Houston-based Solaris Oilfield Infrastructure, a company with heavy operations in Oklahoma reported first quarter 2018 net income of $13.4 million. And because of growing demand, it anticipates more operational growth in the next several months.
Its adjusted earnings before interest, taxes, depreciation and amortization amounted to nearly $22 million, a 44 percent increase over the fourth quarter of 2017. But the adjusted earnings were up 259 percent compared to one year ago.
Solaris reported record revenue of $36 million which amounted to a 249 percent increase over a year ago.
While the Permian Basin is the company’s most active area for logistics operations, it is heavily involved in Oklahoma’s SCOOP and STACK formations.
Because of what it called “strong customer demand,” the company invested $41.2 million in the first quarter by adding 21 systems to the trucking fleet. It ended the quarter with 98 systems. But it reported it has 108 systems in the rental fleet all of which are deployed to customers.
However, due to demands of customers, the company expects to end the second quarter with 122 systems in the fleet. It anticipates ending the third quarter with up to 146 systems in the fleet.
The capital expenditures also included $10.7 million in construction at its Kingfisher Facility which is located near Okarche. The company indicated transloading and construction continues at the Kingfisher facility where completion of the initial phase remains on track for August 2018.
Leadership stated that in the interim, the company is providing direct rail-to-truck transloading service for its anchor customers. It is moving ahead with integration of new inventory management systems allowing a live proppant inventory through use of a custom dashboard. the new systems also include data across the supply chain including railcars that are inbound to several transloading operations in Oklahoma.
As previously disclosed, the Company also entered into a new credit agreement with certain lenders in January 2018. The credit facility has a term of four years and is composed of a $20.0 million revolver and a $50.0 million delayed draw term loan.
Solaris had nearly $90 million of liquidity as of April 30 including $21 million in cash and $69 million of availability under the undrawn credit facility.
