Mammoth Q2 2026 Earnings: Revenue Doubles as Adjusted EBITDA Turns Positive

Mammoth Energy Services (NASDAQ: TUSK) reported Q2 2026 revenue from continuing operations of $26.1 million, up 110% from $12.4 million a year earlier, while diluted loss per share from continuing operations narrowed to $0.02 from $0.76. Adjusted EBITDA turned positive at $2.6 million, supported by rental and drilling activity, although $44.0 million of quarterly capital expenditures and negative first-half operating cash flow kept cash conversion under pressure.

Core Earnings Results

Revenue growth was broad across rentals, sand, accommodations, and drilling, while infrastructure revenue declined. Operating income improved by $39.8 million to $2.6 million, but the comparison benefited substantially from the absence of the $31.7 million impairment recorded in Q2 2025 and from a larger gain on asset disposals.

The improvement was also visible on a non-GAAP basis: adjusted EBITDA increased to $2.6 million from a $3.5 million loss. Mammoth nevertheless recorded a continuing-operations net loss because $2.0 million of net other expense and a $1.9 million income tax provision more than offset its operating profit.

Adjusted EBITDA is a non-GAAP measure from continuing operations. Total company net loss, including $0.4 million of income from discontinued operations, was $0.8 million, or $0.01 per diluted share.

Business and Segment Performance

Rentals was Mammoth’s largest revenue and adjusted EBITDA contributor, with aviation accounting for much of its year-over-year growth. Drilling and accommodations also became profitable on an adjusted EBITDA basis, while infrastructure remained the main operating drag.

Segment revenue includes intersegment revenue before eliminations.

Rental revenue increased primarily because aviation revenue rose by $5.7 million, including $2.0 million from the sale of an airframe and landing gear. The average number of equipment units rented increased to 407 from 296, although rental revenue declined sequentially from $13.0 million in Q1.

Sand revenue rose to $8.0 million, but the improvement did not come from higher volumes or pricing. Mammoth sold 229,000 tons, down from 242,000 tons, while the average selling price edged down to $21.36 per ton because of a change in grade mix. Freight revenue increased by approximately $2.9 million. Management said the segment returned to a positive gross margin, although adjusted EBITDA remained negative.

Drilling revenue increased to $3.8 million as utilization and activity improved, helping the segment produce positive adjusted EBITDA. Accommodation room utilization rose to an average of 259 rooms from 145. Infrastructure moved in the opposite direction, with lower revenue and a wider adjusted EBITDA loss; Mammoth completed the Mission Construction and BERE Rentals acquisitions to expand its fiber infrastructure capabilities, but did not quantify their quarterly contribution.

Aviation Growth Is Being Funded With Heavy Capital Deployment

Mammoth spent $44.0 million on capital expenditures in Q2, of which $41.2 million—or approximately 94%—went to rentals. The company said rental capital spending primarily supported expansion of its aviation fleet and other equipment purchases. This investment materially exceeded the quarter’s $26.1 million of revenue and illustrates the capital intensity behind the aviation strategy.

For the six months ended June 30, continuing operations used $10.2 million of operating cash, compared with $7.8 million a year earlier. Accounts receivable and inventory were respective cash uses of $9.3 million and $7.0 million during the period. Six-month property and equipment purchases totaled $55.7 million, and business acquisitions used another $5.7 million.

At June 30, Mammoth held $50.9 million of unrestricted cash and $26.1 million of marketable securities, for combined liquidity of $77.0 million. Its revolving credit facility was undrawn, with $20.0 million available after accounting for $5.0 million of letters of credit. By August 4, cash and marketable securities had declined to $67.9 million, while the revolver remained undrawn.

2026 Guidance

Mammoth raised its full-year 2026 outlook for the second time this year, citing improvement across its operating businesses and a growing aviation contribution. The release did not provide the previous numerical outlook, so the size of the increase cannot be measured.

The Q2 adjusted EBITDA margin was approximately 10.1%, while the first-half margin was approximately 9.5%. Reaching a full-year margin above 10% therefore requires stronger margin performance in the second half than Mammoth delivered during the first six months.

Recent Insider Transactions

The supplied insider dataset is internally inconsistent: its six-month summary reports zero transactions, while the detailed records include several purchases during that period. The table below reproduces the ten dated transactions provided, without drawing conclusions about insiders’ views of the company.

Risks Investors Need to Watch

• Capital spending and cash conversion: Quarterly capital expenditures exceeded revenue, while continuing operations used cash during the first half. Continued aviation investment could further reduce liquidity if operating cash flow does not improve.
• Aviation contribution quality: Rental growth included a $2.0 million aviation asset sale. Future results depend on deploying aviation capital, obtaining sufficient utilization, and realizing the anticipated returns.
• Sand fundamentals: Sand revenue increased because of freight, while sales volume and average price both declined year over year. Continued weakness in either measure could limit further margin recovery.
• Infrastructure performance and integration: Infrastructure revenue declined and its adjusted EBITDA loss widened. Mammoth must also integrate Mission Construction and BERE Rentals and realize the expected benefits from those acquisitions.
• Marketable securities volatility: Mammoth recorded a $1.1 million securities loss in Q2 after a $7.1 million gain in Q1, creating volatility between operating performance and GAAP net income.

Summary

Mammoth’s Q2 2026 results showed a meaningful operating recovery, with revenue more than doubling and adjusted EBITDA turning positive as aviation, rentals, and drilling expanded. The main questions for the second half are whether Mammoth can sustain an adjusted EBITDA margin above 10%, improve cash conversion, generate adequate returns from aviation-focused spending, and reverse losses in infrastructure while integrating its recent acquisitions.