Liberty Energy Q2 Earnings Surpass Estimates, Revenues Increase Y/Y

Liberty Energy’s adjusted EBITDA was $151 million, representing a 16% decrease from the year-ago quarter’s $181 million. However, the figure beat our model estimate of $120.1 million.

Ahead of the earnings release, Liberty Energy’s board of directors approved a cash dividend of 9 cents per share on Class A common stock. The dividend will be payable on Sept. 18, 2026, to its shareholders on record as of Sept. 4.

The company distributed $15 million in cash dividends to its shareholders this quarter.

Q2 Costs & Expenses of LBRT

Liberty Energy reported total costs and expenses of $1.2 billion in the second quarter, increasing 17% from the year-ago quarter’s level. Moreover, our estimate for the metric was pegged at $1 billion.

LBRT’s Other Important Updates

During this quarter, Liberty Energy continued to strengthen its long-term growth strategy through several strategic initiatives. The company formed a strategic alliance with SLB to deliver modular infrastructure and integrated power generation solutions for global data center projects while advancing related technologies. It also launched Liberty Wholesale Commodities (LWC), expanding its ChorusSM platform through direct participation in ERCOT power markets.

To support its power generation roadmap through 2030, Liberty Energy secured additional long-term equipment purchase agreements with leading OEMs. The company is also deploying its first digiPrimeSM fleet in Canada for a cross-border customer and has begun commercial operations of its proprietary SLXRRYTM last-mile sand slurry delivery system, which lowers delivered sand costs while reducing truck traffic, road wear, dust and emissions.

LBRT’s Joint Venture With PowerBridge

Liberty Energy announced a joint venture with PowerBridge to develop powered data center campuses, initially supporting a planned 2-GW facility in West Texas. The partnership will combine PowerBridge’s digital campus infrastructure with Liberty Power Innovations’ modular power generation and energy management capabilities to accelerate deployment for hyperscale and AI customers.

Balance Sheet & Capital Expenditure of LBRT

As of June 30, Liberty Energy had approximately $555.4 million in cash and cash equivalents. The pressure pumper’s long-term debt of $1.3 billion represented a debt-to-capitalization of 39.5%. Further, the company’s total liquidity, including availability under the credit facility, amounted to $1 billion.

In the reported quarter, this Zacks Rank #3 (Hold) company spent $221.5 million on its capital program, down from our estimate of $296 million. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

LBRT’s Management Remarks & Outlook

LBRT’s management highlighted the company’s continued progress in strengthening its integrated power platform while reinforcing its leadership in completion services. The company emphasized that its LPI platform combines advanced power system architecture with energy market optimization, enabling flexible integration of power generation equipment from multiple global manufacturers.

During the quarter, LBRT expanded its supply chain by securing additional equipment purchase agreements with Bergen Engines, Wärtsilä and other leading suppliers, enhancing its ability to optimize power generation across diverse operating environments. The formation of Liberty Wholesale Commodities (LWC) further extends the company’s Chorus offering by enabling direct participation in ERCOT power markets while integrating on-site generation with both ERCOT and PJM markets for large-load customers. Management believes these initiatives strengthen the company’s ability to deliver resilient, integrated energy solutions while creating a differentiated competitive advantage. The company also reiterated its commitment to disciplined capital allocation, operational excellence and long-term investments that enhance shareholder value.

Looking ahead, management remains constructive on the long-term outlook for North American energy despite near-term geopolitical and macroeconomic uncertainties. The company expects heightened concerns surrounding global energy security and supply diversification to increase demand for North American oil, natural gas and refined products, supported by expanding LNG demand, storage infrastructure investments and replenishment of strategic reserves. While oil markets experienced considerable volatility during the quarter due to Middle East conflicts and supply chain disruptions, management believes these events reinforce the strategic importance of reliable North American energy supplies.

In the oilfield services business, modest improvements in frac activity and pricing, combined with sustained demand for next-generation technologies, are expected to support market recovery, although producer spending is likely to remain measured amid commodity price volatility. At the same time, accelerating investments in AI-driven data centers and industrial power infrastructure continue to create significant opportunities for the company’s integrated power business. Management noted that customers increasingly seek partners capable of delivering end-to-end power solutions encompassing infrastructure development, energy management and long-term operational support.

Entering the third quarter, LBRT remains encouraged by recent business momentum and is focused on executing growth opportunities across the evolving energy ecosystem while prudently navigating an uncertain global environment.

Important Earnings at a Glance

While we have discussed LBRT’s second-quarter results in detail, let us take a look at three other key reports in this space.

Halliburton Company HAL reported second-quarter 2026 adjusted net income per share of 55 cents, marginally beating the Zacks Consensus Estimate of 54 cents. The outperformance was backed by year-over-year revenue growth. However, the bottom line was flat compared with the prior-year level. Meanwhile, the company’s second-quarter revenues of $5.7 billion were up 3.7% year over year and beat the Zacks Consensus Estimate of $5.5 billion. The outperformance was driven by higher revenues in both segments of the company — the Completion and Production segment and the Drilling and Evaluation segment.

Halliburton reported second-quarter capital expenditure of $235 million. As of June 30, 2026, the company had approximately $2 billion in cash/cash equivalents and $7.1 billion in long-term debt, representing a debt-to-capitalization of 39%.

Houston, TX-based oil and gas storage and transportation company Kinder Morgan Inc. KMI reported second-quarter 2026 adjusted earnings of 37 cents per share, beating the Zacks Consensus Estimate of 31 cents by 19.35%. Earnings increased 32.1% from 28 cents in the year-ago quarter. Revenues increased 10.8% year over year to $4.48 billion from the prior year’s figure of $4.04 billion. Revenues surpassed the consensus estimate of $4.29 billion by 4.43%.

Cash flow from operations was $1.96 billion in the quarter. Meanwhile, free cash flow was $978 million and free cash flow after dividends reached $313 million. As of June 30, 2026, KMI reported $89 million in cash and cash equivalents. Net debt stood at $32.03 billion at quarter-end. 

Fort Worth, TX-based oil and gas exploration and production company Range Resources Corporation RRC reported second-quarter 2026 adjusted earnings of 79 cents per share, up 19.7% from 66 cents a year ago. The figure topped the Zacks Consensus Estimate of 56 cents by 41.1%. Quarterly revenues of $795.3 million increased 8.5% from the $732.9 million reported a year ago. The figure topped the consensus estimate of $720 million by 10.5%. Strong quarterly results are driven by higher production and improved price realization.

RRC’s net debt was $880.8 million at June 30, 2026, down 28% from $1.22 billion at year-end 2025.

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