ProPetro Holding Corp (PUMP) 2024 Q2 法說會逐字稿

Good day, and welcome to the ProPetro Holding Corp. second-quarter 2024 conference call. Please note, this event is being recorded.

大家好，歡迎參加 ProPetro Holding Corp. 2024 年第二季電話會議。請注意，此事件正在被記錄。

I would now like to turn the call over to Matt Augustine, Director of Corporate Development and Investor Relations for ProPetro Holding Corp. Please go ahead.

我現在想將電話轉給 ProPetro Holding Corp 企業發展和投資者關係總監 Matt Augustine。

Thank you and good morning. We appreciate your participation in today's call. With me today is Chief Executive Officer, Sam Sledge; Chief Financial Officer, David Schorlemer; and President and Chief Operating Officer, Adam Munoz.

謝謝你，早安。我們感謝您參加今天的電話會議。今天和我在一起的是執行長 Sam Sledge；財務長 David Schorlemer；以及總裁兼營運長 Adam Munoz。

This morning, we released our earnings results for the second quarter of 2024. Please note that any comments we make on today's call regarding projections or our expectations for future events are forward-looking statements covered by the Private Securities Litigation Reform Act.

今天上午，我們發布了 2024 年第二季的獲利結果。請注意，我們在今天的電話會議上發表的有關對未來事件的預測或預期的任何評論都是《私人證券訴訟改革法案》所涵蓋的前瞻性陳述。

Forward-looking statements are subject to several risks and uncertainties, many of which are beyond our control. These risks and uncertainties can cause actual results to differ materially from our current expectations. We advise listeners to review our earnings release and risk factors discussed in our filings with the SEC.

前瞻性陳述受到多種風險和不確定性的影響，其中許多風險和不確定性超出了我們的控制範圍。這些風險和不確定性可能導致實際結果與我們目前的預期有重大差異。我們建議聽眾查看我們向美國證券交易委員會提交的文件中討論的收益發布和風險因素。

Also during today's call, we will reference certain non-GAAP financial measures. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in our earnings release. Finally, after our prepared remarks, we will hold a question-and-answer session.

此外，在今天的電話會議中，我們還將參考某些非公認會計準則財務指標。這些非公認會計準則衡量標準與最直接可比較的公認會計準則衡量標準的對帳已包含在我們的收益發布中。最後，在我們準備好的發言之後，我們將舉行問答環節。

With that, I would like to turn the call over to Sam.

說到這裡，我想把電話轉給 Sam。

Thanks, Matt. And good morning, everyone. As we have communicated previously, 2024 is a prove-it year for ProPetro, and I'm pleased to report that we are delivering. In the second quarter of 2024, we demonstrated the effectiveness and resilience of our strategy. We have proven that despite a softer market environment, ProPetro can deliver and is delivering meaningful value for our customers, partners, and shareholders.

謝謝，馬特。大家早安。正如我們之前所傳達的，2024 年對 ProPetro 來說是證明的一年，我很高興地報告我們正在交付。2024 年第二季度，我們展現了策略的有效性和彈性。我們已經證明，儘管市場環境較為疲軟，ProPetro 仍然能夠並且正在為我們的客戶、合作夥伴和股東創造有意義的價值。

David will walk you through our financial results in a moment, but first, I'd like to share some important business highlights from the second quarter. Despite unexpected activity disruptions during the quarter, our focus on industrializing our business and prudent dynamic capital allocation has helped ProPetro deliver resilient free cash flow generation.

大衛稍後將向您介紹我們的財務業績，但首先，我想分享第二季的一些重要業務亮點。儘管本季活動出現意外中斷，但我們對業務工業化的關注和審慎的動態資本配置幫助 ProPetro 實現了富有彈性的自由現金流產生。

We expect our strong free cash flow to continue, thanks to the investments we've made and the strategic decisions we've taken to position our business for sustainable, long-term value creation. Underpinning our strategy and our confidence are three core principles, which you have heard us discuss previously. Let me walk through each and share details on our progress.

我們預計我們將繼續保持強勁的自由現金流，這要歸功於我們所做的投資以及為使我們的業務創造可持續、長期價值而做出的策略決策。支撐我們策略和信心的是三個核心原則，您之前已經聽過我們討論過。讓我逐一介紹並分享我們進展的詳細資訊。

First, our company is set up to drive free cash flow generation. We've made meaningful investments through our fleet recapitalization and are now reaping the rewards. Demand for our next-generation gas burning assets is strong, and our transition towards a more efficient service offering that will remain relevant in our competitive market is progressing uninterrupted by market headwinds.

首先，我們公司的成立是為了推動自由現金流的產生。我們透過機隊資本重組進行了有意義的投資，現在正在收穫回報。對我們下一代燃氣資產的需求強勁，我們正在向更高效的服務產品轉型，這種服務將在競爭激烈的市場中保持重要地位，而不受市場逆風的干擾。

We ended the second quarter with seven Tier IV DGB dual-fuel fleets with each bringing industry-leading diesel displacement. The rollout of our FORCE electric fleet offering is well underway, and the results we've seen so far make us highly confident that we're on the right path to deliver enhanced customer value, and ultimately, superior shareholder returns.

第二季結束時，我們擁有七輛 Tier IV DGB 雙燃料車隊，每輛都具有業界領先的柴油排氣量。我們的 FORCE 電動車隊產品的推出正在順利進行，迄今為止所看到的結果使我們非常有信心，我們正走在正確的道路上，以提高客戶價值，並最終實現卓越的股東回報。

This quarter, we deployed our third FORCE electric frac fleet. This is the first FORCE electric fleet we deployed with ExxonMobil as part of our three-year contract with the second fleet expected to be deployed in the next few months. The agreement includes the deployment of two FORCE electric fleets, wireline, and pump-down services in 2024, with an option for a third FORCE fleet with integrated wireline and pump-down services to commence operations early in 2025.

本季度，我們部署了第三支 FORCE 電動壓裂車隊。這是我們與埃克森美孚合作部署的第一支 FORCE 電動車隊，作為我們與第二支車隊簽訂的三年合約的一部分，預計將在未來幾個月內部署。該協議包括在 2024 年部署兩個 FORCE 電力車隊、有線和抽水服務，並可選擇第三個配備綜合有線和抽水服務的 FORCE 車隊於 2025 年初開始營運。

Our three-year contract with ExxonMobil was a major milestone, and in addition, to our other contracted electric equipment is a glimpse of ProPetro's future. Moreover, we will continue to allocate capital to our FORCE electric offering and away from conventional diesel equipment, following the demand trends and the customer preferences we're seeing in the market.

我們與埃克森美孚簽訂的三年合約是一個重要的里程碑，此外，我們與其他合約電氣設備的合作也讓我們看到了 ProPetro 的未來。此外，我們將繼續根據需求趨勢和我們在市場上看到的客戶偏好，將資金分配給我們的 FORCE 電動產品，而不是傳統的柴油設備。

On that note, we have placed an order for our fifth FORCE electric fleet, and we expect it to be in the field under contract in 2024. In addition to electrification, we are evolving our business and capitalizing on our strengths in other ways as well. We have been executing committed contracts that help ProPetro to deliver through cycle returns.

有鑑於此，我們已經訂購了第五輛 FORCE 電動車隊，預計它將於 2024 年按照合約投入使用。除了電氣化之外，我們還在發展我們的業務，並以其他方式利用我們的優勢。我們一直在執行承諾合同，幫助 ProPetro 實現週期回報。

We continue to work closely with our customers, creating efficiencies tied to integrated services and higher equipment utilization. We are cultivating an incredibly talented and committed workforce, and our progress and success to date are made possible by our first-in-class operating team in the field, all resulting in a business that has more durable and resilient future earnings profile.

我們繼續與客戶密切合作，透過整合服務和更高的設備利用率提高效率。我們正在培養一支非常有才華和忠誠的員工隊伍，我們迄今為止的進步和成功是由我們在該領域一流的營運團隊實現的，所有這些都使我們的業務具有更持久和更有彈性的未來盈利狀況。

Putting all these factors together, we are proud to deliver valuable, more efficient, and flexible services while reducing risks and costs for our customers. We are very confident that our business is poised for our continued growth and success, all made possible by our team here at ProPetro.

綜合所有這些因素，我們很自豪能夠提供有價值、更有效率、更靈活的服務，同時為客戶降低風險和成本。我們非常有信心，我們的業務將為我們的持續成長和成功做好準備，這一切都是由我們 ProPetro 團隊實現的。

Now moving to M&A, which has been, and will continue to be, an important strategic driver for our company. Our disciplined and opportunistic approach to deploying capital towards value-accretive acquisitions remains a fundamental strength at ProPetro. Our Silvertip acquisition continues to be a strong tailwind for our earnings and free cash flow, as does our acquisition of Par Five cementing, which is now fully integrated into our legacy cementing business.

現在轉向併購，這已經並將繼續成為我們公司的重要策略驅動力。我們以嚴謹和機會主義的方式部署資本進行增值收購，這仍然是 ProPetro 的基本優勢。我們對 Silvertip 的收購繼續為我們的盈利和自由現金流帶來強勁推動力，我們對五桿固井業務的收購也是如此，後者現已完全整合到我們的傳統固井業務中。

This quarter, we were pleased to complete the acquisition of Aqua Prop, an innovative provider of cost-effective wet sand solutions. This acquisition is yet another example of our commitment to enhancing innovation and integration through thoughtful capital allocation. The addition of Aqua Prop is aimed squarely at further industrializing our operations with the ultimate goal of bringing more value to our customers and ProPetro through removing unnecessary equipment off location.

本季度，我們很高興完成了對 Aqua Prop 的收購，這是一家提供經濟高效的濕砂解決方案的創新提供者。此次收購是我們致力於透過深思熟慮的資本配置來加強創新和整合的另一個例子。Aqua Prop 的加入直接旨在進一步實現我們業務的工業化，最終目標是透過移除異地不必要的設備為我們的客戶和 ProPetro 帶來更多價值。

Furthermore, it builds on our reputation of delivering best-in-class integrated completions services desired by operators in the Permian Basin. We will stay disciplined and opportunistic in our pursuit of accretive M&A at valuations that make sense.

此外，它還建立在我們為二疊紀盆地營運商提供所需的一流綜合完井服務的聲譽之上。我們將保持紀律和機會主義，以合理的估值追求增值併購。

Indeed, ProPetro's stable and robust cash-generation results allows us to advance our fleet, transition, and participate in accretive M&A, all while maintaining a strong balance sheet. Importantly, it also provides optionality to return capital to shareholders.

事實上，ProPetro 穩定而強勁的現金產生結果使我們能夠推進我們的機隊、轉型並參與增值併購，同時保持強勁的資產負債表。重要的是，它還提供了向股東返還資本的選擇權。

On that note, and as we announced last quarter, our Board approved an increase in an extension of our share repurchase program through May 31, 2025, with an additional $100 million authorized for a total of $200 million. Since the inception of our plan in May of 2023, ProPetro has repurchased approximately 10% of outstanding common shares.

有鑑於此，正如我們上季度宣布的那樣，董事會批准將股票回購計劃延長至 2025 年 5 月 31 日，並授權額外增加 1 億美元，總計 2 億美元。自 2023 年 5 月我們的計畫啟動以來，ProPetro 已回購約 10% 的已發行普通股。

David will add more on this in a minute, but let me just say that our actions on this front confirm our Board and management's confidence in ProPetro's continued earnings growth and free cash flow generation. Returning capital to shareholders will continue to be among our top priorities.

David 稍後會補充更多內容，但我只想說，我們在這方面的行動證實了我們的董事會和管理層對 ProPetro 持續獲利成長和自由現金流產生的信心。向股東返還資本將繼續是我們的首要任務之一。

The successes I just laid out and the initiatives we are pursuing showcase ProPetro's strength. Despite some turbulence in the market, our strong performance is why we believe ProPetro shares are a unique investment opportunity, and that the investment thesis is apparent in the discrepancy between our equity value and the strong financial performance evident in our results.

我剛才所取得的成功以及我們正在採取的舉措展示了 ProPetro 的實力。儘管市場出現一些動盪，但我們的強勁表現使我們相信 ProPetro 股票是一個獨特的投資機會，並且我們的股權價值與我們業績中強勁的財務業績之間的差異顯而易見，這一投資論點顯而易見。

Yes, the second quarter was challenging. Rig counts continued to move lower and pricing across our conventional diesel assets became more competitive. We experienced a weaker quarter sequentially in our wireline business due to shifting customer schedules and also saw significant weather impact as we had several uncharacteristically strong storms push through the Permian during May and June.

是的，第二季充滿挑戰。鑽機數量持續減少，我們傳統柴油資產的定價變得更具競爭力。由於客戶時間表的變化，我們的固網業務連續一個季度表現疲軟，而且由於五月和六月期間，我們在二疊紀地區遭遇了幾場反常的強風暴，因此也受到了重大的天氣影響。

Yet, our premium service offering, coupled with our operational excellence, robust and blue-chip customer base, and superior service proved to be resilient as our dual-fuel and electric equipment remained highly utilized.

然而，我們的優質服務，加上我們的卓越營運、強大的藍籌客戶群以及卓越的服務，證明是有彈性的，因為我們的雙燃料和電力設備仍然得到高度利用。

We are also pleased to report another quarter of lower CapEx relative to our original budget, which will further support free cash flow and our capital allocation plans moving through the remainder of 2024 and beyond. We are confident in our ability to deliver strong financial results through the balance of this year and into 2025.

我們也很高興地報告，相對於我們的原始預算，資本支出又下降了一個季度，這將進一步支持自由現金流和我們在 2024 年剩餘時間及以後的資本分配計劃。我們對今年餘下時間和 2025 年實現強勁財務業績的能力充滿信心。

Turning now to our market outlook, while ProPetro is of course not immune to the macro pressures facing our industry, we continue to take decisive action, building out our high-quality service offering and maintenance of our strong balance sheet, designed to deliver meaningful free cash flow generation.

現在轉向我們的市場前景，雖然ProPetro 當然不能倖免於我們行業面臨的宏觀壓力，但我們將繼續採取果斷行動，建立我們的高品質服務並維護我們強大的資產負債表，旨在提供有意義的免費服務現金流的產生。

We remain optimistic about the strength of North American land oilfield services' potential over the next several years and are confident that our industrialized model, geographic focus in the Permian Basin, and the disciplined execution of our strategy will pay off, despite the slow-to-no-growth environment that exists today.

我們對未來幾年北美陸地油田服務的潛力保持樂觀，並相信我們的工業化模式、對二疊紀盆地的地理重點以及我們戰略的嚴格執行將獲得回報，儘管進展緩慢。 。

Lastly and maybe most importantly, our pursuit of operational excellence allows us to effectively service our strong blue-chip Permian-focused customer base and is supported by our proven electric technology, which garners committed contracts.

最後，也許也是最重要的一點是，我們對卓越營運的追求使我們能夠有效地服務於以二疊紀盆地為重點的強大藍籌客戶群，並得到我們成熟的電力技術的支持，從而獲得了承諾合約.

Our balance sheet is healthy, and we have ample liquidity to be opportunistic in our capital allocation decisions. In sum, our evolving industrial model has proven to be effective, and we look forward to achieving even greater success. We expect to continue elevating ProPetro, as well as our entire industry, for years to come.

我們的資產負債表很健康，我們有充足的流動性，可以在資本配置決策中把握機會。總之，我們不斷發展的產業模式已被證明是有效的，我們期待更大的成功。我們期望在未來幾年繼續提升 ProPetro 以及我們整個產業的水平。

I'll now turn the call over to David to discuss our second-quarter financial results. David?

我現在將電話轉給大衛，討論我們第二季的財務表現。大衛？

Thanks, Sam. And good morning, everyone. As Sam mentioned, despite broader market headwinds, we generated strong returns and continued to execute on our strategy. With our significant capital spend of the last few years behind us, we have transitioned to focus on higher free cash flows and consistent earnings. And today, we have results that evidence the turnaround we've discussed in prior quarters.

謝謝，山姆。大家早安。正如薩姆所提到的，儘管市場面臨更廣泛的逆風，我們仍產生了強勁的回報並繼續執行我們的策略。隨著過去幾年大量資本支出的過去，我們轉向關注更高的自由現金流和持續的收益。今天，我們的結果證明了我們在前幾個季度討論過的轉變。

In the second quarter, revenues decreased 12% versus the first quarter to $357 million. Net loss was $4 million, and adjusted EBITDA decreased 29% sequentially to $66 million. The decreases across our second-quarter financial metrics were mostly attributable to unexpected activity disruptions and softness across our conventional diesel equipment and wireline offerings, as well as significant weather impacts in the Permian Basin.

第二季營收較第一季下降 12%，至 3.57 億美元。淨虧損為 400 萬美元，調整後 EBITDA 較上季下降 29%，至 6,600 萬美元。我們第二季財務指標的下降主要歸因於我們傳統柴油設備和有線產品的意外活動中斷和疲軟，以及二疊紀盆地的重大天氣影響。

Additionally, we incurred an operating lease expense related to our electric fleets of $12 million for the quarter as compared to $9 million in the prior quarter. Our effective frac fleet utilization for the second quarter was 15.5 fleets, which was above the guidance range we had provided.

此外，本季我們與電動車隊相關的經營租賃費用為 1,200 萬美元，而上一季為 900 萬美元。第二季我們的有效壓裂船隊利用率為 15.5 個船隊，高於我們提供的指導範圍。

Thanks to efficiencies exceeding our expectations from previous years, we are shifting away from reporting on fleet utilization based on days worked. Instead, we'll focus on guiding and reporting the number of active frac fleets, which we believe better represents asset utilization in our hydraulic fracturing business. During the second quarter, 14 hydraulic fracturing fleets were active, and we expect to run approximately 14 active fleets in the third quarter of 2024.

由於效率超出了我們前幾年的預期，我們不再根據工作天數報告車隊利用率。相反，我們將專注於指導和報告活躍壓裂船隊的數量，我們認為這更好地代表了我們水力壓裂業務的資產利用率。第二季度，有 14 個水力壓裂船隊處於活躍狀態，我們預計 2024 年第三季將有約 14 個活躍船隊運作。

Moving to our capital program, net cash used in investing activities during the second quarter of '24 was $57 million of which $21 million was related to the acquisition of Aqua Prop. As we shared last quarter, our supply chain and operations teams are scrutinizing our capital spend more than ever, and we're also conducting supply chain assessments to maximize returns from our vendor relationships. I'm pleased to share that the work they are doing is already driving favorable results.

轉向我們的資本計劃，2024 年第二季投資活動使用的淨現金為 5,700 萬美元，其中 2,100 萬美元與收購 Aqua Prop 有關。正如我們上季度分享的那樣，我們的供應鏈和營運團隊比以往任何時候都更加嚴格地審查我們的資本支出，我們也正在進行供應鏈評估，以最大限度地提高供應商關係的回報。我很高興地告訴大家，他們所做的工作已經有了良好的成果。

And here's where the story we've discussed in recent quarters gets very interesting and encouraging. As Sam mentioned, despite a challenging environment and weaker financial results sequentially, the company delivered a fifth consecutive quarter of impressive free cash flow, achieving $48 million, which represents a 17% sequential improvement over the first quarter.

這就是我們最近幾季討論的故事變得非常有趣和令人鼓舞的地方。正如 Sam 所提到的，儘管環境充滿挑戰且財務業績連續疲軟，但該公司連續第五個季度實現了令人印象深刻的自由現金流，達到 4,800 萬美元，比第一季環比增長了 17%。

If we exclude cash used for acquisition consideration for Aqua Prop of $21 million in the second quarter, free cash flow adjusted for Aqua Prop acquisition consideration was $69 million, bringing total year-to-date free cash flow adjusted for acquisition consideration to $110 million, which represents 69% conversion ratio of adjusted EBITDA to free cash flow adjusted for acquisition consideration.

如果我們排除第二季用於Aqua Prop 收購對價的2,100 萬美元現金，則根據Aqua Prop 收購對價調整後的自由現金流為6,900 萬美元，使年初至今根據收購對價調整後的自由現金流總額達到1.1億美元。

This is the dramatic change we've been working to produce through dedication and diligent strategic execution. Our entire organization has been involved in this transformation, and there remains work yet to be done. As we continue to demonstrate, the inflection point we reached in reduced capital spend is a strong tailwind for cash generation and is a testament to the success of our fleet transition and optimization of our business.

這是我們一直致力於透過奉獻和勤奮的策略執行來實現的巨大變化。我們整個組織都參與了這一轉變，但仍有工作要做。正如我們繼續證明的那樣，我們在減少資本支出方面所達到的拐點是現金生成的強勁推動力，也證明了我們機隊轉型和業務優化的成功。

Accordingly, we are now reducing our prior guidance of $200 million to $250 million for 2024 capital expenditures down to a range between $175 million to $200 million. Using the midpoint, the new guidance represents a 40% reduction compared to last year's capital spend of $310 million.

因此，我們現在將 2024 年資本支出的先前指引從 2 億美元到 2.5 億美元減少到 1.75 億美元到 2 億美元之間。使用中點計算，新的指引意味著與去年 3.1 億美元的資本支出相比減少了 40%。

ProPetro's cash and liquidity position also remained strong. As of June 30, 2024, total cash was $67 million, and our borrowings under the ABL credit facility were $45 million. Total liquidity at the end of the quarter was $145 million, including cash, and $78 million of available capacity under the ABL credit facility.

ProPetro 的現金和流動性狀況也保持強勁。截至 2024 年 6 月 30 日，現金總額為 6,700 萬美元，我們在 ABL 信貸安排下的借款為 4,500 萬美元。本季末的流動資金總額為 1.45 億美元，包括現金以及 ABL 信貸安排下的 7,800 萬美元可用能力。

Moreover, the transformation of our fleet to more FORCE electric fleets will drive an even greater decline in associated maintenance capital spend, resulting in increased free cash flow and more durable profitability, particularly with the multi-year contractual coverage we are seeing for these fleets. In the remainder of 2024, we anticipate further validation of our strategy and a demonstration of the earnings enhancement resulting from our investments in the business.

此外，我們的車隊向更多 FORCE 電動車隊的轉型將推動相關維護資本支出的更大下降，從而增加自由現金流和更持久的盈利能力，特別是我們看到這些車隊的多年合約覆蓋範圍。在 2024 年剩餘時間內，我們預計將進一步驗證我們的策略，並展示我們對該業務的投資所帶來的收益提升。

As Sam shared earlier, ProPetro's improved cash generation profile allows us to pursue our fleet transition while also participating in accretive M&A and maintaining a strong balance sheet. Importantly, it also provides optionality to return capital to shareholders. In the second quarter, we remained active in our share repurchase program, retiring another 2.5 million shares.

正如 Sam 早些時候分享的那樣，ProPetro 改善的現金生成狀況使我們能夠實現機隊轉型，同時參與增值併購並保持強勁的資產負債表。重要的是，它還提供了向股東返還資本的選擇。第二季度，我們繼續積極實施股票回購計劃，回購了另外 250 萬股股票。

Since the inception of the program, we have retired approximately 11.3 million shares, which equates to nearly 10% of shares outstanding as of the inception of the program in May 2023. This translates to the return of nearly $100 million to shareholders. We will continue to opportunistically execute share repurchases under the increased and extended $200 million repurchase program authorized by our Board in April 2024.

自該計劃啟動以來，我們已經註銷了約 1,130 萬股，相當於截至 2023 年 5 月該計劃啟動時已發行股票的近 10%。這意味著為股東帶來近 1 億美元的回報。我們將根據董事會於 2024 年 4 月批准的增加並延長的 2 億美元回購計劃，繼續擇機執行股票回購。

We also believe that our strategy will continue to deliver and afford us the flexibility to stay dynamic, selective, and opportunistic in our capital allocation approach. Each of the core principles Sam discussed plays a critical role in our success. We look forward to delivering for all of our stakeholders as we pursue our ongoing electric fleet conversion, organic and continued inorganic growth, and the disciplined pursuit of increased shareholder value.

我們也相信，我們的策略將繼續為我們提供靈活性，使我們的資本配置方法保持動態、選擇性和機會主義。薩姆討論的每個核心原則對我們的成功都起著至關重要的作用。我們期待為所有利害關係人提供服務，因為我們追求持續的電動車隊轉換、有機和持續的無機成長，以及嚴格追求增加股東價值。

In fact, in just the first half of this year, we've allocated 61% of our free cash flow adjusted for acquisition consideration to higher-priority capital allocations with $45 million in share repurchases and $21 million toward targeted acquisitions that we expect to accelerate cash flows further.

事實上，就在今年上半年，我們已將根據收購考慮調整的自由現金流的61% 分配給更高優先級的資本配置，其中4500 萬美元用於股票回購，2100 萬美元用於我們預計將加速的有針對性的收購現金流進一步。

ProPetro's foundation upon which our strategy is built could not be more solid with our strong balance sheet, refreshed asset base, and operational excellence positioning us for the long term. Our strategy is carefully crafted to drive success in the slow-to-no-growth environment in which we are operating today.

我們強大的資產負債表、更新的資產基礎和卓越的營運為我們的長期定位奠定了我們策略的堅實基礎。我們精心製定的策略是為了在當今緩慢成長甚至零成長的環境中取得成功。

Without question, a consolidated industry and even more activity-disciplined Permian customer base presents challenges. ProPetro is up to that challenge, and we are thriving. The crux of our strategy is that it benefits not only ProPetro but also our customers by delivering the very best commercial and industrial solutions for their completions programs. We believe that is a winning strategy to drive durable earnings and cash flows.

毫無疑問，整合的產業以及更活躍的二疊紀客戶群帶來了挑戰。ProPetro 迎接了這項挑戰，我們正在蓬勃發展。我們策略的關鍵在於，透過為完井專案提供最好的商業和工業解決方案，不僅使 ProPetro 受益，而且使我們的客戶受益。我們相信這是推動持久獲利和現金流的勝利策略。

With that, I will turn the call back to Sam.

這樣，我會將電話轉回 Sam。

Thanks, David. To build on what David just said, and before turning to Q&A, I'd like to reinforce ProPetro's compelling investment thesis and the recent actions we have taken to sustain meaningful cash flow generation and to limit our capital spend, further accelerating our true earnings growth trajectory.

謝謝，大衛。在David 剛才所說的基礎上，在進行問答之前，我想強調一下ProPetro 令人信服的投資論點，以及我們最近為維持有意義的現金流生成和限制資本支出、進一步加速我們的真實盈利增長而採取的行動彈道。

We remain confident in our strategy and the future of our company. Despite the headwinds and the slow-to-no-growth environment evident in the energy services space we operate in, our company is uniquely and favorably positioned.

我們對我們的策略和公司的未來仍然充滿信心。儘管我們經營的能源服務領域存在明顯的逆風和緩慢成長甚至零成長的環境，但我們公司仍處於獨特且有利的地位。

We have been successful in transforming our fleet, pursuing accretive M&A, and executing on share buybacks, all while maintaining a healthy balance sheet and liquidity profile. The results you are seeing today are just the beginning. We will continue to build on our progress long into the future.

我們成功地改造了我們的機隊、追求增值併購以及執行股票回購，同時保持了健康的資產負債表和流動性狀況。您今天看到的結果只是一個開始。我們將在未來的很長一段時間內繼續取得進步。

Despite what you may be hearing across the oilfield services space, demand remains strong for our services. Our next-generation fleet, operational excellence, and strong blue-chip Permian customer base will sustain the momentum we have. I'd also be remiss to not mention that the demand for our FORCE electric fleets outpaces our current supply.

儘管您可能在油田服務領域聽過這樣的情況，但對我們服務的需求仍然強勁。我們的下一代機隊、卓越的營運以及強大的二疊紀藍籌客戶群將維持我們的發展勢頭。如果我不提一下我們的 FORCE 電動車隊的需求超過了我們目前的供應，那就太失職了。

Moving forward, you will continue to see us capitalize on these positive trends. We are clear eyed about the market pressures that persist but also about the assets we have to navigate the turbulence. Our best-in-class commercial architecture supports our strategy and positions ProPetro to continue delivering strong free cash flow generation for the remainder of 2024 and beyond.

展望未來，您將繼續看到我們利用這些正面趨勢。我們清楚地意識到持續存在的市場壓力，也清楚地了解我們必須擁有的資產來應對動盪。我們一流的商業架構支持我們的策略，並使 ProPetro 能夠在 2024 年剩餘時間及以後繼續提供強勁的自由現金流產生。

Finally, I couldn't be prouder to lead an incredible ProPetro team. It is because of their dedication that we are able to confidently present and execute this roadmap. To the whole ProPetro team, I thank you for your commitment. It is what gives our leadership conviction that we have the right strategy and remain the leader in the Permian Basin.

最後，我為能夠領導一支令人難以置信的 ProPetro 團隊而感到無比自豪。正是由於他們的奉獻精神，我們才能夠自信地呈現和執行這一路線圖。對於整個 ProPetro 團隊，我感謝你們的承諾。這讓我們的領導階層堅信我們擁有正確的策略並繼續保持二疊紀盆地的領導者地位。

With that, I'll ask the operator to open up the line for questions. Operator?

然後，我會要求接線員開通提問線路。操作員？

(Operator Instructions) Luke Lemoine, Piper Sandler.

（操作說明）Luke Lemoine、Piper Sandler。

Hi, good morning. Sam, you talked about the outlook for the second half of the year looking a lot like the first half. You had some variability in 2Q, which you went into detail about. I'm kind of guessing when you look at the back part of the year, maybe you're expecting some of these issues -- transitory issues to go away in 3Q, a little bump in 3Q, and then some seasonality in 4Q. But if you could just kind of maybe provide a little more detail and kind of frame up how you see the rest of the year unfolding, that would be helpful.

嗨，早安。山姆，您談論的下半年前景看起來很像上半年。第二季度有一些變化，您對此進行了詳細介紹。我猜測，當您回顧今年下半年時，也許您預計其中一些問題 - 暫時性問題將在第三季度消失，第三季度會出現一些波動，然後第四季度會出現一些季節性問題。但如果您能提供更多細節並框架您如何看待今年剩餘時間的發展，那將會有所幫助。

Yes, Luke. I mean, I think you described it pretty succinctly and pretty effectively. I'd say what you just described in terms of a little bump in 3Q and some seasonality in Q4 is likely the way we're looking at it. I think when we said back half looking similar to front half, that's probably more of an activity-focused comment.

是的，盧克。我的意思是，我認為你描述得非常簡潔和有效。我想說的是，您剛才所描述的第三季的小幅成長和第四季的一些季節性可能就是我們看待它的方式。我認為當我們說後半部分看起來與前半部分相似時，這可能更多是一個以活動為中心的評論。

That said, I think we're also -- the closer we get to 4Q, every year, the more we find out about holiday seasonality around Thanksgiving and Christmas. Remains to be seen exactly what that looks like, but we're fairly confident that 4Q will be strong as well.

也就是說，我認為我們每年越接近第四季度，我們就越了解感恩節和聖誕節前後的假期季節性。具體情況仍有待觀察，但我們相當有信心第四季也將表現強勁。

Okay. And then David, a pretty big reduction in the CapEx, especially if you go from the high end to the low end of your revised guidance. Can you just talk about what changed there a little bit?

好的。然後大衛，資本支出大幅減少，特別是如果你從修訂後的指導的高端到低端。您能談談那裡發生了一些變化嗎？

Sure, Luke. We have seen, as we have continued to transition our fleets from more conventional equipment, a decrease in the capital intensity required. And so that's part of it. The other part, if you look at our strategy slide, is optimizing our business and what operations is doing, and I'll give a lot of credit to Adam and his team, is extending the life of the equipment as we use it in the field.

當然，盧克。我們已經看到，隨著我們繼續將我們的船隊從更傳統的設備轉型，所需的資本密集度有所下降。這就是其中的一部分。另一部分，如果你看一下我們的策略幻燈片，就是優化我們的業務和營運正在做什麼，我會非常感謝 Adam 和他的團隊，就是延長我們在生產中使用的設備的使用壽命。

So those benefits, that effort that has been put in over the last 18 months is beginning to bear fruit, along with the fleet transition from a conventional to electric equipment. And just to give you some sense of that, our hours -- our pumping hours from Tier II diesel equipment dropped 25% sequentially during the quarter.

因此，隨著船隊從傳統設備轉向電動設備，這些好處以及過去 18 個月所付出的努力正在開始取得成果。為了讓您對此有所了解，本季我們使用 Tier II 柴油設備的泵送時間連續下降了 25%。

The hours coming from electric went up 60% sequentially, and Tier IV DGB went up kind of mid-teens. So we're seeing that transition that we've talked about. It's going to play out in our P&L and our cash flow more significantly as we go forward.

來自電力的小時數連續增加了 60%，而 Tier IV DGB 則增加了 15% 左右。所以我們正在看到我們討論過的轉變。隨著我們的前進，它將在我們的損益表和現金流中發揮更重要的作用。

Yes. And I think David said it well, Luke. The one thing that I would add is that this guidance change for us, which is fairly significant in our eyes is not -- we're not deferring any CapEx here. We are still giving the business absolutely everything it needs to perform at the highest levels and into the future.

是的。我認為大衛說得很好，盧克。我要補充的一件事是，這項指導意見的變化對我們來說相當重要，但我們不會推遲任何資本支出。我們仍然為企業提供未來達到最高水準所需的一切。

Okay, got it. Thanks so much.

好的，明白了。非常感謝。

Derek Podhaizer, Barclays.

德里克·波德海澤，巴克萊銀行。

Hey. I just wanted to ask about the pricing trends you're seeing out there. You said in the release you're seeing some pricing pressure on the Tier II diesel assets, which makes sense. But have you seen any pressure leak into the Tier IV DGB assets? And then where do you think we should bottom out here as far as pricing? Just your overall outlook on pricing, that would be helpful.

嘿。我只是想問一下您所看到的定價趨勢。您在新聞稿中表示，您看到二級柴油資產面臨一些定價壓力，這是有道理的。但您是否發現第四級 DGB 資產有任何壓力洩漏？那您認為我們的定價應該在哪裡觸底？只是您對定價的整體看法會有所幫助。

I'd say for the -- our next gen assets that we're calling our dual fuel or electric assets, pricing remains very strong. On an individual case basis is there a little bit of pressure here and there? Yes, but nothing material, I would say.

我想說，對於我們稱之為雙燃料或電力資產的下一代資產，定價仍然非常強勁。就具體情況而言，是否有一些壓力？是的，但我想說，沒有什麼實質的內容。

The pricing story as we see it in the frac market in the Permian Basin is mainly a diesel pricing story. They're still on the fringes of a few international players that are pricing things pretty low, and that can disrupt the diesel market, which is really a minority piece of the overall market. It's definitely a minority piece of our offering, and that applies to the rest of the market too.

我們在二疊紀盆地的壓裂市場中看到的定價故事主要是柴油定價故事。他們仍然處於少數國際參與者的邊緣，這些參與者的定價相當低，這可能會擾亂柴油市場，而柴油市場實際上只佔整個市場的一小部分。這絕對是我們產品的一小部分，這也適用於市場的其他部分。

So that's one of the reasons why although we're seeing some pricing pressures in that part of the market, we remain super confident about ProPetro's prospects from just a general competitiveness standpoint and a profitability standpoint going into the future because that's a waning part of our portfolio.

因此，這就是為什麼儘管我們在該市場部分看到了一些定價壓力，但從總體競爭力的角度和未來盈利能力的角度來看，我們仍然對ProPetro 的前景充滿信心，因為這是我們的一個正在減弱的部分。

And we are likely accelerating decisions to wind down all investments in diesel equipment, maybe a little sooner than we initially expected. So yes, the diesel market has been pricing affected. Also, yes, the remainder of the gas burning electric dual fuel market has been very strong.

我們可能會加速決定減少對柴油設備的所有投資，可能比我們最初預期的要早一點。所以，是的，柴油市場的定價受到了影響。此外，是的，燃氣電動雙燃料市場的其餘部分一直非常強勁。

Got it. That's very helpful. And then maybe more on that point about the fleet transition. I mean, we're getting down to single-digit Tier II diesel fleets here. What do you expect to be at a 100% natural gas burning fleet?

知道了。這非常有幫助。然後也許更多關於機隊過渡的問題。我的意思是，我們的 II 級柴油車數量已降至個位數。您對 100% 天然氣燃燒的車隊有何期望？

And then on top of that, it sounds like your fifth FORCE fleet is coming in another year. You might have a third option for Exxon next year, which sounds like it would need to be a sixth fleet. So maybe more just about when you can get to 100% natural gas and also the cadence of the e-fleets, how we should think about it for 2025.

最重要的是，聽起來你的第五支部隊艦隊將在另一年到來。明年你可能會有埃克森美孚的第三個選擇，這聽起來需要成為第六支艦隊。因此，也許更多的是關於什麼時候可以達到 100% 天然氣以及電動車隊的節奏，我們應該如何考慮 2025 年的問題。

Yes. Well, thanks for pointing that out on the FORCE electric fleets. We did, within the quarter, pull the trigger on the fifth FORCE fleet, which is a new development from our last conference call. We pulled the trigger on that fleet and fit it within this lower CapEx guidance range. So we're pretty proud to be able to do that.

是的。好吧，感謝您在 FORCE 電動車隊上指出這一點。我們確實在本季內啟動了第五支部隊艦隊的建設，這是我們上次電話會議的新進展。我們啟動了該機隊，並將其調整到較低的資本支出指導範圍內。所以我們非常自豪能夠做到這一點。

That is accelerating, I think, what the main question is you're asking of when are we basically 100% gas burning. And I think the biggest variable to get us there is probably what market demands are. Does 2025 come with higher activity overall in the industry? Does it have a greater demand pull on our entire portfolio?

我認為，這種情況正在加速，你問的主要問題是什麼，我們什麼時候才能基本上 100% 燃氣燃燒。我認為我們實現這一目標的最大變數可能是市場需求是什麼。2025 年產業整體活動是否會更加活躍？它對我們整個投資組合有更大的需求拉動嗎？

That likely maybe draws out the harvesting of some of these diesel assets for us. If the market remains kind of flat and muted, which we think it will, we have -- we use the term slow to no growth pretty often that we need to go out into the market and create our own wins through operational excellence and next-generation assets that likely that diesel equipment might go away a little more quicker in that scenario.

這可能會為我們帶來一些柴油資產的收穫。如果市場仍然保持平穩和低迷（我們認為會如此），我們經常使用「成長緩慢甚至沒有成長」這個詞，我們需要進入市場，透過卓越營運和下一步創造我們自己的勝利。柴油設備可能會更快消失。

But will we be running diesel fleets this time next year? Yes, probably, because we have relatively young high-performing assets in that part of our portfolio that probably deserve a shot to earn a return on their way out. And that's kind of how we're looking at it. But investing in diesel is likely from a capital spend perspective, the lowest priority from a capital allocation standpoint.

但明年這個時候我們會運行柴油機隊嗎？是的，可能是因為我們的投資組合中擁有相對年輕的高性能資產，這些資產可能值得嘗試在退出後獲得回報。這就是我們看待它的方式。但從資本支出的角度來看，投資柴油可能是從資本配置的角度來看是最低優先順序的。

Got it. That makes sense. And just a quick clarifier on the fifth FORCE fleet. Was that a purchase, or is that another lease?

知道了。這是有道理的。快速澄清一下第五支部隊艦隊的狀況。這是一次購買，還是另一次租賃？

That's a lease, Derek, and we are benefiting from our lease program. But keep in mind, there's a very different calculus there. We're replacing equipment that has shorter useful lives with assets that last materially longer to 3x the useful life of what we would consider from the conventional equipment.

這是租賃，德里克，我們正從我們的租賃計劃中受益。但請記住，這裡有一個非常不同的計算方法。我們正在用壽命明顯更長的資產替換使用壽命較短的設備，其使用壽命是我們所考慮的傳統設備的三倍。

So it's a very different calculus. We think it's an investment in the long-term viability of the company, and we're seeing that the conversion is very much desired by our customers and generating very efficient and more higher-margin profitability as we go forward.

所以這是一個非常不同的計算。我們認為這是對公司長期生存能力的投資，我們看到我們的客戶非常希望這種轉換，並在我們前進的過程中產生非常高效和更高的利潤率。

Great. Thanks, Sam and David. I'll turn it back.

偉大的。謝謝，山姆和大衛。我會把它轉回來。

Arun Jayaram, JPMorgan.

阿倫‧賈亞拉姆，摩根大通。

Good morning, gentlemen. One of the things I'd love to hear about is just a potential bridge to think about kind of third quarter into profitability. And maybe we could start with what type of tailwinds do you expect from the Aqua Prop acquisition as well as the Exxon fleet. And maybe you could highlight maybe some of the quarter-specific impacts that you felt in 2Q, maybe Wireline as well as some of the weather. And again, just trying to bridge to thoughts on 3Q.

早安，先生們。我很想聽的一件事是思考第三季獲利的潛在橋樑。也許我們可以從您期望收購 Aqua Prop 以及埃克森美孚船隊帶來什麼樣的順風車開始。也許您可以強調您在第二季度感受到的一些特定季度的影響，也許是有線以及一些天氣。再次強調，我只是想談談對 3Q 的思考。

Sure. I'll start, and David can fill in the gaps. The last question you asked about 2Q, I think we outlined it pretty clearly in all of our materials. It's the product is three main factors: weather, schedule disruptions, and pricing. We probably won't give quantitative detail on which one of those was more and which one was less, but definitely a combination of all those three things.

當然。我先開始，大衛可以填補空缺。您問的最後一個關於 2Q 的問題，我認為我們在所有材料中都非常清楚地概述了它。它的產品受到三個主要因素的影響：天氣、日程中斷和定價。我們可能不會給出其中哪一項更多、哪一項更少的定量細節，但絕對是所有這三件事的組合。

I'd like to just call out the schedule disruptions maybe to give a little bit of commentary. We had -- during the quarter, basically one customer that had two of our fleets make some last-minute decisions to delay some work. So that creates some white space and some kind of jagginess and uncertainty in the calendar.

我只想指出日程安排的中斷，也許是為了發表一些評論。在本季度，基本上一個擁有我們兩個車隊的客戶在最後一刻做出了一些決定，並推遲了一些工作。因此，這會在日曆中產生一些空白以及某種鋸齒狀和不確定性。

What we then do, knowing that that work is coming back at a good price with good visibility is try to fill the gap with whatever we can to keep the crew, the equipment hot and to cover as much fixed cost as we can. That then has a knock-on effect on something like pricing because going out looking for last-minute work is not the most profitable way to run a frac business, we believe.

我們知道這項工作將以良好的價格和良好的可見度回來，然後我們要做的就是盡我們所能來填補空白，以保持工作人員、設備的熱度並支付盡可能多的固定成本。這會對定價等方面產生連鎖反應，因為我們認為，出去尋找最後一刻的工作並不是經營壓裂業務最有利可圖的方式。

But those three things, whether schedule -- kind of unpredicted schedule disruptions and pricing -- and then back to your -- I think what your first question was around where we go to 3Q. We do believe activity will stay relatively flat. We do think profitability will come up.

但這三件事，無論是日程安排——某種不可預測的日程中斷和定價——然後回到你的——我認為你的第一個問題是我們第三季度的發展方向。我們確實相信經濟活動將保持相對穩定。我們確實認為獲利能力將會上升。

We're still seeing a little bit of -- we did see a little bit of weather in July. So how much profitability comes up is -- we haven't quite totally quantified that, but we do expect overall Q3 to be up in activity and the calendar look a little more strong.

我們仍然看到了一些——我們確實看到了七月的一些天氣。因此，我們還沒有完全量化獲利能力，但我們確實預計第三季的整體活動將會增加，而且日曆看起來會更加強勁。

Wireline, I'd say both wireline and cementing are improving going into third quarter, which is at certain times over 25% of our business, those two businesses: wireline, cement. So they can't be discounted in the greatest scheme of things.

有線，我想說，進入第三季度，有線和固井業務都在改善，有時占我們業務的 25% 以上，這兩項業務：有線、水泥。因此，在最偉大的計劃中，它們不能被低估。

Yes. Arun, this is David. The only thing I would add there is that I think we're probably less sensitive to the month-to-month variability of the business and working on generating durable earnings and free cash flows over the longer term.

是的。阿倫，這是大衛。我唯一要補充的是，我認為我們可能對業務的逐月變化不太敏感，並致力於長期創造持久的收益和自由現金流。

And so I think that crew continuity is very, very important to our team and to our customers and also in generating the results of optimizing our business. And so that's what we're sticking to. And I think as it relates to cash flow performance going forward, we do see consistency moving into the second half of the year and beyond.

因此，我認為工作人員的連續性對於我們的團隊和客戶以及產生優化我們業務的結果非常非常重要。這就是我們所堅持的。我認為，由於它與未來的現金流表現相關，我們確實看到下半年及以後的一致性。

Great. Just my follow up, David, on the leasing of the FORCE fleet newbuilds, at what time is the first time you can elect to exercise your buy option on the newbuilds? At what time post the startup of the lease payments does that option occur? And just maybe give us a sense of -- could you give us -- help us quantify how much -- what is the residual cost if you decide to buy out the leases?

偉大的。大衛，我想跟進一下關於 FORCE 艦隊新造船的租賃問題，您第一次可以選擇在什麼時候行使新造船的購買選擇權？該選項在租賃付款開始後什麼時間發生？也許可以讓我們了解一下，如果您決定買斷租賃，您能否幫助我們量化剩餘成本是多少？

Sure, Arun. The initial term is 36 months. We do have options to extend beyond that should we so choose. But the purchase option at that time is in the neighborhood of $10 million. We do have some credits that we earn as we generate hours, but that's essentially where the number is.

當然，阿倫。初始期限為36個月。如果我們選擇的話，我們確實可以選擇超越這個範圍。但當時的購買選擇約為 1000 萬美元。我們確實有一些積分是透過工作時間獲得的，但這基本上就是數字所在。

Great. Thanks a lot.

偉大的。多謝。

You bet.

你打賭。

John Daniel, Simmons.

約翰丹尼爾、西蒙斯。

Hi, good morning. I guess, I'm with Simmons back again. I guess, Sam, you made a statement that Q4 would be strong. Honestly, you're making that statement for ProPetro, or is that a broader view on the Permian?

嗨，早安。我想，我又和西蒙斯一起回來了。我想，山姆，你說過第四季會很強勁。老實說，您是為 ProPetro 做出這樣的聲明，還是對二疊紀更廣泛的看法？

That's probably more so for just us, John, and strong -- I guess it's to add on to that strong -- relatively maybe to what we've seen for other Q4s. In the last several years, you've seen Q4s that haven't skipped a beat quite literally. And you've seen Q4s that have almost been cut in half across the industry.

對我們來說，約翰和強者來說可能更是如此——我想這是對強者的補充——相對於我們在其他第四季看到的情況。在過去的幾年裡，你已經看到了 Q4 的表現，從字面上看，它並沒有跳過任何一個節拍。您已經看到整個行業的第四季度幾乎被削減了一半。

But as it pertains to us, I think the way we positioned ourselves with our customers and this next-generation gas-burning equipment kind of puts us to the baseload or the top of the heap of most of our customer portfolios, especially these e-fleets, right? They have mechanisms in them that account for any white space and things like that.

但就我們而言，我認為我們對客戶的定位方式以及這種下一代燃氣設備使我們成為大多數客戶組合的基本負載或頂部，尤其是這些電子設備艦隊，對吧？他們有一些機制可以解釋任何空白和類似的事情。

So is it a product of just us and our customer base? Maybe, but the more long-term arena, just the entire E&P space gets around their activity, and they contract things like e-fleets and have stronger dedicated agreements for things like dual-fuel fleets, it just bodes well for more stability throughout the year. That said, I mean, we could always be surprised as it pertains to Q4. But conversations with our customers right now are pretty good from an activity standpoint going into the end of the year.

那麼它只是我們和我們的客戶群的產物嗎？也許吧，但從更長遠的角度來看，整個勘探與生產領域都圍繞著他們的活動，他們簽訂了電子車隊之類的合同，並為雙燃料車隊之類的項目簽訂了更強有力的專用協議，這預示著整個勘探和生產領域將更加穩定。也就是說，我的意思是，我們總是會對第四季感到驚訝。但從今年年底的活動角度來看，現在與客戶的對話非常好。

Okay. And then sort of a pointed question here. Thanks for that. Just given the opportunities for additional electric fleets, because I'm imagining you're not going to stop at five just given the success, do you buy any more Tier IV DGB engines going forward? And as you look to '25, would you anticipate any Tier II rebuilds?

好的。然後是一個尖銳的問題。謝謝你。考慮到增加電動車隊的機會，因為我想像您不會在取得成功後就停在五個，您今後還會購買更多 Tier IV DGB 引擎嗎？當您展望 25 時，您是否預計會進行任何 II 級重建？

Fantastic question on the Tier IV. I think we're trying to figure out that exact same thing right now. With the demand pull, two things. With the demand pull that we're seeing on our e-fleets and our contract structure, coupled with things David mentioned earlier about the lower operating cost profile, lower maintenance CapEx that comes with these e-fleets, it's very, very [convicting] to us to continue to push more aggressively into the e-fleet space.

關於第四級的好問題。我認為我們現在正試圖找出完全相同的事情。隨著需求的拉動，有兩件事。隨著我們在電子車隊和合約結構上看到的需求拉動，再加上大衛之前提到的有關這些電子車隊帶來的較低運營成本和較低維護資本支出的事情，這是非常非常[令人信服的]希望我們繼續更積極地進軍電子車隊領域。

And from an equipment standpoint, that is number one on the capital allocation list. It competes the best for capital. So I think that Tier IV investments are dependent on what wins we can create in the e-fleet space as it pertains to Tier II diesel. We're basically done there from a capital spending standpoint, so we have no reason or motivation to be doing things like rebuilding diesel engines at this time.

從設備的角度來看，這是資本配置清單上的第一名。它在資本方面的競爭最為激烈。因此，我認為 Tier IV 投資取決於我們可以在電子車隊領域創造什麼勝利，因為它涉及 Tier II 柴油引擎。從資本支出的角度來看，我們基本上已經完成了，所以我們現在沒有理由或動機去做重建柴油引擎之類的事情。

Fair enough. The last one for me, promise, is you have obviously seven fleets that are Tier IV dual fuel. Have any of those customers told you that they prefer the Tier IV dual-fuel solution over electric? And if so, why?

很公平。對我來說，最後一個問題是，您顯然擁有七支 IV 級雙燃料艦隊。這些客戶中是否有人告訴您，他們更喜歡 Tier IV 雙燃料解決方案而不是電動解決方案？如果是這樣，為什麼？

I think it's more the other way around. Honestly, the Tier IV -- many of our Tier IV customers are first-time Tier IV dual-fuel customers. So we've been working together on what it looks like to use gas in our operations and kind of create fuel wins.

我認為情況恰恰相反。老實說，第四級——我們的許多第四級客戶都是首次使用第四級雙燃料客戶。因此，我們一直在共同研究在我們的營運中使用天然氣的方式，並創造燃料的勝利。

That said, it's really a stepping stone and a waiting line for electric equipment. Once we have some success with dual fuel with a certain operator, you're blending 60% plus, which we think we're all but industry leading in the Permian Basin.

也就是說，它實際上是電氣設備的墊腳石和等待線。一旦我們與某個運營商在雙燃料方面取得了一些成功，您就可以混合 60% 以上，我們認為我們在二疊紀盆地幾乎處於行業領先地位。

As it pertains to blending diesel displacement percentages, creates a lot of savings for our customers. And then the next step in the conversation is, what does it look like to go to 100% gas, which is electric at this time? Adam, did you want to add to that?

由於它涉及混合柴油排量百分比，因此可以為我們的客戶節省大量成本。對話的下一步是，使用 100% 汽油（目前是電動）會是什麼樣子？亞當，你想補充嗎？

Yes. John, the only thing I would add to that is the customers that have been running the Tier IV for a while now have seen and grown to love the efficiencies, the 20-plus hours per day. And it's really Shelby and his team going in there and proving and showing them the results of our currently deployed force fleets and showing them that they won't lose any efficiency gains by switching over there, only benefiting from the 100% fuel displacement -- diesel displacement.

是的。John，我唯一要補充的是，運行 Tier IV 一段時間的客戶現在已經看到並越來越喜歡這種效率，即每天 20 多個小時。謝爾比和他的團隊確實進去了，向他們證明並展示了我們目前部署的部隊艦隊的結果，並向他們展示了他們不會因切換到那里而損失任何效率增益，只會受益於100%的燃油排氣量－柴油引擎排氣量。

So I think it's just showing them the proof is in the pudding. We're showing them data, we're showing them results from the current FORCE fleets running, and that's getting them over the bridge there.

所以我認為這只是向他們展示了證據就在布丁中。我們向他們展示數據，向他們展示目前部隊運作的結果，這讓他們能夠過橋。

Cool. That's all I got. Thanks, guys.

涼爽的。這就是我所得到的。謝謝，夥計們。

Thanks, John.

謝謝，約翰。

Scott Gruber, Citigroup.

史考特‧格魯伯，花旗集團。

Yes, good morning.

是的，早安。

Good morning, Scott.

早安，史考特。

I want to get some more clarity on the CapEx drop, which is pretty impressive, just especially in light of the ordering of the fifth FORCE fleet. Was the drop mainly due to cutting the Tier II diesel fleet CapEx, or was there also an element of slowing investment in your ancillary services? And if that was a factor, how should we think about ancillary service investment in '25?

我想更清楚地了解資本支出的下降，這是相當令人印象深刻的，特別是考慮到第五支艦隊的訂購。下降的主要原因是二級柴油機隊資本支出的削減，還是輔助服務投資放緩的因素？如果這是一個因素，我們應該如何考慮 25 年的輔助服務投資？

Scott, I'll make just a couple simple points first, and David can add on if he needs to. This is tailwinds from a next-generation equipment standpoint, number one, a lot of maintenance CapEx tailwinds. Every day, we have another electric fleet in the field. The more data and confidence that we have in its lower operating expense, lower maintenance CapEx, that's a huge part playing here.

史考特，我先提出幾個簡單的觀點，如果需要，大衛可以補充。從下一代設備的角度來看，這是有利的，第一，大量的維護資本支出有利。每天，我們都有另一支電動車隊在現場。我們對其較低的營運費用和較低的維護資本支出擁有越多的數據和信心，這在這裡發揮著重要作用。

Another part is, and you've heard us talk about this. It's kind of easy to categorize this as a buzzword, but the broader optimization of our business is really starting to show through. And as it pertains to CapEx, it's showing through in two main ways.

另一部分是，你已經聽我們談論過這件事了。很容易將其歸類為流行語，但我們業務的更廣泛優化確實開始顯現出來。就資本支出而言，它主要透過兩種方式表現出來。

One, we've done a lot of really intentional, directed, focused work around extending equipment life for all the main components for everything we're doing on a frac location. And the wins that we've seen there are really, really impressive. And that's due large part to our operations team and the focus and work that they've put in to really, really get better at that.

第一，我們做了很多真正有目的、有指導、有重點的工作，以延長我們在壓裂地點所做的一切的所有主要部件的設備壽命。我們在那裡看到的勝利真的非常非常令人印象深刻。這在很大程度上要歸功於我們的營運團隊以及他們所投入的精力和工作，以便真正在這方面做得更好。

Fluid ins, power ins, engines, transmissions, all these large components, if you make 10%, 20% of life improvements in each one of those, they have massive follow-on effects. So that's one part of it from an optimization standpoint.

流體、動力、引擎、變速箱，所有這些大型零件，如果每一項的壽命提高 10%、20%，它們都會產生巨大的後續影響。從優化的角度來看，這是其中的一部分。

The other part is what we're doing inside of our supply chain. We are really ramping up our sophistication, how we contract and transact with the whole value chain and trying to ensure that we're getting the best quality parts and services from our supply chain for the best prices. And there's a lot of wins that are showing through there.

另一部分是我們在供應鏈內部所做的事情。我們確實在提高我們的複雜性，我們如何與整個價值鏈簽訂合約和交易，並努力確保我們以最優惠的價格從供應鏈獲得最優質的零件和服務。那裡展示了很多勝利。

Yes, Scott, this is David. The only thing I would add there is that about 30% of our capital budget is related to growth or what we would consider non-recurring investments. The rest of it is related to maintenance of our equipment.

是的，史考特，這是大衛。我唯一要補充的是，我們大約 30% 的資本預算與成長或我們認為的非經常性投資有關。其餘的則與我們設備的維護有關。

And going forward, and as Sam mentioned, we've been getting much better in that arena, and we've also been deploying assets that are less capital intensive. And so as we do that in our acquisition strategy as well as in our fleet conversion, that we believe will continue to play out favorably.

展望未來，正如薩姆所提到的，我們在這個領域已經取得了很大的進步，而且我們也一直在部署資本密集度較低的資產。因此，當我們在收購策略以及機隊改造中這樣做時，我們相信這將繼續發揮良好作用。

No, it's good color, and certainly reducing the capital intensity of the base is a great trend to see. Just another question on contracting structure. You guys discussed the bonus payments on your Exxon contracts last call. How prevalent are bonus payments across your other contracts? And just as you guys continue to deliver efficiency improvements for customers, are you thinking about incorporating bonus structures into more contracts going forward?

不，它的顏色很好，當然減少基地的資本強度是一個很好的趨勢。關於承包結構的另一個問題。你們上次通話時討論了埃克森美孚合約的獎金支付問題。在您的其他合約中，獎金支付有多普遍？正如你們繼續為客戶提供效率改進一樣，你們是否正在考慮將獎金結構納入未來的更多合約中？

Scott, if I'm reading your question right, you might be referring to performance bonuses that we try and put in some of our agreements. Is that what you're referring to?

史考特，如果我沒理解你的問題，你可能指的是我們嘗試在一些協議中加入的績效獎金。你指的是這個嗎？

Yes, exactly. Just curious whether you're able to capture some extra margin from the efficiency improvement that you're delivering to customers.

是的，完全正確。只是好奇您是否能夠從為客戶提供的效率改進中獲得一些額外的利潤。

I'd say that part of our commercial architecture is pretty small. I don't want to say it's insignificant, but it's fairly small. It's small -- each one of these contracts -- I'd say, each customer we contract with, the structure can look different from customer to customer. And I think that's one of our main advantages commercially, without saying too much, is trying to custom fit our services to the needs of our customers, right?

我想說我們的商業建築的一部分非常小。我不想說它微不足道，但它相當小。它很小——每一份合約——我想說的是，我們與之簽訂合約的每個客戶，其結構可能因客戶而異。我認為這是我們商業上的主要優勢之一，不用說太多，就是嘗試根據客戶的需求量身定制我們的服務，對吧？

This is not a set-in-stone structure that we just go kind of shove to people. This is a very collaborative effort with each individual customer. And I think that's where we greatly benefit from a commercial transacting standpoint.

這不是一個我們只是強行推給人們的一成不變的結構。這是與每個客戶的高度協作的努力。我認為這就是我們從商業交易角度受益匪淺的地方。

But really, and I'd say part of the reason why some of the performance bonus things, especially in the e-fleets, is relatively small is because most of our customers we're talking to about e-fleets are chasing consistency and predictability. So they want that 20, 21, 22 pumping hours per day every day, and they want their cost to look the same every single day.

但實際上，我想說，某些績效獎金（尤其是電子車隊）相對較小的部分原因是因為我們談論的電子車隊的大多數客戶都在追求一致性和可預測性。因此，他們希望每天抽水 20、21、22 小時，並且希望每天的成本看起來一樣。

So if we can find kind of a window where we can both mutually benefit from that efficiency at a right price, we're not afraid to lock those prices in for considerable amounts of time, with or without performance bonuses.

因此，如果我們能夠找到一個窗口，讓我們雙方都能以合適的價格從效率中獲益，我們就不會害怕在相當長的時間內鎖定這些價格，無論有沒有績效獎金。

I got it. Appreciate the color, Sam.

我得到了它。欣賞這個顏色，山姆。

Yes, thanks.

是的，謝謝。

Waqar Syed, ATB Capital.

Waqar Syed，ATB 資本。

Thank you for taking my questions. David, just a housekeeping question. What was the shares outstanding at the end of the quarter?

感謝您回答我的問題。大衛，只是一個家政問題。本季末已發行股票數量是多少？

$106 million.

1.06 億美元。

Okay, so that's not the average for Q2? It's the shares outstanding at the end of the quarter, right?

好吧，這不是第二季的平均值嗎？這是季度末已發行的股票，對吧？

Let me -- no, actually, shares outstanding would be 104 million at the end of the quarter. But the average shares for the quarter, in terms of calculating EPS, is the $106 million.

讓我說一下——不，實際上，到本季末，流通股將達到 1.04 億股。但以每股收益計算，該季度的平均股價為 1.06 億美元。

Okay, great. And then --- sure, so Sam, on Aqua Prop, how many pumping crews are you currently catering to through Aqua Prop? And how would that change maybe in the second half and then into the next year?

好的，太好了。然後——當然，Sam，在 Aqua Prop 上，您目前透過 Aqua Prop 為多少抽油人員提供服務？下半年甚至明年情況會發生怎樣的變化？

Yes, we're basically at around four right now, and that's likely headed north from there through the end of the year. We're trying to grow that as quickly as possible, Waqar. So to say what the top end is throughout the tail end of the year is, I think, a little bit too soon. But we're definitely trying to use that as a mechanism to increase profitability and cash flow but to also give our customers more reliability and more of an industrial solution.

是的，我們現在基本上在四點左右，並且很可能從那裡開始一直到今年年底。我們正在努力盡快發展這一點，Waqar。因此，我認為，要說今年年底的最高收入是多少，有點太早。但我們肯定會嘗試將其用作提高獲利能力和現金流的機制，同時也為我們的客戶提供更高的可靠性和更多的工業解決方案。

And what's the investor -- your customer reaction to it? What is the positive feedback? What is the negative feedback on this new solution?

投資人－你的客戶對此有何反應？什麼是正回饋？對這個新解決方案的負面回饋是什麼？

I think one of the things that we like and the customers that are using just the most is its simplicity and flexibility on locations. Because we're not bound by a container, a silo, or a box, we can really change the amount of sand we can store on location, therefore affecting how many trucks you need to service a job, things like that. So I think that's really what kind of drove us to make that decision, that acquisition, to add it to our offering and integrate a little bit more in that direction.

我認為我們喜歡並且客戶使用最多的事情之一是它的簡單性和位置靈活性。因為我們不受容器、筒倉或盒子的束縛，所以我們可以真正改變我們可以在現場存儲的沙子數量，從而影響您需要多少輛卡車來服務一項工作，諸如此類。因此，我認為這確實是促使我們做出收購決定的原因，將其添加到我們的產品中，並朝這個方向進行更多整合。

That said, let's be real with ourselves, I think the sand market in general, the sand value chain is very, very dynamic and fast changing right now. I mean, I think people have found ways to mine more sand in more places. And I think that's causing quite a bit of disruption in the sand supply side. That's why we hesitate to invest in things like mines quite yet.

也就是說，讓我們面對自己，我認為總的來說，沙子市場、沙子價值鏈現在非常非常有活力，變化很快。我的意思是，我認為人們已經找到了在更多地方開採更多沙子的方法。我認為這對沙子供應方面造成了相當大的干擾。這就是為什麼我們對投資礦場等項目仍猶豫不決。

Because as soon as you stand up a mine somewhere, it could be quickly made inferior to another mine just down the road for just distance and geographical purposes. So we'll keep a close eye on that. And look, we're not expecting Aqua Prop to be on 100% of our frac locations and it to be adopted by every single customer we have. But we do think there's a legitimate growth opportunity, and we'll continue to press into that into this year and going into next year.

因為一旦你在某個地方建立了一個地雷，它很快就會因為距離和地理原因而變得不如路邊的另一個地雷。所以我們會密切注意這一點。看，我們並不期望 Aqua Prop 出現在我們 100% 的壓裂地點，並且被我們的每一位客戶採用。但我們確實認為存在合理的成長機會，我們將在今年和明年繼續努力實現這一目標。

Yes. Well, Waqar, this is David. I think one thing just to add to that, we looked across our fleets and compared NPT related to sand containment logistics. And there's a significant difference. And I think as we deliver value to customers, pumping efficiency and NPT is some key metrics that they look at. So we think that's a real sales opportunity and business development opportunity to continue to deliver value to ProPetro's customers. (Multiple speakers)

是的。嗯，瓦卡爾，這是大衛。我想補充一點，我們查看了我們的船隊並比較了與防砂物流相關的 NPT。並且有一個顯著的差異。我認為，當我們為客戶提供價值時，泵送效率和 NPT 是他們關注的一些關鍵指標。因此，我們認為這是一個真正的銷售機會和業務發展機會，可以繼續為 ProPetro 的客戶提供價值。（多位發言者）

Waqar, yes. I would just add on to the NPT discussion David says. It's just not around the silos and the trucking portion of it. It's also the frac equipment, the blender, removing things like screws that have a lot of hydraulic failures or location that we see. That's been very beneficial too.

瓦卡爾，是的。大衛說，我只想補充《不擴散核武條約》的討論。它只是不在筒倉和卡車運輸部分周圍。這也是壓裂設備、攪拌機，去除我們看到的有很多液壓故障或位置的螺絲之類的東西。這也非常有益。

Makes sense. Well, thank you very much. Appreciate the color.

有道理。嗯，非常感謝。欣賞顏色。

Kurt Hallead, Benchmark.

庫爾特·哈勒德，基準。

Hey. Good morning, everybody. Thanks so much for all the insight and color. Really appreciate that. Hey, I wanted to first get some clarity on something that I'm just a little bit confused on. So in the -- I think in your commentary, Sam, you referenced that you had an average of 15.5 fleets operating in the second quarter. And then in a similar commentary, you referenced 14 fleets. I just want to make sure. Did I mishear that?

嘿。大家早安。非常感謝您的見解和色彩。真的很感激。嘿，我想先澄清一些我有點困惑的事情。因此，Sam，我認為在您的評論中，您提到第二季度平均有 15.5 架機隊在運作。然後在類似的評論中，您提到了 14 支艦隊。我只是想確定一下。我是不是聽錯了？

No, you didn't mishear it. We're actually making a change this quarter from what we've done traditionally in the past, the way we disclose activity. I don't know if you remember, Kurt, but dating all the way back to 2017 maybe, we disclosed effective fleets by number of days worked in the quarter. So we previously defined an effectively utilized fleet as working 25 days in one month or 75 days in one quarter because we thought that was normal.

不，你沒有聽錯。事實上，本季我們正在改變我們過去的傳統做法，也就是我們揭露活動的方式。我不知道你是否還記得，Kurt，但也許可以追溯到 2017 年，我們按照本季的工作天數披露了有效機隊。因此，我們之前將有效利用的機隊定義為一個月工作 25 天或一個季度工作 75 天，因為我們認為這是正常的。

That's no longer normal. Normal is in excess of 25 days a month. So when you add up all the days for 2Q and you use that effective fleet utilization, 75 days in a quarter, you get the 15.5. But we never ran more than 14 fleets during the quarter.

這已經不正常了。正常情況是每月超過25天。因此，當您將第二季的所有天數加起來並使用有效機隊利用率（一個季度 75 天）時，您將獲得 15.5。但本季我們營運的機隊數量從未超過 14 個。

So we're getting to a point where we thought that that was just an inaccurate way to describe our asset level activity. So going forward, we're just going to call out active fleets, of which it was 14 in the second quarter. We believe it will be 14 again in the third quarter. And then I think, on a go-forward basis, we'll just add commentary around that if we experienced any white space or if it was a full calendar.

因此，我們認為這只是描述我們資產水準活動的不準確方式。因此，展望未來，我們將調出活躍的機隊，其中第二季為 14 架。我們相信第三季將再次達到14。然後我認為，在未來的基礎上，如果我們遇到任何空白或它是一個完整的日曆，我們只會添加評論。

That's great. I really appreciate you clarifying that. So second point of clarification, you guys referenced that you expect improved profitability off of your second quarter level, right? And you were saying we haven't quite quantified that yet, and that's fine. But effectively, as a group here, investors and so on, we probably should not be thinking about first-quarter profitability in the equation of how things might play out in a second.

那太棒了。我真的很感謝你澄清這一點。所以第二點澄清，你們提到你們預計第二季的獲利能力會有所提高，對吧？你說我們還沒有完全量化這一點，那也沒關係。但實際上，作為這裡的一個群體，投資者等，我們可能不應該在考慮第二季度的情況時考慮第一季的獲利能力。

In other words, the way things are shaken out in the industry, it doesn't look like getting back to first-quarter levels is something that could even be remotely feasible in the second half of the year. So we're thinking about working off a second-quarter EBITDA base, not a first-half 2024 EBITDA base. Is that a fair way to think about it?

換句話說，從產業的變化來看，下半年恢復到第一季水準的可能性不大。因此，我們正在考慮計算第二季 EBITDA 基數，而不是 2024 年上半年 EBITDA 基數。這是一個公平的思考方式嗎？

Yes, Kurt. This is David. I think that's right. And I think what we've tried to point to is really our confidence in our ongoing cash flow performance and consistency there. So look, the market's going to do what it does. We built a business that can thrive in a fairly stagnant market. We're building additional capabilities with some of the M&A activity, and we'll continue to drive that business model going forward.

是的，庫爾特。這是大衛。我認為這是對的。我認為我們試圖指出的是我們對持續現金流表現和一致性的信心。所以看，市場將會做它該做的事。我們建立了一家能夠在相當停滯的市場中蓬勃發展的企業。我們正在透過一些併購活動來建立額外的能力，我們將繼續推動該業務模式向前發展。

All right. That's awesome. And then just on that front end, David, right, how should we think about free cash conversion as a percent of your EBITDA? Or how are you guys thinking about targeting that free cash flow conversion?

好的。太棒了。然後就在前端，大衛，對吧，我們應該如何考慮自由現金轉換佔 EBITDA 的百分比？或者你們如何考慮以自由現金流轉換為目標？

Well, I think that we've been aspiring to generate in the neighborhood of 50%-plus EBITDA to free cash flow conversion. We've exceeded that year to date. And in the M&A front, we certainly are targeting businesses with higher EBITDA to free cash flow conversions. The fleet conversions that we're executing on, we believe, have higher levels as well. So I think 50% is what we would be targeting, and we'll see how the market plays out and supports that.

嗯，我認為我們一直渴望實現 50% 以上的 EBITDA 到自由現金流的轉換。迄今為止，我們已經超過了那一年。在併購方面，我們當然瞄準了具有較高 EBITDA 到自由現金流轉換率的企業。我們相信，我們正在執行的機隊轉換也具有更高的水平。所以我認為 50% 是我們的目標，我們將看看市場如何發揮作用並支持這一目標。

That's awesome. Appreciate that color. Thank you.

太棒了。欣賞那個顏色。謝謝。

You bet.

你打賭。

(Operator Instructions) Don Crist, Johnson Rice.

（操作員說明）Don Crist、Johnson Rice。

Good morning, guys. Thanks for squeezing me in here at the end. Sam, I wanted to ask about power generation. Obviously, outside of the oilfield, there's been a lot of discussions on data centers using turbines, et cetera. Are you finding it hard to find power for your new electric fleets? And do you see that as a bottleneck going forward if you wanted to add 5 or 10 more electric fleets in the future?

早安，夥計們。謝謝你最後把我擠到這裡。薩姆，我想問一下發電的問題。顯然，在油田之外，關於使用渦輪機等的資料中心有很多討論。您是否發現很難為您的新電動車隊找到電力？如果您想在未來增加 5 或 10 輛電動車隊，您是否認為這是未來的瓶頸？

To date, it has not affected or impeded our progress. I mean, maybe a day here and there, as we're getting these first fleets stood up -- when we're getting new fleets stood up and deployed. But to say it's had a meaningful effect would be incorrect. Going forward, look, I think for some of the reasons you mentioned, there's just going to be a lot of demand on electricity and cost-effective power generation of that electricity going into the future.

迄今為止，它並沒有影響或阻礙我們的進步。我的意思是，也許有一天，當我們讓這些第一批艦隊站起來時——當我們讓新的艦隊站起來並部署時。但說它產生了有意義的影響是不正確的。展望未來，我認為由於您提到的一些原因，未來對電力和具有成本效益的發電的需求將會很大。

I personally -- personal opinion, not a perpetual opinion, but I think the data center demand is a bit overhyped. That said, most of the data center demand will likely be in positions to pay more for some of the power generation, maybe than some of the oilfield opportunities are. So it will create some significant competition, nonetheless.

我個人認為，個人觀點，不是永久觀點，但我認為資料中心的需求有點被誇大了。也就是說，大部分資料中心需求可能會為某些發電支付更多費用，也許比一些油田機會支付更多費用。因此，儘管如此，這仍會帶來一些激烈的競爭。

I think how we kind of manage through that is how we always have in a very collaborative kind of open manner with our entire value chain and supply chain, trying to make sure we're creating legitimate opportunities for people in our supply chain, companies in our supply chain, not just picking up the phone on a minute's notice and expecting people to just appear out of thin air to service us.

我認為我們的管理方式是我們始終以一種非常協作的開放方式與我們的整個價值鏈和供應鏈進行管理，努力確保我們為供應鏈中的人員、公司創造合法的機會我們的供應鏈，而不僅僅是一分鐘接到電話並期望人們憑空出現為我們提供服務。

This is a very -- we have a very -- when we go to talk to a customer about an e-fleet contract, of which -- that's usually a long, drawn-out conversation over multiple months if not a year. We very often have power providers under the tent with us as we're working on those contracts and those opportunities. So we'll continue to kind of leverage our creativeness, flexibility on the commercial end to make sure that that doesn't become a problem.

當我們與客戶討論電子車隊合約時，我們有一個非常非常的情況，其中通常是漫長的、曠日持久的對話，持續數月甚至一年。當我們處理這些合約和機會時，我們經常有電力供應商與我們一起工作。因此，我們將繼續在商業端發揮我們的創造力和靈活性，以確保這不會成為問題。

That said, I mean, the supply chains from a build standpoint for generators are just full right now. So the more quickly you can make decisions about the future, the more likely you are to have what you need to service your customers. But to date, I think we've navigated that very, very well.

也就是說，我的意思是，從發電機建造的角度來看，供應鏈目前已經滿了。因此，您越快對未來做出決策，就越有可能擁有為客戶提供服務所需的資源。但到目前為止，我認為我們已經非常非常順利地解決了這個問題。

I appreciate that color. And taking it just one step further, several of your competitors have gone into the CNG space. Is the infrastructure on CNG keeping up with the demand shift towards natural gas burning equipment? And is that a potential investment opportunity for you all going forward?

我很欣賞那種顏色。更進一步，您的一些競爭對手已經進入 CNG 領域。CNG 基礎設施能否跟上向天然氣燃燒設備的需求轉變？這對你們來說是一個潛在的投資機會嗎？

Yes. There's one thing that's definite. We can say this without a doubt. The gas is there. There's a lot of gas in the Permian Basin. The better question is, how do we get it to the right spot at the right price, at the right time, and the right quality? That's where the opportunities are. We've not made direct investments in that arena, although we've worked with many people that have.

是的。有一點是確定的。我們可以毫無疑問地這樣說。氣體就在那裡。二疊紀盆地有大量天然氣。更好的問題是，我們如何在正確的時間、以正確的價格、以正確的品質將其運送到正確的地點？這就是機會所在。儘管我們已經與許多進行過直接投資的人合作，但我們尚未在該領域進行直接投資。

And I've said this in times past, that's an example of an integration opportunity that we keep a very close eye on. Probably much like we've kept an eye on last-mile logistics and sand storage on location. And we think that that reached a relative maturity point to make an investment like we did with Aqua Prop. And we'll be waiting for that window if opportunities arise as it pertains to things like gas.

我過去曾說過，這是我們密切關注的整合機會的一個例子。可能就像我們一直關注最後一英里的物流和現場沙子儲存一樣。我們認為，像我們對 Aqua Prop 那樣進行投資已經達到了相對成熟的程度。如果機會出現，我們將等待這個窗口，因為它涉及天然氣等領域。

I think CNG is an oversimplistic way to think about gas as it pertains to powering frac equipment in the future. I think we should just be talking about gas in general because there's plenty of it and we just need to get it in the right quality and the right quantities in the right places.

我認為壓縮天然氣是一種過於簡單化的思考天然氣的方式，因為它涉及未來為壓裂設備提供動力。我認為我們應該只討論一般性的天然氣，因為天然氣儲量充足，我們只需要在正確的地方以正確的品質和正確的數量獲得它。

I appreciate the color. I'll turn it back. Thanks, Sam.

我很欣賞它的顏色。我會把它轉回來。謝謝，山姆。

There are no more questions in the queue. This concludes our question-and-answer session. I would like to turn the conference back over to Sam Sledge for any closing remarks.

隊列中沒有更多問題。我們的問答環節到此結束。我想將會議轉回給 Sam Sledge 發表閉幕詞。

Thanks, everybody, for joining us today. We appreciate your interest. Hope to talk to you and see you soon. Have a great day.

謝謝大家今天加入我們。我們感謝您的關注。希望能盡快與您交談並見到您。祝你有美好的一天。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。