Snapshot
- Ticker: PUMP (NYSE)
- Bucket: Power & Energy Infrastructure
- Q4 2025 fund position: $8.7 M (0.91 M sh) — 0.16 % of 13F
- HQ: Midland, TX
Business Overview
ProPetro is a Permian-focused pressure-pumping and well-services company with a fleet that has been progressively electrified through the PROPWR (electric frac) and ancillary power-generation initiatives. ProPetro operates as a single integrated completions services provider, but the management team has begun to monetize the natural-gas-fired generation equipment that powers its frac fleet by also offering it for behind-the-meter data-center power and other temporary-power applications.
Two business lines:
- Completions Services (the core) — hydraulic fracturing, wireline, cementing services, primarily for Permian E&P operators.
- PROPWR (the growth bet) — natural-gas-fired generation equipment originally for e-frac fleets, repurposed for data-center bridge power and industrial applications.
Financial Trajectory
| Metric (USD M) | FY22 | FY23 | FY24 | FY25 (tracking) |
|---|---|---|---|---|
| Revenue | ~1,400 | ~1,600 (+14 %) | ~1,400 (−12 %) | $1,200–1,400 |
| Adj. EBITDA | meaningful | ~400–450 (peak) | lower | continuing soft |
| Net income | profitable | profitable | mixed | mixed |
PUMP has been profitable through the 2023 peak frac cycle, with margins compressing as pricing eroded into 2024–2025. The PROPWR initiative is small relative to the core but has generated consistent management commentary as a strategic priority.
Balance Sheet
| Item | $M |
|---|---|
| Cash | $50–100 |
| Net debt | net-cash to small net-debt depending on quarter |
PUMP is one of the more conservatively levered frac names — flexibility in cyclical troughs.
Segment & Operational KPIs
- Active frac fleets: ~14–16 fleets
- Electric (PROPWR e-frac) fleets: growing minority of the fleet — specific count not regularly disclosed
- PROPWR power-gen capacity: small, growing; specific MW figures not consistently reported
PUMP reports as one segment historically; PROPWR is small enough to remain bundled with completions services.
Why It Fits the Thesis
ProPetro is the lower-conviction sibling to Liberty in the Wright/oilfield-services-to-power adjacency basket. The fund holds both at very small size — a bet that the broader oilfield-services-to-distributed-power crossover will create incremental value as data centers compete for the same gen-set inventory that frackers use.
PUMP-specific differentiation vs. Liberty:
- Smaller fleet
- Smaller balance sheet
- More concentrated Permian customer mix
- PROPWR somewhat earlier-stage than LPI
The Q4 2025 entry alongside LBRT, BW, and PSIX is consistent with a coordinated thematic decision around the gas-and-power complex under the new US energy policy direction.
Capital Allocation
- Buyback active
- No dividend historically
- Capex elevated through fleet electrification cycle
Position History in the Fund
| Quarter | Position |
|---|---|
| Q4 2025 | New, 0.91 M sh |
Risks
- Permian completion-cycle exposure is the dominant driver of results.
- PROPWR segment is small and unproven at scale.
- Customer concentration in a few Permian E&P operators.
- Frac pricing weakness continues to compress core-business margins.
- Smaller balance sheet than Liberty limits ability to scale PROPWR aggressively without dilution.
Sources
- ProPetro Holding 10-K and 10-Q filings
- PROPWR strategic announcements
- Investor presentations