Solaris Oilfield Infrastructure, Inc. (NYSE:SOI) Q3 2022 Earnings Conference Call November 1, 2022 9:00 AM ET

Company Participants

Yvonne Fletcher - SVP, Finance & IR

William Zartler - Founder, Chairman & CEO

Kyle Ramachandran - CFO & President

Conference Call Participants

Luke Lemoine - Piper Sandler

Stephen Gengaro - Stifel

David Smith - Heikkinen Energy Advisors

Samantha Hoh - Evercore ISI

Sean Mitchell - Daniel Energy Partners

Operator

Good morning and welcome to the Solaris Oilfield Infrastructure Third Quarter 2022 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions]

I would now like to turn the conference over to Yvonne Fletcher. Please go ahead.

Yvonne Fletcher

Good morning and welcome to the Solaris third quarter 2022 earnings conference call. I'm joined today by our Chairman and CEO, William Zartler; and our President and CFO, Kyle Ramachandran.

Before we begin, I'd like to remind you of our standard cautionary remarks regarding the forward-looking nature of some of the statements that we will make today. Such forward-looking statements may include comments regarding future financial results and reflect a number of known and unknown risks. Please refer to our press release issued yesterday, along with other recent public filings with the Securities and Exchange Commission that outline those risks.

I would also like to point out that our earnings release and today's conference call will contain discussion of non-GAAP financial measures, which we believe can be useful in evaluating our performance.

The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. Reconciliations to comparable GAAP measures are available in our earnings release, which is posted on our well site at solarisoilfield.com under the News section.

I'll now turn the call over to our Chairman and CEO, William Zartler.

William Zartler

Thank you, Yvonne and thank you everyone for joining us this morning. The Solaris team has delivered another strong quarter and I'm proud to share the results with you today.

During the third quarter, our fully utilized system count increased roughly 12% sequentially to 94 systems and adjusted EBITDA grew over 14% to nearly $24 million. We paid our 16th consecutive dividend and end of the quarter with $10 million of cash and no net debt.

Last quarter, we spoke about how our investments in technology has increased both our earnings power and addressable market opportunity this cycle and our results today continue to support that. We believe that 12% growth in our fully utilized system count outpaced the overall growth in the frac market as we deployed incremental systems to both new and existing customers due to our broader offering.