In the first quarter of 2025, ACDC reported an impressive financial performance. The company's adjusted EBITDA reached $130 million, showcasing an 83% increase compared to the fourth quarter of 2024. This growth was accompanied by a substantial 32% rise in revenue. Key operational achievements included setting new records for pump hours and the average pump hours per fleet, attributed to effective asset management and execution. Additionally, the Proppant Production segment saw a significant uptick in volumes early in the quarter, culminating in March with the highest volumes recorded since November 2023. These results underscore ACDC's robust operational capabilities and strategic initiatives.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 6 analysts, the average target price for ProFrac Holding Corp (ACDC, Financial) is $8.42 with a high estimate of $15.00 and a low estimate of $6.00. The average target implies an upside of 84.58% from the current price of $4.56. More detailed estimate data can be found on the ProFrac Holding Corp (ACDC) Forecast page.
Based on the consensus recommendation from 6 brokerage firms, ProFrac Holding Corp's (ACDC, Financial) average brokerage recommendation is currently 3.3, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for ProFrac Holding Corp (ACDC, Financial) in one year is $6.00, suggesting a upside of 31.58% from the current price of $4.56. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the ProFrac Holding Corp (ACDC) Summary page.
ACDC Key Business Developments
Release Date: March 06, 2025
- Q4 Revenue: $455 million.
- Q4 Adjusted EBITDA: $71 million.
- Q4 Adjusted EBITDA Margin: 16%.
- Full Year 2024 Revenue: $2.19 billion.
- Full Year 2024 Adjusted EBITDA: $501 million.
- Full Year 2024 Adjusted EBITDA Margin: 23%.
- Q4 Free Cash Flow: $54 million.
- Full Year 2024 Free Cash Flow: $185 million.
- Stimulation Services Q4 Revenue: $384 million.
- Stimulation Services Q4 Adjusted EBITDA: $54 million.
- Stimulation Services Q4 EBITDA Margin: 14%.
- Proppant Production Q4 Revenue: $47 million.
- Proppant Production Q4 Adjusted EBITDA: $14 million.
- Proppant Production Q4 EBITDA Margin: 31%.
- Manufacturing Q4 Revenue: $62 million.
- Manufacturing Q4 Adjusted EBITDA: $3 million.
- Cash and Cash Equivalents (End of 2024): $15 million.
- Total Debt (End of 2024): Approximately $1.1 billion.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- ProFrac Holding Corp (ACDC, Financial) achieved a revenue of $455 million and adjusted EBITDA of $71 million in Q4 2024, despite typical fourth-quarter challenges.
- The company introduced a new business venture, Livewire Power, focusing on power generation for remote locations, which marks a significant step forward in their power generation strategy.
- ProFrac's integrated asset management program has improved equipment quality and operational efficiency, leading to better customer relationships.
- The company has seen a significant improvement in activity in its stimulation services business, with record efficiencies achieved in January 2025.
- ProFrac is strategically positioned to capitalize on increased natural gas completion activity in the Haynesville region, with a large proppant footprint and 10 million tons per annum capacity.
Negative Points
- ProFrac experienced a sharper than anticipated drop in active fleet count and pricing softened due to lower activity in Q4 2024.
- The North American completion industry faced competitive pressures from softening activity, impacting ProFrac's financial performance.
- Pricing in the proppant production segment experienced softness in Q4 2024, which carried over into Q1 2025.
- The company faced reactivation costs and labor costs associated with excess crews, impacting EBITDA in Q4 2024.
- ProFrac's total liquidity at year-end was approximately $81 million, with significant debt outstanding, requiring careful management of free cash flow and capital allocation.
