Mammoth Energy Services, Inc.

What they do

Mammoth operates five reportable segments: rental services (including aviation aircraft and equipment leasing), infrastructure services (engineering, design and construction for fiber networks), natural sand proppant mining and sales, accommodation services (remote workforce housing, kitchen and dining), and directional drilling for oil and gas operators. Rental equipment includes cranes, light plants and generators, and the aviation fleet at December 31, 2025 consisted of nine regional aircraft, two helicopters, five jet engines and ten APUs. Facilities and service centers are located in Ohio, Texas, Oklahoma, Wisconsin and Alberta, Canada, serving basins including the Appalachian, Permian, SCOOP/STACK, Arkoma and Marcellus.

Revenue drivers

• Rental services and aviation sales — Contributed $10.2 million of revenue in Q2 2026, including a $5.7 million year-over-year increase in aviation revenue and a $2.0 million sale of an airframe and landing gear; 407 pieces of equipment were rented on average in the quarter.
• Natural sand proppant services — Contributed $8.0 million of Q2 2026 revenue on roughly 229,000 tons sold at $21.36 per ton, with freight revenue up about $2.9 million versus the prior-year quarter.
• Drilling services — Directional drilling contributed $3.8 million in Q2 2026 versus $0.7 million a year earlier and generated positive Adjusted EBITDA ahead of expectations.
• Accommodation and infrastructure services — Accommodation contributed $3.2 million in Q2 2026 with 259 rooms utilized on average; infrastructure contributed $0.9 million and was expanded through the June 2026 acquisitions of Mission Construction and BERE Rentals.

Recent performance

Second quarter 2026 revenue from continuing operations was $26.1 million, up 110% from $12.4 million in Q2 2025 and up from $22.0 million in Q1 2026. Net loss from continuing operations was $1.2 million, or $0.02 per diluted share, versus a $36.5 million loss a year earlier and $4.7 million of income in Q1 2026. Adjusted EBITDA was $2.6 million, improved from a $3.5 million loss in Q2 2025 and $1.9 million in Q1 2026. Full-year 2025 revenue was $44.3 million with net income of $4.6 million and operating cash flow of negative $18.6 million, following 2024 revenue of $45.6 million and a $207.3 million net loss.

Strategy

Management completed four divestitures in 2025, including infrastructure distribution, transmission and substation operations for about $108.7 million, hydraulic fracturing equipment for $15.0 million, the Piranha Proppant processing plant assets, and the Aquawolf engineering business for approximately $30.0 million. The company is deploying capital into aviation assets and expanding fiber optic services, acquiring Mission Construction LLC for $3.1 million and BERE Rentals LLC for $3.4 million in June 2026 using cash on hand. Stated priorities are asset utilization, margin expansion and capital efficiency across the portfolio. The balance sheet showed $50.9 million of cash at June 30, 2026 and no long-term debt as of December 31, 2024.

Risks

• Customer concentration — The top five customers accounted for approximately 55% and 58% of revenue in 2025 and 2024, so the loss of a major customer would substantially reduce revenue.
• PREPA credit exposure — A substantial portion of historical infrastructure revenue came from storm restoration work for the Puerto Rico Electric Power Authority, which has been in bankruptcy proceedings since July 2017.
• Commodity and demand volatility — The company states that commodity price volatility and macroeconomic uncertainty, including tariffs and demand volatility, continue to create uncertainty for its oilfield-exposed segments.
• Receivables and margin risk after divestitures — Following the 2025 divestitures, the remaining businesses are smaller and have limited operating history at current scale, with Q2 2026 Adjusted EBITDA of $2.6 million and a $1.2 million net loss.

Outlook

Management increased its full-year 2026 outlook for the second time this year, expecting revenue growth to exceed 90% and Adjusted EBITDA margin to exceed 10%. The company cites continued improvement across operating businesses and growing contribution from the aviation platform, with drilling generating positive Adjusted EBITDA and sand back to positive gross margins. It also points to demand support from communications infrastructure investment and broadband deployment for fiber services.