Smart Sand, Inc. reported third‑quarter 2025 results that marked a decisive turnaround from the prior year’s loss. Revenue rose to $92.8 million, up 8.5 % from $85.8 million in Q2 2025 and 15.2 % from $80.4 million in Q3 2024. Net income reached $3.0 million, or $0.08 per share, compared with a net loss of $0.1 million in Q3 2024 and a Q1 2025 net income of $5.2 million. The company’s earnings per share beat the consensus estimate of $0.06 by $0.02, a 33 % beat driven largely by higher gross margins and disciplined cost management.
The quarter’s 1.472 million tons sold represented a 3 % sequential increase and a 24 % year‑over‑year gain, driven by record volumes into Canada and continued expansion of the Utica shale terminals. Gross profit climbed to $14.9 million, reflecting a $4.4 million contractual excess‑tons payment that offset higher freight and transloading costs. Adjusted EBITDA reached $13.6 million, up 12 % from the prior quarter, while free cash flow surged to $14.8 million, supported by $18.2 million in operating cash and $3.4 million in capital expenditures.
Management attributed the strong performance to a favorable mix of high‑margin Northern White sand sales and a growing industrial production solutions (IPS) business. CEO Charles Young noted that “our sales volumes rose 33 % and our Adjusted EBITDA grew by $6.3 million, driven by strategic investments in our Blair and Ottawa facilities and our Utica Shale terminals.” The company also highlighted that freight and transloading costs increased sequentially and year‑over‑year, but the excess‑tons payment and higher average selling prices helped maintain a contribution margin of $14.76 per ton, up from $11.08 per ton in Q2 2025.
Looking ahead, Smart Sand reaffirmed its 2025 sales volume guidance of 5.1 – 5.4 million tons and reiterated a positive free‑cash‑flow outlook for the year. The company completed 13,627 share repurchases in the quarter, totaling $28.2 k, and paid a $0.10 per share dividend in August. These actions underscore a commitment to returning capital to shareholders while preserving liquidity for future investment in its Northern White sand franchise.
The results signal a robust recovery for Smart Sand, positioning it to capitalize on rising demand in key basins such as Canada and the Utica shale. The company’s ability to generate cash and profit in a volatile market, coupled with strategic investments and disciplined cost control, suggests a resilient business model that can sustain growth and shareholder returns in the long term.
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