ProPetro Holding Corp. (NYSE:PUMP) Q2 2020 Earnings Conference Call - Final Transcript

Aug 05, 2020 • 09:00 am ET


ProPetro Holding Corp. (NYSE:PUMP) Q2 2020 Earnings Conference Call - Final Transcript


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Good morning, and welcome ProPetro Holding Corporation Second Quarter 2020 Conference Call. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions]

Now I'd like to turn the conference over to Mr. Sam Sledge, Chief Strategy and Administrative Officer. Please go ahead, sir.

Sam Sledge

Thanks and good morning, everyone. We appreciate your participation in today's call. With me today is Chief Executive Officer, Phillip Gobe; Chief Financial Officer, Darin Holderness; and Senior Vice President of Operations; Adam Munoz. Yesterday afternoon, we released our earnings announcement for the second quarter of 2020. Please note that any comments we make on today's call regarding projections or our expectations, future events are forward-looking statements covered by the Private Securities Litigation Reform Act.

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

With that, I'd like to turn the call over to Phillip.

Phillip A. Gobe

Thank you, Sam and good morning, everyone. We were pleased with our overall results for the second quarter, given the unprecedented demand and supply disruptions the oil and gas industry face, primarily as a result of the global COVID-19 pandemic. On behalf of the entire ProPetro team, I want to thank all the first responders and medical professionals for their selfless and tireless efforts ensuring the well-being for all of those who live and/or work in the Permian Basin.

I continue to be amazed that our employees' collective resiliency given the current environment, and I want to express my deep gratitude once again for their hard work and dedication. As always, the health and safety of our employees, customers, supply chain partners and other stakeholders remain the top priority of the company, and we will continue to implement best practices according to CDC guidelines and other governmental agencies to ensure safe and efficient operations for the duration of the pandemic.

During the second quarter, we saw activity levels decrease rapidly in April and May as customers responded to a continued deterioration in market conditions that began in mid-March. As such, we took swift and decisive measures to help us proactively shrink the core of our operations, save costs through collaboration, and focus on innovation we considered critical to enable a recovery.

In addition to safeguarding the long-term health of our balance sheet, another key tenet in our decision-making process was ensuring we protected the core competencies of our business. These capabilities support ProPetro's clear reputation as an industry leader that provides its customers unmatched execution in an environment where its employees can flourish. As such, we took