Propetro Holding Corp. · NYSE:PUMP
Propetro — Q1 2023 Earnings Presentation
20 slides from Propetro's earnings presentation, May 3, 2023
Slide 1: First Quarter 2023 Earnings
Investor Presentation First Quarter 2023 Earnings May 3, 2023 Client to confirm use of this image again EXHIBIT 99.2
Slide 2: Forward-Looking Statements
© 2023 ProPetro Holding Corp. All Rights Reserved. 2 Forward-Looking Statements Except for historical information contained herein, the statements and information in this presentation, including the oral statements made in connection herewith, are forward-looking statements that are made pursuant to
Slide 3: Non-GAAP Reconciliations
© 2023 ProPetro Holding Corp. All Rights Reserved. 3 This presentation references “Adjusted EBITDA” and “Free Cash Flow,” which are non-GAAP financial measures. We define EBITDA as net income plus (i) depreciation and amortization, (ii) interest expense and (iii) income tax expense (benefit). We def
Slide 4: Company Snapshot
© 2023 ProPetro Holding Corp. All Rights Reserved. 4 CCC Company Snapshot Oilfield services leader in the Permian Basin providing complementary completions services in Hydraulic Fracturing, Cementing, and Wireline to leading upstream oil and gas producers 4 NYSE PUMP 1Q 2023 Revenue $424 million 1Q
Slide 5: Our Strategy & Recent Highlights
© 2023 ProPetro Holding Corp. All Rights Reserved. 5 Pursue a more capital- light asset profile and next generation fleet Pursue opportunistic strategic transactions to accelerate value creation and distribution Optimize operations and industrialize our business Maintain a strong balance sheet Devel
Slide 6: Changing to an Industrialized Model: Valuation Indices Comparison
© 2023 ProPetro Holding Corp. All Rights Reserved. 6 0% 100% 200% 300% 2013 2015 2017 2019 2021 2023 In d ic es P ri ce N o rm al iz ed OIH Index IXI Index Changing to an Industrialized Model: Valuation Indices Comparison ✓ Capital discipline and industry consolidation ✓ Employment of industrial tec
Slide 7: Industry Evolving for a Sustainable Future
© 2023 ProPetro Holding Corp. All Rights Reserved. 7 Booming global economy Higher relative refining capacity Limited shareholder and corporate pressure for Environmental and other ESG- related causes Robust capital markets and associated capital access Industry Evolving for a Sustainable Future CUR
Slide 8: Global Hydrocarbon Macro Environment
© 2023 ProPetro Holding Corp. All Rights Reserved. 8 Global Hydrocarbon Macro Environment A bullish demand outlook coupled with constrained supply availability reinforces our belief that we are in a long-term up-cycle that supports incremental margins and sustainable cash flow generation for complet
Slide 9: Permian Basin: Large Addressable Market Opportunity
© 2023 ProPetro Holding Corp. All Rights Reserved. 9 PERMIAN BASIN ~60 billion barrels of oil equivalent(1) ~86,000 sq miles (1) Rystad Energy, September 2022. US CRUDE PRODUCTION FORECAST (MB/D) THE PERMIAN BASIN STANDS ALONE AS THE RESILIENT PACESETTER OF US PRODUCTION Despite relatively flat tota
Slide 10: Who We Are and Where We Are Going
© 2023 ProPetro Holding Corp. All Rights Reserved. 10 Customer focused; Team driven Dedicated and efficient customer base harnessing the potential of the resource-rich Permian Basin Transitioning to a young, efficient, more capital-light fleet powered by natural gas and electricity Relied upon by pr
Slide 11: Proven Success in the Most Challenging Environment: Unrivaled Completions Services
© 2023 ProPetro Holding Corp. All Rights Reserved. 11© 2023 ProPetro Holding Corp. All Rights Reserved. 11 Proven Success in the Most Challenging Environment: Unrivaled Completions Services COMPLETION-RELATED SERVICES Consistent with ProPetro’s Hydraulic Fracturing, Cementing, and Wireline services
Slide 12: Innovation Leading to Our #1 Customer Ratings
© 2023 ProPetro Holding Corp. All Rights Reserved. 12 Reduce on-site headcount Improve efficiency Drive best-practices across fleets Increase long-term profitability Enhance safety protocols Increase sustainability of operations Innovation Leading to Our #1 Customer Ratings - A ProPetro Competitive
Slide 13: Fleet Transition: Executing on The Strategy
© 2023 ProPetro Holding Corp. All Rights Reserved. 1313 • Contract with large public E&P • Currently Tier IV DGB fleet, converting to electric fleet upon delivery in 3Q23 • Coupled with capital-light electric fleet lease program Fleet Transition: Executing on The Strategy 13 • Since the start of 202
Slide 14: Commitment to Our People, Our Community, and Our Environment
© 2023 ProPetro Holding Corp. All Rights Reserved. 14 Commitment to Our People, Our Community, and Our Environment OPTIMIZED OPERATIONS & FLEET TRANSITION Innovation • Strategic investments in dual-fuel and electric- powered fleets, remote engineering operations, logistics, and maintenance systems G
Slide 15: Estimated Revenue Mix by Service Line
© 2023 ProPetro Holding Corp. All Rights Reserved. 1515 Estimated Revenue Mix by Service Line: Hydraulic Fracturing, Wireline, and Cementing 2023e REVENUE MIX BY SERVICE LINE Hydraulic Fracturing Cementing Wireline Source: 2023 management estimates. 15 EXHIBIT 99.2
Slide 16: Strategic Execution Delivering Strong Financial Results
© 2023 ProPetro Holding Corp. All Rights Reserved. 16 Strategic Execution Delivering Strong Financial Results 1Q23 showcased the benefits of our strategy with strong revenue, net income and Adjusted EBITDA increases. Financial Highlights (in millions except %’s and fleet counts) TOTAL REVENUE EFFECT
Slide 17: Capital Allocation Framework: Strategy Meets Opportunity
© 2023 ProPetro Holding Corp. All Rights Reserved. 17 Capital Allocation Framework: Strategy Meets Opportunity OPTIMIZE OPERATIONS Enhancing operational efficiency by focusing resources on the most relevant technologies, tools, and best practices FLEET TRANSITION With robust industry fundamentals, t
Slide 18: Our Leadership: Committed to Shareholder Value Creation
© 2023 ProPetro Holding Corp. All Rights Reserved. 18 Our Leadership: Committed to Shareholder Value Creation PHILLIP A. GOBE Chairman of the Board ANTHONY BEST Lead Independent Director, Audit Committee Chair MICHELE VION Independent Director, Compensation Committee Chair SPENCER D. ARMOUR III Inde
Slide 19: ProPetro: The Oilfield Services Leader Built For The Future
© 2023 ProPetro Holding Corp. All Rights Reserved. 19© 2023 ProPetro Holding Corp. All Rights Reserved. 19 Efficient operator with a strong balance sheet Cutting edge technologies drive leading profitability and customer solutions Disciplined capital allocation and asset deployment strategy Premium
Slide 20: Investor Contacts
© 2023 ProPetro Holding Corp. All Rights Reserved. 20 Investor Contacts INVESTOR RELATIONS DAVID SCHORLEMER Chief Financial Officer david.schorlemer@propetroservices.com 432.277.0864 MATT AUGUSTINE Director, Corporate Development and Investor Relations matt.augustine@propetroservices.com 432.848.087