Liberty Oilfield Services forecasts double-digit growth in the second quarter

Oil production equipment and technology developer, Liberty Oilfield Services Inc. LBRT) reported revenue growth of 16% in the past quarter. Market conditions will allow the company to expect continued double-digit growth in the second quarter.

In the first quarter, Liberty Oilfield Services’ revenue increased to $793 million, which is the highest revenue since the company went public four years ago. The key driver of Liberty Oilfield Services’ growth is rising oil prices, and the associated increase in demand for hydraulic fracturing equipment and services. By now, the company’s capacity is almost fully loaded, so management expects revenue to grow by another 10% in the second quarter.

They assume that this may lead to an increase in margins and will partially compensate for inflationary pressure. Liberty Oilfield Services is also benefiting from last year’s acquisitions of OneStim and PropX, which expanded its services and helped reduce the impact of supply chain constraints.

To reflect the changes that have occurred since these acquisitions and the expansion of activity, the company changes its name to Liberty Energy. According to management forecasts, Liberty Oilfield Services is at the beginning of another upward cycle in the oil and gas market. Demand for its services will grow in the coming quarters.