs from acquisitions[106] Cash Flow - Cash provided by operating activities for Q1 2025 was $38.7 million, a decrease of $40.4 million from Q1 2024[96] - Net cash provided by operating activities decreased to $38.7 million in Q1 2025 from $79.1 million in Q1 2024, primarily due to lower earnings[121] - Net cash used in investing activities was $51.7 million in Q1 2025, slightly down from $53.3 million in Q1 2024[122] - Net cash provided by financing activities was $14.2 million in Q1 2025, compared to a net cash used of $22.8 million in Q1 2024[123] Debt and Capital Expenditures - Long-term debt increased by $15.5 million to $1,154.4 million as of March 31, 2025[96] - As of March 31, 2025, the company had $1,154.4 million in long-term debt, with $151.8 million due in the next twelve months[124] - Capital expenditures for Q1 2025 were $52.5 million, with full-year estimates ranging from $150 million to $175 million for maintenance and an additional $100 million to $125 million for growth initiatives[128] - The company has identified potential capital expenditure reductions of $70 million to $100 million to align with market conditions[128] Future Outlook - The company expects consolidated results to decline in Q2 2025 due to reduced capital spending by customers[94] - The company is closely monitoring compliance with a covenant requiring a maximum Total Net Leverage Ratio of 2.00 to 1.00, effective from Q1 2026[126] Tax and Interest Obligations - Estimated tax receivable agreement obligations were $86.2 million, with $3.3 million due in the next twelve months[131] - A 1% increase in interest rates on variable-rate debt would increase annual interest payments by approximately $11.1 million[136] Purchase Commitments - As of March 31, 2025, the company had purchase commitments of $41.6 million for hydraulic fracturing equipment components and proppant[130]