Smart Sand(US:SND) Prnewswireยท2024-11-12 21:00Core Insights - Smart Sand, Inc. reported a total tons sold of approximately 1.2 million in Q3 2024, with revenues of $63.2 million, a net loss before income taxes of $(5.2) million, and adjusted EBITDA of $5.7 million [1][5][9]. Financial Performance - Tons sold in Q3 2024 were approximately 1,189,000, representing a 7% decrease sequentially and a 2% decrease year-over-year [4]. - Revenue for Q3 2024 was $63.2 million, down from $73.8 million in Q2 2024 and $76.9 million in Q3 2023, primarily due to lower sales volumes and average selling prices [5]. - The company experienced a net loss before income tax of $(5.2) million in Q3 2024, compared to a net income of $1.9 million in Q2 2024 and $4.8 million in Q3 2023 [6]. - Adjusted EBITDA decreased to $5.7 million in Q3 2024 from $11.9 million in Q2 2024 and $13.2 million in Q3 2023, mainly due to lower contribution margin per ton sold [9]. Cash Flow and Capital Management - Net cash provided by operating activities was $5.8 million in Q3 2024, down from $14.9 million in Q2 2024 and $12.5 million in Q3 2023 [10]. - Free cash flow for Q3 2024 was $3.7 million, with capital expenditures of $2.1 million [11]. - The company declared a special dividend of $0.10 per share and announced a share buyback plan of up to $10 million [12][13]. Strategic Initiatives - Smart Sand established a new five-year $30 million ABL credit facility with First Citizens Bank, providing flexible funding for future opportunities [2]. - The company is revamping its SmartSystem fleet configuration to enhance operational efficiency, with a rollout expected in early 2025 [7]. Market Outlook - The company remains optimistic about the long-term fundamentals of the oil and gas industry, anticipating strong demand for natural gas in the US and Canada, and increased oil activity in the Utica basin [3].