#United States #Oklahoma City #financial results #Q2 2025 #Mammoth Energy

Mammoth Energy Services, Inc. Reports Second Quarter 2025 Results

Mammoth Energy Services, Inc. (NASDAQ: TUSK) has recently unveiled its operational and financial outcomes for the second quarter of 2025, concluded on June 30th. This highlights the company's ongoing strategic transformation amidst a fluctuating market environment.

Mark Layton, the Chief Financial Officer, expressed satisfaction with the significant transactions executed during the quarter. In April, the company completed the sale of three infrastructure subsidiaries for an impressive total of $108.7 million, a transaction Layton noted unlocked substantial value that far exceeded its initial investment of under $10 million in 2017. This divestment has proven pivotal in reshaping Mammoth's service portfolio towards a more demand-driven approach in an uncertain market.

Another key development during this quarter was Mammoth's acquisition of eight small passenger aircraft aimed at reinforcing and diversifying their rental services segment. The integration of these aircraft, under leases with a commuter airline, is expected to generate stable recurring revenue streams. Additionally, the sale of equipment used in the hydraulic fracturing sector for $15 million represents Mammoth's commitment to repositioning its operational focus.

Financial Overview

Mammoth reported total revenue of $16.4 million for the second quarter of 2025, showing a slight increase from $16.0 million in the same period in 2024, and compared to $15.6 million in the first quarter of 2025. This stable revenue performance aligns with the company's strategies despite challenging market conditions.

However, the company faced a net loss of $35.7 million for Q2 2025, equivalent to $0.74 per diluted share, which although significant, highlights an improvement from a net loss of $155.6 million in Q2 2024. Notably, the adjusted EBITDA from continuing operations was reported at ($2.8 million), a considerable reduction from the previous year’s figure of ($164.6 million).

Among Mammoth’s various service segments, the infrastructure services generated $5.4 million in revenue, a noted increase from $4.5 million in the second quarter of 2024. The rise comes primarily from boosts in fiber optic activities within this sector. The rental services segment also showed remarkable performance, generating $3.1 million in revenue compared to $1.8 million during the same quarter last year, this was buoyed by increased equipment availability.

Despite the improvements, the natural sand proppant services segment experienced a slight dip in revenue, contributing $5.4 million this quarter compared to $4.7 million in Q2 2024, reflective of commodity pricing pressures and customer demand fluctuations. Accommodation services revenue declined to $1.8 million, down from $2.7 million in the same quarter the previous year, while drilling services held steady with revenue of $0.7 million.

Selling, General and Administrative Expenses

Mammoth’s SG&A expenses immensely decreased to $5.3 million from $95.3 million in Q2 of the previous year—mainly due to the non-recurring nature of the settlement charge with PREPA incurred last year. Excluding this charge, SG&A represented 32% of total revenue, showing progress in cost management strategies.

Liquidity and Capital Resources

As of June 30, 2025, Mammoth reported unrestricted cash of $127.3 million, maintaining a strong liquidity position with a total liquidity figure of $194.8 million. Furthermore, the company remains optimistic about deploying part of these resources for strategic investments that align with its long-term vision for growth and stability.

The management’s focus on value creation and core operational efficiency is expected to yield improved results in the upcoming quarters. Mammoth Energy Services will continue to adapt and transform strategically to navigate the challenges presented by the volatile energy sector.

Looking Ahead

With a commitment to innovation and operational excellence, Mammoth Energy Services aims to achieve a more resilient business model that can withstand future market fluctuations. The company has also stated plans to host a conference call on August 8, 2025, to provide further insights into their financial performance and future strategies.

In conclusion, Mammoth's second quarter results demonstrate a crucial pivot in operational strategy, unlocking value and enhancing service segmentation should allow for continued resilience and growth in the evolving energy landscape.