Prairie Operating Co., headquartered in Oklahoma City, Oklahoma, is focused on developing energy resources to meet growing global demand while simultaneously prioritizing ...
Plutux is not an investment adviser. Market data and AI-generated analysis are for information and education only, not investment advice. Disclaimer
Operator: Good morning, and welcome to the Prairie Operating Company Second Quarter 2026 Earnings Conference Call. Today's call is being recorded. At this time, I would like to turn the call over to Wobbe Ploegsma, Vice President of Investor Relations and Capital Markets. Please go ahead. Wobbe Ploegsma: Thank you, operator, and good morning, everyone. Thank you for joining Prairie Operating Company's Second Quarter 2026 Earnings Call. Before we provide our prepared remarks, I would like to remind all participants that our comments today will include forward-looking statements, which are subject to certain risks, uncertainties and assumptions. Actual results could differ materially from those in any forward-looking statements. Additionally, we may refer to non-GAAP financial measures. For a more detailed discussion of the risks and uncertainties that could cause actual results to differ materially as well as reconciliations of non-GAAP financial measures, please refer to the company's earnings release and public filings, including our Form 10-Q for the quarter ended June 30, 2026. These materials are available on our website, along with an updated investor presentation. Joining me today are Greg Patton, Chief Executive Officer and Director; and Michael Shelly, Executive Vice President and Chief Financial Officer. With that, I'll turn the call over to our CEO, Greg Patton. Gregory Patton: Thanks, Wobbe, and good morning, everyone. The second quarter was a transformative period for Prairie. We advanced our DJ Basin development program while also making significant changes across the company designed to strengthen our organization and position Prairie for its next phase of growth. During the quarter, we transitioned our management team, refreshed the Board and welcome new directors whose experience and perspectives enhance our oversight and strategic decision-making. We also completed a meaningful partial refinancing of the Series F Preferred stock, reducing the outstanding preferred balance and potential warrant-related dilution and recently extended our anniversary warrant date to August 31, 2026. Together, these actions were focused on increasing liquidity improving financial flexibility and further aligning management and the Board around disciplined execution and long-term shareholder value creation. We remain focused on the priorities that underpin long-term value creation, safe and efficient execution, disciplined capital allocation, continued cost improvement and a strong flexible financial position. The progress we have made year-to-date reflects the quality of our assets and the commitment of our team, and we believe it provides a solid foundation for the balance of 2026 and into 2027. With a broader perspective, I'd like to turn our second quarter operational performance and the progress our team made across production, drilling execution and capital efficiency. During the second quarter, production totaled approximately 2 million BOE or …
Est. EPS $0.11 · Revenue $102.20M · 1 analysts
Est. EPS $0.11 · Revenue $102.30M · 1 analysts
| Metric | Latest | YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength. | QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes. |
|---|---|---|---|
| The total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three). |
| Name | Title | Compensation | Gender | Year Born | Status |
|---|---|---|---|---|---|
Gregory Patton | CEO & Director | USD 916,200 | Male | 1986 | Active |
Michael Shelly | Executive Vice President & Chief Financial Officer | USD 916,200 |
| Male |
| 1976 |
| Active |
Louis J. Basenese | Executive Vice President | — | Male | 1978 | Active |
Bryan Freeman | Executive Vice President of Operations | — | Male | 1971 | Active |
Daniel T. Sweeney | Executive Vice President, General Counsel & Corporate Secretary | — | Male | 1977 | Active |
Est. EPS $0.42 · Revenue $349.20M · 1 analysts
Est. EPS $0.09 · Revenue $91.40M · 1 analysts
EPS $-3.49 · Revenue $13.59M
| $241.6M |
| +2943.8% |
| +18.5% |
| Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day. | $32.1M | +178.3% | +171.4% |
| Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials. | +50.1% | -16.9% | +27.2% |
| Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on). | +28.5% | +108.5% | +46.4% |
| Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales. | +13.3% | +102.6% | +160.3% |
| Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock. | $-43.2M | -14.1% | -805.8% |
| FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine. | -17.9% | +96.2% | -695.6% |
| Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe. | 284.7% | +222.8% | -99.8% |
| Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking. | 0.63x | +118.2% | +2.7% |
| Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground. | $944.5M | +503.3% | +4.8% |
| Metric | Annual (A vs E) | Annual Surprise | Quarter (A vs E) | Quarter Surprise |
|---|---|---|---|---|
| EPS Surprise | -1.35 vs 0.08 | -1720.0% | 0.23 vs 0.06 | +283.3% |
| Revenue Surprise | $241.6M vs $272.6M | -11.4% | $98.9M vs $98.3M | +0.6% |
| Date | Executive | Title | Security | Side | Shares | Price |
|---|---|---|---|---|---|---|
| Jul 23, 2026 | Shelly Michael James | officer: Executive Vice President & CFO | Performance Units | A | 560,000 | — |
| Jul 21, 2026 | Grigsby Jennifer M | — | — | — | 0 | — |
| Jul 21, 2026 | Shelly Michael James | officer: Executive Vice President & CFO | Common Stock | A | 840,000 | — |
| Jul 21, 2026 | Shelly Michael James | — | — | — | 0 | — |
| Jul 21, 2026 | Thoresen Erik | director | Common Stock | A | 100,000 | — |
