ProPetro Q2 Revenue Climbs 13% to $306M, Power Segment Gains Traction, Cash Surges to $784M After $690M Convertible Deal
PUMP has more than doubled off its 52-week low of $4.51.
Summary
ProPetro's Q2 2026 10-Q reveals a cash-rich balance sheet after a $690M convertible notes offering, aggressive capex into a new power generation segment, and a mixed operational performance with completions revenue down but power revenue emerging.
Key Events · Earnings and Guidance · PUMP
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Q2 Revenue Up 13% Sequentially, Net Loss Widens
Revenue rose to $306M from $271M in Q1, driven by completions, but net loss widened to $8.1M from $3.6M in Q1. Adjusted EBITDA was $44.8M.
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Balance Sheet Transformed by $690M Convertible Notes
Cash surged to $784M from $91M at year-end after issuing $690M in 0% convertible notes due 2031 and a $164M equity offering. Total debt increased to $820M.
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Power Generation Segment Begins Revenue Contribution
The new PROPWR power generation segment generated $9.3M in revenue, up from zero a year ago, with $47M in capex during the quarter. Full-year power capex guidance is $400M-$450M.
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Massive $1.1B Caterpillar Framework Agreement for 1.5 GW
ProPetro entered a global framework agreement with Caterpillar to purchase up to 1.5 GW of power generation assets, with a minimum commitment of $1.1B over five years.
Analysis · PUMP · Energy & Transportation
ProPetro's Q2 results reveal a company in the midst of transformation. While the core completions business saw revenue decline 6% year-over-year to $306M and posted a net loss of $8M, the balance sheet has been radically strengthened by a $690M convertible notes offering and a $164M equity raise, pushing cash to $784M. This war chest is being deployed aggressively into the new power generation segment, which generated its first meaningful revenue of $9.3M and absorbed $47M in capex during the quarter. Full-year capex guidance was raised to $525M-$595M, with the lion's share earmarked for power equipment. The filing also reveals a massive $1.1B framework agreement with Caterpillar for up to 1.5 GW of power generation assets, signaling a strategic pivot that could redefine the company. However, the near-term earnings picture is pressured by lower completions activity and the impending loss of a major ExxonMobil contract. The combination of a fortified balance sheet, a high-growth power business, and a challenged legacy operation makes this a pivotal quarter for investors to assess.
At the time of this filing, PUMP was trading at $10.93 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $1.3B. The 52-week trading range was $4.51 to $18.50. This filing was assessed with neutral market sentiment and an importance score of 8 out of 10.