Smart Sand Inc. announced results for the second quarter ended June 30. Revenues were $54.4 million in the second quarter of 2018, a 28 percent increase compared to first quarter 2018 revenues of $42.6 million.
Second quarter 2018 revenues increased by 83 percent compared to second quarter 2017 revenues of $29.8 million. The increase in revenues year over year was primarily due to higher sales volumes and a higher average selling price per ton sold, partially offset by lower freight revenue.
Overall tons sold were approximately 839,000 in the second quarter of 2018, the highest in company history, compared to approximately 723,000 tons sold in the first quarter of 2018 and 531,000 tons sold in the second quarter of 2017, increases of 16 percent and 58 percent, respectively.
Net income was $10.0 million, or $0.25 per basic and diluted share, for the second quarter of 2018, compared with net income of $1.0 million, or $0.02 per basic and diluted share, for the first quarter of 2018 and net income of $2.6 million, or $0.07 per basic and $0.06 per diluted share, for the second quarter of 2017.
“I’m pleased to report that Smart Sand has posted strong quarterly results with significant sequential improvements in sales volumes, net income and Adjusted EBITDA. We also continued to execute on our long-range plan to become an integrated, full service provider of frac sand and logistics support to deliver mine to wellsite proppant solutions for our customers,” stated Charles Young, chief executive officer. He added, “During the second quarter we completed our nameplate capacity expansion at our Oakdale facility and expanded our logistics capabilities through the acquisition of Quickthree Solutions, Inc., a maker of portable frac sand storage solutions, while achieving the highest quarterly sales volumes in company history. We continue to see new customer interest for our high quality Northern White sand from E&P companies that see benefits in well performance from using Northern White Sand over regional sand. Additionally, in the quarter, we benefited from incremental in-basin sales to customers purchasing sand through our Van Hook, N.D., terminal.”