Liberty Energy 10-Q: $39M Q3 Loss, Leverage Covenant Loosened to 4.50x, $1.6B Power Equipment Commitments
LBRT is trading near its 52-week low of $14.761 (4.2% above the low) on elevated volume (2.6× avg).
Summary
Liberty Energy's Q3 10-Q confirms the $39.1 million loss already reported October 21, but also discloses a credit-agreement amendment raising the leverage covenant to 4.50x through March 2027 and about $1.6 billion of remaining power-equipment purchase commitments.
Key Events · Earnings and Guidance · LBRT
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Q3 Loss Driven by Investment Marks
Net loss of $39.1 million ($0.24 per share) on $1.2 billion of revenue, versus net income of $43.1 million a year earlier; the swing came from a $62.9 million non-cash loss on equity investments, while operating income improved to $19.3 million from a $2.4 million loss.
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Leverage Covenant Loosened to 4.50x
The October 20, 2026 Second Amendment to the credit agreement raises the maximum leverage ratio from 3.50 to 1.00 to 4.50 to 1.00 for quarters ending September 30, 2026 through March 31, 2027, stepping down to 4.25, 4.00 and 3.75 before returning to 3.50 for quarters ending on or after March 31, 2028.
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$1.6B Power Equipment Still to Pay
Of roughly $2.1 billion in aggregate power generation equipment supply contracts, $1.6 billion remained committed at September 30, 2026, with equipment expected to be received from 2027 through 2030; cash stood at $119.0 million with $549.9 million of revolver availability.
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New Data Center Regulatory Risk
The filing adds a risk factor that moratoria, enhanced permitting and operational restrictions on data center development could reduce demand for the distributed power solutions business.
Analysis · LBRT · Energy & Transportation
The headline numbers were already out on October 21 — a $39.1 million net loss ($0.24 per share) on $1.2 billion of revenue — but the 10-Q carries two things the 8-K did not. First, on October 20 the lenders amended the credit agreement to lift the maximum leverage ratio from 3.50x to 4.50x through March 2027, stepping back down to 3.50x only by March 2028, and removed the $25 million cap on counting unrestricted cash against the covenant. A lender group does not widen a covenant by a full turn for a company comfortably inside it; the company had $1.29 billion of debt outstanding at quarter-end after issuing $1.295 billion of 0% convertible notes in February and March 2026. Second, the company has roughly $1.6 billion of remaining payments due on power generation equipment ordered for prospective data center projects, against $119.0 million of cash and $549.9 million of revolver availability. That is a large bet on a business that has not yet produced revenue at scale, and the filing adds a new risk factor warning that data center moratoria or permitting restrictions could cut demand for it. The frac business itself improved: revenue rose 26% year over year and operating income turned to $19.3 million from a $2.4 million loss, with adjusted EBITDA of $141.6 million versus $127.7 million. The loss came from a $62.9 million mark-to-market loss on equity investments (Oklo, Tamboran, Fervo) — non-cash, driven by share prices, not operations.
How filings like this one have moved
In the 30 days to Oct 22, 2026, 29.3% of the 1526 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.41%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, LBRT was trading at $15.38 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $2.5B. The 52-week trading range was $14.76 to $34.48. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.