GICS Sector : Energy
ProFrac Holding Corp., a vertically integrated and energy services company, provides hydraulic fracturing, completion, and other products and services to upstream oil and gas companies engaged in the exploration and production of North American unconventional oil and natural gas resources.It operates through three segments: Stimulation Services, Manufacturing, and Proppant Production.The company also manufactures and sells high horsepower pumps, valves, piping, swivels, large-bore manifold systems, seats, and fluid ends.
ProFrac Holding Corp. delivered a robust fourth‑quarter performance, with total adjusted EBITDA rising 49% to $61 million and a margin of 14%. Full‑year 2025 revenues reached $1.94 billion, generating an adjusted EBITDA of $310 million and a 16% margin. The company reported an earnings per share of –$0.51, slightly below the –$0.44 consensus. Staff noted that “ProFrac’s capital discipline positions it well for 2026” as it continues to trim costs and deploy its new technology. Valuation metrics reflect the current turnaround: a negative P/E of –2.6, a P/B of 1.21, and an EV/EBITDA of 9.03, indicating modest upside potential as the firm’s earnings rebound.
Publication Date: Apr -13
Full‑year revenues of $1.94 billion represent a modest sequential lift, driven by stable activity levels in the stimulation services sector and a 20% increase in proppant volumes. Adjusted EBITDA margins improved to 16% from 14% in Q3, reflecting better fleet utilization and early savings from the optimization plan. Operating expenses remained steady, with SG&A at $43 million and capital expenditures falling to $170 million for the year, a significant reduction from $255 million in 2024.
The stimulation services segment posted $384 million in revenue and $33 million in adjusted EBITDA, up from $20 million in Q3. Consistent activity levels and improved fleet efficiency drove the gains, while the company’s new Makena well‑optimization suite began generating early adoption interest. Weather disruptions in January had a modest $8‑$12 million EBITDA hit, but management expects a quick recovery as operations normalize.
Proppant production revenues rose to $115 million, with adjusted EBITDA doubling to $16 million thanks to volumes of over 2 million tons and logistics efficiencies. Despite intermittent sand‑mine weather challenges, the segment is positioned for continued strength in Q2, driven by both demand and operational gains.
ProFrac’s optimization plan has delivered $45 million in cash impact in Q4, with annualized savings targeting $85‑$115 million. Free cash flow climbed to $14 million in the quarter and $25 million for the year. Cash and cash equivalents stood at $23 million, while liquidity of $152 million provides a buffer for debt management. The company repaid $136 million of long‑term debt in 2025, leaving $1.05 billion of principal outstanding, largely maturing after 2029.
Capital expenditures for 2026 are projected at $155‑$185 million, a 15% cut from the previous year, reinforcing a disciplined investment approach. The firm’s amended credit facilities enhance liquidity, while the introduction of ProPilot automation and Makena software positions ProFrac to capture incremental value from higher perforation counts and fuel‑efficient fleets. Analyst consensus projects a modest 2.1% revenue growth for 2026, with the company maintaining confidence in its ability to execute amid improving operator sentiment and a recovering oil price backdrop.
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Head to Head Survey: ProFrac (NASDAQ:ACDC) vs. TechnipFMC (NYSE:FTI)
Mar -28
ProFrac: Middle East War Not The Only Reason It's Going Up
Mar -24
ProFrac Holding Corp. (ACDC) Reports Q4 Loss, Beats Revenue Estimates
Mar -13
ProFrac Holding Corp. (ACDC) Q4 2025 Earnings Call Transcript
Mar -12
ProFrac and Seismos Deploy Closed-Loop Fracturing at Commercial Scale Using Direct In-Well Measurements
Mar -12
ProFrac Holding Corp. Reports Full Year and Fourth Quarter 2025 Results
Mar -12
ProFrac Holding Corp. Announces Fourth Quarter and Full Year 2025 Earnings Release and Conference Call Schedule
Mar -02
ProFrac Holding Corp.'s Stimulation Services segment growth is driven by increasing demand for hydraulic fracturing services, rising oil prices, and growing production in the Permian Basin. Additionally, the company's focus on technology advancements, operational efficiency, and strategic acquisitions are contributing to its 9% growth rate.
ProFrac Holding Corp.'s 8% growth driven by increasing demand for frac sand, expansion into new markets, and strategic acquisitions. Additionally, operational efficiencies, cost savings, and a strong balance sheet contribute to the company's growth momentum.
ProFrac Holding Corp.'s 11% growth in proppant production is driven by increasing demand for frac sand in the Permian Basin, coupled with the company's strategic expansion into new markets, improved operational efficiencies, and a growing customer base. Additionally, the company's focus on research and development has led to the introduction of new, high-performance proppant products, further boosting growth.
ProFrac Holding Corp's 7% growth is driven by increasing demand for frac sand and logistics services, expansion into new basins, and growing adoption of electric frac fleets. Additionally, the company's focus on operational efficiency, cost savings, and strategic acquisitions are contributing to its growth momentum.
ProFrac Holding Corp.'s 12% growth in manufacturing is driven by increasing demand for frac sand and ceramic proppants, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on operational efficiency, cost reduction, and innovative product offerings have contributed to its growth. Furthermore, the rising need for oil and gas production, and the increasing adoption of hydraulic fracturing technology, have also fueled the company's growth.
ProFrac Holding Corp. offers a range of frac equipment, including pumps, blenders, and data vans, designed to optimize hydraulic fracturing operations.
ProFrac provides frac services, including frac design, execution, and optimization, to help operators maximize their well performance.
ProFrac offers wireline services, including logging, perforating, and pipe recovery, to support well intervention and completion operations.
ProFrac provides cementing services, including primary cementing, remedial cementing, and cement evaluation, to ensure wellbore integrity.
ProFrac offers coiled tubing services, including well intervention, cleanout, and milling, to optimize well performance and extend well life.
ProFrac provides frac fluids and chemicals, including guar-based and guar-free systems, to optimize hydraulic fracturing operations.
ProFrac Holding Corp. operates in a niche market with limited substitutes, but the threat of substitutes is still present due to the increasing competition in the oil and gas industry.
ProFrac Holding Corp. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products and services are specialized, making it difficult for customers to switch to alternative suppliers.
ProFrac Holding Corp. relies on a few key suppliers for critical components, which gives them some bargaining power. However, the company's scale and diversified supply chain mitigate this risk.
The oil and gas industry has high barriers to entry, including significant capital requirements and regulatory hurdles. This limits the threat of new entrants and allows ProFrac Holding Corp. to maintain its market position.
The oil and gas industry is highly competitive, with many established players competing for market share. ProFrac Holding Corp. must continually innovate and improve its products and services to maintain its competitive edge.
| Value | |
|---|---|
| Debt Weight | 46.11% |
| Debt Cost | 9.43% |
| Equity Weight | 53.89% |
| Equity Cost | 9.43% |
| WACC | 9.43% |
| Leverage | 85.56% |
Value: 9.1
Growth: 3.1
Quality: 4.1
Yield: 0.0
Momentum: 10.0
Volatility: 3.0
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Value: 6.6
Growth: 6.3
Quality: 7.2
Yield: 0.0
Momentum: 6.0
Volatility: 2.3
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Value: 5.1
Growth: 5.0
Quality: 7.1
Yield: 0.0
Momentum: 9.5
Volatility: 1.7
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Value: 7.6
Growth: 3.9
Quality: 4.8
Yield: 0.0
Momentum: 7.0
Volatility: 3.3
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Value: 9.8
Growth: 4.2
Quality: 3.5
Yield: 0.0
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Volatility: 1.3
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Value: 7.4
Growth: 4.3
Quality: 1.3
Yield: 0.0
Momentum: 1.0
Volatility: 1.0
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