PUMP · ProPetro Holding Corp.

ProPetro's first quarter 2026 results reflect the resilience of its completions business despite adverse weather conditions that reduced utilization and revenue. Total revenue of $271 million decreased 7% sequentially, primarily due to weather-related disruptions in January. Net loss of $4 million compared to net income of $1 million in the prior quarter, while Adjusted EBITDA fell 29% to $36 million, representing 13% of revenue. Management attributed the decline to lower completions activity and highlighted that Adjusted EBITDA less incurred completions capex of $14 million was $23 million, demonstrating underlying profitability. The company maintained a strong balance sheet with $157 million cash and $289 million total liquidity. Concurrently, ProPetro announced a transformative Global Framework Agreement with Caterpillar, securing up to 2.1 GW of additional power generation capacity over five years, with a minimum purchase obligation of $1.1 billion. This agreement positions PROPWR to have approximately 2.6 GW of capacity delivered by year-end 2031, targeting data center, industrial, and oil & gas customers. The company raised its full-year 2026 capex guidance to $540-$610 million, driven by PROPWR down payments, while completions capex is expected at $140-$160 million including planned lease buyouts of FORCE electric fleets. Management noted early signs of recovery in completions due to a strengthening commodity backdrop from the Iran War, with approximately 12 active frac fleets expected in Q2. The strategic agreement with Caterpillar underscores ProPetro's pivot toward power generation as a high-growth earnings driver, while its completions business continues to generate free cash flow to fund expansion.