Nextier Oilfield Solutions Inc (NEX) 2023 Q2 法說會逐字稿

Good morning and welcome to the NexTier Oilfield Solutions Second Quarter 2023 Conference Call. As a reminder, today's call is being recorded. (Operator Instructions)

早上好，歡迎參加 NexTier 油田解決方案 2023 年第二季度電話會議。提醒一下，今天的通話正在錄音。 （操作員說明）

For opening remarks and introductions, I would like to turn the call over to Mike Sabella, Vice President of Investor Relations for NexTier. Please go ahead, sir.

對於開場白和介紹，我想將電話轉給 NexTier 投資者關係副總裁 Mike Sabella。請繼續，先生。

Thank you, operator. Good morning and welcome to the NexTier Oilfield Solutions earnings conference call to discuss our second quarter 2023 results. With me today are Robert Drummond, President and Chief Executive Officer; Kenny Pucheu, Chief Financial Officer; Matt Gillard, Chief Operating Officer; and Kevin McDonald, Chief Administrative Officer and General Counsel.

謝謝你，接線員。早上好，歡迎參加 NexTier Oilfield Solutions 收益電話會議，討論我們 2023 年第二季度的業績。今天與我在一起的有總裁兼首席執行官羅伯特·德拉蒙德 (Robert Drummond)；肯尼·普丘 (Kenny Pucheu)，首席財務官；馬特·吉拉德，首席運營官；首席行政官兼總法律顧問凱文·麥克唐納 (Kevin McDonald)。

Before we get started, I would like to direct your attention to the forward-looking statements disclaimer contained in the news release that we issued yesterday afternoon, which is currently posted in the Investor Relations section of the company's website. Our call this morning includes statements that speak to the company's expectations, outlook, and predictions of the future, which are considered forward-looking statements. These forward-looking statements are subject to risks and uncertainties, many of which are beyond the company's control, which could cause our actual results to differ materially from those expressed in or implied by these statements. We undertake no obligation to revise or update publicly any forward-looking statements except as may be required under applicable securities laws. We refer you to NexTier's disclosures regarding risk factors and forward-looking statements in our Annual Report on Form 10-K, subsequently filed quarterly reports on form 10-Q, and other Securities and Exchange Commission filings.

在我們開始之前，我想請您注意我們昨天下午發布的新聞稿中包含的前瞻性聲明免責聲明，該聲明目前發佈在公司網站的投資者關係部分。我們今天早上的電話會議包括有關公司的期望、前景和未來預測的聲明，這些聲明被視為前瞻性聲明。這些前瞻性陳述存在風險和不確定性，其中許多風險和不確定性超出了公司的控制範圍，這可能導致我們的實際結果與這些陳述中明示或暗示的結果存在重大差異。除適用證券法要求外，我們不承擔公開修改或更新任何前瞻性陳述的義務。我們建議您參考 NexTier 在我們的 10-K 表年度報告、隨後提交的 10-Q 表季度報告以及其他證券交易委員會文件中關於風險因素和前瞻性陳述的披露。

Additionally, our comments today also include non-GAAP financial measures. Additional details and a reconciliation of the most directly comparable GAAP financial measures are included in our earnings release for the second quarter of 2023, which is posted on our website.

此外，我們今天的評論還包括非公認會計準則財務指標。更多詳細信息以及最直接可比的 GAAP 財務指標的調節表包含在我們發佈在我們網站上的 2023 年第二季度收益報告中。

With that, I'll turn the call over to Robert Drummond, Chief Executive Officer of NexTier.

接下來，我會將電話轉給 NexTier 首席執行官 Robert Drummond。

Thank you, Mike, and thanks to everyone for joining the call today. The second quarter was another strong quarter for NexTier. Consistent with our guidance, revenue was moderately higher sequentially, resulting in improved EBITDA and operating profits, and we delivered another quarter of strong free cash flow and a high return on capital. Our fleet activity levels remained resilient even as the broader completions market temporarily slowed, demonstrating the value of our well site integration strategy to both NexTier and our customers. The performance is a testament to the strength of the team we've built it NexTier, and I could not be prouder of the way we continue to deliver through a challenging environment.

謝謝邁克，也感謝大家今天加入電話會議。第二季度是 NexTier 另一個強勁的季度。與我們的指導一致，收入環比略有上升，從而提高了 EBITDA 和營業利潤，並且我們又一個季度實現了強勁的自由現金流和高資本回報率。即使更廣泛的完井市場暫時放緩，我們的船隊活動水平仍然保持彈性，這向 NexTier 和我們的客戶展示了我們井場整合戰略的價值。這一表現證明了我們構建 NexTier 的團隊的實力，我對我們在充滿挑戰的環境中繼續交付的方式感到非常自豪。

Our commercial strategy aligned us with likeminded customers that strive for excellence and appreciate the value that we create. And our operations team delivered another efficient quarter. This combination will serve us well at all points in the cycle. From our customers' perspective, NexTier controls a critical path to maximizing their returns. Their trust in our team to deliver has helped us retain customers even as those same customers have slowed spending with several key customers choosing a NexTier fleet over other service providers.

我們的商業戰略使我們與志同道合的客戶保持一致，他們追求卓越並欣賞我們創造的價值。我們的運營團隊又交付了一個高效的季度。這種組合將在周期的各個階段為我們提供良好的服務。從客戶的角度來看，NexTier 控制著最大化回報的關鍵路徑。他們對我們團隊交付的信任幫助我們留住了客戶，即使這些客戶已經放慢了支出，一些關鍵客戶選擇了 NexTier 車隊而不是其他服務提供商。

In the second half, we believe we enjoy a strong competitive position relative to the peer group. The previously announced merger with Patterson-UTI will allow us to apply our strategy across a larger asset base, including utilizing our power solutions to accelerate the transition to a more fuel-efficient and emissions-friendly fleet, while also enhancing our digital capabilities and growing our well site integration addressable market.

在下半年，我們相信相對於同行，我們享有強大的競爭地位。之前宣布的與 Patterson-UTI 的合併將使我們能夠在更大的資產基礎上應用我們的戰略，包括利用我們的電力解決方案加速向更節能、更環保的車隊過渡，同時還增強我們的數字能力和增長我們的井場集成潛在市場。

For the fourth consecutive quarter, we generated an annualized return on invested capital of more than 35%, and free cash flow was very strong again. Adjusted net income was $158 million for the quarter, and our adjusted diluted earnings per share of $0.68 was up 3% from last quarter. Total revenue of $945 million was up 1% sequentially and was 12% higher than the same quarter last year. We delivered the highest top line in the company's history, and we once again saw growth on another modest increase in pricing relative to the first quarter, even as our active fleet count exited Q2 lower than where it started.

我們連續第四個季度實現了超過 35% 的年化投資回報率，自由現金流再次強勁。本季度調整後淨利潤為 1.58 億美元，調整後攤薄每股收益為 0.68 美元，較上季度增長 3%。總收入為 9.45 億美元，比上一季度增長 1%，比去年同期增長 12%。我們實現了公司歷史上最高的收入，並且我們再次看到了由於定價相對於第一季度小幅上漲而實現的增長，儘管我們第二季度的活躍機隊數量低於其開始時的數量。

Adjusted EBITDA of $234 million was 3% higher sequentially and up 41% from the second quarter of last year. We saw strong incremental margins and improved our adjusted EBITDA for the ninth consecutive quarter. And we again operated in a very capital-efficient manner. We generated strong free cash flow of $128 million despite making the final Alamo earnout payment during the quarter, which negatively impacted free cash flow by $37 million. Our CapEx budget was also weighted toward the first half, and we anticipate free cash flow will remain strong in Q3.

調整後 EBITDA 為 2.34 億美元，比上一季度增長 3%，比去年第二季度增長 41%。我們看到了強勁的利潤增量，並連續第九個季度提高了調整後的 EBITDA。我們再次以非常資本高效的方式運營。儘管在本季度支付了最終的 Alamo 盈利付款，但我們仍產生了 1.28 億美元的強勁自由現金流，這對自由現金流產生了 3700 萬美元的負面影響。我們的資本支出預算也針對上半年進行了加權，我們預計第三季度的自由現金流將保持強勁。

During Q2, we repurchased more than 2 million shares of stock for around $18 million. In the first half, we purchased more than 8 million shares for roughly $71 million. We have $66 million remaining on our commitment to return $250 million to shareholders by the end of 2023. Given the pending merger with Patterson, we have suspended our share repurchase program, although the combined company remains committed to targeting a return of 50% of free cash flow to investors, consistent with the NexTier capital allocation strategy.

第二季度，我們以約 1800 萬美元的價格回購了超過 200 萬股股票。上半年，我們以大約 7100 萬美元的價格購買了超過 800 萬股股票。我們的承諾還剩 6,600 萬美元，即到 2023 年底向股東返還 2.5 億美元。鑑於與 Patterson 的合併懸而未決，我們已暫停股票回購計劃，儘管合併後的公司仍致力於實現 50% 自由股回報的目標投資者的現金流，與 NexTier 資本配置策略一致。

Shifting to the macro, overall U.S. land completion activity slowed as Q2 progressed, following the decline in the U.S. rig count that started late last year. In natural gas basins activity has so far played out as expected. The Marcellus is proving to be relatively resilient, while the Haynesville has taken the brunt of the activity decline. Natural gas basin activity is already down almost 20 fleets from the peak, and we think natural gas activity is now approaching the trough.

轉向宏觀，繼去年年底美國鑽機數量開始下降之後，隨著第二季度的進展，美國總體土地竣工活動放緩。迄今為止，天然氣盆地的活動已按預期進行。事實證明，馬塞勒斯河相對具有彈性，而海恩斯維爾河則首當其沖地受到了活動下降的影響。天然氣盆地活動已較峰值下降了近 20 個船隊，我們認為天然氣活動現已接近低谷。

Already the Henry Hub natural gas forward strip has started to reflect the reality that activity will need to move higher from here to ultimately fill the growing global call on U.S. natural gas. The Haynesville has already seen a large increase in drilled but uncompleted wells, which we believe indicates producers are preparing to add completion activity by next year.

亨利中心天然氣前沿地帶已經開始反映出這樣一個現實：活動需要從這裡開始進一步發展，以最終滿足全球對美國天然氣日益增長的需求。海恩斯維爾已鑽但未完井的井數量大幅增加，我們認為這表明生產商正準備在明年之前增加完井活動。

In oil basins, completion demand has softened, albeit only modestly so far. While in the near term, there has been more noise than we previously expected in the oil basins, our views over the long-term remain largely unchanged. Despite near-term economic uncertainty, all signs point to higher global oil demand over the coming years. And accordingly, we believe U.S. land oil activity will need to move higher than current levels as production will need to increase.

在油盆地，完井需求已經減弱，儘管到目前為止只是小幅減弱。雖然近期油盆地的噪音比我們之前預期的要多，但我們對長期的看法基本保持不變。儘管近期經濟存在不確定性，但所有跡像都表明未來幾年全球石油需求將會上升。因此，我們認為，隨著產量需要增加，美國陸地石油活動將需要高於目前的水平。

We see the availability of frac fleets once again as the bottleneck to U.S. oil and natural gas production growth by as soon as 2024. In the near term, we think the U.S. land rig count will likely bottom this summer, with industry frac activity potentially down further from current levels with the trough likely coming later this year. Importantly, we anticipate trough utilization will be significantly higher than the industry has traditionally experienced, a strong indication that the longer-term uptrend for the industry is still intact.

我們認為，到 2024 年，壓裂船隊的可用性將再次成為美國石油和天然氣產量增長的瓶頸。短期內，我們認為美國陸地鑽井平台數量可能會在今年夏天觸底，行業壓裂活動可能會下降距離目前水平進一步，谷底可能會在今年晚些時候出現。重要的是，我們預計低谷利用率將顯著高於該行業傳統上經歷的水平，這有力地表明該行業的長期上升趨勢仍然完好無損。

As we've said previously, our customers are looking through commodity volatility more than they have in the past, a positive for NexTier, that should help reduce the historical volatility in our sector. The scenario in 2022 where frac fleets were in short supply is still fresh on our customers' minds. Many are hesitant to give up high-performing crews given the positive early view for 2024 frac supply and demand. We believe the call on U.S. land oil and natural gas production in 2024 and beyond means industry demand could return to levels we saw earlier this year.

正如我們之前所說，我們的客戶比過去更多地關注大宗商品的波動性，這對 NexTier 來說是積極的，這應該有助於減少我們行業的歷史波動性。 2022 年壓裂船隊供應短缺的情景仍然讓我們的客戶記憶猶新。鑑於對 2024 年壓裂供需的積極早期看法，許多人對於放棄高績效員工猶豫不決。我們認為，美國在 2024 年及以後增加陸地石油和天然氣產量的呼籲意味著行業需求可能會恢復到今年早些時候的水平。

Considering newbuild frac equipment has likely been insufficient to fully replace fleet attrition, we see a scenario where demand for our services could once again exceed supply by next year. Against this positive long-term macro backdrop and consistent with what we've previously said, if demand softens in the near-term, we will choose to stack or redistribute horsepower rather than work at pricing that results in subthreshold returns. During Q2, we idled 2 frac fleets and redistributed the horsepower to our remaining fleets with opportunities to optimize horsepower levels across all fleets given the high intensity required by the modern frac job. We could idle up to 3 additional fleets in Q3.

考慮到新建的壓裂設備可能不足以完全取代船隊的損耗，我們預計明年對我們服務的需求可能會再次超過供應。在這種積極的長期宏觀背景下，並且與我們之前所說的一致，如果短期內需求疲軟，我們將選擇疊加或重新分配動力，而不是進行導致低於閾值回報的定價。在第二季度，我們閒置了 2 個壓裂船隊，並將馬力重新分配給我們剩餘的船隊，考慮到現代壓裂作業所需的高強度，我們有機會優化所有船隊的馬力水平。第三季度我們可能會閒置最多 3 個額外機隊。

We continue to run our business on returns and through-cycle free cash flow and not market share or short-term EBITDA targets. Our balance sheet is healthy with strong free cash flow expected again in Q3, and we will not accelerate the depreciation of our quality assets just to keep working in the near term. Instead, we will use any downtime as an opportunity to invest to fully maintain our fleet and prepare for what we see as a strong recovery in 2024.

我們繼續根據回報和整個週期的自由現金流來經營我們的業務，而不是市場份額或短期 EBITDA 目標。我們的資產負債表很健康，預計第三季度自由現金流將再次強勁，我們不會為了短期內繼續運營而加速優質資產的折舊。相反，我們將利用任何停機時間作為投資機會，全面維護我們的機隊，並為 2024 年的強勁復甦做好準備。

Our customers are expressing an appreciation for our efforts to strengthen the U.S. land oilfield services industry, which will help U.S. land maintain its position as a low-cost global producer. Our customers are choosing to remain with NexTier due to the value created by the fuel cost arbitrage from our integrated natural gas-powered model, which is enhanced by our Power Solutions CNG fueling business.

我們的客戶對我們為加強美國陸地油田服務業所做的努力表示讚賞，這將有助於美國陸地保持其作為低成本全球生產商的地位。我們的客戶選擇繼續使用 NexTier，是因為我們的集成天然氣動力模型的燃料成本套利創造了價值，而我們的 Power Solutions CNG 加油業務增強了這一價值。

Our partnership matters. And given the strong setup into 2024, many customers see no reason to make a change today that could disrupt our extremely safe and efficient operations in a recovery. This is not to say that we do not expect to see an impact from the industry slowdown. But however, we have so far been more resilient than the industry average, and we expect that will remain the case.

我們的合作夥伴關係很重要。鑑於 2024 年的強勁形勢，許多客戶認為今天沒有理由做出可能會破壞我們在復蘇過程中極其安全和高效的運營的改變。這並不是說我們預計不會看到行業放緩的影響。但是，到目前為止，我們的彈性高於行業平均水平，並且我們預計這種情況將持續下去。

Just over a month ago, we announced that we had agreed to merge with Patterson-UTI, another leader in the U.S. land oil field services market. The combination allows both companies to expand our product offerings and drive value for our customers with Patterson's premier U.S. land drilling franchise complementing the combined company's premier U.S. land completion service product portfolio. We believe the merger of these 2 great companies has the potential for significant value creation for our shareholders with enhanced scale and $200 million in expected synergies within 18 months after the merger closes.

就在一個多月前，我們宣布同意與美國陸地油田服務市場的另一家領先企業 Patterson-UTI 合併。此次合併使兩家公司能夠擴大我們的產品範圍，並通過 Patterson 首屈一指的美國陸地鑽探特許經營權補充合併後公司首屈一指的美國陸地完成服務產品組合，為我們的客戶創造價值。我們相信，這兩家偉大公司的合併有潛力為我們的股東創造巨大的價值，擴大規模，並在合併結束後 18 個月內實現 2 億美元的預期協同效應。

Applying our successful well site integration strategy across a larger asset base should lift the performance of the entire enterprise. Standalone, each company was already operating a disciplined capital allocation strategy, and the increased scale of the combined company should allow us to tap into a larger universe of potential investors that we believe will appreciate our shared focus on free cash flow and shareholder returns.

在更大的資產基礎上應用我們成功的井場整合策略應該會提升整個企業的績效。單獨而言，每家公司都已經在實施嚴格的資本配置策略，合併後公司規模的擴大將使我們能夠接觸到更大範圍的潛在投資者，我們相信這些投資者會欣賞我們對自由現金流和股東回報的共同關注。

And the data analytics capabilities of both companies should not be underestimated. Over time, we are confident that we can monetize the combined drilling and completion data to drive further value creation. The new company will be a leader across the U.S. onshore market, positioning us to more effectively allocate capital and accelerate shareholder returns while also investing in next-generation technologies that should create a sustained competitive advantage through the cycle.

而且兩家公司的數據分析能力也不容小覷。隨著時間的推移，我們有信心能夠將鑽井和完井數據結合起來貨幣化，以推動進一步的價值創造。新公司將成為美國在岸市場的領導者，使我們能夠更有效地分配資本並加速股東回報，同時投資下一代技術，從而在整個週期中創造持續的競爭優勢。

Since we announced the merger, Patterson has also announced another acquisition that is highly complementary to their drilling business, Patterson's acquisition of Ulterra drill bits follows a very similar playbook to our integration strategy. In our view, Ulterra offers mission-critical products and processes around the core asset, in this case, the drilling rig, that can be leveraged with a fully-integrated package to improve the process and create value for both the service provider and the customer. In addition, Ulterra's international exposure also offers another potential path for NexTier shareholders to benefit from an expanded geographic footprint. We believe the Ulterra acquisition will further strengthen the combined company and NexTier shareholders will greatly benefit from this transaction.

自從我們宣布合併以來，Patterson 還宣布了另一項與其鑽井業務高度互補的收購，Patterson 對 Ulterra 鑽頭的收購遵循了與我們的整合策略非常相似的策略。我們認為，Ulterra 圍繞核心資產（在本例中為鑽機）提供關鍵任務產品和流程，可以利用完全集成的軟件包來改進流程並為服務提供商和客戶創造價值。此外，Ulterra 的國際影響力還為 NexTier 股東從擴大的地理足跡中受益提供了另一條潛在途徑。我們相信，Ulterra 收購將進一步增強合併後的公司，NexTier 股東將從此次交易中受益匪淺。

On our prior conference call, we introduced NexTier's Chief Operating Officer, Matt Gillard. Matt has played a crucial role in the success of NexTier since he's joined the company, and he will continue in his role as a leader of the combined completion franchise post-merger.

在之前的電話會議上，我們介紹了 NexTier 的首席運營官 Matt Gillard。自加入公司以來，Matt 在 NexTier 的成功中發揮了至關重要的作用，他將在合併後繼續擔任合併完成特許經營業務的領導者。

So with that, I'm going to turn the call over to Matt.

因此，我將把電話轉給馬特。

Thank you, Robert. Upon the anticipated closure of the merger of equals transaction with Patterson, I'm honored to have the opportunity to lead the combined NexTier and universal completions teams, and I'm thrilled to help unlock the potential that lies ahead. Just as we have done at NexTier and as Universal has done under Patterson, we will continue to strive for operational excellence in the most capital efficient way possible.

謝謝你，羅伯特。在與 Patterson 的對等合併交易預計完成後，我很榮幸有機會領導合併後的 NexTier 和 Universal Completes 團隊，並且很高興能夠幫助釋放未來的潛力。正如我們在 NexTier 以及帕特森領導下的Universal 所做的那樣，我們將繼續以盡可能最高效的資本方式努力實現卓越運營。

Winning the next cycle will require maximizing asset efficiency, and we believe the combination of these 2 great companies will give us a strong advantage and allow us to help keep U.S. shale oil and gas producers in a strong position on the global cost curve. By now, our investors and customers understand our well site integration strategy. This strategy aims to lower the total cost to complete the well, reduce emissions, and raise the efficiency and safety of the completions' process, all combined on our NexHub digital platform. It has allowed us to earn superior results while offering our customers a superior product and has been important in our differentiated financial and operational performance this cycle.

贏得下一個週期需要最大限度地提高資產效率，我們相信這兩家偉大公司的合併將為我們帶來強大的優勢，並使我們能夠幫助美國頁岩油氣生產商在全球成本曲線上保持強勢地位。到目前為止，我們的投資者和客戶了解了我們的井場整合策略。該戰略旨在降低完井總成本、減少排放並提高完井流程的效率和安全性，所有這些都結合在我們的 NexHub 數字平台上。它使我們能夠在為客戶提供優質產品的同時獲得卓越的業績，並且對於我們本週期差異化的財務和運營績效非常重要。

We continue to prove that integrating our natural gas-powered frac fleets with our natural gas fueling service, our wireline, and our last-mile logistics business can enhance margins for us and for our clients. The data supports this, and we consistently see more pump hours per fleet, relative to jobs where the customer hires third parties for these services, and those hours come at a very high return. The combination of the NexTier fleet with the Universal fleet will increase the addressable market for our integrated services, and there is a huge opportunity to apply this strategy across a larger footprint, much of which can be done with very little incremental capital. And most importantly, the well site integration strategy also allows us to control more of the safety process.

我們不斷證明，將我們的天然氣動力壓裂車隊與我們的天然氣加註服務、我們的電纜和最後一英里物流業務相結合可以提高我們和我們客戶的利潤。數據支持了這一點，而且我們始終看到，相對於客戶僱用第三方提供這些服務的工作，每個車隊的泵工作時間更長，而且這些時間的回報非常高。 NexTier 機隊與 Universal 機隊的結合將增加我們綜合服務的潛在市場，並且有巨大的機會在更大的覆蓋範圍內應用這一戰略，其中大部分可以用很少的增量資本來完成。最重要的是，井場集成策略還使我們能夠控制更多的安全過程。

And protecting the hard-working men and women on our completion well sites is 1 of my highest priorities. As an example, we have been dealing with extreme temperatures this summer. In these conditions, it is important to us and our employees that we can ensure the pad is as safe as possible. I am very proud of the way that our team has protected each other through these difficult conditions. On the frac supply side, headwinds continue to limit efficiency, as has been the case over the last 18 months. The maintenance cycle remains a challenge, and the number of pumps in the maintenance process today is still near the cycle high. While some major components, such as engines and transmissions, are becoming easier to source, other issues are arising that are interrupting our maintenance lines.

保護完井現場辛勤工作的男男女女是我的首要任務之一。舉個例子，今年夏天我們一直在應對極端氣溫。在這些情況下，確保護墊盡可能安全對我們和我們的員工來說非常重要。我對我們的團隊在這些困難條件下互相保護的方式感到非常自豪。在壓裂供應方面，不利因素繼續限制效率，過去 18 個月的情況就是如此。維護週期仍然是一個挑戰，目前維護過程中的泵數量仍接近週期最高點。雖然發動機和變速箱等一些主要部件的採購變得越來越容易，但其他問題的出現​​正在中斷我們的維護工作。

The extreme summer heat is very hard on our equipment. And recently, we have seen a spike in heat-related equipment issues. While the nature of the issues is minor, they are frequent and require us to take pumps out of service for repairs, which lowers our pumping efficiency. Along those same lines, protecting our employees from extreme heat is the highest priority, and we require all employees to move slower when the temperatures get to these extremes. In the Northeast, the Canadian wildfires impacted air quality on several occasions, forcing us to temporarily suspend operations when we felt it was unsafe for our employees to be outside. These anecdotes should serve as a reminder that frac efficiency is a function of many changing factors, some of which are outside our control. Successfully navigating and anticipating these challenges can differentiate us from our competitors.

夏季的酷熱對我們的設備來說非常困難。最近，我們發現與熱相關的設備問題激增。雖然問題的性質很小，但它們很常見，需要我們停止使用泵進行維修，這降低了我們的泵送效率。同樣，保護我們的員工免受極端高溫的侵害是重中之重，我們要求所有員工在氣溫達到極端高溫時放慢行動速度。在東北部，加拿大山火多次影響空氣質量，當我們認為員工外出不安全時，我們被迫暫時停止運營。這些軼事應該提醒我們，壓裂效率是許多變化因素的函數，其中一些因素是我們無法控制的。成功應對和預測這些挑戰可以使我們從競爭對手中脫穎而出。

In addition to maximizing asset efficiency, we see technology as another path to differentiation. Our Power Solutions natural gas fueling business has been a huge success and has improved the marketability of our natural gas-powered fleets. We are consistently displacing more diesel and helping lower the total cost to operate when our dual fuel fleets are paired with our Power Solutions offering. We expect our Power Solutions product line to create even more value and lower emissions, if applied across a larger natural gas-powered frac fleet. We also continue to make advances in rolling out our next-generation frac fleets. We now have 2 fleets in the field with deployed electric horsepower. We intend to continue converting our fleet to 100% natural gas powered responsibly over time.

除了最大限度地提高資產效率之外，我們還將技術視為實現差異化的另一條途徑。我們的動力解決方案天然氣加註業務取得了巨大成功，提高了我們天然氣動力車隊的市場競爭力。當我們的雙燃料車隊與我們的動力解決方案產品相結合時，我們將不斷取代更多的柴油並幫助降低總運營成本。我們預計，如果我們的電源解決方案產品線應用於更大的天然氣動力壓裂機組，將創造更多價值並降低排放。我們還在推出下一代壓裂船隊方面繼續取得進展。我們現在有 2 支配備電動馬力的車隊。隨著時間的推移，我們打算繼續以負責任的方式將我們的機隊轉變為 100% 天然氣動力。

The measured pace of our capital deployment has been the winning strategy so far as technology is changing very rapidly. This has helped us maximize free cash flow and returns during the upgrade process. At NexTier, we have built what we believe is 1 of the most capital-efficient businesses in U.S. land with a focus on employee safety, operational excellence, and financial returns. Balancing these priorities should be a winning strategy. With the inclusion of Universal and the knowledge and experience we expect to receive from that team, we believe we are set up to add significant value for our shareholders over the next several years and beyond.

就技術日新月異而言，我們謹慎的資本部署步伐一直是製勝策略。這幫助我們在升級過程中最大化自由現金流和回報。在 NexTier，我們建立了我們認為是美國土地上資本效率最高的企業之一，重點關注員工安全、卓越運營和財務回報。平衡這些優先事項應該是一個制勝策略。隨著Universal的加入以及我們期望從該團隊獲得的知識和經驗，我們相信我們將在未來幾年及以後為我們的股東增加顯著的價值。

With that, I'll turn it over to Kenny.

有了這個，我會把它交給肯尼。

Thank you, Matt. Second quarter revenue totaled $945 million compared to $936 million in the first quarter, up 1% sequentially. We saw modestly higher net service pricing on average and an increase in sales from our well site integration services. Meanwhile, execution was strong despite the heat waves that we saw in June. This was somewhat offset by lower fleet count sequentially as frac activity exited the second quarter lower than where it started. Adjusted net income was $158 million for Q2, up 1% from the prior quarter and totaled 17% of revenue.

謝謝你，馬特。第二季度收入總計 9.45 億美元，較第一季度的 9.36 億美元增長 1%。我們看到平均淨服務定價略有上升，並且井場集成服務的銷售額有所增加。與此同時，儘管我們在六月份看到了熱浪，但執行力仍然強勁。這在一定程度上被船隊數量減少所抵消，因為第二季度壓裂活動結束時低於開始時的水平。第二季度調整後淨利潤為 1.58 億美元，比上一季度增長 1%，佔總收入的 17%。

Our adjusted net income per diluted share was $0.68. Total second quarter adjusted EBITDA was $234 million, an improvement from $228 million last quarter. Our adjusted EBITDA improved for the ninth consecutive quarter, even as activity slowed modestly as the quarter progressed. Profitability was up sequentially on several factors. First, we saw a slight increase in net pricing relative to Q1, driven by service pricing and higher well site integration revenue.

我們調整後的每股攤薄淨利潤為 0.68 美元。第二季度調整後 EBITDA 總額為 2.34 億美元，較上季度的 2.28 億美元有所改善。儘管隨著季度的進展，經濟活動略有放緩，但我們的調整後 EBITDA 連續第九個季度有所改善。受多種因素影響，盈利能力連續上升。首先，在服務定價和井場集成收入增加的推動下，淨定價相對第一季度略有上升。

Second, we continue to see efficiency improvements relative to the prior quarter. Our decision to lower our fleet count and reinforce the remaining fleets had a positive impact on average pumping hours per fleet, which in turn improved fleet level profitability. The final factor was costs. We have been very diligent with cost controls throughout the year, and we will continue to look for ways to optimize our cost structure. In short, we delivered strong adjusted EBITDA incrementals of more than 65% sequentially, a function of our winning commercial strategy and operational performance.

其次，我們繼續看到與上一季度相比效率有所提高。我們減少船隊數量並加強剩餘船隊的決定對每個船隊的平均泵送時間產生了積極影響，從而提高了船隊水平的盈利能力。最後一個因素是成本。這一年來我們非常努力地控製成本，我們將繼續尋找優化成本結構的方法。簡而言之，我們的調整後 EBITDA 增量連續超過 65%，這是我們獲勝的商業戰略和運營績效的結果。

In our Completion Services segment, second quarter revenue totaled $906 million compared to $896 million in the first quarter, a sequential increase of approximately 1%. Completion Services segment gross profit improved to $260 million on the increase in revenue as well as a modest increase in margins. In our Well Construction and Intervention Services segment, second quarter revenue totaled $40 million, essentially flat compared to the first quarter. Gross profits totaled $9 million, down slightly on less favorable job mix.

在我們的完井服務部門，第二季度收入總計 9.06 億美元，而第一季度收入為 8.96 億美元，環比增長約 1%。由於收入增加以及利潤率小幅增長，完井服務部門毛利潤提高至 2.6 億美元。在我們的油井建設和乾預服務部門，第二季度收入總計 4000 萬美元，與第一季度基本持平。毛利潤總計 900 萬美元，因工作組合不太有利而略有下降。

Second quarter selling, general, and administrative expenses totaled $40 million, flat with the first quarter. Excluding management net adjustments of $9 million, adjusted SG&A expenses totaled $31 million. EBITDA for the second quarter was $221 million. When excluding management net adjustments of $13 million, adjusted EBITDA for the second quarter was $234 million. Management adjustments include $8 million in stock comp with other items totaling a net of $5 million, which are nonrecurring in nature. Management adjustments include $5 million in acquisition, integration, and expansion costs, mostly associated with the merger with Patterson.

第二季度銷售、一般和管理費用總計 4000 萬美元，與第一季度持平。不包括 900 萬美元的管理淨調整，調整後的 SG&A 費用總計 3100 萬美元。第二季度 EBITDA 為 2.21 億美元。剔除 1300 萬美元的管理層淨調整後，第二季度調整後 EBITDA 為 2.34 億美元。管理層調整包括 800 萬美元的股票補償以及總計淨額 500 萬美元的其他項目，這些項目本質上是非經常性的。管理層調整包括 500 萬美元的收購、整合和擴張成本，主要與與帕特森的合併有關。

Now on the balance sheet. We exited the second quarter with $310 million in cash. Total liquidity was $721 million, which included the cash as well as $411 million available on our undrawn asset-based loan. Total debt at the end of the second quarter was $355 million, net of debt discounts and deferred financing costs, and excluding finance lease obligations. We have no term loan maturities until 2025. Net debt at the end of the second quarter was approximately $44 million, down more than $95 million from the prior quarter.

現在在資產負債表上。第二季度結束時，我們持有 3.1 億美元現金。總流動資金為 7.21 億美元，其中包括現金以及未提取的資產貸款中可用的 4.11 億美元。第二季度末的債務總額為 3.55 億美元，扣除債務貼現和遞延融資成本，並且不包括融資租賃義務。我們在 2025 年之前沒有定期貸款到期。第二季度末的淨債務約為 4400 萬美元，比上一季度減少超過 9500 萬美元。

Cash flow from operating activities was $226 million. Profitability was very strong once again, with cash flow negatively impacted by $37 million associated with the final Alamo earnout payment. This earnout should serve as a reminder of the value that the acquisition created for NexTier shareholders. We once again were very prudent in managing our working capital. Our cash used in investing activities was $98 million during the second quarter. CapEx totaled $102 million, mostly driven by normal maintenance, funding for the transition of our frac fleet to natural gas powered, as well as investments in our well site integration strategy, including growth CapEx for both Power Solutions and last mile logistics.

經營活動現金流量為 2.26 億美元。盈利能力再次非常強勁，現金流受到與最終 Alamo 盈利付款相關的 3700 萬美元的負面影響。這筆收益應該提醒人們，此次收購為 NexTier 股東創造了價值。我們再次非常謹慎地管理我們的營運資金。第二季度我們用於投資活動的現金為 9800 萬美元。資本支出總計 1.02 億美元，主要由正常維護、壓裂車隊向天然氣動力過渡的資金以及對井場整合戰略的投資（包括電力解決方案和最後一英里物流的增長資本支出）推動。

We continue to make investments in high-return, non-horsepower growth projects that are critical to the efficiency of our frac fleet. This resulted in free cash flow of $128 million, which would have been even greater without the $37 million associated with Alamo earnout. Given the pending merger with Patterson, we will not provide detailed financial guidance. On activity, we could see our deployed fleet count fall by as many as 3 fleets by the end of the third quarter, and we also expect to see increased whitespace with our average pumping hours per fleet also expected to decline slightly. For Q3, we anticipate CapEx of roughly $85 million, which is down from Q2. We expect to reduce CapEx further in Q4. Free cash flow should be strong again, and we expect that we will exceed our target of 0 net debt by the end of Q3.

我們繼續投資高回報、非馬力增長項目，這些項目對我們壓裂船隊的效率至關重要。這導致自由現金流達到 1.28 億美元，如果沒有與 Alamo 收益相關的 3700 萬美元，這一數字將會更高。鑑於與帕特森的合併即將進行，我們將不會提供詳細的財務指導。在活動方面，到第三季度末，我們可能會看到我們部署的機隊數量減少多達 3 個機隊，而且我們還預計空白區域會增加，每個機隊的平均泵送時間預計也會略有下降。對於第三季度，我們預計資本支出約為 8500 萬美元，低於第二季度。我們預計第四季度將進一步減少資本支出。自由現金流應該會再次強勁，我們預計到第三季度末將超過淨債務為零的目標。

In conclusion, the second quarter was simply more of the same for NexTier, and we cannot be happier with the way the company has performed so far this year and a U.S. land oilfield services market that has seen demand soften as the year has progressed. Since the recovery started back in 2021, we have been 1 of the most consistent companies in the oilfield. The entire time, our message has been the same: build a foundation with a strong commercial strategy; operate as efficiently and effectively as possible for our customers; and remain good stewards of capital for our shareholders. This strategy has served our company and our investors well.

總而言之，NexTier 第二季度的情況基本相同，我們對該公司今年迄今為止的表現以及隨著今年的進展需求疲軟的美國陸地油田服務市場感到非常滿意。自 2021 年開始復蘇以來，我們一直是油田最穩定的公司之一。自始至終，我們的信息都是一樣的：通過強大的商業戰略建立基礎；為我們的客戶盡可能高效地運營；並繼續為股東做好資本管家。這一策略對我們公司和投資者都有很好的幫助。

What makes the pending merger with Patterson so exciting is that their management team shares these same principles and the opportunity to replicate the complementary strategies across a larger asset base and capital structure should mean even greater value creation for all stakeholders. In my role as Chief Integration Officer of the combined company, it will be my focus to ensure that the best practices from each company survive. I cannot be more excited to take on this new responsibility in other roles in the combined company's future.

即將與帕特森的合併之所以如此令人興奮，是因為他們的管理團隊擁有相同的原則，並且有機會在更大的資產基礎和資本結構中復制互補戰略，這應該意味著為所有利益相關者創造更大的價值。作為合併後公司的首席集成官，我的重點將是確保每家公司的最佳實踐得以延續。我非常高興能在合併後公司的未來中擔任其他職務，承擔這一新職責。

I'll now turn it back to Robert for closing remarks.

現在我將把它轉回給羅伯特致閉幕詞。

Thank you, Matt and Kenny. Now let me close with a few key takeaways. First, at NexTier, we're proving that our well site integration strategy is a winning strategy across all points in the cycle. We had generated above-average returns during the period of frac undersupply over the past 18 months. And already during the recent temporary slowdown, we are seeing steadier activity levels than the industry average. We believe we should continue to fare relatively well as activity levels bottom.

謝謝你們，馬特和肯尼。現在讓我以一些關鍵要點作為結束語。首先，在 NexTier，我們正在證明我們的井場整合策略是涵蓋週期中所有點的製勝策略。在過去 18 個月的水力壓裂供應不足期間，我們取得了高於平均水平的回報。在最近的暫時放緩期間，我們已經看到比行業平均水平更穩定的活動水平。我們相信，隨著活動水平觸底，我們應該會繼續表現相對良好。

Second, we expect to use any downtime on our equipment to upgrade and invest as we prepare for our expectation of a demand recovery. These investments include the continued transition of our fleet to next-generation natural gas power. We do not plan to accelerate the depreciation of our equipment to hold work in the near term, and we will operate our business with a focus on through-cycle return on invested capital just as we always have.

其次，我們希望利用設備的停機時間進行升級和投資，為需求復甦的預期做好準備。這些投資包括我們的船隊繼續向下一代天然氣發電過渡。我們不打算在短期內加速設備折舊以維持工作，我們將一如既往地註重投資資本的全週期回報來經營我們的業務。

Finally, our long-term macro view is unchanged. Both oil and natural gas activity will likely need to increase over the next 18 months to meet growing global demand. Considering there have been insufficient frac capacity additions to replace attrition, we still see a scenario where demand for our services exceed supply again as soon as next year. We plan to keep our fleet fully maintained to be ready for the recovery.

最後，我們的長期宏觀觀點沒有改變。未來 18 個月，石油和天然氣活動可能需要增加，以滿足不斷增長的全球需求。考慮到壓裂產能的增加不足以替代消耗，我們仍然認為我們的服務最快明年將再次超過供應。我們計劃對我們的機隊進行全面維護，為恢復做好準備。

During my time as CEO, we've completed several transformative deals that have positively reshaped the company and the industry. Bringing Keane and C&J together in 2019 to form NexTier was hugely successful and was a big step for both industry consolidation and cost efficiency. The Alamo acquisition in 2021 was well timed and allowed us to accelerate our transition to natural gas-powered equipment and was the pinnacle of our successful countercyclical investment strategy. We believe the merger with Patterson is the next step to value creation for our shareholders, our industry, and our employees. I'm excited to help lead the new company in the Vice Chair role where we will continue to pursue what has made NexTier and Patterson successful over the past several years.

在我擔任首席執行官期間，我們完成了幾項變革性交易，這些交易積極重塑了公司和行業。 Keane 和 C&J 於 2019 年合併成立 NexTier 取得了巨大成功，對於行業整合和成本效率而言都是一大進步。 2021 年收購 Alamo 恰逢其時，使我們能夠加速向天然氣動力設備的轉型，也是我們成功的反週期投資戰略的頂峰。我們相信，與帕特森的合併是為我們的股東、我們的行業和我們的員工創造價值的下一步。我很高興能以副主席的身份幫助領導新公司，我們將繼續追求過去幾年 NexTier 和 Patterson 取得成功的目標。

I've learned a significant amount from all the NexTier stakeholders, including our employees, our executive team, our Board members, and our investors. I have enjoyed my time as CEO, and I will always appreciate being given such a unique opportunity. And with that, we'd now like to open the lines for Q&A.

我從所有 NexTier 利益相關者那裡學到了很多東西，包括我們的員工、執行團隊、董事會成員和投資者。我很享受擔任首席執行官的時光，並且我將永遠感激能獲得如此獨特的機會。至此，我們現在要開始問答環節。

(Operator Instructions) Our first question today will come from Luke Lemoine of Piper Sandler.

（操作員說明）今天我們的第一個問題將來自 Piper Sandler 的 Luke Lemoine。

Thanks for the fleet outlook through the end of 3Q. Just want to see if you guys could maybe outline how you see 4Q activity shaping up. And then do you think 4Q will jumpstart '24? And then third part, if you could just step a bit further and expand on your outlook for '24, which you described as looking more like 1Q '23 and maybe what level and type of conversations you're having with customers right now?

感謝您對第三季度末的機隊展望。只是想看看你們是否可以概述一下您對第四季度活動的看法。那麼您認為 4Q 會推動 '24 嗎？然後是第三部分，您是否可以更進一步並擴展您對 24 年的展望，您將其描述為看起來更像 23 年第一季度，也許您現在與客戶進行的對話級別和類型如何？

Thanks for the question, Luke. I think that what we're seeing in Q3, in my view, is the customers managing their budgets. They're balancing production targets with their balance sheet and their commitments to cash returns versus their outlook for what they think about oil and gas price. And I think it's a bit of a unique scenario. We're sitting here with oil at $79 and seeing the drilling rig count being down a little bit. So when you think about that playing into 2024, I believe that there's like 2 potential scenarios: 1 is that we have a traditional Q4 holiday impact that some people call budget exhaustion. That kind of scenario where you see Q4 down a little bit from Q3. But there's another scenario in my view, and the more likely 1, in my view, for this year, and that is that the customer base prepares to get a running start into 2024.

謝謝你的提問，盧克。我認為，在我看來，我們在第三季度看到的是客戶管理他們的預算。他們正在平衡生產目標、資產負債表、現金回報承諾與對石油和天然氣價格的看法。我認為這是一個有點獨特的場景。我們坐在這裡，油價為 79 美元，鑽井數量略有下降。因此，當您考慮 2024 年的情況時，我認為有兩種潛在情況：1 是我們受到傳統的第四季度假期影響，有些人稱之為預算耗盡。在這種情況下，你會看到第四季度比第三季度略有下降。但我認為今年還有另一種情況，而且在我看來更有可能出現這種情況，那就是客戶群準備好在 2024 年開始運行。

There's a number of reasons perhaps for that: 1 is that and they're in good shape at this point this year with their production targets; and in '24, we start to get a little more takeaway capacity in the gas markets and more even in '25 than that; and the oil outlook seems stronger and stronger on the oil price. So I feel like the most likely scenario is that you start to see people getting ready for '24 in Q4. And in fact, Matt and I have been [taking] discussions with some of our customers already about those plans for ramping up in 2024. I guess you would probably get a variable answer depending on which company you talk to, but we do try to line up with likeminded customers that have a long-term view about the market. So I think that we may be influenced by that a bit, but I believe that probably describes the macro pretty well.

造成這種情況的原因可能有很多：一是他們今年的生產目標處於良好狀態；二是他們的生產目標良好。 24 年，我們開始在天然氣市場獲得更多的外賣能力，25 年甚至會比這更多；石油前景似乎越來越強於油價。所以我覺得最有可能的情況是你開始看到人們在第四季度為“24”做好準備。事實上，馬特和我已經與我們的一些客戶討論了 2024 年的擴張計劃。我想您可能會得到不同的答案，具體取決於您與哪家公司交談，但我們確實嘗試與對市場有長遠看法的志同道合的客戶結盟。所以我認為我們可能會受到一點影響，但我相信這可能很好地描述了宏觀情況。

Our next question today will come from Arun Jayaram of JPMorgan.

今天我們的下一個問題將來自摩根大通的阿倫·賈亞拉姆。

I wanted to first start off with the planned integration activities with the team at Patterson. Wanted to see if you could talk about your plans to integrate the Universal team within NEX, what are your early observations on fleet quality and any upgrade work that needs to be done? And then maybe, Kenny, you can give us an update on the synergy capture from the deal, I think you've outlined up to $200 million over an 18-month period.

我想首先從計劃中的與帕特森團隊的整合活動開始。想知道您是否可以談談將 Universal 團隊整合到 NEX 中的計劃，您對機隊質量的早期觀察以及需要完成的升級工作是什麼？然後，肯尼，您也許可以向我們介紹一下該交易帶來的協同效應的最新情況，我認為您已經概述了在 18 個月期間最多 2 億美元的資金。

Thanks for the question, Arun. One thing I'd say is that we are on the track that we said we'd be on related to that integration. And the concentration of talent has been very impressive from where I sit. Kenny, would you make some comments about where you are with beginning of the plan?

謝謝你的提問，阿倫。我想說的一件事是，我們正走在我們所說的與整合相關的軌道上。從我所在的位置來看，人才的集中程度令人印象深刻。肯尼，你能對計劃開始時的進展發表一些評論嗎？

Yes. Arun, so obviously with the Ulterra deal in the background, we're just getting started on our integration planning process, so I don't have a lot to report there. But what I can tell you is, as Robert mentioned, is that it's very exciting. Our focus right now is going to be not disrupting the current very high-performing drilling and completion businesses and we're developing our day 1 plans. On your point on the synergies, look, nothing really to report at this point. We put the $200 million out there. Everything we see so far that's obviously still intact, so there'll be more news on that in the coming quarters.

是的。 Arun，很明顯，在 Ulterra 交易的背景下，我們剛剛開始整合規劃流程，所以我沒有太多要報告的內容。但我可以告訴你的是，正如羅伯特所說，這非常令人興奮。我們現在的重點是不會擾亂當前表現非常出色的鑽井和完井業務，我們正在製定第一天計劃。關於你關於協同效應的觀點，看，目前沒有什麼值得報告的。我們投入了 2 億美元。到目前為止，我們看到的一切顯然仍然完好無損，因此在接下來的幾個季度中將會有更多相關消息。

Matt?

馬特？

Arun, I think just on the integration side, like Kenny said, it's pretty early, and we're obviously operating independent. If I just think from my side on the fleet and equipment side, the NEX is pretty happy with the progress that we've made in upgrading our fleet to DGB and natural gas. And with the deployment of the eFleets, around 70% of the fleet are now able to operate on fuel-efficient natural gas. I think these fleets have been extremely easy to keep busy as we've seen some movements in Q3 or Q2. I think as Patterson has publicly stated, they've also made a large conversion over recent years to a good percentage in natural gas capable fleets. So once the close is complete, 1 of the things we really look forward to is the synergies that we can see with applying our power solutions to further reduce the diesel consumption. So I think that's something that will be work in progress, but we're looking forward to as the deal closes.

阿倫，我認為就整合而言，就像肯尼所說，現在還很早，而且我們顯然是獨立運營的。如果我只是從機隊和設備方面考慮，NEX 對我們在將機隊升級到 DGB 和天然氣方面取得的進展感到非常滿意。隨著 eFleets 的部署，大約 70% 的車隊現在能夠使用節能的天然氣運行。我認為這些機隊非常容易保持忙碌，因為我們在第三季度或第二季度看到了一些變化。我認為正如帕特森公開表示的那樣，近年來他們也進行了大規模的改造，以提高天然氣船隊的比例。因此，一旦交易完成，我們真正期待的一件事就是通過應用我們的電力解決方案進一步減少柴油消耗，我們可以看到協同效應。所以我認為這將是一項正在進行的工作，但我們期待著交易的完成。

My follow up is maybe for you, Robert. Last quarter you mentioned that given "the bifurcation in equipment" between premium equipment and, call it, more legacy equipment that you didn't see the need to adjust your pricing strategy at that time. Fast forwarding 90 days or so, you guys have talked about a couple of fleets in the quarter where you integrated the horsepower with the existing units and you could lose a couple -- 3 more fleets in terms of demand. And so I wanted to get your thoughts on your updated views on the pricing strategy in NEX, and how do you think pricing will trend as we get into the "2024 buying season" as things are reset based on 2024 budgets, et cetera?

我的後續行動可能是為了你，羅伯特。上個季度，您提到，考慮到優質設備和更多傳統設備之間的“設備分歧”，您當時認為沒有必要調整定價策略。快進 90 天左右，你們談論了本季度的幾個車隊，在這些車隊中，您將馬力與現有設備整合在一起，但就需求而言，您可能會失去幾個——另外 3 個車隊。因此，我想了解您對 NEX 定價策略的最新看法，以及您認為隨著我們進入“2024 年購買季節”（根據 2024 年預算等進行重置），定價趨勢將如何？

Got it, Arun. Look, reflecting back on Q1, we said that we were going to be looking at fleet configuration enhancements and trying to drive record level efficiencies out of that fleet, propping it up, making it stronger, focusing on the integration, that we'd get pricing up a little bit Q2 versus Q1 and free cash will be high. I'm glad to say that from an accuracy standpoint, those things happened.

明白了，阿倫。看，回顧第一季度，我們說我們將考慮機隊配置的增強，並努力提高該機隊的創紀錄水平的效率，支撐它，使其更強大，專注於集成，我們將得到第二季度的定價比第一季度略有上漲，自由現金將會很高。我很高興地說，從準確性的角度來看，這些事情發生了。

And we continue to look at the commercial aspects that includes pricing on a profitability per metric -- profitability per fleet or more likely for us is profitability per hydraulic horsepower deployed. And what that means really is besides the net pricing aspects, the contract terms and the scheduling, do you have likelihood of whitespace, the operating efficiency for the combined operations between us and our customer base, how many pumping hours do we get per month, for example? How much has integration uptake been there? And then also the cost structure that we deal with in the commodities, how do we put all of that into a commercial aspect to optimize it for both us and our customers.

我們繼續關注商業方面，包括對每個指標的盈利能力進行定價——每個車隊的盈利能力，或者對我們來說更可能是每部署的液壓馬力的盈利能力。這實際上意味著除了淨定價方面、合同條款和日程安排之外，您是否有可能存在空白、我們和客戶群之間聯合運營的運營效率、我們每月獲得多少泵送時間，例如？整合程度有多少？然後還有我們在商品中處理的成本結構，我們如何將所有這些納入商業方面，以便為我們和我們的客戶優化它。

And we've got a history of working with the same customers for a long time and that's because we can demonstrate flexibility with them. And we have all those different knobs to turn in order to do it. So when we said that we weren't going to be focusing on price because we weren't going to do that, we haven't had to do that, and we've operated in the market that allowed that to be the case because of the relationship we have with our long-term customers.

我們有著與同一客戶長期合作的歷史，這是因為我們可以向他們展示靈活性。為了做到這一點，我們需要轉動所有不同的旋鈕。因此，當我們說我們不會專注於價格，因為我們不會這樣做時，我們沒有必要這樣做，而且我們在允許這種情況發生的市場中運作，因為我們與長期客戶的關係。

But when I go back to my comments earlier about some of our customers and some of the E&Ps in general managing their budgets in the middle of the year instead of at the end of the year, I think that puts some fleets on the market that would ordinarily be a dedicated fleet. So when that happens, you get into a very volatile scenario and maybe there's a number of fleets chasing a bunch of smaller opportunities that are one-off wells or one-off pads, and that's a different environment. So we proactively made some decisions like that to take those fleets out. Matt, you want to comment on that a little bit? I know we got a lot of catchup that we needed to do on the fleet maintenance wise.

但是，當我回到之前關於我們的一些客戶和一些勘探與生產公司在年中而不是年底管理預算的評論時，我認為這將一些船隊推向市場，通常是一支專門的艦隊。因此，當這種情況發生時，你就會陷入一種非常不穩定的情況，也許有許多船隊追逐一堆較小的機會，這些機會是一次性的油井或一次性的油田，這是一個不同的環境。所以我們主動做出了一些類似的決定來消滅這些艦隊。馬特，你想對此發表一點評論嗎？我知道我們在機隊維護方面需要做很多工作。

Yes. I think so. We talked a little bit about short-term softness in Q3. But I think if you remember, I think we [all talked about] this before. We probably worked the fleet too hard in Q1 and Q2. And 1 of the reasons we took to redeploy our horsepower is to deploy those extra couple of pumps on the fleets to increase our efficiency. It also increases our gas substitution, right. So again, just by working those fleets a little bit less hard, we're able to offer more fuel savings. And I think as we go forwards into Q3, again there's some upgrades that we wanted to do to the fleet in the prior quarters and we weren't able to pull them from operations. So actually to have a little bit of a breather in Q3 and continue to upgrade and improve the fleet is actually a good thing for us.

是的。我想是這樣。我們討論了第三季度的短期疲軟。但我想如果你還記得的話，我想我們之前[都討論過]這一點。我們可能在第一季度和第二季度對車隊進行了過度的訓練。我們重新部署馬力的原因之一是在車隊上部署額外的幾個泵以提高我們的效率。它還增加了我們的氣體替代品，對吧。再說一遍，只要稍微減輕這些車隊的工作強度，我們就能夠節省更多的燃油。我認為，當我們進入第三季度時，我們再次希望在前幾個季度對機隊進行一些升級，但我們無法將其從運營中撤出。所以實際上在第三季度有一點喘息的機會，繼續升級和改進機隊對我們來說實際上是一件好事。

When you ask about the trend, as we start to go into next year, the way we look at it is we've spent a lot of time trying to understand the macro supply and demand in frac. And as we made the comments in our prepared remarks a bit that we see 2024 could be another case where the frac is a bottleneck again. In other words, there's more demand than there are fleets, particularly in the upper tier of the equipment base that uses natural gas. So we see huge strong demand there still. And I would argue that that's a very supportive environment in 2024 for that. Obviously, everything prefaced on what oil price does. I think we've got probably more visibility on natural gas prices over the next couple years than we do oil, but I think everybody's got their view about oil prices. I'm not here to try to predict that. It's just that we see it set up pretty good for 2024.

當你問及趨勢時，當我們開始進入明年時，我們看待它的方式是，我們花了很多時間試圖了解壓裂的宏觀供需。當我們在準備好的評論中發表評論時，我們認為 2024 年可能是壓裂再次成為瓶頸的另一種情況。換句話說，需求量大於船隊數量，特別是在使用天然氣的設備基地的上層。因此，我們看到那裡的需求仍然巨大而強勁。我認為 2024 年這是一個非常支持這一點的環境。顯然，一切都以石油價格的走勢為序。我認為未來幾年我們對天然氣價格的了解可能比石油價格更高，但我認為每個人對石油價格都有自己的看法。我來這裡不是為了預測這一點。只是我們認為 2024 年的情況相當不錯。

Our next question will come from Derek Podhaizer of Barclays.

我們的下一個問題將來自巴克萊銀行的德里克·波德海澤。

I just wanted to keep going on Arun's comment around pricing. I think the bear case out there and what investors are worried about is that we're going to get this wholesale reset on pricing going into RFP season. So maybe can you help us dismiss those concerns? Is it something to be said that your fleet mix is much more improved to start 2024 compared to 2023? Just maybe some things to help investors not be too concerned about a wholesale pricing reset as we enter next year.

我只是想繼續討論阿倫關於定價的評論。我認為，悲觀的情況以及投資者擔心的是，我們將在進入 RFP 季節時對定價進行大規模重置。那麼也許您可以幫助我們消除這些擔憂嗎？與 2023 年相比，從 2024 年開始，您的機隊結構是否有很大改善？也許有些事情可以幫助投資者在進入明年時不必太擔心批發定價重置。

Yes. I think that the cycles themselves are becoming shallower. It means that you don't have to be worried about necessarily a real long period of time. I think that, as Matt described, having an opportunity to catch your breath a little bit and get your maintenance cycle revamped up is some of what's happening that's taking capacity off the market right now. I think in the spot market, people sometimes want to make a judgment about what's going on in the overall market based upon what's happening in a situation where people are just trying to decide, do I keep a fleet going for a little while at really submarket pricing versus doing what we do and some of our other competitors just said that they were doing.

是的。我認為周期本身正在變得越來越淺。這意味著您不必擔心很長一段時間。我認為，正如馬特所描述的那樣，有機會喘口氣並改進維護週期是目前正在發生的導致市場產能下降的原因之一。我認為在現貨市場上，人們有時想要根據人們只是想決定的情況來判斷整個市場正在發生的事情，我是否應該讓車隊在真正的子市場上運行一段時間定價與做我們所做的事情以及我們的其他一些競爭對手只是說他們正在做的事情。

So I would just say, Derek, that is 1 factor. And another factor is the fact that the fleet's evolved a lot. Now when you're talking about using a fleet that uses diesel versus 1 that's using natural gas, there's a big difference in the total cost profile for that fleet for the operator. And he has the ability to continue working with the providers who can bring that fuel arbitrage to the table. And then the other part of it is when you have the workflows that are really Running really well for you and you have a number of services integrated around it and it's clicking, and you measure that by pumping hours per fleet, we mentioned it a little bit in our comments in the prepared remarks that we had a unbelievable Q2. And people don't want to mess with that too much. And I would just say that, that supported by the fuel arbitrage for gas power, is a lot of reasons why. And I think that there's always going to be people who sometimes make short-term decisions where it might be best for them in certain circumstances. But I think in large part, we agree with some of our previous competitor's comments about how the market's acting.

所以我只想說，德里克，這是第一個因素。另一個因素是艦隊已經發展了很多。現在，當您談論使用柴油機隊與使用天然氣的機隊時，運營商該機隊的總成本狀況存在很大差異。他有能力繼續與能夠將燃料套利帶到談判桌上的供應商合作。然後它的另一部分是，當您擁有真正運行良好的工作流程，並且圍繞它集成了許多服務並且它正在點擊時，您可以通過每個車隊的泵送時間來衡量，我們提到了一點在我們準備好的評論中，我們有一個令人難以置信的第二季度。人們不想過多地打擾它。我只想說，在天然氣發電燃料套利的支持下，有很多原因。我認為總會有人有時會做出短期決定，在某些情況下這可能對他們最有利。但我認為在很大程度上，我們同意我們之前的競爭對手對市場表現的一些評論。

The last thing I'll just throw in there, Derek, is the fact that we've spent hundreds of millions of dollars on upgrading the fleet and that has to have a return, and so I think that's what's buoying a lot of the pricing discussions for the high-tiered fleets is that we have to generate that return on investment.

德里克，我要說的最後一件事是，我們已經花費了數億美元來升級機隊，並且必須有回報，所以我認為這就是價格上漲的原因對於高端機隊的討論是我們必須產生投資回報。

Right. No, that makes a lot of sense. Robert, maybe on that cycle being shallower comment, just thinking about how the decrementals should look in the back half of the year? How will it differ from this cycle versus past cycles? Should we expect them to be more controlled than what we've historically seen? Just trying to gauge where profitability could bottom out by the end of the year before we start up 2024.

正確的。不，這很有意義。羅伯特，也許在那個週期中是比較膚淺的評論，只是考慮下半年的減量應該是什麼樣子？與過去的周期相比，本週期有何不同？我們是否應該期望它們比我們歷史上看到的更受控制？只是想在 2024 年開始之前衡量今年年底盈利能力可能會觸底。

I think that's a good question. Matt alluded a little bit to our supply chain, which has been struggling up until lately as far as making deliveries in, on driving across into our system. I think that we're on a campaign to try to back some of that out, through not just pricing, but through how those services or equipment are utilized within our workflows. So I think that'll have a lot to do with the ultimate decrementals. I'd point out that the incrementals in our last quarter were very good. And I think 1 thing that we've been able to do is be pretty proactive because we are pretty good at assessing the macro and deciding where things are going to be and start planning and getting ahead of that.

我認為這是一個好問題。馬特提到了我們的供應鏈，直到最近，供應鏈一直在努力運送貨物並進入我們的系統。我認為我們正在進行一場運動，試圖通過定價來支持其中的一些，還通過如何在我們的工作流程中利用這些服務或設備。所以我認為這與最終的減量有很大關係。我想指出的是，我們上個季度的增量非常好。我認為我們能夠做的一件事就是非常積極主動，因為我們非常擅長評估宏觀情況並決定事情的發展方向，並開始規劃並提前做好準備。

For example, we actually put a merit raise in place for our employee base at the beginning of this quarter. And our attrition rates are down. That's actually a net positive for the company. And I would say that we have not had to have a reduction in force because Matt was proactive in balancing our hiring in tune with the expectations of how that would flow through the system. So all I'd say is decrementals are a function of all of those things, and because our customers are so efficiency-focused and our workflows are so married together now, I think we can manage these decrementals very well through this downturn. In fact, Kenny, you got any comments you want to make on that?

例如，我們實際上在本季度初為我們的員工提供了加薪。我們的員工流失率也下降了。這實際上對公司來說是一個淨積極因素。我想說的是，我們不必減少兵力，因為馬特積極主動地平衡我們的招聘與對如何在系統中流動的期望。因此，我想說的是，減量是所有這些因素的函數，而且由於我們的客戶非常注重效率，而且我們的工作流程現在如此緊密地結合在一起，我認為我們可以在這次低迷時期很好地管理這些減量。事實上，肯尼，你對此有什麼評論嗎？

Yes. I would just add that, we can't really give any specific margin guidance there. But what I would like to say is that we expect our margins to remain higher than what they were at similar revenue streams in the past. So everything that Robert said, we have a lot of factors that we have that can limit our decrementals as we go forward.

是的。我想補充一點，我們無法真正給出任何具體的保證金指導。但我想說的是，我們預計我們的利潤率將繼續高於過去類似收入流的水平。因此，羅伯特所說的一切，我們有很多因素可以限制我們前進過程中的減量。

Great. That's helpful. And if I could squeeze just 1 more. I know last call you guys mentioned the LOI. Just an update on that. Is that still valid or just given the merger with Patterson, it's just no longer in place?

偉大的。這很有幫助。如果我能再擠 1 就好了。我知道上次通話你們提到了意向書。只是更新一下。這是否仍然有效，或者只是在與帕特森合併後，它就不再有效了？

So the value proposition for that kind of deal for us is still intact and are arguably better with increased scale that we have around the completion business in the newco. So I think that it requires a little bit of patience from everybody involved because we do have a lot on the table, and we are very diligent about wanting to make the already announced mergers never miss a beat. So I would say is, Derek, yes, I think I can't speak for the new company. I'm just speaking on behalf of us right now, is that we still see value in that deal. So I would say stay tuned.

因此，對於我們來說，此類交易的價值主張仍然完好無損，而且隨著我們在新公司的竣工業務規模的擴大，可以說這種價值主張會更好。因此，我認為這需要每個參與方都有點耐心，因為我們確實有很多事情要做，而且我們非常努力地希望讓已經宣布的合併不會錯過任何一個機會。所以我想說的是，德里克，是的，我想我不能代表新公司發言。我現在只是代表我們發言，我們仍然看到該交易的價值。所以我想說請繼續關注。

Next question today will come from Stephen Gengaro of Stifel.

今天的下一個問題將來自 Stifel 的 Stephen Gengaro。

One of the things I wanted to ask you about just from your perspective, and I've asked others this as well, the consolidation we're seeing the industry has clearly helped industry dynamics in it. As we think about the frac market and frack pricing, I know there's been spot market pressures, especially among some small operators. But are you seeing -- can you point to things that support that the dynamics are better and that pricing is holding up better? Are you getting anecdotes from conversations? I'm just trying to get validation that theory is playing out.

我想從你的角度問你一件事，我也問過其他人，我們看到的行業整合顯然有助於行業動態。當我們考慮壓裂市場和壓裂定價時，我知道現貨市場存在壓力，特別是在一些小型運營商中。但你是否看到——你能指出一些支持動態更好、定價更穩定的因素嗎？你從談話中得到軼事嗎？我只是想驗證理論正在發揮作用。

Well, it's hard for me to be able, Stephen, to comment on that right now. I would just say that, in general, the supply-demand balance of the thing is still there, and I don't really have any particular datapoints I could bring up or anything. But about that...?

斯蒂芬，我現在很難對此發表評論。我只想說，總的來說，供需平衡仍然存在，我真的沒有任何可以提出的特定數據點或任何東西。但關於那個……？

(inaudible) really.

（聽不清）真的。

Maybe I'll say something, Robert. I think 1 thing is size and scale, and we talked about this a little bit in our Investor Day. But having that size and scale and integration together allows us to offer value savings and cost savings to the client. And so I think we've had a lot of great discussions recently with clients and asking how we can improve the total system completion cost. We're able to take additional services like sand or chemicals or power solutions. I think we're able to have a win-win situation where we provide savings to the client. And you maybe in the past as we don't have to go so deep on the service pricing that we've had to.

也許我會說點什麼，羅伯特。我認為一件事是規模和規模，我們在投資者日討論了這一點。但擁有這樣的規模和規模以及整合在一起使我們能夠為客戶節省價值和成本。因此，我認為我們最近與客戶進行了很多精彩的討論，並詢問我們如何提高系統完成總成本。我們能夠提供額外的服務，例如沙子、化學品或電力解決方案。我認為我們能夠實現雙贏，為客戶節省開支。你也許在過去，因為我們不必像以前那樣深入研究服務定價。

And I think our customers appreciate any measures taken that we got this certain amount of fixed cost in the industry. And if we spread it out broader across the fleet, that's good for everybody. I think the customers appreciate that aspect of it.

我認為我們的客戶讚賞我們為在行業中獲得一定數量的固定成本而採取的任何措施。如果我們將其擴展到整個機隊，這對每個人都有好處。我認為客戶很欣賞它的這一方面。

That's helpful. And I appreciate you guys not wanting to give a whole lot of guidance. When I think about your -- I'm just going to use Liberty as an example, just because they're probably the biggest other press number that has already reported. The consensus seems to be around the second half of '23 being 20-ish, 25% below the first half. Do you think that's in the ballpark based on what you see? Just for -- I'm not talking about revenues, just talking as a general view based on activity and pricing that you're seeing right now that EBITDA in the second half is 20% to 25% below the first half?

這很有幫助。我很感謝你們不想提供太多指導。當我想到你的——我只想用《自由》作為例子，因為它們可能是已經報導過的最大的其他媒體號碼。共識似乎是 23 年下半年約為 20 左右，比上半年低 25%。根據您所看到的情況，您認為這在大概範圍內嗎？只是因為——我不是在談論收入，只是作為基於活動和定價的一般觀點來談論，你現在看到下半年的 EBITDA 比上半年低 20% 到 25%？

Stephen, all I'd say is that Q3 pretty well baked in a little bit when you look at what's happened with the drilling rig count already. And I go back to my comments about that 2-phase potential scenario for Q4: 1 being that traditional holiday relaxation that occurs, in many cases, versus a running start on 2/20/24, I'm leaning toward the second 1 more likely than the first, simply because it's uncommon for customers at this current oil price levels to be balanced at managing their budget in the middle of the year, like you're seeing with this drilling rig count reduction. One of those competitors that reported you mentioned had said that there was a lag in frac activity a quarter behind drilling rig activity. We don't disagree with that, 60- to 90-day lag. So I think we have to watch that, and they'll make that prediction I think would be a coin toss on what happens in Q4.

斯蒂芬，我想說的是，當你看看鑽機數量已經發生的情況時，第三季度已經相當成熟了。我回到我對第四季度 2 階段潛在情景的評論：1 是在許多情況下發生的傳統假期放鬆，而不是 2/20/24 的連續開始，我更傾向於第二個 1可能比第一個更嚴重，因為在目前的油價水平下，客戶在年中管理預算方面取得平衡是不常見的，就像您所看到的鑽機數量減少一樣。您提到的一位競爭對手曾表示，壓裂活動滯後於鑽機活動四分之一。我們不同意這一點，即 60 到 90 天的滯後。所以我認為我們必須關注這一點，他們會做出這樣的預測，我認為這將是對第四季度發生的情況的擲硬幣。

Our next question is from Sean Mitchell of Daniel Energy Partners.

我們的下一個問題來自丹尼爾能源合作夥伴公司的肖恩·米切爾。

Just wanted to ask you the noise you referred to, Robert, in the oil basins, you referred to noise in the oily basins earlier in the call, and maybe just take a minute, is that more a function of frack fleets moving into those oil basins from gas basins because we've recently heard a couple of anecdotes around some of the gas basin frack fleets are just now moving, which seems a little surprised to me. But I guess the lag you guys just talked about, maybe that's part of that. Are you seeing more assets move into the oil basins from the gas basins on the frac side today, which might be driving some of what you're seeing in Q3?

只是想問你，羅伯特，你提到的石油盆地中的噪音，你在電話早些時候提到了含油盆地中的噪音，也許請花一點時間，這更多的是壓裂船隊進入這些石油的函數因為我們最近聽說了一些關於一些氣盆地壓裂船隊剛剛移動的軼事，這對我來說似乎有點驚訝。但我想你們剛才談到的滯後，也許是其中的一部分。您今天是否看到更多資產從壓裂側的天然氣盆地轉移到石油盆地，這可能會推動您在第三季度看到的一些情況？

Look, I think that it's all linked to that comment about the customers managing their budget, too, in the middle of the year, dropping a little bit of activity because they're already on the production targets. It also has to do with what you're referring to. And I'd say that maybe people are prospecting there before they actually move to see if they can find something. But at the end of the day, go back to the beginning of all that, I'd say there was a bit of undersupply in the oil basin. So that's a dynamic that is rebalancing. And I'd also say the whole dynamic about what fleet are you talking about, are you talking about one that's pure diesel or are you talking about some sort of gas-powered fleet and the dynamics around those are different than just an idled up Tier 2 diesel and looking for whatever it could get. So yes, I think that's a fair assessment on your part in both cases.

聽著，我認為這一切都與客戶在年中管理預算的評論有關，因為他們已經達到了生產目標，所以減少了一些活動。這也與你所指的內容有關。我想說，也許人們在真正搬家之前就在那裡進行勘探，看看是否能找到一些東西。但歸根結底，回到這一切的開始，我想說的是，石油盆地存在一些供應不足的情況。這就是重新平衡的動力。我還要說一下您所談論的機隊的整個動態，您是在談論純柴油機隊還是您在談論某種燃氣動力機隊，以及圍繞這些機隊的動態與閒置的一級機隊不同2 柴油並尋找任何它能得到的東西。所以，是的，我認為對於這兩種情況，你的評估都是公平的。

And then maybe 1 to follow up on labor. It sounds like you guys aren't having to lay people off yet. But on the labor side, are you guys seeing other people let people go and are they coming to you saying, "Hey, I'm looking for work?"

然後也許 1 跟進分娩情況。聽起來你們還不需要裁員。但在勞工方面，你們是否看到其他人解雇了人，他們是否來找你們說：“嘿，我在找工作？”

Well, I'd better let other people disclose what they got going on. We have our view about that. But I would say that we do see a little bit of anecdotal evidence when applications show up. So yes, I think it depends on where you are and who you've been working for and what status your equipment is in, everything else like that. We've just been trying to stay ahead of it on the planning phase and balancing hiring with what the expectations are because oilfield services has got a amount of churn in the business when it comes to field staffing.

好吧，我最好讓其他人透露他們正在發生的事情。對此我們有自己的看法。但我想說，當申請出現時，我們確實看到了一些軼事證據。所以，是的，我認為這取決於你在哪裡、你為誰工作以及你的設備處於什麼狀態，等等。我們只是努力在規劃階段保持領先地位，並平衡招聘與期望，因為油田服務在現場人員配置方面存在大量流失。

(Operator Instructions) Our next question is from Connor Jensen of Capital Markets.

（操作員說明）我們的下一個問題來自資本市場的 Connor Jensen。

Hey, this is Connor Jensen for Jim Rollyson with Raymond James. Just a couple of quick questions for me. Given you're not giving guidance for the third quarter, do you expect the merger could close sooner than anticipated or am I reading too far into that?

嘿，我是吉姆·羅利森和雷蒙德·詹姆斯的康納·詹森。只是問我幾個簡單的問題。鑑於您沒有提供第三季度的指導，您是否預計合併可能會比預期更早完成，還是我對此理解得太深了？

Well, for us, all I would say is that we haven't changed any of our messaging around the timing, everything from a filing perspective is going on track. And I would just say, stand by. I think that that's pretty much out of our control at this stage.

好吧，對我們來說，我想說的是，我們沒有改變任何關於時間的消息，從申請的角度來看，一切都在按計劃進行。我只想說，等著吧。我認為現階段這幾乎是我們無法控制的。

Got it. And then you mentioned the 3 fleets you may drop in Q3. Any insight on whether those may skew early or late in the quarter?

知道了。然後你提到了你可能在第三季度放棄的 3 支艦隊。關於這些是否可能在季度初或季度末出現偏差有什麼見解嗎？

Yes, this is Matt. I'll take that 1. Again, I think we've stopped talking about absolute fleet count for a while because we constantly reconfigure that fleet either based on the needs of our client on the pads, or to optimize the returns. But I think it's probably helpful to answer your question. Kenny and Robert mentioned that we may take out 3 fleets in Q3. But if I had a little color to that, I can probably say that we'll start Q3 with 2 less fleets than we ran for most of Q2. But I will say we're keeping our options open on that third fleet drop. As we see it today, July pumping activity is very strong. And I think Robert mentioned, we're seeing some requests already for possible additional activity in Q3 and Q4. So I think we're just going to watch the quarter closely before we make that decision on the third fleet.

是的，這是馬特。我會這麼認為 1. 再說一次，我認為我們已經停止談論絕對機隊數量有一段時間了，因為我們不斷地根據客戶對焊盤的需求或優化回報來重新配置機隊。但我認為回答你的問題可能會有所幫助。肯尼和羅伯特提到我們可能會在第三季度消滅 3 支艦隊。但如果我對此有一點看法的話，我可能會說，我們在第三季度開始時的機隊數量將比第二季度大部分時間少 2 架。但我要說的是，我們對第三次艦隊空投保持開放的選擇。正如我們今天所看到的，七月份的抽水活動非常強勁。我認為羅伯特提到，我們已經看到一些要求在第三季度和第四季度可能進行額外活動的請求。因此，我認為我們將密切關注本季度，然後再對第三艦隊做出決定。

Ladies and gentlemen, we have reached the end of the question-and-answer session. I would like to turn the call back to Mr. Robert Drummond for closing remarks.

女士們、先生們，問答環節已經結束。我想將電話轉回給羅伯特·德拉蒙德先生，讓其致閉幕詞。

Thank you, Allison. Look, I just want to end by saying NexTier had a great first half of the year, and I'm so proud of the people. We're very well positioned as we're going into this merger, we're going to take a very healthy cash balance, high performing group of employees, and a fleet of very efficient equipment into the new company. I can't thank the NexTier employees enough for the high level of performance, especially in the field where we're dealing with extreme weather conditions. You guys are an amazing group. Thank you very much.

謝謝你，艾莉森。聽著，我只想說 NexTier 今年上半年表現出色，我為員工感到自豪。當我們進行這次合併時，我們處於非常有利的位置，我們將把非常健康的現金餘額、高績效的員工隊伍和一批非常高效的設備帶入新公司。我非常感謝 NexTier 員工的高水平表現，尤其是在我們應對極端天氣條件的領域。你們是一個了不起的團體。非常感謝。

The conference has now concluded. Thank you for attending today's presentation, and you may now disconnect your lines.

會議現已結束。感謝您參加今天的演示，您現在可以掛斷電話了。