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SPCB...This one's slippery but the earnings report looked decent today so I just bought some @ $1.05- $1.07 for a trade. I'll get out quick if it doesn't hold...
SuperCom Reports 141% YoY Revenue Growth and 5-Year-Record Revenue for the Second Quarter 2023
https://finance.yahoo.com/news/supercom-reports-141-yoy-revenue-121000848.html
ISUN...iSun Inc. Provides Preliminary Second Quarter 2023 Revenue
Continues to expect full year 2023 revenues of $95-100 million, a 24% to 31% increase over 2022
Plans to report final Q2 2023 results on August 10, 2023
iSun, Inc. (NASDAQ: ISUN) (the "Company," or "iSun"), a leading solar energy and clean mobility infrastructure company with 50-years of experience accelerating the adoption of innovative electrical technologies, today announced that preliminary revenue for the second quarter of 2023 ended June 30, 2023, was approximately a record $25 million, an increase of over 50% from the $16.5 million reported for the second quarter of 2022. The year-over-year increase reflects effective execution of the company’s strategy, with sustained strength in its commercial and industrial division, which has been performing robustly in 2023 responding to increased customer demand.
iSun continues to expect that total revenues for the full year 2023 will be $95-100 million, a 24%-31% increase over full year 2022 total revenues, reflecting the new business awards the company continues to secure across its business and its strong execution in working through its growing backlog.
HIGHLIGHTS:
Preliminary total revenue for second quarter of 2023 of approximately $25 million, a record and an increase of over 50% from the $16.5 million reported for the second quarter of 2022.
Reaffirms guidance of $95-100 million in revenue for the full year 2023, a 24%-31% increase over total revenues for full year 2022.
C&I division continues to outpace market growth, responding to higher customer demand and better execution on its growing backlog.
Company plans to announce final results for the second quarter and first half of 2023 on August 10, 2023.
“We are delighted by the momentum we are demonstrating this year, as we execute effectively on our growth strategy and respond to the increased demand for solar power solutions, especially in our consolidated commercial and industrial division. As we continue to secure new business awards across our markets, we’re confident that our sustained improved performance this year will enable us to achieve our full-year revenue and profitability targets,” said Jeffrey Peck, Chairman and Chief Executive Officer of iSun.
Final Second Quarter 2023 Results Timing
iSun plans to issue final second quarter and first half 2023 results before the market opens on Thursday, August 10, 2023.
A conference call to discuss the results will take place at 8:30 AM ET. To participate in the call, please dial 1-888-506-0062 (domestic) or 1-973-528-0011 (international), using conference ID 246871. The live webcast can be accessed through the Company’s Investor Relations website at investors.isunenergy.com.
A webcast replay of the call will be available at the same location beginning approximately one hour after the call’s completion. A telephonic replay will be available through August 24, 2023, and can be accessed by dialing 1-877-481-4010 (domestic) or 1-919-882-2331 (international), using conference code 48846.
CSPI...NICE.
CSPI...Did grab any on the dip nelson? The news that came out the following day looks to have put a floor under it.
I like the news and looking forward to hearing more about it in a couple weeks...
https://finance.yahoo.com/news/aria-cybersecurity-unveils-revolutionary-ai-130000533.html
LAD...Nice earnings pop today. I bought some yesterday and sold this morning shortly after the open. Sold some of my shares too quick and left $ on the table. (Got as high as $319 on a few though). all-in-all a good trade for me.
LAD...Lithia Motors (NYSE:LAD) reported quarterly adjusted earnings of $10.91 per share which beat the analyst consensus estimate of $9.26 by 17.82 percent. This is a 10.43 percent decrease over earnings of $12.18 per share from the same period last year. The company reported quarterly sales of $8.11 billion which beat the analyst consensus estimate of $7.92 billion by 2.40 percent. This is a 12.02 percent increase over sales of $7.24 billion the same period last year.
FTK...Up 10% today...Nice article (and inteview) posted on SeekingAlpha yesterday...
Flotek Industries: A Turnaround Story Still At The Ground Floor Level
https://seekingalpha.com/article/4618211-flotek-industries-turnaround-story-still-at-groundfloor-level
CSPI...Thnx hweb. I'm sure we'll hear more on this next month when CSPi reports and holds their cc. If the price is right, it could contribute nicely to sales and profits by next year..."We are seeing strong interest in this novel approach from some of the largest critical infrastructure OT operators in the US."
I like the news.
CSPI...Anyone catch last weeks CSPI news?...I've was on a road trip for the past couple weeks but not sure how I missed this since I try to check news daily on my holdings even while vacationing.
Anyway, the news sounds great. This is huge news (IMO) for o&g, utilities, refineries, ect ...hweb, what do you think?
ARIA Cybersecurity Unveils Revolutionary New AI Approach to Protect Critical OT Environments from Growing Cyberthreat
CSP, Inc.
BOSTON, MA / ACCESSWIRE / July 13, 2023 / ARIA Cybersecurity Solutions, a CSPi business (NASDAQ:CSPi), today launched a breakthrough solution for protecting operational technology (OT) environments, which stops even the most advanced and dangerous cyberattacks before they do harm. ARIA Zero Trust PROTECT (AZT PROTECT™) is an advanced AI-driven endpoint protection solution that protects devices running critical applications in sectors such as pharmaceuticals, transportation, energy, utilities, smart manufacturing, and autonomous vehicles.
Why AZT PROTECT's patented approach:
Stops all attacks immediately as they try and execute on a protected device
Stops the attacks that best Cloud based EDRs don't: true never-seen-before zero days, supply chain and nation state backed attacks
Understands known good applications, processes, etc... blocks the rest
Makes application vulnerabilities and patching irrelevant by blocking exploits
No need for cybersecurity trained staff
Very lightweight can be rolled out on OT equipment with 20-year-old OS versions
Each endpoint is fully independent - no need for Cloud updates to block new attacks
Can run fully air-gapped
OT devices have traditionally been sealed off from the outside world, but - increasingly connected to the internet - OT networks have suffered several high-profile cyberattacks in recent years. As a result, governments around the world are issuing directives ordering operators of critical OT infrastructure to protect their systems, which is seeing OT devices placed under the same cybersecurity umbrella as IT systems. However, the practice of continuous security patching in the IT world is not fit for purpose for critical OT devices that cannot easily be taken offline at a moment's notice without causing shutdowns and significant associated revenue loss. Patching still leaves OT networks vulnerable to attack because many known and all unknown application verbalities have no patches to stop exploits.
Today's leading next-generation antivirus (NAV) and endpoint detection response (EDR) solutions only guard against known threats and require time to respond to never-seen-before exploits. By contrast, AZT PROTECT uses a patented AI-driven approach to automatically lock these critical assets down from attack - without the need for updates. It learns known good applications and processes and blocks everything else. It reduces application vulnerability exploits to near zero by neutralizing threats in real-time before they cause harm, using a revolutionary AI-driven patented technique for analyzing executable code, scripts, and processes to discover and stop attacks. It prevents the full range of cybersecurity threats, including the most advanced zero-day and supply chain attacks, without the need for constant security patching.
"The vulnerability surface of OT networks continues to grow, while OT environments continue to suffer from a severe lack of skilled staff to continuously patch and investigate issues, which can result in millions of dollars in lost revenue," said Gary Southwell, Vice President and General Manager, ARIA Cybersecurity. "Today's enterprise EDR solutions are therefore simply not fit for purpose for OT. These environments need a solution that shoulders all the work and stops whatever harm comes their way. Custom-built for OT environments, AZT PROTECT secures production infrastructure from even the most advanced cybersecurity attacks and intrusions, including those that have never been seen before. We are seeing strong interest in this novel approach from some of the largest critical infrastructure OT operators in the US."
AZT PROTECT works with existing cybersecurity infrastructure and can be up and running in minutes, requiring no special training. It protects a range of operating systems, stretching back two decades in the case of Windows OS, ensuring ongoing return on investment in legacy infrastructure. It works across all devices and applications without impacting performance and does not rely on internet connectivity, making it suitable for fully "air-gapped" OT environments.
ARIA AZT PROTECT is now available for purchase. To connect with one of our cybersecurity experts, contact us at info@ariacybersecurity.com.
DTST...Data Storage Corporation Secures Multi-Million Dollar Contract with a Leading Business Process Solutions Provider
MELVILLE, N.Y., June 29, 2023 (GLOBE NEWSWIRE) -- Data Storage Corporation (Nasdaq: DTST) (“DSC” and the “Company”), a provider of diverse business continuity solutions for disaster-recovery, cloud infrastructure, cyber security, and IT services, announced today that it has secured a multi-million dollar contract with a leading provider of end-to-end business processes for customers globally through its CloudFirst subsidiary. The Company has been contracted to provide cloud based infrastructure to support the client’s large data sets with 24x7 dedicated support as well as provide data recovery solutions to keep the client’s business running at full performance during planned maintenance or unplanned downtime.
Chuck Piluso, Chief Executive Officer of Data Storage Corporation, commented, “We are proud to have secured this substantial subscription-based contract with a leading business process solutions provider who has customers around the world. This client was looking to outsource their power systems and following an extensive analysis, they deemed our company and solutions to be superior to competitors on the market. Specifically, we were selected given our ability to execute and deliver a fully managed solution that addresses the client’s needs while enabling increased support as they grow over time. We are currently implementing our solutions and look forward to exploring additional opportunities with this client in the future.”
https://finance.yahoo.com/news/data-storage-corporation-secures-multi-123000814.html
CLMB...Climb Channel Solutions Partners with AppOmni, Offering Data Visibility and Security of SaaS Solutions
EATONTOWN, N.J., June 29, 2023 (GLOBE NEWSWIRE) -- Climb Channel Solutions, an international specialty technology distributor and wholly owned subsidiary of Climb Global Solutions, Inc. (NASDAQ: CLMB) has announced a new partnership with SaaS security provider, AppOmni.
With AppOmni, Climb now offers universal security across all SaaS applications with centralized visibility and data access management. This critical addition to Climb's repertoire enables resellers to round out their security solutions, strengthen their customers’ overall security posture, mitigate risks, and ensure compliance with industry regulations.
“AppOmni is radically advancing the way businesses implement common security capabilities across their entire SaaS ecosystem. Our technology enables businesses to establish rules for data access, data sharing, and third-party applications that are continuously and automatically validated,” noted Donald Shake, Director, Channels North America at AppOmni. “Organizations from technology, healthcare, government, and finance are eager to deploy AppOmni to protect data across all of their SaaS applications. Through our partnership with Climb, more channel partners and customers can benefit from AppOmni’s comprehensive security model and the team’s security and technical expertise.”
Limited-to-zero visibility into the configuration and state of SaaS applications is a major threat for every business. As Gartner forecasts worldwide SaaS spending will reach $195 billion by the end of 2023, the opportunity for solution and technology leaders to protect their clients’ SaaS data with advanced security tooling and expert insights powered by AppOmni is soaring. AppOmni makes it easy for security and IT teams to secure their SaaS data during new implementations and in environments currently operating with SaaS.
"Climb is always on the lookout for top notch security solutions for our resellers," says Dale Foster, CEO at Climb Channel Solutions. "Adding AppOmni to our transacting vendors list not only provides cutting-edge security solutions for our valued resellers, but this collaboration opens doors for our resellers to tap into the growing demand for compliance, robust security, and visibility sought by IT and security teams."
ACDC...Recent insider buying...
https://www.nasdaq.com/market-activity/stocks/pfhc/sec-filings
FTK...Recent insider buying...
https://www.nasdaq.com/market-activity/stocks/ftk/sec-filings
CXDO...Steve Mihaylo bought another 43700 shares @ $1.87...
https://ih.advfn.com/stock-market/NASDAQ/crexendo-CXDO/stock-news/91360293/statement-of-changes-in-beneficial-ownership-4
CXDO...Yea, big position. Remember though I was getting slammed on all 3 of my biggest positions (CXDO, ACDC, FTK) approx 8-10 wks ago...
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=171771411
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=171522634
So my CXDO position got that big by averaging down on almost every drop. Started buying in the low $2's and bought as low as $1.299. Average cost is now approx $1.67. Also, CXDO is up 47% over the past month so that move has really inflated it's percentage of my portfolio.
Thanks on FTK & ACDC.
I've already locked in a little CXDO profit and plan on moving things around as time goes by. Hope they announce a good increase in total users this year which should help get the price more into the mid $2's.
The insider buying has really helped build confidance, as it has in ACDC & FTK also.
(ACDC has huge potential also and I'm thinking they will announce a dividend this year).
BTW, I also still hold a decent position in CSPI and started addind back some CLMB along with starting new positions in a few others.
CXDO...Back on a roll...Lots of insider buying. Crexendo will probably be reporting an increase in total users shortly after mid-year. Should see an increase of over 27% since beginning of 2023 (based on previous comments made by management).
CXDO is over 1/3 of my portfolio w/ FTK & ACDC my 2nd and 3rd largest holdings.
https://ih.advfn.com/stock-market/NASDAQ/crexendo-CXDO/chart
FTK...Flotek Promotes President Ryan Ezell to CEO
Dr. Ezell Brings Over Two Decades of Leadership and Operating Experience in the Energy Industry
Interim CEO Harsha V. Agadi To Be Appointed Non-Executive Chairman of the Board and Will Assist with the Leadership Transition
HOUSTON, June 7, 2023 /PRNewswire/ -- Flotek Industries, Inc. ("Flotek" or the "Company") (NYSE: FTK), a leader in technology-driven specialty green chemistry and data analytics solutions, today announced that President Ryan Ezell has been named Chief Executive Officer of Flotek and will join the Board of Directors, effective June 8, 2023. He succeeds interim CEO Harsha V. Agadi, who has been elected Non-Executive Chairman of the Board, effective June 8, 2023, succeeding David Nierenberg, who will remain on the Board and serve on the Audit, Corporate Governance & Nominating, Compensation and Risk & Sustainability Committees.
Mr. Agadi said, "Ryan is the right leader for Flotek's future. With hands-on experience across different areas of the Company, Ryan brings unique and deep strategic, operational, and customer knowledge that equip him to drive Flotek's continued growth for the benefit of our shareholders, customers, and employees. His leadership over the past few months has helped put the Company in a strong position to achieve our previously disclosed full-year 2023 guidance of $210 million to $230 million in revenue and an adjusted gross profit margin of 8% to 10%. I look forward to working with Ryan to ensure a seamless transition."
Mr. Nierenberg, the former Non-Executive Chairman and second-largest shareholder of Flotek, said, "On behalf of the entire Board, I am thrilled to welcome Ryan as the next CEO of Flotek, following a thorough and competitive search process involving both internal and external candidates. We are confident that Ryan's proven record of success and deep understanding of the business and energy industry make him the ideal leader to capture attractive market opportunities and take the Company into its next phase of profitable growth. We thank Harsha for his outstanding leadership as we worked to identify our permanent CEO.
"I also want to congratulate Harsha on his election as Non-Executive Chairman of the Board. His recent successful experience leading the Company will be invaluable to his new role. I'm pleased to be remaining on the Board and look forward to working with Harsha, my fellow Directors, and Ryan's team as he launches Flotek's next chapter of success and value creation."
Under Mr. Agadi's leadership as interim CEO, the Company recorded a 273% increase in first quarter 2023 total revenue compared to the same period in the prior year. This growth reflects significant progress toward becoming the collaborative partner of choice for sustainable optimized chemistry and integrated data solutions for energy companies across the globe.
Dr. Ezell said, "Over the past few months, I have worked closely with Harsha to co-develop Flotek's growth strategy. We are already seeing momentum at the Company, with strong gross profit growth in the first quarter – but that is just the beginning. Today, Flotek is better positioned than ever before to bring affordable, sustainable energy to more customers around the world. I look forward to building on our strong foundation to drive growth and increased shareholder value over the coming years."
About Ryan Ezell
With a career spanning more than 20 years in the energy industry, Dr. Ezell brings extensive international and multiple business segment experience. He has managed a business with revenues exceeding $2.8 billion and teams of over 5,500 employees, and has a proven track record of driving profit and growth in many market environments.
Dr. Ezell has served as both President and Chief Operating Officer of Flotek, during which he engineered and executed a strategic turnaround, resulting in contracts that grew revenue more than 3X from 2021 to 2022, and increased revenue backlog to over $2.1 billion. Prior to that, he was the President of Flotek's Chemistry Technologies segment, where he led a shift in the chemistry technologies portfolio and an evolution of the business' strategy that resulted in growth that outpaced the market and market share gains of over 10X in a year. He began his tenure at Flotek as Senior Vice President of Operations, during which he drove an operational restructuring that led to a 60%+ reduction in costs across manufacturing, logistics, field service, delivery, facilities, and personnel.
Prior to joining Flotek, Dr. Ezell held various leadership roles over the course of a decade at Fortune 500 global energy company Halliburton, where he drove strategy and growth, contributed to merger and acquisition strategies, and implemented change management. He also served as a member of Haliburton's Technology Review Board and a member of the Board on four company joint ventures.
Dr. Ezell has a Ph. D. in Polymer Science from the University of Southern Mississippi and a Bachelor of Science in Chemistry from Millsaps College. He is a published scientist and is an author on more than 26 patents.
CXDO...Crexendo to present today @ 7PM EST at LD Micro Invitational XIII
https://finance.yahoo.com/news/crexendo-present-ld-micro-invitational-203000782.html
ISUN...iSun Inc. Reports Significant Stock Purchases by Senior Management
Company re-affirms full year revenue guidance of $95-100 million, a 24-31% increase over 2022
WILLISTON, Vt., May 26, 2023--(BUSINESS WIRE)--iSun, Inc. (NASDAQ: ISUN) (the "Company," or "iSun"), a leading solar energy and clean mobility infrastructure company with 50 years of experience accelerating the adoption of innovative electrical technologies, today announced that Jeffrey Peck, Chairman and CEO, and John Sullivan, Chief Financial Officer, have each purchased 50,000 shares of iSun common stock on the open market, thus together buying 100,000 shares at a total price of $52,808, or an average cost of $0.53 per share, reinforcing their confidence in the company’s progress and opportunities ahead.
Said Mr. Peck, "Building on the transformational year of 2022, we’re thrilled that 2023 is off to a strong start for iSun, with first quarter revenue growth of 15% and a 30% reduction in operating expenses – all supporting our targets of increasing our revenue this year by 24-31% and attaining adjusted EBITDA profitability. John and I believe that iSun is performing very well across our market segments, and we view the current stock price as not reflecting our current or potential value."
He continued, "With the power of the Inflation Reduction Act providing 10-year support for alternative energy tax treatment, we anticipate that the best is yet to come for iSun. In the first quarter this year, we’ve already won $32 million in new contracts for both solar and EV infrastructure projects. Our teams are reaching peak productivity, with a backlog of $178.8 million as of March 31, 2023, and that provides us with confidence that we will achieve our outlook for 2023. iSun is indeed well positioned to generate sustainable, profitable long-term growth, for the benefit of its customers, shareholders and employees."
HaHa...I like #13
CXDO...On May 16, 2023, Crexendo, Inc. (the “Company”) entered into a Purchase and Sale Agreement (the “Agreement”) with Nectar Equities, LLC (the “Buyer”) for the sale of the Company’s office building located at 1615 S 52nd St Tempe, AZ 85281 , which was previously reported as an asset in the Company’s property, plant, and equipment in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022.
The purchase price for the building is Four Million Fifty Thousand Dollars (US) ($4,050,000.00), subject to certain adjustments as specified in the Agreement. The transaction is expected to close in the next 120 days, subject to the satisfaction of customary closing conditions. The property is subject to a mortgage loan with Bank of America, N.A. and has an approximate balance amount owed of $1,767,490.88, which will be paid in full on closing.
The Company has been granted the right to lease back the premises for a period of at least twelve months and up to 18 months after closing.
https://ih.advfn.com/stock-market/NASDAQ/crexendo-CXDO/stock-news/91130795/current-report-filing-8-k
CXDO...Did you see all the insider buying?...Up over 40% last week...
https://www.nasdaq.com/market-activity/stocks/cxdo/sec-filings
CXDO....Posted the wrong presentation. Here's the correct one....
https://app.quotemedia.com/data/downloadFiling?webmasterId=90423&ref=317502414&type=HTML&symbol=CXDO&cdn=15b3a1ab9b678a2ac3dd799e34b9ed47&companyName=Crexendo+Inc.&formType=8-K&formDescription=Current+report+pursuant+to+Section+13+or+15%28d%29&dateFiled=2023-05-18
CXDO... The stock was so undervalued trading in the $1.30's and I think once people seem some insider buying they didn't want to be left behind. That's all I can think of.
Still holding all my shares. I took such advantage of the low stock price when it was down I'm having a hella' good week. Needed it though because my largest three holdings have been down this year.
CXDO... Backside of $2. NICE.
DTST... I like this one gp22. Been accumulating it slowly in the $1.80's and low $1.90's for the last week or two since their latest earnings report. I found it while doing research on CXDO.
Going to stick with it and keep accumulate on dips.
CSPI...Joe Nerges back to buying/adding shares...
https://ih.advfn.com/stock-market/NASDAQ/csp-CSPI/stock-news/91082255/statement-of-changes-in-beneficial-ownership-4
ACDC...ProFrac Holding Corp. Executive Chairman and CEO Decline Restricted Stock Units
WILLOW PARK, Texas, May 15, 2023 /PRNewswire/ -- ProFrac Holding Corp. (NASDAQ: ACDC) ("ProFrac" or the "Company") announced today that Executive Chairman, Matt Wilks, and Chief Executive Office, Ladd Wilks, elected to decline approximately 42% of their recently awarded restricted stock units (RSUs) that were earned through ProFrac Holding Corp.'s 2022 Long Term Incentive Plan.
Jointly, Messrs. Wilks stated, "In early April, we rejected approximately 42% of our respective restricted stock unit grants to ensure the value of the grant more closely aligns with what we believe is the intrinsic value of our stock and not the current trading price. We believe the stock is undervalued and don't believe the fundamentals are driving the recent decline in the stock trading price."
https://finance.yahoo.com/news/profrac-holding-corp-executive-chairman-201500933.html
CXDO...Finally some insider buying (from the CEO)...
https://ih.advfn.com/stock-market/NASDAQ/crexendo-CXDO/stock-news/91064151/statement-of-changes-in-beneficial-ownership-4
CXDO...CC NOTES...
(Trading in the low to mid $1.40's yesterday and this morning. Current market cap = $38M)
- New CEO, Jeffery Korn, is extremely focused on increasing profitability. Has implemented widespread restrictions on discretionary spending companywide. Crexendo has sufficient staff so no need for substantial hiring. They're open to replacing essential positions though. They will run a lean and effective organization while strategically expanding.
- Working on a realignment plan. Very encouraged by what they're working on but not quite ready to discuss too much of it yet.
- Good on cash and not worried about cash burn. Expects positive cash from operations this year.
- Extremely pleased with the results they saw in Q1 regarding international efforts.
- Crexendo now has a hybrid work force which is working out well for them and has increased productivity. They have a letter of intent in place to sell their Tempe corporate office for approx $2M.
- Integrating the Allegiant acquisition into both corporate and direct operations and expects to see significant financial & operational efficiencies over the next 3 quarters.
- Crexendo has begun integrating AI into their work streams.
- Back log = $47.8M, an 11% sequential increase. (Backlog #'s do not include the Allegiant acquisition). Crexendo is anticipating Allegiant's backlog numbers to be in their Q2 report.
- Continues to see strong demand & growth in the UCaas industry.
- Estimates hitting 3.4M users by mid year after recently surpassing 3M users in Feb. (Nice growth, 13% increase over the past 5 months if they hit those #'s).
- Crexendo is positioned extremely well. Anticipating a banner year.
- Extremely excited about the pipeline of opportunities and the amount of opportunities that exist on the horizon for the recent Allegiant acquisition.
https://finance.yahoo.com/news/q1-2023-crexendo-inc-earnings-122302549.html
IMMR...Great insight. Thanks hweb.
PCTI...Thanks for the info nelson. Something to watch. You have always said PCTI is a buyout target and it makes sense. You never know.
And I agree, Q2 outlook is way softer than I expected.
I sold some PCTI to add more CXDO. Will more than likely add those PCTI shares back on dips.
IMMR...hweb, IMMR looks good below $7. Did you find any concerns? The interest income should continue.
Also, there is news out that Sony is working on a PS5 Pro.
ACDC... Positive forward comments in the cc. Also, there will more than likely be an upcoming share buy back and or dividend.
ACDC...Came in light...ProFrac Holding Corp. Reports First Quarter 2023 Financial and Operational Results
WILLOW PARK, Texas, May 9, 2023 /PRNewswire/ -- ProFrac Holding Corp. (NASDAQ: ACDC) ("ProFrac", or the "Company") today announced financial and operational results for its first quarter ended March 31, 2023.
First Quarter 2023 Results and Recent Highlights
Total revenue grew approximately 7% sequentially to $851.7 million over 2022 fourth quarter revenue
Net income declined approximately 48% sequentially to $59.8 million
Adjusted EBITDA(1) excluding Flotek declined approximately 5% sequentially to $255.0 million
Annualized Adjusted EBITDA per fleet(2) excluding Flotek was $25.1 million on 40.7 average active fleets during the quarter
The Company did not adjust for approximately $20 million of costs related to the conversion, optimization and retirement of certain acquired assets and businesses; excluding these costs Annualized Adjusted EBITDA per fleet excluding Flotek would have been approximately $27 million
First quarter results include the consolidation of Flotek results which contributed $49.2 million in revenue and a loss of ($7.9) million in Adjusted EBITDA
Following the acquisition of Performance Proppants, ProFrac is the largest provider of in-basin sand in North America
Matt Wilks, ProFrac's Executive Chairman, stated, "We are pleased to report that ProFrac delivered solid operational and financial results for the first quarter of 2023. Once again, we generated strong revenues and Adjusted EBITDA as we continue to execute on our strategy. I am proud of what this team has accomplished and excited to realize the full potential of this business as we move forward."
"During the first quarter, ProFrac incurred substantial costs related to our recent acquisitions of U.S. Well Services, Monarch Silica, REV, Performance Proppants and Producers. Management estimates that the Company incurred over $20 million of expenses associated with the optimization of these businesses, as well as with upgrading, standardizing and retirement of certain acquired assets. Because ProFrac is able to integrate acquired businesses so swiftly we recognize both the commercial and operational synergies as well as the associated integration expenses on an accelerated basis. As noted, we believe the profitability of the business was impacted while initiating our long-term integrated commercial strategy. While we are proud of the performance posted by the Company in the first quarter, we believe the earnings power of the business is much stronger than indicated by our first quarter financial results and believe the true potential will be recognized in the coming quarters."
Ladd Wilks, ProFrac's Chief Executive Officer, added, "In spite of integration costs, I'm proud to report that ProFrac increased revenue by 7% in a difficult commodity price environment. Our strategic priority has been and will continue to be increasing the number of fully integrated fleets that we operate, which in turn improves our value proposition to our customers. Our position as the leading producer of in-basin sand and one of the largest frac service providers is unique, and we look forward to demonstrating the earnings power of this combination."
First Quarter 2023 Financial Results
For the first quarter of 2023, consolidated revenues totaled $851.7 million, up approximately 7% sequentially. The increase was driven by a higher average active fleet count and material sales, partially offset by lower efficiencies during the quarter related to transitory commodity price headwinds.
Selling, general, and administrative costs were $76.3 million in the first quarter, of which $11.4 million related to Flotek and $13.1 million related to stock-based compensation. Excluding Flotek and stock-based compensation, selling, general, and administrative costs totaled $51.8 million.
Net income for the first quarter declined 48% sequentially to $59.8 million, or $0.40 per share of the Company's Class A common stock. Excluding the operating results attributable to Flotek, net income totaled $64 million.
In the first quarter, Adjusted EBITDA decreased 6% from the prior quarter and totaled $247.1 million. Excluding the operating results attributable to Flotek, Adjusted EBITDA totaled $255 million, or $25.1 million per average active fleet on an annualized basis.
Operating cash flow was $233.5 million in the first quarter, an increase of 47% from the previous quarter. Approximately $48.1 million was generated from a liquidation of working capital.
Outlook
As the Company looks towards the balance of 2023, ProFrac will pursue a similar disciplined approach as demonstrated by its E&P customers. The Company's focus is on optimizing recent transactions to maximize the generation of discretionary free cash flow. Moving forward, ProFrac will continue to react to market conditions to help ensure the Company's ability to earn its targeted rates of return and position the business to maximize shareholder returns.
Business Segment Information
The Stimulation Services segment generated revenues of $790.2 million in the first quarter of 2023, which resulted in $205.7 million of Adjusted EBITDA.
The Proppant Production segment generated revenues of $82.2 million in the first quarter of 2023, which resulted in $41.3 million of Adjusted EBITDA. Approximately 39% of the Proppant Production segment's revenue was intercompany.
The Manufacturing segment generated revenues of $67.1 million in the first quarter of 2023, which resulted in $8.0 million of Adjusted EBITDA. Approximately 95% of the Manufacturing segment's revenue was intercompany.
Our Other Business Activities generated revenues of $49.2 million in the first quarter of 2023, which resulted in a loss of ($7.9) million of Adjusted EBITDA. Approximately 76% of the Other Business Activities' revenue was intercompany. The Other Business Activities solely relate to the results of Flotek.
Capital Expenditures and Capital Allocation
Cash capital expenditures totaled $83.2 million in the first quarter, excluding acquisitions. This is expected to accelerate over the next two quarters given the projected timing of project completions and cash outlays. During the first quarter, the Company continued to pursue various growth initiatives, specifically the construction of four e-fleets and the previously announced engine upgrade program, which will convert many legacy pumps to next generation technology. ProFrac will remain disciplined with capital allocation and the Company expects to reduce capex spend based on total fleet activity levels to ensure it maintains return thresholds on all capital investment.
Balance Sheet and Liquidity
Total gross debt outstanding as of March 31, 2023 was $1,291.2 million, $0.4 million of which was attributable to Flotek. Gross debt outstanding excluding amounts attributable to Flotek was $1,290.8 million, compared to $941.4 million as of December 31, 2022.
Total cash and cash equivalents as of March 31, 2023, excluding Flotek, was $57.5 million
As of March 31, 2023, and excluding amounts attributable to Flotek, the Company had $169 million of liquidity, including $57.5 million in cash and cash equivalents and $111.5 million of availability under its asset-based credit facility, excluding letters of credit outstanding.
Footnotes
(1) Adjusted EBITDA is a financial measure not presented in accordance with generally accepted accounting principles ("GAAP") (a "Non-GAAP Financial Measure"). Please see "Non-GAAP Financial Measures" at the end of this news release.
(2) Adjusted EBITDA per fleet is a Non-GAAP Financial Measure. Please see "Non-GAAP Financial Measures" at the end of this news release.
Conference Call
ProFrac has scheduled a conference call on Wednesday, May 10, 2023 at 11:00 a.m. Eastern time / 10:00 a.m. Central time. Please dial 412-902-0030 and ask for the ProFrac Holding Corp. call at least 10 minutes prior to the start time of the call, or listen to the call live over the Internet by logging on to the website at the address https://ir.pfholdingscorp.com/news-events/ir-calendar. A telephonic replay of the conference call will be available through May 17, 2023 and may be accessed by calling 201-612-7415 using passcode 13735082#. A webcast archive will also be available at the link above shortly after the call and will be accessible for approximately 90 days
CSPI...Nice report and they inched up the dividend...CSP Inc. Momentum Continues During Fiscal Second Quarter With 11% Revenue Growth and Diluted Earnings per Common Share of $0.07 Compared to $0.03 in the Prior Fiscal Year Second Quarter, Quarterly Dividend of $0.04 per Share Declared
Backlog Exceeds $22 Million as Demand for Award-Winning Products and Services Remain High
Recurring Revenue Increased 25% from Prior Year Second Quarter
LOWELL, MA / ACCESSWIRE / May 10, 2023 / CSP Inc.
CSPI, an award-winning provider of security and packet capture products, managed IT and professional services and technology solutions, today reported fiscal 2023 second quarter revenue grew 11% while diluted earnings per common share increased to $0.07 compared to $0.03 in the prior year second quarter. The company also announced that its Board of Directors has declared a 33% increase in the quarterly dividend, from $0.03 per share to $0.04 per share payable June 13, 2023 to shareholders of record on the close of business on May 25, 2023.
Fiscal Second Quarter Operating Highlights and Recent Achievements
Recurring revenue increased 25% compared to the year-ago fiscal second quarter
Technology Solutions and High-Performance Products businesses generated 9% and 29% revenue growth for the fiscal second quarter compared to the prior year second quarter
Diluted earnings per share of $0.07 increased by $0.04 compared to the prior year second quarter
Increased sales of higher margin products and services led to gross margin of 37.6% for the quarter, a 2.5% increase over the prior year second quarter
Backlog, without any of the backlog being recorded as net revenue, as of March 31, 2023 was $22.0 million
"Our fiscal second quarter results were slightly ahead of our internal plan and we are optimistic that we will achieve profitable results for second half of the year with our backlog and continued success with our customers and prospects," commented Victor Dellovo, Chief Executive Officer. "Our Technology Solutions and High-Performance Products businesses each grew significantly over the year-ago period.
We continue to build a pipeline of multi-million-dollar order opportunities. The exact timing of these orders is often fluid and reinforces our strategy to build recurring services revenue. During the quarter, our recurring revenue grew to approximately 16% of total revenue. At the same time, we continue to invest significant resources in new product development addressing cyber-security threats and customer needs. ARIA, which is the latest example of our R&D efforts, has fourteen customers, each of which generates reliable monthly revenue."
Fiscal Year 2023 Second Quarter Results
Revenue for the fiscal 2023 second quarter was $13.3 million, an 11% increase, compared to $12.0 million in the year-ago fiscal second quarter as the Company continued to successfully manage the business and deliver growth during the current economic environment and disruption due to continued supply chain issues with some system component providers. Gross profit for the fiscal second quarter was $5.0 million, or 37.6% of sales, compared with $4.2 million, or 35.1% of sales in the year-ago fiscal second quarter. The Company's focus on higher margin products and services enabled gross margin expansion of 2.5% compared to the 2022 fiscal second quarter. The Company reported net income of $0.3 million in the fiscal 2023 second quarter and diluted earnings per common share of $0.07 compared to net income of $0.2 million and diluted earnings per common share of $0.03 for the fiscal second quarter of fiscal 2022.
The Company had cash and cash equivalents of $13.3 million as of March 31, 2023, compared with cash and cash equivalents of $24.0 million as of September 30, 2022. The lower amount is primarily due to timing of paying a significant amount of accounts payable prior to quarter-end including a previously referenced large financing customer sale recognized in the fourth quarter of fiscal year 2022 but the cost was paid in the first quarter of fiscal year 2023, combined with moving $3.5 million into short-term held-to-maturity investments.
Fiscal Year 2023 Six Month Results
Revenue for the six months ended March 31, 2023 was $31.6 million, a 30% increase, compared with revenue of $24.4 million in same prior year period. Gross profit for the fiscal six months ended March 31, 2023 was $10.8 million, or 34% of sales, compared with $7.8 million, or 32% of sales, reflecting a more favorable product mix. The Company reported net income of $1.3 million and diluted earnings per common share of $0.27 in the fiscal six months ended March 31, 2023 compared with a net loss of $(0.2) million and diluted loss per common share of $(0.05) for the six months ended March 31, 2022.
Conference Call Details
CSPi Chief Executive Officer Victor Dellovo and Chief Financial Officer Gary W. Levine will host a conference call at 10:00 a.m. (ET) today, May 10, 2023, to review CSPi's financial results and provide a business update. To listen to a live webcast of the call, the event link is https://www.webcaster4.com/Webcast/Page/2912/48374. Individuals may also listen to the call via telephone, by dialing 888-506-0062 or 973-528-0011 and use the Participant Access Code: 661658 when greeted by the live operator. For interested parties unable to participate in the live call, an archived version of the webcast will be available for approximately one year on CSPi's website.