Revenue declined 11.4% YoY to $1.94B with gross margin collapsing to 3.65% TTM, as recent quarters show negative gross profit (e.g., -0.4% in 2026Q1) and operating margin at -6.86% TTM.
ProFrac Holding Corp. (ACDC) annual income statement — 7-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 |
|---|
| Sales/Revenue | 1.79B | 1.94B | 2.19B | 2.63B | 2.43B | 768.4M | 547.7M | 847.69M |
| Revenue Growth % | -16.18% | -11.37% | -16.7% | 8.43% | 215.67% | 40.3% | -35.39% | - |
| Cost of Goods Sold | 1.71B | 1.87B | 1.94B | 2.18B | 1.72B | 710.8M | 577.7M | 673.56M |
| COGS % of Revenue | - | 96.35% | 88.42% | 82.83% | 71.08% | 92.5% | 105.48% | 79.46% |
| Gross Profit | 81.6M | 70.9M | 253.6M | 451.5M | 701.5M | 57.6M | -30M | 174.13M |
| Gross Margin % | 4.57% | 3.65% | 11.58% | 17.17% | 28.92% | 7.5% | -5.48% | 20.54% |
| Gross Profit Growth % | - | -72.04% | -43.83% | -35.64% | 1117.88% | 292% | -117.23% | - |
| Operating Expenses | 289.7M | 204.2M | 314M | 284.9M | 289.1M | 75.6M | 65M | 186.39M |
| OpEx % of Revenue | - | 10.52% | 14.33% | 10.83% | 11.92% | 9.84% | 11.87% | 21.99% |
| Selling, General & Admin | 172.8M | 190.5M | 204.6M | 233.6M | 225M | 64.2M | 48.2M | 0 |
| SG&A % of Revenue | - | 9.81% | 9.34% | 8.88% | 9.28% | 8.36% | 8.8% | - |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 2.9M | 13.7M | 109.4M | 51.3M | 64.1M | 11.4M | 16.8M | 186.39M |
| Operating Income | -208.1M | -133.3M | -60.4M | 166.6M | 412.4M | -18M | -95M | -12.26M |
| Operating Margin % | -11.64% | -6.86% | -2.76% | 6.33% | 17% | -2.34% | -17.35% | -1.45% |
| Operating Income Growth % | - | -120.7% | -136.25% | -59.6% | 2391.11% | 81.05% | -674.88% | - |
| EBITDA | 191.6M | 283M | 381.8M | 605M | 679.7M | 122.7M | 55.7M | 120.83M |
| EBITDA Margin % | 10.72% | 14.57% | 17.43% | 23% | 28.02% | 15.97% | 10.17% | 14.25% |
| EBITDA Growth % | -44.83% | -25.88% | -36.89% | -10.99% | 453.95% | 120.29% | -53.9% | - |
| D&A (Non-Cash Add-back) | 399.7M | 416.3M | 442.2M | 438.4M | 267.3M | 140.7M | 150.7M | 133.09M |
| EBIT | -267M | -229.6M | -58.2M | 96.9M | 411.3M | -17.9M | -94.7M | 2.55M |
| Net Interest Income | -133.8M | -138.8M | -156.6M | -154.9M | -59.5M | -25.8M | -23.3M | 26.03M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 26.03M |
| Interest Expense | 133.8M | 138.8M | 156.6M | 154.9M | 59.5M | 25.8M | 23.3M | 0 |
| Other Income/Expense | -192.7M | -235.1M | -154.4M | -224.6M | -60.6M | -25.7M | -23M | -25.7M |
| Pretax Income | -400.8M | -368.4M | -214.8M | -58M | 351.8M | -43.7M | -118M | -37.96M |
| Pretax Margin % | -22.42% | -18.97% | -9.8% | -2.21% | 14.5% | -5.69% | -21.54% | -4.48% |
| Income Tax | -12.4M | -12.9M | -7M | 1.2M | 9.1M | -200K | 500K | 587K |
| Effective Tax Rate % | 3.09% | 3.5% | 3.26% | -2.07% | 2.59% | 0.46% | -0.42% | -1.55% |
| Net Income | -406.7M | -369M | -215.1M | -97.7M | 91.5M | 0 | -2.2M | -38.55M |
| Net Margin % | -22.75% | -19% | -9.82% | -3.71% | 3.77% | - | -0.4% | -4.55% |
| Net Income Growth % | -48.65% | -71.55% | -120.16% | -206.78% | - | 100% | 94.29% | - |
| Net Income (Continuing) | -388.4M | -355.5M | -207.8M | -59.2M | 342.7M | -43.5M | -118.5M | -38.55M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 103.1M | 94.4M | 69.2M | 58.7M | 2.54B | 1M | 0 | 0 |
| EPS (Diluted) | -2.23 | -2.30 | -1.38 | -0.82 | 1.69 | -1.06 | -0.85 | -0.99 |
| EPS Growth % | -40.8% | -66.67% | -68.29% | -148.52% | 259.43% | -24.71% | 14.14% | - |
| EPS (Basic) | - | -2.30 | -1.38 | -0.82 | 1.69 | -1.06 | -0.85 | -0.99 |
| Diluted Shares Outstanding | 182M | 160.15M | 160.1M | 130.9M | 54M | 140.24M | 140.24M | 39.01M |
| Basic Shares Outstanding | 182M | 160.15M | 160.1M | 130.9M | 54M | 140.24M | 140.24M | 39.01M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying ACDC stock.
For fiscal year 2025, ProFrac Holding Corp. (ACDC) reported total revenue of $1.94B. This represents a 129.1% increase compared to $847.7M in 2019.
ProFrac Holding Corp. (ACDC) reported a net loss of $369.0M for the fiscal year ending 2025.
ProFrac Holding Corp. (ACDC) reported an operating income of $-133.3M, resulting in an operating profit margin of -6.9%. This margin reflects the operational efficiency of the business before interest and taxes.
ProFrac Holding Corp. (ACDC) generated $70.9M in gross profit for the year, representing a gross profit margin of 3.7%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Sustained negative margins and liquidity
Metrics are mathematically derived from official filings.
Revenue Slide Reflects Cyclical Pressures
ProFrac's revenue fell 11.4% year-over-year to $1.94 billion, with the latest quarter showing a 0.8% decline, indicating a decelerating top line amid weak completion activity.
The revenue trajectory has been uneven, with a sharp drop from $600.3 million in Q1 2025 to $498.1 million in Q2 2026, a 17% sequential decline. This suggests that the company is losing pricing power or fleet utilization, as the macro environment remains soft. The modest sequential improvement from Q1 2026 to Q2 2026 (from $449.6M to $498.1M) may reflect a slight uptick in activity, but the year-over-year contraction indicates that the demand cycle has not yet turned.
Gross Margin Compression to Near Zero
Gross margin collapsed to 3.65% on a TTM basis, with recent quarters showing negative gross profit, indicating that ProFrac is pricing services below variable costs.
The gross margin has swung from positive 16.3% in Q1 2024 to negative 6.0% in Q3 2025, before recovering to 22.1% in Q2 2026. This volatility suggests that the company's high fixed-cost structure is highly sensitive to utilization and pricing. The negative gross margins in several quarters imply that the company is operating below cash breakeven, which is unsustainable in the long term. The recent improvement to 22.1% may be due to cost cuts or a temporary pricing uptick, but the sustainability is questionable given the overall trend.
Operating Leverage Working in Reverse
Operating income has been negative for eight of the last ten quarters, with operating margin at -6.86% TTM, indicating that fixed costs are not being absorbed by revenue.
The operating leverage is clearly negative: as revenue declined, operating losses widened, with the worst quarter being Q3 2025 at -19.5% operating margin. SG&A expenses have remained relatively stable around $43-54 million per quarter, which means that as revenue falls, the fixed SG&A burden becomes heavier. This suggests that the company has not yet adjusted its cost base to the lower revenue environment, and any recovery in revenue would likely flow through to operating income at a high incremental margin.
Net Losses Deepen Despite One-Time Gains
Net margin worsened to -19.0% TTM, with Q4 2025 showing a net loss of $142.6 million, partly due to non-cash charges, while stock-based compensation remains minimal.
The net income quality is poor, with persistent losses and a negative ROE of -37.7%. The Q4 2025 net loss of $142.6 million is significantly larger than the operating loss of $45.9 million, suggesting that there were substantial non-operating charges, possibly impairments or write-downs. Stock-based compensation is negligible, so the losses are driven by operational issues and other charges. The company's ability to generate positive earnings appears distant unless there is a significant improvement in pricing or a major cost restructuring.
COGS and SG&A Out of Sync with Revenue
COGS has exceeded revenue in several quarters, leading to negative gross profit, while SG&A has remained sticky at around $43-54 million, indicating a cost structure misaligned with demand.
The cost structure is heavily weighted toward COGS, which includes labor, fuel, and maintenance, and these costs have not fallen proportionally with revenue. For example, in Q3 2025, COGS was $427.1 million against revenue of $403.1 million, resulting in a negative gross profit. SG&A has been relatively constant, suggesting that management has not aggressively cut overhead, possibly to retain capacity for a recovery. This cost rigidity is a key reason for the negative operating margins, and any improvement will require either higher utilization or significant cost reductions.
Q1 2025: A Brief Profitability Blip
Q1 2025 was the only quarter with positive operating income ($16.0 million) and near-breakeven net income, driven by a revenue spike to $600.3 million, but the trend reversed sharply thereafter.
The inflection point appears to be Q1 2025, where revenue peaked at $600.3 million and gross margin was 12.5%, allowing the company to achieve positive operating income. This was likely due to a temporary surge in activity or pricing. However, the subsequent quarters saw a rapid deterioration, with revenue falling to $403.1 million by Q3 2025 and gross margins turning negative. This suggests that the company's profitability is highly sensitive to the commodity cycle, and the Q1 2025 performance was not sustainable.
Vertical Integration Not Translating to Profits
Despite a closed-loop model, ProFrac's gross margin of 3.65% is far below peers like Liberty Energy's 11.4%, suggesting that the integration advantage is being offset by operational inefficiencies.
Short-sellers would argue that ProFrac's vertical integration has not delivered the expected cost advantages, as evidenced by its persistently negative operating margins. The company's high fixed costs and underutilized assets may be a structural problem, not just cyclical. Additionally, the low debt/equity ratio of 1.35% is misleading because the company has significant operating leases and other obligations not captured in that metric. The market may be pricing in a recovery that may not materialize if the frac market remains oversupplied.