MAMMOTH ENERGY SERVICES, INC.
For the period ended Mar 31, 2026. Filed May 11, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 11, 2026
TUSK$3.11+4.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-03.
0001679268-25-000039
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-05-11.
0001628280-26-033686
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 130 previous paragraphs and 106 current paragraphs.
47 unchanged; 39 reworded; 17 added; 43 removed; 1 previous and 3 current paragraphs rearranged.
Tables are not compared: 6 previous and 5 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (17)
Current report
Aircraft Industry
Current report
The operating environment for the lease of aircraft and aircraft assets is currently favorable. Factors such as population growth as well as global economic health and development are positively influencing both passenger and freight demand. In addition, factors and trends including Original Equipment Manufacturer supply chain challenges and backlogs, the financing needs of airlines and the availability of maintenance facilities as well as repair timelines may increase the demand for our aircraft and aircraft equipment.
Current report
Demand for most of our oil and natural gas products and services depends substantially on the level of expenditures by companies in the oil and natural gas industry. The levels of capital expenditures of our customers are driven by many factors, including the prices of oil and natural gas. The conflict in the Middle East, including attacks on regional energy infrastructure, has resulted in higher oil prices and the potential for multi-year LNG constraints. These factors have resulted in improved demand for our services, which we expect to continue through the remainder of 2026. Positive trends that may contribute to increased activity will come from LNG export capacity coming online and general electricity and power demand enhancements. We will be strategically positioned to capitalize on this anticipated demand if and when it ramps up.
Current report
Infrastructure Industry
Current report
The infrastructure industry involves the construction and maintenance of fiber networks. Demand for our services is driven by artificial intelligence (“AI”) and data center projects.
Current report
Certain barriers to entry exist in the markets in which we operate, including adequate financial resources, technical expertise, high safety ratings and a proven track record of operational success. We compete based upon our industry experience, technical expertise, financial and operational resources, geographic presence, industry reputation, safety record and customer service. While we believe our customers consider a number of factors when selecting a service provider, they generally award most of their work through a bid process. Consequently, price is often a principal factor in determining which service provider is selected.
Current report
We believe that AI and high-performance computing will drive the upgrade and overbuild of fiber networks in order to increase data capacity. Funding for projects in the infrastructure space remains strong with added opportunities since the Infrastructure Investment and Jobs Act ("IIJA") was signed into law on November 15, 2021. Federal and state agencies continue to implement multi‑year funding programs established under the IIJA, including substantial investments through Broadband Equity, Access and Deployment ("BEAD") program. These programs continue to support planned investment in broadband, utility, transportation, and clean‑energy projects. Although these programs were enacted several years ago, the implementation and distribution of funds remain ongoing and are expected to continue well into the latter half of the decade. Market participants across telecommunications, power, and energy‑transition sectors have announced substantial capital plans aligned with these programs, supported by federal incentives and growing private‑sector investment in areas such as fiber deployment, grid modernization, electrification, and data‑center‑related power demand.
Current report
First Quarter 2026 Financial Overview
Current report
•Revenue for the first quarter of 2026 increased by $10.4 million, or 90%, to $22.0 million from $11.6 million for the first quarter of 2025. The increase in total revenue is primarily attributable to an increase in rental and aviation sales, accommodation and drilling services revenue.
Current report
We expect to generate positive adjusted EBITDA from continuing operations for the full year 2026.
Current report
Drilling Services. Drilling services revenue increased $1.2 million or 600% to $1.4 million for the three months ended March 31, 2026 from $0.2 million for the three months ended March 31, 2025 . The increase in our drilling services revenue was primarily attributable to increased utilization, which increased from 2% for the three months ended March 31, 2025 to 20% for the three months ended March 31, 2026, coupled with higher average day rates for our drilling services.
Current report
Depreciation, Depletion, Amortization and Accretion. Depreciation, depletion, amortization and accretion totaled $3.5 million for the three months ended March 31, 2026 compared to $2.1 million for the three months ended March 31, 2025. The increase is primarily attributable to increased depreciation of property, plant and equipment resulting from aviation assets being placed into service.
Current report
Unrealized Gain on Marketable Securities, Net. Unrealized gain on marketable securities, net was $7.1 million for the three months ended March 31, 2026 compared to zero for the three months ended March 31, 2025, as the Company did not hold marketable securities during the prior‑year period.
Current report
Other Income (Expense), Net. Other income, net was $0.6 million for the three months ended March 31, 2026 compared to other expense, net of $0.3 million for the three months ended March 31, 2025.
Current report
Adjusted EBITDA from Continuing Operations
Current report
Revolving Credit Facility
Current report
On May 8, 2026, the Company entered into an agreement with Fifth Third Bank, which reduced the maximum availability from $50.0 million to $25.0 million. Pursuant to the agreement, the Company may, without obtaining lender consent, repurchase shares of its common stock. The agreement matures on May 8, 2029.
Removed paragraphs (43)
Previous report
Demand for most of our oil and natural gas products and services depends substantially on the level of expenditures by companies in the oil and natural gas industry. The levels of capital expenditures of our customers are driven by many factors, including the prices of oil and natural gas. Throughout 2024, we continued to experience persistent challenges in our natural sand proppant services segment associated with lower U.S. onshore activity and sustained weakness in the natural gas basins in which we operate. Macroeconomic uncertainty, tariff implications and OPEC+ production increases have placed significant pressure on the energy market, and more specifically, commodity prices. This has widely softened expectations for activity levels throughout 2025.
Previous report
Utility Infrastructure Industry
Previous report
Our infrastructure services segment provides engineering and design services as well as fiber optic services to the utility infrastructure industry. We perform the majority of our infrastructure related services under existing contracts, including MSAs and similar agreements pursuant to which our customers are not committed to specific volumes of our services. As a result, our volume of business can be positively or negatively affected by fluctuations in the amount of work our customers assign us in a given period, which may vary significantly. Examples of items that may cause demand for our services to fluctuate materially from period to period include: the financial condition of our customers, their capital spending and their access to and cost of capital; acceleration of any projects or programs by customers (e.g., modernization or hardening programs); economic and political conditions on a regional, national or global scale; interest rates; governmental regulations affecting the sourcing and costs of materials and equipment; other changes in U.S. and global trade relationships (e.g., tariffs, taxes); and project deferrals and cancellations.
Previous report
Third Quarter 2025 Financial Overview
Previous report
•Revenue for the third quarter of 2025 decreased by $2.3 million, or 13%, to $14.8 million from $17.1 million for the third quarter of 2024. The decrease in total revenue is primarily attributable to a decrease in natural sand proppant services and accommodations revenue.
Previous report
During the fourth quarter of 2025, we expect to generate an adjusted EBITDA loss from continuing operations ranging from $2.0 million to $3.0 million based on our current portfolio of assets. Further, we expect our cash outflow related to discontinued operations to range from $1.0 million to $2.0 million due to the wind-down of activities. We plan to largely fund this loss from proceeds from the sale of underutilized assets.
Previous report
Drilling Services. Drilling services revenue increased $0.7 million or 44% to $2.3 million for the three months ended September 30, 2025 from $1.6 million for the three months ended September 30, 2024 . The increase in our drilling services revenue was primarily attributable to increased utilization for our directional drilling business from 28% for the three months ended September 30, 2024 to 32% for the three months ended September 30, 2025.
Previous report
Other Services. Other services revenue declined $1.2 million during the three months ended September 30, 2025. This activity primarily related to our water transfer services, which were shut down during the third quarter of 2024.
Previous report
Natural Sand Proppant Services. Natural sand proppant services cost of revenue, exclusive of depreciation, depletion and accretion, increased $0.9 million, or 28%, to $4.1 million for the three months ended September 30,
Previous report
Depreciation, Depletion, Amortization and Accretion. Depreciation, depletion, amortization and accretion totaled $2.8 million for the three months ended September 30, 2025 compared to $3.2 million for the three months ended September 30, 2024. The decrease is primarily attributable to a decline in property, plant and equipment depreciation as a result of existing assets being fully depreciated during or after the three months ended September 30, 2024, partially offset by an increase in depletion expense.
Previous report
Losses (Gains) on Disposal of Assets, Net. Losses on the disposal of assets, net were $1.9 million compared to gains on the disposal of assets, net of $0.2 million for the three months ended September 30, 2025 and 2024, respectively. For the three months ended September 30, 2025, we completed the sale of assets associated with the natural sand proppant services segment. This transaction resulted in a loss of approximately $2.4 million, which was partially offset by $0.5 million in gains from the sale of assets related to our other services.
Previous report
Other (Expense) Income, Net. Other expense, net was $1.8 million for the three months ended September 30, 2025 compared to $1.1 million for the three months ended September 30, 2024.
Previous report
Nine Months Ended September 30, 2025 Compared to Nine Months Ended September 30, 2024
Previous report
Revenue. Revenue for the nine months ended September 30, 2025 decreased $1.6 million, or 3%, to $46.8 million from $48.4 million for the nine months ended September 30, 2024. The decrease in total revenue is primarily attributable to decreases in accommodations services and other services revenue, partially offset by increases in rental services, infrastructure services and natural sand proppant services revenue. Revenue by segments was as follows:
Previous report
Rental Services. Rental services revenue increased $1.9 million, or 32%, to $7.8 million for the nine months ended September 30, 2025 from $5.9 million for the nine months ended September 30, 2024. The increase in our rental services revenue was primarily attributable to an increase in aviation rental revenue of $1.6 million coupled with an increase in equipment rental revenue of $0.4 million. The increase in our equipment rental revenue was driven by a 19% increase in the average number of pieces of equipment rented to customers from 228 for the nine months ended September 30, 2024 to 271 for the nine months ended September 30, 2025.
Previous report
Infrastructure Services. Infrastructure services revenue increased $0.9 million, or 6%, to $14.9 million for the nine months ended September 30, 2025 from $14.0 million for the nine months ended September 30, 2024. The increase in revenue was primarily due to an increase in fiber optic revenue related to increased activity, partially offset by a 3% decrease in utilization.
Previous report
Natural Sand Proppant Services. Natural sand proppant services revenue increased $0.9 million, or 6%, to $14.8 million for the nine months ended September 30, 2025 from $13.9 million for the nine months ended September 30, 2024. The increase in our natural sand proppant services revenue was primarily due to a 23% increase in tons of sand sold from approximately 449,574 tons for the nine months ended September 30, 2024 to approximately 552,944 tons for the nine months ended September 30, 2025, partially offset by a 11% decrease in the average sales price per ton of sand sold from $23.32 per ton during the nine months ended September 30, 2024 to $20.74 per ton during the nine months ended September 30, 2025.
Previous report
Accommodation Services. Accommodation services revenue decreased $2.4 million, or 28%, to $6.1 million for the nine months ended September 30, 2025, from $8.5 million for the nine months ended September 30, 2024 primarily due to a decline in utilization. On average, 170 rooms were utilized during the nine months ended September 30, 2025 as compared to 222 for the nine months ended September 30, 2024 for our accommodation services.
Previous report
Drilling Services. Drilling services revenue increased $0.4 million, or 14%, to $3.2 million for the nine months ended September 30, 2025, from $2.8 million for the nine months ended September 30, 2024. The increase in our drilling services revenue was primarily attributable to an increase in the average dayrate, which was partially offset by a decrease in utilization.
Previous report
Other Services. Other services revenue declined $3.7 million during the nine months ended September 30, 2025. This activity primarily related to our water transfer services, which were shut down during the third quarter of 2024.
Previous report
Cost of Revenue (exclusive of depreciation, depletion, amortization and accretion). Cost of revenue, exclusive of depreciation, depletion, amortization and accretion, decreased $1.7 million from $42.8 million, or 88% of total revenue, for the nine months ended September 30, 2024 to $41.1 million, or 88% of total revenue, for the nine months ended September 30, 2025. Cost of revenue by segment was as follows:
Previous report
Rental Services. Rental services cost of revenue, exclusive of depreciation and amortization, increased $0.8 million, or 21%, to $4.7 million for the nine months ended September 30, 2025 from $3.9 million for the nine months ended September 30, 2024. As a percentage of revenue, our rental services cost of revenue, exclusive of depreciation and amortization of $2.1 million and $0.9 million for the nine months ended September 30, 2025 and 2024, respectively, was 60% and 66% for the nine months ended September 30, 2025 and 2024, respectively. The decrease as a percentage of revenue is primarily due to an increase in utilization, combined with the investment in aviation assets, which produces a higher gross margin percentage.
Previous report
Infrastructure Services. Infrastructure services cost of revenue, exclusive of depreciation, increased $1.4 million, or 12%, to $12.8 million for the nine months ended September 30, 2025 from $11.4 million for the nine months ended September 30, 2024. As a percentage of revenue, cost of revenue, exclusive of depreciation and amortization of $0.2 million and $0.1 million for the nine months ended September 30, 2025 and 2024, respectively was 86% and 81% for the nine months ended September 30, 2025 and 2024, respectively. Additionally, the increase as a percentage of revenue is primarily due to an increase in subcontractor expense.
Previous report
Natural Sand Proppant Services. Natural sand proppant services cost of revenue, exclusive of depreciation, depletion and accretion, increased $1.4 million, or 10%, from $13.5 million for the nine months ended September 30, 2024 to $14.9 million for the nine months ended September 30, 2025. As a percentage of revenue, cost of revenue, exclusive of depreciation, depletion and accretion of $3.6 million and $4.1 million for the nine months ended September 30, 2025 and 2024, respectively, was 101% and 97% for the nine months ended September 30, 2025 and 2024, respectively. The increase in cost as a percentage of revenue is primarily due to an 11% decrease in average sales price per ton.
Previous report
Accommodation Services. Accommodation services cost of revenue, exclusive of depreciation and accretion, decreased $0.9 million, or 18%, from $5.0 million for the nine months ended September 30, 2024 to $4.1 million for the nine months ended September 30, 2025. As a percentage of revenue, cost of revenue, exclusive of depreciation and accretion of $0.8 million and $0.9 million for the nine months ended September 30, 2025 and 2024, respectively, was 67% and 59% for the nine months ended September 30, 2025 and 2024, respectively. The increase as a percentage of revenue is primarily due to a decline in utilization, resulting in a higher ratio of fixed costs to variable costs.
Previous report
Drilling Services. Drilling services cost of revenue, exclusive of depreciation, decreased $0.3 million, or 9%, from $3.3 million for the nine months ended September 30, 2024 to $3.0 million for the nine months ended September 30, 2025. As a percentage of revenue, cost of revenue, exclusive of depreciation of $0.1 million for the nine months ended September 30, 2025 and 2024, was 94% and 118% for the nine months ended September 30, 2025 and 2024, respectively. The decrease as a percentage of revenue is primarily due to an improvement in pricing.
Previous report
Other Services. Other services cost of revenue, exclusive of depreciation, decreased $4.5 million to $1.6 million for the nine months ended September 30, 2025 from $6.1 million for the nine months ended September 30, 2024. The decline is primarily due to the shut down of our water transfer service offerings during the third quarter of 2024. Costs for the nine months ended September 30, 2025 primarily relate to insurance and facilities expense for the legacy assets.
Previous report
Selling, General and Administrative. Selling, general and administrative represent the costs associated with managing and supporting our operations. SG&A decreased $93.8 million to $15.0 million for the nine months ended September 30, 2025 from $108.8 million for the nine months ended September 30, 2024. The decline is primarily due to an $89.2 million charge in relation to the Settlement Agreement with PREPA during the nine months ended September 30, 2024 with no similar activity in 2025.
Previous report
Depreciation, Depletion, Amortization and Accretion. Depreciation, depletion, amortization and accretion decreased $1.7 million to $7.7 million for the nine months ended September 30, 2025 from $9.4 million for the nine months ended September 30, 2024. The decrease is primarily attributable to a decline in property, plant and equipment depreciation as a result of existing assets being fully depreciated during or after the nine months ended September 30, 2024.
Previous report
Impairment of Long-Lived Assets. During the nine months ended September 30, 2025, the Company’s management made the decision to market assets related to is natural sand proppant operations at its Piranha Proppant LLC and Muskie Proppant LLC processing plants. As a result, the Company recognized impairment expense on these assets totaling $31.7 million during the nine months ended September 30, 2025. There was no similar activity during the nine months ended September 30, 2024.
Previous report
Operating Loss. We reported an operating loss of $45.9 million for the nine months ended September 30, 2025 compared to $111.0 million for the nine months ended September 30, 2024. The decreased operating loss was primarily due to an $89.2 million charge to selling, general and administrative recognized during the nine months ended September 30, 2024 in relation to the Settlement Agreement with PREPA, partially offset by $31.7 million in impairment expense recognized during the nine months ended September 30, 2025.
Previous report
Interest Income (Expense and Financing Charges), Net. Interest income, net of interest expense and financing charges was $1.4 million for the nine months ended September 30, 2025 compared to interest expense and financing charges, net of $8.7 million for the nine months ended September 30, 2024. The increase is primarily due to a $5.5 million financing charge incurred during the nine months ended September 30, 2024 in relation to the Assignment Agreement with SPCP Group coupled with a decline in interest expense on long term debt. See “—Liquidity and Capital Resources—Cobra Assignment Agreement” for additional information.
Previous report
Other Income (Expense), Net. We recognized other expense, net of $2.8 million during the nine months ended September 30, 2025 compared to other expense, net of $64.6 million for the nine months ended September 30, 2024. We recognized a net charge to interest on delinquent accounts receivable totaling $60.7 million during the nine months ended September 30, 2024 related to the Settlement Agreement with PREPA with no similar activity during the nine months ended September 30, 2025.
Previous report
Discontinued Operations. We recorded net income from discontinued operations, net of income taxes totaling $45.0 million during the nine months ended September 30, 2025 compared to net loss from discontinued operations, net of income taxes of $20.3 million for the nine months ended September 30, 2024. See Note 3 of the notes to our unaudited condensed consolidated financial statements for a breakout of the results of operations for our discontinued operations.
Previous report
Adjusted EBITDA
Previous report
(c) Purchases primarily for maintenance for the periods presented.
Previous report
Revolving Credit Facility and Term Credit Facility
Previous report
On October 16, 2023, we, as borrower, and certain of our direct and indirect subsidiaries, as guarantors, also entered into a loan and security agreement with the lenders party thereto and Wexford Capital LP, an affiliate of the Company (“Wexford”), as administrative agent for the lenders (the “term credit facility”). The term credit facility was approved by the audit committee of our board of directors, consisting entirely of independent directors, as a transaction with a related party.
Previous report
The term credit facility provided for term commitments in an aggregate amount equal to $45 million. Borrowings under the term credit facility were secured by our assets, inclusive of the subsidiary companies. The term credit facility also contained various affirmative and restrictive covenants. Interest under the term credit facility equaled the SOFR Interest Rate (as defined in the term credit facility) plus 7.50%; provided that we may elect to pay all or a portion of the accrued interest due with respect to any Interest Period (as defined in the term credit facility).
Previous report
In connection with the receipt of the first installment amount under the Settlement Agreement on October 1, 2024, the Company paid, in full, all amounts owed under the term credit facility, including the accrued and unpaid interest, in the aggregate amount of $50.9 million, and terminated the facility on October 2, 2024. In connection with the payoff of the term credit facility, Wexford waived the 1% early termination penalty.
Showing the first 40 of 43 passages. Open the source sections for the rest.
Reworded paragraphs (39)
Previous wording
As discussed in Note 3. Discontinued Operations of the notes to our unaudited condensed consolidated financial statements, on April 11, 2025, we completed a transaction to sell a portion of our infrastructure services entities, including our distribution, transmission and substation operations for aggregate proceeds of $108.7 million, subject to customary post-closing adjustments. Additionally, on June 16, 2025, we sold all of the equipment previously used in our hydraulic fracturing services for $15.0 million. Results of operations, financial position and cash flows for these services are reported as discontinued operations for all periods presented and discussed in this report. Unless otherwise indicated, information in this management discussion and analysis relates only to continuing operations.
Current wording
During 2025, we completed four strategic divestitures. On April 11, 2025, we sold a portion of our infrastructure services entities, including our distribution, transmission and substation operations, for aggregate proceeds of approximately $108.7 million, subject to customary post-closing adjustments. On June 16, 2025, we sold all of the equipment previously used in our hydraulic fracturing services for $15.0 million. On September 15, 2025, the Company completed the sale of assets related to its natural sand proppant operations at its Piranha Proppant LLC processing plant. On December 2, 2025, we completed the sale of our engineering services business, Aquawolf, for approximately $30.0 million, also subject to customary post-closing adjustments. The results of operations, financial position and cash flows for these businesses are reported as discontinued operations for all periods presented and discussed in this report. Unless otherwise indicated, the information presented in this Management’s Discussion and Analysis relates only to our continuing operations.
Previous wording
To reflect how management evaluates the business after these divestitures, prior period segment information in our results of operations below has been recast to conform with our segment composition as of September 30, 2025.
Current wording
To reflect how management evaluates the business after these divestitures, prior period segment information in our results of operations below has been recast to conform with our segment composition as of March 31, 2026. See Note 3. Discontinued Operations of the notes to our unaudited condensed consolidated financial statements for more information.
Previous wording
•Net loss for the third quarter of 2025 was $12.6 million, or $0.26 per diluted share, as compared to net loss of $24.0 million, or $0.50 per diluted share, for the third quarter of 2024.
Current wording
•Net income for the first quarter of 2026 was $5.2 million, or $0.11 per diluted share, as compared to net loss of $0.5 million, or $(0.01) per diluted share, for the first quarter of 2025.
Previous wording
•Adjusted EBITDA for the third quarter of 2025 was ($4.4) million as compared to ($2.9) million for the third quarter of 2024. See “Non-GAAP Financial Measures” for a reconciliation of net loss from continuing operations to Adjusted EBITDA.
Current wording
•Adjusted EBITDA for the first quarter of 2026 was $1.9 million as compared to ($2.3) million for the first quarter of 2025. See “Non-GAAP Financial Measures” for a reconciliation of net income (loss) from continuing operations to Adjusted EBITDA.
Previous wording
Revenue. Revenue for the three months ended September 30, 2025 decreased $2.3 million, or 13%, to $14.8 million from $17.1 million for the three months ended September 30, 2024. The decrease in total revenue is primarily attributable to decreases in revenue for natural sand proppant services, accommodation services, and other services during the three months ended September 30, 2025, which was partially offset by an increase in revenue for rental services, infrastructure services, and drilling services. Revenue by segment was as follows:
Current wording
Revenue. Revenue for the three months ended March 31, 2026 increased $10.4 million, or 90%, to $22.0 million from $11.6 million for the three months ended March 31, 2025. The increase in total revenue is primarily attributable to increases in revenue for rental, accommodation and drilling services during the three months ended March 31, 2026, which was partially offset by a decrease in revenue for infrastructure services and natural sand proppant services. Revenue by segment was as follows:
Previous wording
Rental Services. Rental services revenue increased $0.6 million, or 27%, to $2.8 million for the three months ended September 30, 2025 from $2.2 million for the three months ended September 30, 2024. The increase in our rental services revenue was primarily driven by an $0.8 million increase in aviation rental revenue, which was partially offset by a 7% decrease in equipment rental revenue.
Current wording
Rental Services and Aviation Sales. Rental services and aviation sales revenue increased $11.1 million, or 584%, to $13.0 million for the three months ended March 31, 2026 from $1.9 million for the three months ended March 31, 2025. The increase in our rental services and aviation sales revenue was primarily driven by a $10.0 million increase in aviation revenue, which was coupled with a 55% increase in equipment rental revenue. The increase in aviation revenue was a result of the sale of an auxiliary power unit for $6.5 million combined with increased utilization.
Previous wording
Infrastructure Services. Infrastructure services revenue increased $0.4 million, or 9%, to $4.8 million for the three months ended September 30, 2025 from $4.4 million for the three months ended September 30, 2024. The increase in revenue was primarily due to an increase in fiber optic revenue related to increased activity, partially offset by a 7% decrease in billable engineering hours.
Current wording
Infrastructure Services. Infrastructure services revenue decreased $0.4 million, or 57%, to $0.3 million for the three months ended March 31, 2026 from $0.7 million for the three months ended March 31, 2025. The decrease in revenue was primarily due to a decrease in fiber optic revenue related to decreased activity.
Previous wording
Natural Sand Proppant Services. Natural sand proppant services revenue decreased $2.2 million, or 45%, to $2.7 million for the three months ended September 30, 2025 from $4.9 million for the three months ended September 30, 2024 primarily due to a 25% decrease in tons of sand sold from 163,297 tons for the three months ended September 30, 2024 to 122,161 tons for the three months ended September 30, 2025, combined with a 20% decline in the average price per ton of sand sold from $22.89 per ton during the three months ended September 30, 2024 to $18.26 per ton during the three months ended September 30, 2025. Additionally, the three months ended September 30, 2024 included shortfall revenue of $1.2 million compared to none for the three months ended September 30, 2025.
Current wording
Natural Sand Proppant Services. Natural sand proppant services revenue decreased $2.8 million, or 42%, to $3.9 million for the three months ended March 31, 2026 from $6.7 million for the three months ended March 31, 2025 primarily due to a 18% decrease in tons of sand sold from 189,020 tons for the three months ended March 31, 2025 to 155,597 tons for the three months ended March 31, 2026, combined with a 9% decline in the average price per ton of sand sold from $21.49 per ton during the three months ended March 31, 2025 to $19.49 per ton during the three months ended March 31, 2026. Average price per ton of sand sold decreased primarily due to a shift of grade mix. Additionally, the three months ended March 31, 2025 included shortfall revenue of $1.6 million compared to none for the three months ended March 31, 2026. The decrease in revenue also reflects $0.1 million of lower customer freight reimbursements.
Previous wording
Accommodation Services. Accommodation services revenue decreased $0.6 million, or 21%, to $2.3 million for the three months ended September 30, 2025 from $2.9 million for the three months ended September 30, 2024 primarily due to a decline in utilization. On average, 185 rooms were utilized during the three months ended September 30, 2025 as compared to 222 for the three months ended September 30, 2024 for our accommodation services.
Current wording
Accommodation Services. Accommodation services revenue increased $1.4 million, or 67%, to $3.5 million for the three months ended March 31, 2026 from $2.1 million for the three months ended March 31, 2025 primarily due to an increase in utilization. On average, 275 rooms were utilized during the three months ended March 31, 2026 as compared to 179 for the three months ended March 31, 2025 for our accommodation services.
Previous wording
Cost of Revenue (exclusive of depreciation, depletion, amortization and accretion). Cost of revenue, exclusive of depreciation, depletion, amortization and accretion, increased $0.6 million from $13.4 million, or 78% of total revenue, for the three months ended September 30, 2024 to $14.0 million, or 95% of total revenue, for the three months ended September 30, 2025. Cost of revenue by segment was as follows:
Current wording
Cost of Revenue (exclusive of depreciation, depletion, amortization and accretion). Cost of revenue, exclusive of depreciation, depletion, amortization and accretion, increased $6.4 million from $10.1 million, or 75% of total revenue, for the three months ended March 31, 2025 to $16.5 million, or 87% of total revenue, for the three months ended March 31, 2026. Cost of revenue by segment was as follows:
Previous wording
Rental Services. Rental services cost of revenue, exclusive of depreciation and amortization, increased $0.4 million, or 31%, to $1.7 million for the three months ended September 30, 2025 from $1.3 million for the three months ended September 30, 2024, primarily due to an increase in utilization and the expansion of our aviation equipment offerings. As a percentage of revenue, our rental services cost of revenue, exclusive of depreciation and amortization of $1.0 million and $0.3 million for the three months ended September 30, 2025 and 2024, respectively, was 61% and 58% for the three months ended September 30, 2025 and 2024, respectively. The increase as a percentage of revenue is primarily due to an increase in repairs and maintenance expense, partially offset by an increase in utilization.
Current wording
Rental Services and Aviation Sales. Rental services and aviation sales cost of revenue, exclusive of depreciation and amortization, increased $6.7 million, or 479%, to $8.1 million for the three months ended March 31, 2026 from $1.4 million for the three months ended March 31, 2025, primarily due to the sale of an auxiliary power unit with a cost basis of $5.8 million, an increase in utilization, and the expansion of our aviation equipment offerings. As a percentage of revenue, our rental services cost of revenue, exclusive of depreciation and amortization of $2.6 million and $0.2 million for the three months ended March 31, 2026 and 2025, was 62% and 74%, respectively. The decrease as a percentage of revenue is primarily due to an increase in equipment utilization as well as higher margins associated with aviation rentals as compared to equipment rentals, resulting in improved absorption of fixed operating costs.
Previous wording
Infrastructure Services. Infrastructure services cost of revenue, exclusive of depreciation, increased $1.1 million, or 31%, to $4.7 million for the three months ended September 30, 2025 from $3.6 million for the three months ended September 30, 2024. As a percentage of revenue, cost of revenue, exclusive of depreciation of $0.1 million for the three months ended September 30, 2025 and 2024, was 98% and 82% for the three months ended September 30, 2025 and 2024, respectively. The increase as a percentage of revenue is primarily due to an increase in subcontractor expense.
Current wording
Infrastructure Services. Infrastructure services cost of revenue, exclusive of depreciation, decreased $0.4 million, or 44%, to $0.5 million for the three months ended March 31, 2026 from $0.9 million for the three months ended March 31, 2025. As a percentage of revenue, cost of revenue, exclusive of depreciation of $0.1 million for the three months ended March 31, 2026 and 2025, was 167% and 129% for the three months ended March 31, 2026 and 2025, respectively. The increase as a percentage of revenue is primarily due to an increase in subcontractor expense.
Previous wording
2025 from $3.2 million for the three months ended September 30, 2024. As a percentage of revenue, cost of revenue, exclusive of depreciation, depletion and accretion of $1.3 million and $1.7 million for the three months ended September 30, 2025 and 2024, respectively, was 152% and 65% for the three months ended September 30, 2025 and 2024, respectively. The increase in cost as a percentage of revenue is primarily due to a 25% decrease in tons sold and a 20% decline in average sales price per ton. In addition, the three months ended September 30, 2025, included $0.6 million in expenses related to the return of rail cars.
Current wording
Natural Sand Proppant Services. Natural sand proppant services cost of revenue, exclusive of depreciation, depletion and accretion, decreased $1.0 million, or 18%, to $4.5 million for the three months ended March 31, 2026 from $5.5 million for the three months ended March 31, 2025. As a percentage of revenue, cost of revenue, exclusive of depreciation, depletion and accretion of $0.4 million and $0.9 million for the three months ended March 31, 2026 and 2025, was 115% and 82% for the three months ended March 31, 2026 and 2025, respectively. The increase in cost as a percentage of revenue is primarily due to an 18% decrease in tons sold and a 9% decline in average sales price per ton.
Previous wording
Accommodation Services. Accommodation services cost of revenue, exclusive of depreciation and accretion, decreased $0.3 million, or 18%, to $1.4 million for the three months ended September 30, 2025 from $1.7 million for the three months ended September 30, 2024. As a percentage of revenue, cost of revenue, exclusive of depreciation and accretion of $0.3 million for the three months ended September 30, 2025 and 2024, was 61% and 59% for the three months ended September 30, 2025 and 2024, respectively. The increase as a percentage of revenue is primarily due to a decline in utilization, resulting in a higher ratio of fixed costs to variable costs.
Current wording
Accommodation Services. Accommodation services cost of revenue, exclusive of depreciation and accretion, increased $0.7 million, or 50%, to $2.1 million for the three months ended March 31, 2026 from $1.4 million for the three months ended March 31, 2025. As a percentage of revenue, cost of revenue, exclusive of depreciation and accretion of $0.3 million for the three months ended March 31, 2026 and 2025, was 60% and 67% for the three months ended March 31, 2026 and 2025, respectively. The decrease as a percentage of revenue is primarily due to an increase in utilization, resulting in a lower ratio of fixed costs to variable costs.
Previous wording
Drilling Services. Drilling services cost of revenue, exclusive of depreciation, increased $0.4 million, or 29%, to $1.8 million for the three months ended September 30, 2025 from $1.4 million for the three months ended September 30, 2024. As a percentage of revenue, cost of revenue, exclusive of depreciation of nominal amounts for the three months ended September 30, 2025 and 2024, was 78% and 88% for the three months ended September 30, 2025 and 2024, respectively. The decrease as a percentage of revenue is primarily due to an improvement in pricing.
Current wording
Drilling Services. Drilling services cost of revenue, exclusive of depreciation, increased $0.8 million, or 200%, to $1.2 million for the three months ended March 31, 2026 from $0.4 million for the three months ended March 31, 2025. As a percentage of revenue, cost of revenue, exclusive of depreciation of nominal amounts for the three months ended March 31, 2026 and 2025, was 86% and 200% for the three months ended March 31, 2026 and 2025, respectively. The decrease as a percentage of revenue is primarily due to an increase in utilization, resulting in a lower ratio of fixed costs to variable costs.
Previous wording
Other Services. Other services cost of revenue, exclusive of depreciation, decreased $2.1 million to $0.2 million for the three months ended September 30, 2025 from $2.3 million for the three months ended September 30, 2024. The decline is primarily due to the shut down of our water transfer service offerings during the third quarter of 2024. Costs for the three months ended September 30, 2025 primarily relate to insurance and facilities expense for the legacy assets.
Current wording
Other Services. Other services cost of revenue, exclusive of depreciation, decreased $0.3 million to $0.2 million for the three months ended March 31, 2026 from $0.5 million for the three months ended March 31, 2025. The decline is primarily due to decreased utilization, resulting in a higher proportion of fixed operating costs.
Previous wording
Selling, General and Administrative. Selling, general and administrative, or SG&A, represent the costs associated with managing and supporting our operations. SG&A decreased $1.6 million to $5.2 million for the three months ended September 30, 2025 from $6.8 million for the three months ended September 30, 2024. The decrease is primarily due to a decrease in legal fees.
Current wording
Selling, General and Administrative. Selling, general and administrative, or SG&A, represent the costs associated with managing and supporting our operations. SG&A decreased $0.5 million to $3.6 million for the three months ended March 31, 2026 from $4.1 million for the three months ended March 31, 2025. The decrease is primarily due to a decrease in legal fees.
Previous wording
Gains on Disposal of Assets, Net. Gains on the disposal of assets were $2.7 million and $1.6 million for the nine months ended September 30, 2025 and 2024, respectively. The assets sold primarily related to our underutilized assets.
Current wording
Gains on Disposal of Assets, Net. Gains on the disposal of assets, net were $0.7 million compared to $3.5 million for the three months ended March 31, 2026 and 2025, respectively.
Previous wording
Operating Loss. We reported operating loss of $9.0 million for the three months ended September 30, 2025 compared to operating loss of $6.1 million for the three months ended September 30, 2024. The increase in operating loss is primarily due to a decline in activity for our natural sand proppant and accommodation services.
Current wording
Operating Loss. We reported operating loss of $0.9 million for the three months ended March 31, 2026 compared to operating loss of $1.2 million for the three months ended March 31, 2025. The decrease in operating loss is primarily due to an increase in activity for our rental, accommodation and drilling services.
Previous wording
Interest Income (Expense and Financing Charges), Net. Interest income, net of interest expense and financing charges was $0.9 million for the three months ended September 30, 2025 compared to interest expense and financing charges, net of $1.1 million for the three months ended September 30, 2024. The decrease is primarily due to the decrease in interest expense due to the payoff of our long-term debt in 2024.
Current wording
Interest Income, Net. Interest income, net of interest expense and financing charges was $0.5 million for the three months ended March 31, 2026 compared to $0.1 million for the three months ended March 31, 2025.
Previous wording
Provision for Income Taxes. We recorded income tax expense of $2.1 million on pre-tax loss of $9.9 million for the three months ended September 30, 2025 compared to income tax expense of $0.6 million on pre-tax loss of $8.3 million for the three months ended September 30, 2024. Our effective tax rates were (21.6)% and (6.8)% for the three months ended September 30, 2025 and 2024, respectively. The effective tax rate for the three months ended September 30, 2025 differed from the statutory rate of 21% primarily due to changes in the valuation allowance and interest and penalties recognized during the period. The effective tax rate for the three months ended September 30, 2024 differed from the statutory rate of 21% primarily due to the mix of earnings between the United States and Puerto Rico as well as changes in the valuation allowance.
Current wording
Provision for Income Taxes. We recorded income tax expense of $1.5 million on pre-tax income of $6.1 million for the three months ended March 31, 2026 compared to $0.8 million on pre-tax loss of $1.4 million for the three months ended March 31, 2025. Our effective tax rates were 23.7% and 59.4% for the three months ended March 31, 2026 and 2025, respectively. The effective tax rate for the three months ended March 31, 2026 differed from the statutory rate of 21% primarily due to changes in the valuation allowance and interest and penalties recognized during the period. The effective tax rate for the three months ended March 31, 2025 differed from the statutory rate of 21% primarily due to interest and penalties recognized during the period.
Previous wording
Discontinued Operations. We recorded net loss from discontinued operations, net of income taxes totaling $0.6 million during the three months ended September 30, 2025 compared to a net loss from discontinued operations, net of income taxes of $15.2 million for the three months ended September 30, 2024. See Note 3 of the notes to our unaudited condensed consolidated financial statements for a breakout of the results of operations for our discontinued operations.
Current wording
Discontinued Operations. We recorded net income from discontinued operations, net of income taxes totaling $0.5 million during the three months ended March 31, 2026 compared to $1.7 million for the three months ended March 31, 2025.
Previous wording
Adjusted EBITDA is a supplemental non-GAAP financial measure that is used by management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies. We define Adjusted EBITDA as net loss from continuing operations before depreciation, depletion, amortization and accretion, losses (gains) on disposal of assets, net, impairment of long-lived assets, stock based compensation, interest (income) expense and financing charges, net, other expense, net (which is comprised of interest on trade accounts receivable and certain legal expenses) and provision (benefit) for income taxes, further adjusted to add back interest on trade accounts receivable. We exclude the items listed above from net loss from continuing operations in arriving at Adjusted EBITDA because these amounts can vary substantially from company to company within our industries depending upon accounting methods and book values of assets, capital structures and the method by which the assets were acquired. Adjusted EBITDA should not be considered as an alternative to, or more meaningful than, net loss from continuing operations or cash flows from operating activities as determined in accordance with GAAP or as an indicator of our operating performance or liquidity. Certain items excluded from Adjusted EBITDA are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historical costs of depreciable assets, none of which are components of Adjusted EBITDA. Our computations of Adjusted EBITDA may not be comparable to other similarly titled measures of other companies. We believe that Adjusted EBITDA is a widely followed measure of operating performance and may also be used by investors to measure our ability to meet debt service requirements.
Current wording
Adjusted EBITDA from continuing operations is a supplemental non-GAAP financial measure that is used by management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies. We define Adjusted EBITDA from continuing operations as net income (loss) from continuing operations before depreciation, depletion, amortization and accretion, gains on disposal of assets, net, stock based compensation, interest income, net, inclusive of related parties, unrealized gain on marketable securities, net, other expense, net (which is comprised of interest on trade accounts receivable and certain legal expenses) and provision for income taxes, further adjusted to add back interest on trade accounts receivable. We exclude the items listed above from net income (loss) from continuing operations in arriving at Adjusted EBITDA from continuing operations because these amounts can vary substantially from company to company within our industries depending upon accounting methods and book values of assets, capital structures and the method by which the assets were acquired. Adjusted EBITDA from continuing operations should not be considered as an alternative to, or more meaningful than, net income (loss) from continuing operations or cash flows from operating activities as determined in accordance with GAAP or as an indicator of our operating performance or liquidity. Certain items excluded from Adjusted EBITDA from continuing operations are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historical costs of depreciable assets, none of which are components of Adjusted EBITDA from continuing operations. Our computations of Adjusted EBITDA from continuing operations may not be comparable to other similarly titled measures of other companies. We believe that Adjusted EBITDA from continuing operations is a widely followed measure of operating performance and may also be used by investors to measure our ability to meet debt service requirements.
Previous wording
The following tables provide a reconciliation of Adjusted EBITDA to net loss from continuing operations, the most directly comparable GAAP financial measure for the specified periods (in thousands):
Current wording
The following tables provide a reconciliation of Adjusted EBITDA from continuing operations to net income (loss) from continuing operations, the most directly comparable GAAP financial measure for the specified periods (in thousands):
Previous wording
Net cash used in operating activities from continuing operations was $4.5 million for the three months ended September 30, 2025, compared to net cash provided by operating activities from continuing operations of $2.0 million for the three months ended September 30, 2024. Net cash used in operating activities from continuing operations was $11.0 million for the nine months ended September 30, 2025, compared to net cash provided by operating activities from continuing operations of $39.8 million for the nine months ended September 30, 2024. The decrease in operating cash flows from continuing operations for the nine months ended September 30, 2025 was primarily attributable to a decline in receipts on accounts receivable.
Current wording
Net cash used in operating activities from continuing operations was $2.8 million for the three months ended March 31, 2026, compared to $0.5 million for the three months ended March 31, 2025. The decrease in operating cash flows from continuing operations for the three months ended March 31, 2026 was primarily attributable to a decline in receipts on accounts receivable, which was partially offset by an increase in net income from continuing operations.
Previous wording
Net cash provided by operating activities from discontinued operations was $5.2 million for the three months ended September 30, 2025, compared to net cash used in operating activities from discontinued operations of $3.2 million for the three months ended September 30, 2024. Net cash provided by operating activities from discontinued operations was $1.9 million for the nine months ended September 30, 2025, compared to net cash used in operating activities from discontinued operations of $0.5 million for the nine months ended September 30, 2024. The increase in operating cash flows from discontinued operations for the periods is primarily attributable to the receipt of outstanding receivables of the discontinued entities and pressure pumping equipment during the nine months ended September 30, 2025.
Current wording
Net cash used in operating activities from discontinued operations was $0.3 million for the three months ended March 31, 2026, compared to net cash provided by operating activities from discontinued operations of $3.2 million for the three months ended March 31, 2025. The decrease in operating cash flows from discontinued operations for the periods is primarily attributable to decreased receipt of outstanding receivables of the discontinued entities during the three months ended March 31, 2026.
Previous wording
Net cash used in investing activities from continuing operations was $29.4 million for the three months ended September 30, 2025, compared to net cash provided by investing activities from continuing operations of $0.3 million for the three months ended September 30, 2024. Net cash used in investing activities from continuing operations was $51.8 million for the nine months ended September 30, 2025, compared to net cash provided by investing activities from continuing operations of $2.8 million for the nine months ended September 30, 2024. The increase in net cash used in investing activities from continuing operations for the periods is primarily due to an increase in purchases of property, plant and equipment and purchases of marketable securities.
Current wording
Net cash used in investing activities from continuing operations was $10.3 million for the three months ended March 31, 2026, compared to net cash provided by investing activities from continuing operations of $3.2 million for the three months ended March 31, 2025. The increase in net cash used in investing activities from continuing operations for the periods is primarily due to an increase in purchases of property, plant and equipment and purchases of marketable securities for the three months ended March 31, 2026.
Previous wording
(a) Purchases primarily for expansion of our aviation rental fleet for the three and nine months ended September 30, 2025 and maintenance for the three and nine months ended September 30, 2024.
Current wording
(a) Capital expenditures primarily for expansion of our aviation rental fleet for the three months ended March 31, 2026 and equipment rental purchases for the three months ended March 31, 2025.
Previous wording
(b) Purchases primarily for equipment for our fiber optic fleets for the periods presented.
Current wording
(b) Capital expenditures primarily for equipment for our fiber optic fleets for the periods presented.
Previous wording
Net cash used in investing activities from discontinued operations was $0.8 million for the three months ended September 30, 2025, compared to $1.6 million for the three months ended September 30, 2024. Net cash provided by investing activities from discontinued operations was $110.4 million for the nine months ended September 30, 2025, compared to net cash used in investing activities from discontinued operations of $8.7 million for the nine months ended September 30, 2024. The increase in net cash provided by investing activities from discontinued operations for the periods is primarily due to the sale of a portion of our infrastructure services entities and pressure pumping equipment during the nine months ended September 30, 2025.
Current wording
Net cash provided by investing activities from discontinued operations was $4.6 million for the three months ended March 31, 2026, compared to net cash used in investing activities from discontinued operations of $6.2 million for the three months ended March 31, 2025. The increase in net cash provided by investing activities from discontinued operations for the periods is primarily due to the sale of pressure pumping land and building during the three months ended March 31, 2026.
Previous wording
Net cash used in financing activities from continuing operations was $0.1 million for the three months ended September 30, 2025 and 2024 which was primarily attributable to principal payments on financing leases and equipment financing notes. Net cash used in financing activities from continuing operations was $0.4 million for the nine months ended September 30, 2025, compared to $47.2 million for the nine months ended September 30, 2024. Net cash used in financing activities from continuing operations for the nine months ended September 30, 2025 was primarily attributable to principal payments on financing leases and equipment financing notes. Net cash used in financing activities from continuing operations for the nine months ended September 30, 2024 was primarily attributable to payments on financing transactions of $46.8 million.
Current wording
Net cash used in financing activities from continuing operations was $0.5 million for the three months ended March 31, 2026, compared to $0.1 million for the three months ended March 31, 2025. The increase in net cash used in financing activities from continuing operations for the periods is primarily due to common stock repurchase and retirement, which was partially offset by a decrease in principal payments on financing leases and equipment notes for the three months ended March 31, 2026.
Previous wording
Net cash used in financing activities from discontinued operations was $1.4 million for the three months ended September 30, 2024. Net cash used in financing activities from discontinued operations was $3.8 million for the nine months ended September 30, 2025, compared to $4.3 million for the nine months ended September 30, 2024. Net cash used in financing activities from discontinued operations for the periods is primarily attributable to principal payments on financing leases and equipment financing notes and payments on sale leaseback arrangements.
Current wording
Net cash used in financing activities from discontinued operations was $3.7 million for the three months ended March 31, 2025. Net cash used in financing activities from discontinued operations for the periods is primarily attributable to payments on sale leaseback transactions and principal payments on financing leases for the three months ended March 31, 2025.
Previous wording
The effect of foreign exchange rate on cash was a nominal amount and $0.1 million for the three and nine months ended September 30, 2025, respectively, and nominal amounts for the three and nine months ended September 30, 2024. The change was driven primarily by a favorable (unfavorable) shift in the weakness (strength) of the Canadian dollar relative to the U.S. dollar for the cash held in Canadian accounts.
Current wording
The effect of foreign exchange rate on cash was a nominal amount for the three months ended March 31, 2026 and 2025, respectively. The change was driven primarily by a favorable (unfavorable) shift in the weakness (strength) of the Canadian dollar relative to the U.S. dollar for the cash held in Canadian accounts.
Previous wording
Our net working capital totaled $118.9 million and $74.1 million at September 30, 2025 and December 31, 2024, respectively. Our unrestricted cash balances were $98.2 million and $60.8 million at September 30, 2025 and December 31, 2024, respectively.
Current wording
Our net working capital totaled $109.5 million and $107.1 million at March 31, 2026 and December 31, 2025, respectively. Our unrestricted cash balances were $92.7 million and $102.0 million at March 31, 2026 and December 31, 2025, respectively.
Previous wording
On October 18, 2024, Cobra received a payment from PREPA totaling $18.4 million under the terms of the Settlement Agreement. In connection with the receipt of the $18.4 million from PREPA, Cobra instructed Fifth Third Bank to issue a letter of credit to PREPA under the Reimbursement Agreement in the amount of $18.4 million and transferred a total of $19.3 million to a restricted cash account maintained by Fifth Third Bank as collateral for the letter of credit.
Current wording
On October 18, 2024, Cobra received a payment from PREPA totaling $18.4 million under the terms of the Settlement Agreement. In connection with the receipt of the $18.4 million from PREPA, Cobra instructed Fifth Third Bank to issue a letter of credit to PREPA under the Reimbursement Agreement in the amount of $18.4 million and transferred a total of $19.3 million to a restricted cash account maintained by Fifth Third Bank as collateral for the letter of credit. In October 2025, Fifth Third Bank released the $18.4 million letter of credit previously issued under the Reimbursement Agreement with PREPA. As part of the release, the $19.3 million in cash collateral originally deposited on October 18, 2024 was returned to the Company. In addition, approximately $0.5 million of interest earned on the collateralized balance was transferred to the Company’s unrestricted cash account.
Previous wording
As of October 29, 2025, we had unrestricted cash on hand of $106.6 million, marketable securities of $16.0 million, and no outstanding borrowings under our revolving credit facility and a borrowing base of $50.0 million, leaving an aggregate of $44.1 million of available borrowing capacity under this facility, after giving effect to $5.9 million of outstanding letters of credit and the requirement to maintain the reserves specified in the revolving credit facility out of the available borrowing capacity.
Current wording
As of May 6, 2026, our borrowing base was$50.0 million and we had no outstanding borrowings under our revolving credit facility, leaving an aggregate of$40.4 million of available borrowing capacity, after giving effect to$5.0 million of outstanding letters of credit and the requirement to maintain the reserves specified in the revolving credit facility out of the available borrowing capacity.
Previous wording
authorized to repurchase up to the lesser of $55 million or 10 million shares of our common stock, subject to the factors discussed below. Any stock repurchases under this program may be made opportunistically from time to time in open market or privately negotiated transactions in compliance with Rule 10b-18 under the Securities Act of 1934, as amended, including any 10b5-1 plan, and will be subject to market conditions, applicable legal and contractual restrictions, liquidity requirements and other factors. The repurchase program has no time limit, does not require us to repurchase any specific number of shares and may be suspended from time to time, modified or discontinued by our board of directors at any time. Any common stock repurchased as part of such stock repurchase program will be cancelled and retired. We have not repurchased any shares of our common stock under the stock repurchase program at September 30, 2025 or to date.
Current wording
authorized to repurchase up to the lesser of $55 million or 10 million shares of our common stock, subject to the factors discussed below. Any stock repurchases under this program may be made opportunistically from time to time in open market or privately negotiated transactions in compliance with Rule 10b-18 under the Securities Act of 1934, as amended, including any 10b5-1 plan, and will be subject to market conditions, applicable legal and contractual restrictions, liquidity requirements and other factors. The repurchase program has no time limit, does not require us to repurchase any specific number of shares and may be suspended from time to time, modified or discontinued by our board of directors at any time. Any common stock repurchased as part of such stock repurchase program will be cancelled and retired. We have repurchased and retired 187,668 shares of our common stock for approximately $0.4 million under the stock repurchase program during the three months ended March 31, 2026.
Previous wording
During the nine months ended September 30, 2025, our capital expenditures from continuing operations totaled $44.6 million. During 2025, we currently estimate that our aggregate capital expenditures from continuing operations will be approximately $45.5 million, depending upon industry conditions and our financial results. These capital expenditures primarily relate to our aviation and other equipment rental services.
Current wording
During the three months ended March 31, 2026, our capital expenditures from continuing operations totaled $11.7 million. During 2026, we currently estimate that our aggregate capital expenditures, excluding aviation, will be approximately $23.0 million, depending upon industry conditions and our financial results. These capital expenditures primarily relate to our equipment rental services. Additional growth in our infrastructure division is expected to be financed through leasing arrangements.
Previous wording
In addition, while we regularly evaluate acquisition opportunities, we do not have a specific acquisition budget for 2025 since the timing and size of acquisitions cannot be accurately forecasted. We intend to continue to evaluate acquisition opportunities, including those in the renewable energy sector as well as transactions involving entities controlled by Wexford. Our acquisitions may be undertaken with cash, our common stock or a combination of cash, common stock and/or other consideration. In the event we make one or more acquisitions and the amount of capital required is greater than the amount we have available for acquisitions at that time, we could be required to reduce the expected level of capital expenditures and/or seek additional capital.
Current wording
In addition, while we regularly evaluate both aviation as well as acquisition opportunities, we do not have a specific acquisition budget for 2026 since the timing and size of aviation purchases or acquisitions cannot be accurately forecasted. We intend to continue to evaluate acquisition opportunities, including transactions involving entities controlled by Wexford. Our acquisitions may be undertaken with cash, our common stock or a combination of cash, common stock and/or other consideration. In the event we make one or more acquisitions and the amount of capital required is greater than the amount we have available for acquisitions at that time, we could be required to reduce the expected level of capital expenditures and/or seek additional capital.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
See Note 3 of the notes to our unaudited condensed consolidated financial statements for a breakout of the results of operations for our discontinued operations.
Current report — wording carried from elsewhere
As of May 6, 2026, we had unrestricted cash on hand of $56.0 million, marketable securities of $32.6 million, no outstanding borrowings under our revolving credit facility and a borrowing base of $50.0 million, leaving an aggregate of $40.4 million of available borrowing capacity under this facility, after giving effect to $5.0 million of outstanding letters of credit. As of May 6, 2026, we hadcash, cash equivalents and marketable securities of $88.6 million.
Current report — wording carried from elsewhere
(c) Capital expenditures primarily for equipment for the periods presented.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
Provision (Benefit) for Income Taxes. We recorded income tax expense of $2.0 million on pre-tax loss of $47.3 million for the nine months ended September 30, 2025 compared to an income tax benefit of $12.7 million on pre-tax loss of $184.3 million for the nine months ended September 30, 2024. Our effective tax rate for the nine months ended September 30, 2025 differed from the statutory rate of 21% primarily due to changes in the valuation allowance and interest and penalties recognized during the period. Our effective tax rate for the nine months ended September 30, 2024 differed from the statutory rate of 21% primarily due to the mix of earnings between the United States and Puerto Rico, changes in the valuation allowance and interest and penalties. Additionally, as a result of the Settlement Agreement with PREPA, during the nine months ended September 30, 2024, we reversed $19.9 million in withholding tax accruals related to undistributed earnings from Puerto Rico.