Accessibility Statement Skip Navigation
  • Resources
  • Investor Relations
  • Journalists
  • Agencies
  • Client Login
  • Send a Release
Return to PR Newswire homepage
  • News
  • Products
  • Contact
Search
When typing in this field, a list of search results will appear and be automatically updated as you type.

Searching for your content...

No results found. Please change your search terms and try again.
  • News Releases view all

    • News in Focus
        • Browse News Releases

        • All News Releases
        • All Public Company
        • English-only
        • News Releases Overview

        • Multimedia Gallery

        • All Multimedia
        • All Photos
        • All Videos
        • Multimedia Gallery Overview

        • Trending Topics

        • All Trending Topics
    • Business & Money
        • Auto & Transportation

        • Aerospace, Defense
        • Air Freight
        • Airlines & Aviation
        • Automotive
        • Maritime & Shipbuilding
        • Railroads and Intermodal Transportation
        • Supply Chain/Logistics
        • Transportation, Trucking & Railroad
        • Travel
        • Trucking and Road Transportation
        • Auto & Transportation Overview

        • View All Auto & Transportation

        • Business Technology

        • Blockchain
        • Broadcast Tech
        • Computer & Electronics
        • Computer Hardware
        • Computer Software
        • Data Analytics
        • Electronic Commerce
        • Electronic Components
        • Electronic Design Automation
        • Financial Technology
        • High Tech Security
        • Internet Technology
        • Nanotechnology
        • Networks
        • Peripherals
        • Semiconductors
        • Business Technology Overview

        • View All Business Technology

        • Entertain­ment & Media

        • Advertising
        • Art
        • Books
        • Entertainment
        • Film and Motion Picture
        • Magazines
        • Music
        • Publishing & Information Services
        • Radio & Podcast
        • Television
        • Entertainment & Media Overview

        • View All Entertain­ment & Media

        • Financial Services & Investing

        • Accounting News & Issues
        • Acquisitions, Mergers and Takeovers
        • Banking & Financial Services
        • Bankruptcy
        • Bond & Stock Ratings
        • Conference Call Announcements
        • Contracts
        • Cryptocurrency
        • Dividends
        • Earnings
        • Earnings Forecasts & Projections
        • Financing Agreements
        • Insurance
        • Investments Opinions
        • Joint Ventures
        • Mutual Funds
        • Private Placement
        • Real Estate
        • Restructuring & Recapitalization
        • Sales Reports
        • Shareholder Activism
        • Shareholder Meetings
        • Stock Offering
        • Stock Split
        • Venture Capital
        • Financial Services & Investing Overview

        • View All Financial Services & Investing

        • General Business

        • Awards
        • Commercial Real Estate
        • Corporate Expansion
        • Earnings
        • Environmental, Social and Governance (ESG)
        • Human Resource & Workforce Management
        • Licensing
        • New Products & Services
        • Obituaries
        • Outsourcing Businesses
        • Overseas Real Estate (non-US)
        • Personnel Announcements
        • Real Estate Transactions
        • Residential Real Estate
        • Small Business Services
        • Socially Responsible Investing
        • Surveys, Polls and Research
        • Trade Show News
        • General Business Overview

        • View All General Business

    • Science & Tech
        • Consumer Technology

        • Artificial Intelligence
        • Blockchain
        • Cloud Computing/Internet of Things
        • Computer Electronics
        • Computer Hardware
        • Computer Software
        • Consumer Electronics
        • Cryptocurrency
        • Data Analytics
        • Electronic Commerce
        • Electronic Gaming
        • Financial Technology
        • Mobile Entertainment
        • Multimedia & Internet
        • Peripherals
        • Social Media
        • STEM (Science, Tech, Engineering, Math)
        • Supply Chain/Logistics
        • Wireless Communications
        • Consumer Technology Overview

        • View All Consumer Technology

        • Energy & Natural Resources

        • Alternative Energies
        • Chemical
        • Electrical Utilities
        • Gas
        • General Manufacturing
        • Mining
        • Mining & Metals
        • Oil & Energy
        • Oil and Gas Discoveries
        • Utilities
        • Water Utilities
        • Energy & Natural Resources Overview

        • View All Energy & Natural Resources

        • Environ­ment

        • Conservation & Recycling
        • Environmental Issues
        • Environmental Policy
        • Environmental Products & Services
        • Green Technology
        • Natural Disasters
        • Environment Overview

        • View All Environ­ment

        • Heavy Industry & Manufacturing

        • Aerospace & Defense
        • Agriculture
        • Chemical
        • Construction & Building
        • General Manufacturing
        • HVAC (Heating, Ventilation and Air-Conditioning)
        • Machinery
        • Machine Tools, Metalworking and Metallurgy
        • Mining
        • Mining & Metals
        • Paper, Forest Products & Containers
        • Precious Metals
        • Textiles
        • Tobacco
        • Heavy Industry & Manufacturing Overview

        • View All Heavy Industry & Manufacturing

        • Telecomm­unications

        • Carriers and Services
        • Mobile Entertainment
        • Networks
        • Peripherals
        • Telecommunications Equipment
        • Telecommunications Industry
        • VoIP (Voice over Internet Protocol)
        • Wireless Communications
        • Telecommunications Overview

        • View All Telecomm­unications

    • Lifestyle & Health
        • Consumer Products & Retail

        • Animals & Pets
        • Beers, Wines and Spirits
        • Beverages
        • Bridal Services
        • Cannabis
        • Cosmetics and Personal Care
        • Fashion
        • Food & Beverages
        • Furniture and Furnishings
        • Home Improvement
        • Household, Consumer & Cosmetics
        • Household Products
        • Jewelry
        • Non-Alcoholic Beverages
        • Office Products
        • Organic Food
        • Product Recalls
        • Restaurants
        • Retail
        • Supermarkets
        • Toys
        • Consumer Products & Retail Overview

        • View All Consumer Products & Retail

        • Entertain­ment & Media

        • Advertising
        • Art
        • Books
        • Entertainment
        • Film and Motion Picture
        • Magazines
        • Music
        • Publishing & Information Services
        • Radio & Podcast
        • Television
        • Entertainment & Media Overview

        • View All Entertain­ment & Media

        • Health

        • Biometrics
        • Biotechnology
        • Clinical Trials & Medical Discoveries
        • Dentistry
        • FDA Approval
        • Fitness/Wellness
        • Health Care & Hospitals
        • Health Insurance
        • Infection Control
        • International Medical Approval
        • Medical Equipment
        • Medical Pharmaceuticals
        • Mental Health
        • Pharmaceuticals
        • Supplementary Medicine
        • Health Overview

        • View All Health

        • Sports

        • General Sports
        • Outdoors, Camping & Hiking
        • Sporting Events
        • Sports Equipment & Accessories
        • Sports Overview

        • View All Sports

        • Travel

        • Amusement Parks and Tourist Attractions
        • Gambling & Casinos
        • Hotels and Resorts
        • Leisure & Tourism
        • Outdoors, Camping & Hiking
        • Passenger Aviation
        • Travel Industry
        • Travel Overview

        • View All Travel

    • Policy & Public Interest
        • Policy & Public Interest

        • Advocacy Group Opinion
        • Animal Welfare
        • Congressional & Presidential Campaigns
        • Corporate Social Responsibility
        • Domestic Policy
        • Economic News, Trends, Analysis
        • Education
        • Environmental
        • European Government
        • FDA Approval
        • Federal and State Legislation
        • Federal Executive Branch & Agency
        • Foreign Policy & International Affairs
        • Homeland Security
        • Labor & Union
        • Legal Issues
        • Natural Disasters
        • Not For Profit
        • Patent Law
        • Public Safety
        • Trade Policy
        • U.S. State Policy
        • Policy & Public Interest Overview

        • View All Policy & Public Interest

    • People & Culture
        • People & Culture

        • Aboriginal, First Nations & Native American
        • African American
        • Asian American
        • Children
        • Diversity, Equity & Inclusion
        • Hispanic
        • Lesbian, Gay & Bisexual
        • Men's Interest
        • People with Disabilities
        • Religion
        • Senior Citizens
        • Veterans
        • Women
        • People & Culture Overview

        • View All People & Culture

    • Explore Our Platform
    • Plan Campaigns
    • Create with AI
    • Distribute Press Releases
    • Report Results
    • Amplify Content
    • All Products
    • General Inquiries
    • Editorial Bureaus
    • Partnerships
    • Media Inquiries
    • Worldwide Offices
    • Hamburger menu
    • PR Newswire: news distribution, targeting and monitoring
    • Send a Release
      • ALL CONTACT INFO
      • Contact Us

        888-776-0942
        from 8 AM - 10 PM ET

    • Searching for your content...

      No results found. Please change your search terms and try again.

      News Releases

      view all
      Close menu
    • News
    • Products
    • Contact
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      • 3 News in Focus
      • 5 Business & Money
      • 5 Science & Tech
      • 5 Lifestyle & Health
      • 1 Policy & Public Interest
      • 1 People & Culture
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      • Explore Our Platform
      • Plan Campaigns
      • Create with AI
      • Distribute Press Releases
      • Report Results
      • Amplify Content
      • All Products
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      • General Inquiries
      • Editorial Bureaus
      • Partnerships
      • Media Inquiries
      • Worldwide Offices
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      Close submenu (News in Focus) News in Focus
      • Browse News Releases
      • Multimedia Gallery
      • Trending Topics
      Close submenu (Business & Money) Business & Money
      • Auto & Transportation
      • Business Technology
      • Entertain­ment & Media
      • Financial Services & Investing
      • General Business
      Close submenu (Science & Tech) Science & Tech
      • Consumer Technology
      • Energy & Natural Resources
      • Environ­ment
      • Heavy Industry & Manufacturing
      • Telecomm­unications
      Close submenu (Lifestyle & Health) Lifestyle & Health
      • Consumer Products & Retail
      • Entertain­ment & Media
      • Health
      • Sports
      • Travel
      Close submenu (Policy & Public Interest) Policy & Public Interest
      • Policy & Public Interest
      Close submenu (People & Culture) People & Culture
      • People & Culture

      Smart Sand, Inc. Announces Fourth Quarter 2023 and Full Year 2023 Results

      Smart Sand, Inc. Logo

      News provided by

      Smart Sand, Inc.

      Mar 11, 2024, 17:00 ET

      Share this article

      Share this article


      • 4Q 2023 and full year 2023 revenue of $61.9 million and $296.0 million, respectively.
      • 4Q 2023 and full year 2023 total tons sold of approximately 1,016,000 and 4,514,000, respectively.
      • 4Q 2023 and full year 2023 net cash (used) provided by operating activities of $(2.7) million and $31.0 million, respectively.
      • 4Q 2023 and full year 2023 free cash flow of $(9.6) million and $8.0 million, respectively.

      SPRING, Texas, March 11, 2024 /PRNewswire/ -- Smart Sand, Inc. (NASDAQ: SND) (the "Company" or "Smart Sand"), a fully integrated frac and industrial sand supply and services company, a low-cost producer of high quality Northern White sand, and a proppant logistics solutions provider through both its in-basin transloading terminals and SmartSystems™ products and services, today announced results for the fourth quarter and full year ended December 31, 2023.

      "Smart Sand delivered strong operating and financial results for the full year 2023" stated Charles Young, Smart Sand's Chief Executive Officer.  "Sales volumes for the year were a record for the Company.  During the year we gained access to the Canadian frac sand market through the commencement of operations at our Blair, Wisconsin facility. We improved our logistics capabilities in the Marcellus and Utica formations of the Appalachian Basin by expanding our Waynesburg, Pennsylvania terminal . We invested in cooling and blending capabilities at our Utica, Illinois facility to support increased industrial sand opportunities and expanded our last mile service presence in the Bakken and Appalachian Basins. Additionally, we recently obtained the rights to operate two additional terminals in Northeast Ohio, which we believe will support growing activity in the Appalachian Basin."

      "Lower sales volumes, due primarily to seasonal weather-related issues and a general slowdown in overall market activity from lower customer spending due to year-end budget exhaustion, negatively impacted our operating and financial results in the fourth quarter.  However, market activity has picked up considerably since the start of 2024 with current monthly sales volumes trending back to third quarter 2023 levels or better and we expect to see improved operating and financial results in the first quarter 2024."

      Full Year 2023 Highlights

      Total revenue was $296.0 million for the full year 2023, compared to $255.7 million for the full year of 2022. Sand sales revenue in 2023 was $283.2 million compared to $243.2 million in 2022. Total revenue and sand sales both increased by 16% year-over-year, as a result of increased sand sales volumes and higher prices primarily driven by increased market activity in the operating basins that the Company serves.

      Total tons sold were 4,514,000 for the full year 2023, compared to full year 2022 total tons sold of 4,333,000, an increase of 4% year-over-year.

      Net income was $4.6 million, or $0.12 per basic and diluted share, for the full year 2023, compared with net loss of $(0.7) million, or $(0.02) per basic and diluted share, for the full year 2022. The increase in net income was primarily from increased total volumes sold and higher average sales prices for our sand.

      Net cash provided by operating activities was $31.0 million for the year ended December 31, 2023, derived from net income of $4.6 million, which includes net non-cash items of $27.8 million and $(1.4) million in changes in operating assets and liabilities. The net cash provided by operating activities in 2022 was $5.4 million. The increase in net cash provided by operating activities in 2023, compared to 2022, was primarily due to higher net income and reduced use of cash from changes in assets and liabilities.

      Contribution margin was $67.0 million, or $14.85 per ton sold, for the full year 2023 compared to $54.6 million, or $12.61 per ton sold, for the full year 2022. Adjusted EBITDA was $34.1 million for the full year 2023 compared to Adjusted EBITDA of $29.3 million for the full year 2022.  The increase in contribution margin and Adjusted EBITDA for the year ended December 31, 2023, as compared to the prior year, was primarily due to an increase in pricing and higher overall tons sold in the current period.

      Fourth Quarter 2023 Highlights

      Total revenue was $61.9 million in the fourth quarter of 2023, compared to third quarter of 2023 revenue of $76.9 million. Total revenue decreased 19% sequentially due to lower sand sales volumes and lower shortfall revenue. Fourth quarter 2023 total revenue decreased by 16% compared to fourth quarter 2022 revenues of $73.8 million. Lower revenue year-over-year was due primarily to lower tons sold.

      Tons sold in the fourth quarter of 2023 were 1,016,000, a 17% decrease compared to third quarter 2023 tons sold of 1,219,000. Tons sold in the fourth quarter of 2023 decreased by 14% compared to 1,175,000 tons sold in the fourth quarter of 2022. Sales volumes were lower in the current period due primarily to lower market activity from weather-related slowdowns and reduced customer spending as accelerated spending earlier in the year led to reduced activity in the fourth quarter.

      For the fourth quarter of 2023, the Company had a net loss of $(4.8) million, or $(0.12) per basic and diluted share, compared to net income of $6.7 million, or $0.18 per basic and diluted share, for the third quarter of 2023, and net income of $2.6 million, or $0.06 per basic share and diluted share for the fourth quarter 2022.

      Contribution margin was $9.2 million, or $9.07 per ton sold, for the fourth quarter of 2023 compared to $21.0 million, or $17.20 per ton sold, for the third quarter of 2023 and $17.4 million, or $14.77 per ton sold, for the fourth quarter of 2022. Adjusted EBITDA was $1.0 million for the fourth quarter of 2023, compared to $13.3 million for the third quarter of 2023 and $10.7 million for the fourth quarter of 2022.

      Lower net income, contribution margin and adjusted EBITDA sequentially and year-over-year were primarily due to lower revenue from decreased tons sold, partially offset by lower cost of goods sold.

      Capital and Liquidity

      For the full year 2023, we had positive free cash flow of $8.0 million, generating $31.0 million in cash flow from operations while spending $23.0 million on capital expenditures. For the fourth quarter of 2023, we had negative $9.6 million in free cash flow, spending $2.7 million in cash flow on operations and $6.9 million on capital expenditures.  As of December 31, 2023, we had cash on hand of $6.1 million and $12.0 million in undrawn availability on our existing credit facility.

      Conference Call

      Smart Sand will host a conference call and live webcast for analysts and investors on March 12, 2024 at 10:00 a.m. Eastern Time to discuss the Company's fourth quarter and full year 2023 financial results.  Investors are invited to join the conference by dialing (646) 357-8785 or 1-800-836-8184 and referencing "Smart Sand" when connected to the operator. Additionally, the call may also be streamed via webcast at https://app.webinar.net/2LBqwEV8z34 or within the "Investors" section of the Company's website at www.smartsand.com. A replay will be available shortly after the call and can be accessed on the "Investors" section of the Company's website.

      Forward-looking Statements

      All statements in this news release other than statements of historical facts are forward-looking statements that contain our Company's current expectations about our future results.  We have attempted to identify any forward-looking statements by using words such as "expect," "will," "estimate," "believe" and other similar expressions.  Although we believe that the expectations reflected and the assumptions or bases underlying our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct.  Such statements are not guarantees of future performance or events and are subject to known and unknown risks and uncertainties that could cause our actual results, events or financial positions to differ materially from those included within or implied by such forward-looking statements.

      Factors that could cause our actual results to differ materially from the results contemplated by such forward-looking statements include, but are not limited to, fluctuations in product demand, regulatory changes, adverse weather conditions, increased fuel prices, higher transportation costs, access to capital, increased competition, continued effects of the global pandemic, changes in economic or political conditions, and such other factors discussed or referenced in the "Risk Factors" section of our Company's Form 10-K for the year ended December 31, 2023, to be filed by us with the U.S. Securities and Exchange Commission on March 11, 2024.

      You should not place undue reliance on our forward-looking statements. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, unless required by law.

      About Smart Sand

      Smart Sand is a fully integrated frac and industrial sand supply and services company, offering complete mine to wellsite proppant and logistics solutions to our frac sand customers, and a broad offering of products for industrial sand customers. The Company produces low-cost, high quality Northern White sand, which is a premium sand used as a proppant to enhance hydrocarbon recovery rates in the hydraulic fracturing of oil and natural gas wells. The Company's sand is also a high-quality product used in a variety of industrial applications, including glass, foundry, building products, filtration, geothermal, renewables, ceramics, turf & landscaping, retail, recreation and more. The Company offers logistics solutions to our customers through its in-basin transloading terminals and SmartSystems™ wellsite storage and sand management capabilities. Smart Sand owns and operates premium sand mines and related processing facilities in Wisconsin and Illinois, which have access to four Class I rail lines, allowing the Company to deliver products substantially anywhere in the United States and Canada. For more information, please visit www.smartsand.com.

      Availability of Information on Smart Sand's Website

      We routinely announce material information using U.S. Securities and Exchange Commission filings, press releases, public conference calls and webcasts and the Smart Sand investor relations website. While not all of the information that we post to the Smart Sand investor relations website is of a material nature, some information could be deemed to be material. Accordingly, we encourage investors, the media, and others interested in Smart Sand to review the information that we share at the "Investors" link located at the top of the page on www.smartsand.com.

      SMART SAND, INC.

      CONSOLIDATED STATEMENTS OF OPERATIONS



      Three Months Ended


      December 31, 2023


      September 30, 2023


      December 31, 2022


      (unaudited)


      (unaudited)


      (unaudited)


      (in thousands, except per share amounts)

      Revenues:






      Sand sales revenue

      $                60,147


      $                72,480


      $                71,099

      Shortfall revenue

      —


      2,389


      414

      Logistics revenue

      1,800


      2,031


      2,316

      Total revenue

      61,947


      76,900


      73,829

      Cost of goods sold

      59,116


      62,502


      62,657

      Gross profit

      2,831


      14,398


      11,172

      Operating expenses:






      Salaries, benefits and payroll taxes

      4,509


      4,292


      3,309

      Depreciation and amortization

      667


      647


      598

      Selling, general and administrative

      5,579


      4,625


      5,421

              Loss (gain) on disposal of fixed assets, net

      (19)


      (92)


      188

      Total operating expenses

      10,736


      9,472


      9,516

      Operating (loss) income

      (7,905)


      4,926


      1,656

      Other income (expenses):






      Interest expense, net

      (332)


      (276)


      (364)

      Other income

      119


      198


      412

      Total other income (expenses), net

      (213)


      (78)


      48

      (Loss) income before income tax benefit

      (8,118)


      4,848


      1,704

      Income tax benefit

      (3,332)


      (1,879)


      (923)

      Net (loss) income

      $                (4,786)


      $                  6,727


      $                  2,627







      Net (loss) income per common share:






      Basic

      $                  (0.12)


      $                    0.18


      $                    0.06

      Diluted

      $                  (0.12)


      $                    0.18


      $                    0.06

      Weighted-average number of common shares:






      Basic

      38,339


      38,253


      42,833

      Diluted

      38,499


      38,412


      42,862

      SMART SAND, INC.

      CONSOLIDATED STATEMENTS OF OPERATIONS



      Year Ended December 31,


      2023


      2022


      (in thousands, except per share amount)

      Revenues:




      Sand sales revenue

      $              283,160


      $              243,162

      Shortfall revenue

      4,304


      5,010

      Logistics revenue

      8,509


      7,568

      Total revenue

      295,973


      255,740

      Cost of goods sold

      254,418


      226,149

      Gross profit

      41,555


      29,591

      Operating expenses:




      Salaries, benefits and payroll taxes

      18,309


      13,480

      Depreciation and amortization

      2,535


      2,244

      Selling, general and administrative

      20,413


      17,288

      Loss (gain) on disposal of fixed assets, net

      1,802


      (294)

      Bad debt expense

      —


      1

      Total operating expenses

      43,059


      32,719

      Operating loss

      (1,504)


      (3,128)

      Other (expenses) income:




      Interest expense, net

      (1,272)


      (1,608)

      Other income

      524


      828

      Total other (expenses) income, net

      (748)


      (780)

      Loss before income tax benefit

      (2,252)


      (3,908)

      Income tax benefit

      (6,901)


      (3,205)

      Net income (loss)

      $                  4,649


      $                   (703)

      Net income (loss) per common share:




      Basic

      $                    0.12


      $                  (0.02)

      Diluted

      $                    0.12


      $                  (0.02)

      Weighted-average number of common shares:




      Basic

      38,948


      42,408

      Diluted

      39,046


      42,408

      SMART SAND, INC.

      CONSOLIDATED BALANCE SHEETS



      December 31,


      2023


      2022


      (in thousands of U.S. dollars)

      Assets




      Current assets:




      Cash and cash equivalents

      $                  6,072


      $                  5,510

      Accounts receivable

      23,231


      35,746

      Unbilled receivables

      2,561


      79

      Inventory

      26,823


      20,185

      Prepaid expenses and other current assets

      3,217


      6,593

      Total current assets

      61,904


      68,113

      Property, plant and equipment, net

      255,092


      258,843

      Operating lease right-of-use assets

      23,265


      26,075

      Intangible assets, net

      5,876


      6,669

      Other assets

      163


      303

      Total assets

      $              346,300


      $              360,003

      Liabilities and Stockholders' Equity




      Current liabilities:




      Accounts payable

      $                16,041


      $                14,435

      Accrued expenses and other liabilities

      11,024


      13,430

      Deferred revenue

      1,154


      6,959

      Current portion of long-term debt

      15,711


      6,183

      Current portion of operating lease liabilities

      10,536


      10,910

      Total current liabilities

      54,466


      51,917

      Long-term debt

      3,449


      9,807

      Long-term operating lease liabilities

      14,056


      17,642

      Deferred tax liabilities, long-term, net

      12,101


      18,238

      Asset retirement obligation

      19,923


      18,888

      Other non-current liabilities

      38


      40

      Total liabilities

      104,033


      116,532

      Commitments and contingencies




      Stockholders' equity




      Common stock

      39


      43

      Treasury stock, at cost

      (14,249)


      (5,075)

      Additional paid-in capital

      181,973


      178,386

      Retained earnings

      74,539


      69,890

      Accumulated other comprehensive (loss) income

      (35)


      227

      Total stockholders' equity

      242,267


      243,471

      Total liabilities and stockholders' equity

      $              346,300


      $              360,003

      SMART SAND, INC.

      CONSOLIDATED STATEMENTS OF CASH FLOWS



      Three Months Ended


      December 31, 2023


      September 30, 2023


      December 31, 2022


      (unaudited)


      (unaudited)


      (unaudited)


      (in thousands)

      Operating activities:






      Net (loss) income

      $                  (4,786)


      $                    6,727


      $                  2,627

      Adjustments to reconcile net income to net cash provided by
      operating activities:






      Depreciation, depletion and accretion of asset retirement
      obligation

      7,113


      7,021


      6,584

      Amortization of intangible assets

      197


      198


      196







      Loss (gain) on disposal of assets

      (19)


      (92)


      188

      Amortization of deferred financing cost

      26


      26


      26

      Accretion of debt discount

      46


      47


      46

      Deferred income taxes

      (2,041)


      (2,348)


      (1,412)

      Stock-based compensation

      1,035


      860


      748

      Employee stock purchase plan compensation

      4


      5


      7

      Changes in assets and liabilities:






      Accounts receivable

      784


      5,980


      (4,027)

      Unbilled receivables

      (2,396)


      92


      2,398

      Inventories

      (868)


      (2,950)


      433

      Prepaid expenses and other assets

      (2,860)


      661


      3,452

      Deferred revenue

      (863)


      (4,328)


      (2,946)

      Asset retirement obligation settlement

      (197)


      —


      —

      Accounts payable

      5,845


      (1,822)


      2,460

      Accrued expenses and other liabilities

      (3,679)


      2,400


      (5,191)

      Net cash provided (used) by operating activities

      (2,659)


      12,477


      5,589

      Investing activities:






      Purchases of property, plant and equipment

      (6,905)


      (6,881)


      (3,196)

      Proceeds from disposal of assets

      6


      50


      75

      Net cash used in investing activities

      (6,899)


      (6,831)


      (3,121)

      Financing activities:






      Repayments of notes payable

      (1,483)


      (1,502)


      (1,851)

      Payments under equipment financing obligations

      (71)


      (200)


      (28)

      Proceeds from revolving credit facility

      8,000


      —


      4,000

      Repayment of revolving credit facility

      —


      —


      (10,000)

      Proceeds from equity issuance

      —


      23


      —

      Royalty stock issuance

      —


      —


      639

      Purchase of treasury stock

      (125)


      (150)


      (89)

      Net cash provided by (used in) financing activities

      6,321


      (1,829)


      (7,329)

      Net increase in cash and cash equivalents

      (3,237)


      3,817


      (4,861)

      Cash and cash equivalents at beginning of period

      9,309


      5,492


      10,371

      Cash and cash equivalents at end of period

      $                    6,072


      $                    9,309


      $                  5,510

       SMART SAND, INC.

      CONSOLIDATED STATEMENTS OF CASH FLOWS



      Year Ended December 31,


      2023


      2022


      (audited)


      (audited)


      (in thousands)

      Operating activities:




      Net income (loss)

      $                    4,649


      $                      (703)

      Adjustments to reconcile net income to net cash provided by operating
      activities:




      Depreciation, depletion and accretion of asset retirement obligation

      27,472


      26,488

      Amortization of intangible assets

      793


      792

      (Gain) loss on disposal of assets

      1,802


      (294)

      Provision for bad debt

      —


      1

      Amortization of deferred financing cost

      105


      105

      Accretion of debt discount

      186


      186

      Deferred income taxes

      (6,137)


      (4,196)

      Stock-based compensation, net

      3,507


      3,184

      Employee stock purchase plan compensation

      24


      25

      Changes in assets and liabilities:




      Accounts receivable

      12,672


      (18,265)

      Unbilled receivables

      (2,640)


      1,805

      Inventories

      (6,638)


      (5,161)

      Prepaid expenses and other assets

      1,996


      6,524

      Settlement of asset retirement obligation

      (197)


      —

      Deferred revenue

      (5,805)


      (9,311)

      Accounts payable

      1,974


      5,244

      Accrued and other expenses

      (2,772)


      (1,004)

      Net cash provided by operating activities

      30,991


      5,420

      Investing activities:




      Acquisition of businesses, net of cash acquired

      —


      (6,547)

      Purchases of property, plant and equipment

      (23,031)


      (12,731)

      Proceeds from disposal of assets

      129


      1,070

      Net cash used in investing activities

      (22,902)


      (18,208)

      Financing activities:




      Repayments of notes payable

      (10,435)


      (7,325)

      Payments under equipment financing obligations

      (394)


      (116)

      Proceeds from revolving credit facility

      23,000


      10,000

      Repayment of revolving credit facility

      (15,000)


      (10,000)

      Proceeds from equity issuance

      56


      52

      Royalty stock issuance

      —


      639

      Purchase of treasury stock

      (4,754)


      (540)

      Net cash used in financing activities

      (7,527)


      (7,290)

      Net increase in cash and cash equivalents

      562


      (20,078)

      Cash and cash equivalents at beginning of period

      5,510


      25,588

      Cash and cash equivalents at end of period

      $                    6,072


      $                    5,510

      Non-GAAP Financial Measures

      Contribution Margin

      We also use contribution margin, which we define as total revenues less costs of goods sold excluding depreciation, depletion and accretion of asset retirement obligations, to measure its financial and operating performance. Contribution margin excludes other operating expenses and income, including costs not directly associated with the operations of the Company's business such as accounting, human resources, information technology, legal, sales and other administrative activities. 

      Historically, we have reported production costs and production cost per ton as non-GAAP financial measures. As we expand our logistics activities and continue to sell sand closer to the wellhead, our sand production costs will only be a portion of our overall cost structure.

      Gross profit is the GAAP measure most directly comparable to contribution margin. Contribution margin should not be considered an alternative to gross profit presented in accordance with GAAP. Because contribution margin may be defined differently by other companies in the industry, our definition of contribution margin may not be comparable to similarly titled measures of other companies, thereby diminishing its utility. The following table presents a reconciliation of contribution margin to gross profit.


      Three Months Ended


      December 31, 2023


      September 30, 2023


      December 31, 2022


      (in thousands)

      Revenue

      $                61,947


      $                76,900


      $                73,829

      Cost of goods sold

      59,116


      62,502


      62,657

            Gross profit

      2,831


      14,398


      11,172

      Depreciation, depletion, and accretion of asset retirement obligations
           included in cost of goods sold

      6,381


      6,573


      6,184

            Contribution margin

      $                  9,212


      $                20,971


      $                17,356

            Contribution margin per ton

      $                    9.07


      $                  17.20


      $                  14.77

      Total tons sold

      1,016


      1,219


      1,175


      Year Ended December 31,


      2023


      2022


      (in thousands)

      Revenue

      $              295,973


      $              255,740

      Cost of goods sold

      254,418


      226,149

            Gross profit

      41,555


      29,591

      Depreciation, depletion, and accretion of asset retirement obligations included in cost of
           goods sold

      25,469


      25,038

            Contribution margin

      $                67,024


      $                54,629

            Contribution margin per ton

      $                  14.85


      $                  12.61

      Total tons sold

      4,514


      4,333

      EBITDA and Adjusted EBITDA

      We define EBITDA as net income, plus: (i) depreciation, depletion and amortization expense; (ii) income tax expense (benefit); (iii) interest expense; and (iv) franchise taxes. We define Adjusted EBITDA as EBITDA, plus: (i) gain or loss on sale of fixed assets or discontinued operations; (ii) integration and transition costs associated with specified transactions; (iii) equity compensation; (iv) acquisition and development costs; (v) non-recurring cash charges related to restructuring, retention and other similar actions; (vi) earn-out, contingent consideration obligations and other acquisition and development costs; and (vii) non-cash charges and unusual or non-recurring charges. Adjusted EBITDA is used as a supplemental financial measure by management and by external users of our financial statements, such as investors and commercial banks, to assess:

      • the financial performance of our assets without regard to the impact of financing methods, capital structure or historical cost basis of our assets;
      • the viability of capital expenditure projects and the overall rates of return on alternative investment opportunities;
      • our ability to incur and service debt and fund capital expenditures;
      • our operating performance as compared to those of other companies in our industry without regard to the impact of financing methods or capital structure; and
      • our debt covenant compliance, as Adjusted EBITDA is a key component of critical covenants to the ABL Credit Facility.

      We believe that our presentation of EBITDA and Adjusted EBITDA will provide useful information to investors in assessing our financial condition and results of operations. Net income is the GAAP measure most directly comparable to EBITDA and Adjusted EBITDA. EBITDA and Adjusted EBITDA should not be considered alternatives to net income presented in accordance with GAAP. Because EBITDA and Adjusted EBITDA may be defined differently by other companies in our industry, our definitions of EBITDA and Adjusted EBITDA may not be comparable to similarly titled measures of other companies, thereby diminishing their utility. The following table presents a reconciliation of EBITDA and Adjusted EBITDA to net income for each of the periods indicated.

      The following tables present a reconciliation of EBITDA and Adjusted EBITDA to net income for each of the periods indicated:


      Three Months Ended


      December 31, 2023


      September 30, 2023


      December 31, 2022


      (in thousands)

      Net (loss) income

      $                (4,786)


      $                  6,727


      $                  2,627

      Depreciation, depletion and amortization

      7,078


      6,985


      6,590

      Income tax benefit

      (3,332)


      (1,879)


      (923)

      Interest expense

      329


      304


      379

      Franchise taxes

      300


      66


      85

      EBITDA

      $                   (411)


      $                12,203


      $                  8,758

      Loss (gain) on sale of fixed assets

      (19)


      (92)


      188

      Equity compensation

      1,003


      850


      706

      Royalty stock issuance

      —


      —


      639

      Acquisition and development costs (1)

      204


      70


      241

      Cash charges related to restructuring and retention

      14


      —


      —

      Accretion of asset retirement obligations

      234


      235


      189

      Adjusted EBITDA

      $                  1,025


      $                13,266


      $                10,721

      (1)

      Represents costs incurred related to the business combinations and current development project activities.


      Year Ended December 31,


      2023


      2022


      (in thousands)

      Net (loss) income

      $                  4,649


      $                   (703)

      Depreciation, depletion and amortization

      27,363


      26,521

      Income tax benefit

      (6,901)


      (3,205)

      Interest expense

      1,532


      1,661

      Franchise taxes

      804


      353

      EBITDA

      $                27,447


      $                24,627

      (Gain) loss on sale of fixed assets

      1,802


      (294)

      Equity compensation

      3,391


      2,729

      Royalty stock issuance

      —


      639

      Acquisition and development costs (1)

      545


      675

      Cash charges related to restructuring and retention of employees

      32


      137

      Accretion of asset retirement obligations

      904


      758

      Adjusted EBITDA

      $                34,121


      $                29,271

      (1)

      Represents costs incurred related to the business combinations and current development project activities.

      Free Cash Flow

      Free cash flow, which we define as net cash provided by operating activities less purchases of property, plant and equipment, is used as a supplemental financial measure by our management and by external users of our financial statements, such as investors and commercial banks, to measure the liquidity of our business.

      Net cash provided by operating activities is the GAAP measure most directly comparable to free cash flow. Free cash flow should not be considered an alternative to net cash provided by operating activities presented in accordance with GAAP. Because free cash flows may be defined differently by other companies in our industry, our definition of free cash flow may not be comparable to similarly titled measures of other companies, thereby diminishing its utility. The following table presents a reconciliation of free cash flow to net cash provided by operating activities.


      Three Months Ended


      December 31, 2023


      September 30, 2023


      December 31, 2022


      (in thousands)

      Net cash provided by (used in) operating activities

      $                (2,659)


      $                12,477


      $                  5,589

            Purchases of property, plant and equipment

      (6,905)


      (6,881)


      (3,196)

      Free cash flow

      $                (9,564)


      $                  5,596


      $                  2,393


      Year Ended December 31,


      2023


      2022


      (in thousands)

      Net cash provided by (used in) operating activities

      $                30,991


      $                  5,420

      Acquisition of Blair facility

      —


      (6,547)

      Purchases of property, plant and equipment

      (23,031)


      (12,731)

      Free cash flow

      $                  7,960


      $              (13,858)

      Investor Contacts:
      Lee Beckelman
      Chief Financial Officer
      (281) 231-2660
      [email protected]  

      SOURCE Smart Sand, Inc.

      Modal title

      Also from this source

      SMART SAND, INC. DECLARES SPECIAL DIVIDEND OF $0.05 PER SHARE

      SMART SAND, INC. DECLARES SPECIAL DIVIDEND OF $0.05 PER SHARE

      Smart Sand, Inc. (NASDAQ: SND) ("Smart Sand" or the "Company") announced today that its board of directors has declared a special cash dividend on...

      SMART SAND, INC. TO PARTICIPATE IN THE LYTHAM PARTNERS FALL 2026 INVESTOR CONFERENCE ON SEPTEMBER 29, 2026

      SMART SAND, INC. TO PARTICIPATE IN THE LYTHAM PARTNERS FALL 2026 INVESTOR CONFERENCE ON SEPTEMBER 29, 2026

      Smart Sand, Inc. (NASDAQ: SND) ("Smart Sand" or the "Company") announced today that it will participate in a webcast presentation and host one-on-one ...

      More Releases From This Source

      Explore

      Supply Chain/Logistics

      Supply Chain/Logistics

      Transportation, Trucking & Railroad

      Transportation, Trucking & Railroad

      Mining

      Mining

      Mining & Metals

      Mining & Metals

      News Releases in Similar Topics

      Contact PR Newswire

      • Call PR Newswire at 888-776-0942
        from 8 AM - 9 PM ET
      • Chat with an Expert
      • General Inquiries
      • Editorial Bureaus
      • Partnerships
      • Media Inquiries
      • Worldwide Offices

      Products

      • Explore Our Platform
      • Plan Campaigns
      • Create with AI
      • Distribute Press Releases
      • Report Results
      • Amplify Content

      About

      • About PR Newswire
      • About Cision
      • Careers
      • Accessibility Statement
      • APAC
      • APAC - Simplified Chinese
      • APAC - Traditional Chinese
      • Brazil
      • Canada
      • Czech
      • Denmark
      • Finland
      • France
      • Germany
      • India
      • Indonesia
      • Israel
      • Italy
      • Japan
      • Korea
      • Mexico
      • Middle East
      • Middle East - Arabic
      • Netherlands
      • Norway
      • Poland
      • Portugal
      • Russia
      • Slovakia
      • Spain
      • Sweden
      • United Kingdom
      • Vietnam

      My Services

      • All New Releases
      • Platform Login
      • Data Privacy

      Do not sell or share my personal information:

      • Submit via [email protected] 
      • Call Privacy toll-free: 877-297-8921

      Contact PR Newswire

      Products

      About

      My Services
      • All News Releases
      • Platform Login
      • ProfNet
      Call PR Newswire at
      888-776-0942
      • Terms of Use
      • Privacy Policy
      • Information Security Policy
      • Site Map
      • RSS
      • Cookies
      Copyright © 2026 Cision US Inc.