Attached files
file | filename |
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EX-99.5 - EXHIBIT 99.5 - MAMMOTH ENERGY SERVICES, INC. | ex995proformafinancials.htm |
EX-99.4 - EXHIBIT 99.4 - MAMMOTH ENERGY SERVICES, INC. | ex994sturginterimfins.htm |
EX-99.3 - EXHIBIT 99.3 - MAMMOTH ENERGY SERVICES, INC. | ex993sturgannualfins.htm |
EX-99.2 - EXHIBIT 99.2 - MAMMOTH ENERGY SERVICES, INC. | ex992stryinterimfins.htm |
EX-99.1 - EXHIBIT 99.1 - MAMMOTH ENERGY SERVICES, INC. | ex991stryannualfins.htm |
EX-23.2 - EXHIBIT 23.2 - MAMMOTH ENERGY SERVICES, INC. | ex232pwcconsent.htm |
EX-23.1 - EXHIBIT 23.1 - MAMMOTH ENERGY SERVICES, INC. | ex231gtconsent.htm |
8-K - 8-K - MAMMOTH ENERGY SERVICES, INC. | a2017-08x028xk.htm |
EXHIBIT 99.6
MAMMOTH ENERGY SERVICES, INC.
UNAUDITED CONDENSED COMBINED FINANCIAL INFORMATION
TABLE OF CONTENTS
MAMMOTH ENERGY SERVICES, INC.
UNAUDITED CONDENSED COMBINED
FINANCIAL INFORMATION
Sturgeon and the Company are under common control and it is required under accounting principles generally accepted in the United States of America ("US GAAP") to account for the Company's acquisition of Sturgeon (the "Acquisition") in a manner similar to the pooling of interest method of accounting.
The unaudited condensed combined financial statements have been prepared as if the Acquisition occurred on September 13, 2014, in the case of the unaudited condensed combined statements of comprehensive (loss) income for the years ended December 31, 2016, 2015 and 2014 and the three months ended March 31, 2017 and on March 31, 2017 in the case of the unaudited condensed combined balance sheet as of March 31, 2017. The unaudited condensed combined financial statements have also been prepared based on certain adjustments, as described in Note 2— Eliminations and are qualified in their entirety by reference to and should be read in conjunction with the following historical financial statements and related notes contained in those financial statements: (i) Sturgeon’s audited combined financial statements as of December 31, 2016 and 2015, and the results of its operations and its cash flows for the years then ended and the period September 13, 2014 to December 31, 2014 set forth in Exhibit 99.3 of this Report; (ii) Sturgeon's unaudited financial statements as of and for three months ended March 31, 2017 and 2016 set forth in Exhibit 99.4 of this Report; (iii) the Company’s audited combined financial statements as of and for years ended December 31, 2016, 2015 and 2014 set forth in its Annual Report on Form 10-K and filed with the Securities and Exchange Commission (the "SEC") and (iv) the Company’s unaudited combined interim financial statements as of and for the three months ended March 31, 2017 and 2016 set forth in its Quarterly Report on Form 10-Q and filed with the SEC.
1
MAMMOTH ENERGY SERVICES, INC.
CONDENSED COMBINED BALANCE SHEET
AS OF MARCH 31, 2017
(Unaudited)
ASSETS | Mammoth | Sturgeon | Sturgeon | Mammoth | ||||||||||||||
Historical | (A) | Eliminations | As Adjusted | |||||||||||||||
CURRENT ASSETS | ||||||||||||||||||
Cash and cash equivalents | $ | 12,278,120 | $ | 649,122 | $ | — | $ | 12,927,242 | ||||||||||
Accounts receivable, net | 24,973,332 | 639,174 | — | 25,612,506 | ||||||||||||||
Receivables from related parties | 33,141,299 | 4,259,995 | (4,967,907 | ) | a, b | 32,433,387 | ||||||||||||
Inventories | 4,922,627 | 1,174,944 | — | 6,097,571 | ||||||||||||||
Prepaid Expenses | 3,402,022 | 157,409 | — | 3,559,431 | ||||||||||||||
Other current assets | 1,182,058 | — | — | 1,182,058 | ||||||||||||||
Total current assets | 79,899,458 | 6,880,644 | (4,967,907 | ) | 81,812,195 | |||||||||||||
Property, plant and equipment, net | 244,021,697 | 20,705,745 | — | 264,727,442 | ||||||||||||||
Sand reserves, net | — | 55,365,025 | — | 55,365,025 | ||||||||||||||
Intangible assets, net - customer relationships | 13,859,772 | — | — | 13,859,772 | ||||||||||||||
Intangible assets, net - trade names | 5,439,307 | — | — | 5,439,307 | ||||||||||||||
Goodwill | 86,043,148 | 2,683,727 | — | 88,726,875 | ||||||||||||||
Other non-current assets | 5,239,582 | 252,296 | — | 5,491,878 | ||||||||||||||
Total assets | $ | 434,502,964 | $ | 85,887,437 | $ | (4,967,907 | ) | $ | 515,422,494 | |||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||
CURRENT LIABILITIES | ||||||||||||||||||
Accounts payable | $ | 37,237,976 | $ | 3,099,594 | $ | — | $ | 40,337,570 | ||||||||||
Payables to related parties | 4,921,129 | 707,912 | (4,967,907 | ) | a, c | 661,134 | ||||||||||||
Accrued expenses and other current liabilities | 8,825,877 | 386,021 | — | 9,211,898 | ||||||||||||||
Income taxes payable | — | — | — | — | ||||||||||||||
Current maturities of long-term debt | — | — | — | — | ||||||||||||||
Total current liabilities | 50,984,982 | 4,193,527 | (4,967,907 | ) | 50,210,602 | |||||||||||||
Long-term debt | — | — | — | — | ||||||||||||||
Deferred income taxes | 43,881,012 | — | — | 43,881,012 | ||||||||||||||
Other liabilities | 2,733,863 | — | — | 2,733,863 | ||||||||||||||
Total liabilities | 97,599,857 | 4,193,527 | (4,967,907 | ) | 96,825,477 | |||||||||||||
EQUITY | ||||||||||||||||||
Equity: | ||||||||||||||||||
Common stock | 375,000 | — | — | 375,000 | ||||||||||||||
Additional paid in capital | 400,775,752 | — | — | 400,775,752 | ||||||||||||||
Member's equity | — | 81,693,910 | — | 81,693,910 | ||||||||||||||
Accumulated Deficit | (61,259,392 | ) | — | — | (61,259,392 | ) | ||||||||||||
Accumulated other comprehensive loss | (2,988,253 | ) | — | — | (2,988,253 | ) | ||||||||||||
Total equity | 336,903,107 | 81,693,910 | — | 418,597,017 | ||||||||||||||
Total liabilities and equity | $ | 434,502,964 | $ | 85,887,437 | $ | (4,967,907 | ) | $ | 515,422,494 |
2
MAMMOTH ENERGY SERVICES, INC.
PRO FORMA CONDENSED COMBINED STATEMENT OF COMPREHENSIVE LOSS
THREE MONTHS ENDED MARCH 31, 2017
(Unaudited)
Mammoth | Sturgeon | Sturgeon | Mammoth | |||||||||||||
Historical | (A) | Eliminations | As Adjusted | |||||||||||||
REVENUE | ||||||||||||||||
Services revenue | $ | 27,091,882 | $ | — | $ | — | $ | 27,091,882 | ||||||||
Services revenue - related parties | 33,132,571 | — | (170,914 | ) | a, b | 32,961,657 | ||||||||||
Product revenue | 2,615,209 | 756,854 | — | 3,372,063 | ||||||||||||
Product revenue - related parties | 11,576,151 | 7,618,808 | (7,654,540 | ) | a, b | 11,540,419 | ||||||||||
Total Revenue | 74,415,813 | 8,375,662 | (7,825,454 | ) | 74,966,021 | |||||||||||
COST AND EXPENSES | ||||||||||||||||
Services cost of revenue | 45,460,804 | — | — | 45,460,804 | ||||||||||||
Services cost of revenue - related parties | 494,345 | — | (64,428 | ) | a, c | 429,917 | ||||||||||
Product cost of revenue | 5,376,897 | 7,230,368 | — | 12,607,265 | ||||||||||||
Product cost of revenue - related parties | 7,554,380 | 206,646 | (7,761,026 | ) | a, c | — | ||||||||||
Selling, general and administrative | 5,844,093 | 235,811 | 332,640 | a, c | 6,412,544 | |||||||||||
Selling, general and administrative - related parties | 377,717 | 279,177 | (332,640 | ) | a, c | 324,254 | ||||||||||
Depreciation and amortization | 16,893,777 | 343,474 | — | 17,237,251 | ||||||||||||
Impairment of long-lived assets | — | — | — | — | ||||||||||||
Total cost and expenses | 82,002,013 | 8,295,476 | (7,825,454 | ) | 82,472,035 | |||||||||||
Operating (loss) income | (7,586,200 | ) | 80,186 | — | (7,506,014 | ) | ||||||||||
OTHER (EXPENSE) INCOME | ||||||||||||||||
Interest expense | (286,338 | ) | (110,846 | ) | — | (397,184 | ) | |||||||||
Other, net | (170,041 | ) | (14,105 | ) | — | (184,146 | ) | |||||||||
Total other expense | (456,379 | ) | (124,951 | ) | — | (581,330 | ) | |||||||||
Loss before income taxes | (8,042,579 | ) | (44,765 | ) | — | (8,087,344 | ) | |||||||||
Provision for income taxes | (3,106,065 | ) | — | — | (3,106,065 | ) | ||||||||||
Net (loss) income | $ | (4,936,514 | ) | $ | (44,765 | ) | $ | — | $ | (4,981,279 | ) | |||||
OTHER COMPREHENSIVE LOSS | ||||||||||||||||
Foreign currency translation adjustment | 228,110 | — | — | 228,110 | ||||||||||||
Comprehensive (loss) income | $ | (4,708,404 | ) | $ | (44,765 | ) | $ | — | $ | (4,753,169 | ) | |||||
Net loss per share (basic and diluted) (Note 3) | $ | (0.11 | ) | |||||||||||||
Weighted average number of shares outstanding (Note 3) | 44,500,000 | |||||||||||||||
3
MAMMOTH ENERGY SERVICES, INC.
CONDENSED COMBINED STATEMENT OF COMPREHENSIVE LOSS
YEAR ENDED DECEMBER 31, 2016
(Unaudited)
Mammoth | Sturgeon | Sturgeon | Mammoth | ||||||||||||||
Historical | (A) | Eliminations | As Adjusted | ||||||||||||||
REVENUE | |||||||||||||||||
Services revenue | $ | 89,642,899 | $ | — | $ | — | $ | 89,642,899 | |||||||||
Services revenue - related parties | 107,599,378 | — | (452,378 | ) | 107,147,000 | ||||||||||||
Product revenue | 5,433,141 | 2,619,304 | — | 8,052,445 | |||||||||||||
Product revenue - related parties | 28,323,303 | 24,853,721 | (27,393,771 | ) | 25,783,253 | ||||||||||||
Total Revenue | 230,998,721 | 27,473,025 | (27,846,149 | ) | 230,625,597 | ||||||||||||
COST AND EXPENSES | |||||||||||||||||
Services cost of revenue | 139,807,987 | — | 255,029 | 140,063,016 | |||||||||||||
Services cost of revenue - related parties | 5,575,092 | — | (4,511,861 | ) | 1,063,231 | ||||||||||||
Product cost of revenue | 7,577,660 | 24,096,338 | 218,047 | 31,892,045 | |||||||||||||
Product cost of revenue - related parties | 20,589,170 | 3,220,649 | (23,807,364 | ) | 2,455 | ||||||||||||
Selling, general and administrative | 15,836,165 | 781,536 | 672,922 | 17,290,623 | |||||||||||||
Selling, general and administrative - related parties | 894,810 | 536,004 | (672,922 | ) | 757,892 | ||||||||||||
Depreciation and amortization | 69,910,858 | 2,404,540 | — | 72,315,398 | |||||||||||||
Impairment of long-lived assets | 1,870,885 | — | — | 1,870,885 | |||||||||||||
Total cost and expenses | 262,062,627 | 31,039,067 | (27,846,149 | ) | 265,255,545 | ||||||||||||
Operating loss | (31,063,906 | ) | (3,566,042 | ) | — | (34,629,948 | ) | ||||||||||
OTHER (EXPENSE) INCOME | |||||||||||||||||
Interest expense | (3,711,457 | ) | (384,725 | ) | — | (4,096,182 | ) | ||||||||||
Other, net | 252,239 | (94,066 | ) | — | 158,173 | ||||||||||||
Total other expense | (3,459,218 | ) | (478,791 | ) | — | (3,938,009 | ) | ||||||||||
Loss before income taxes | (34,523,124 | ) | (4,044,833 | ) | — | (38,567,957 | ) | ||||||||||
Provision for income taxes | 53,884,871 | — | — | 53,884,871 | |||||||||||||
Net loss | $ | (88,407,995 | ) | $ | (4,044,833 | ) | $ | — | $ | (92,452,828 | ) | ||||||
OTHER COMPREHENSIVE LOSS | |||||||||||||||||
Foreign currency translation adjustment | 2,710,605 | — | — | 2,710,605 | |||||||||||||
Comprehensive loss | $ | (85,697,390 | ) | $ | (4,044,833 | ) | $ | — | $ | (89,742,223 | ) | ||||||
Net loss per share (basic and diluted) (Note 3) | $ | (2.40 | ) | ||||||||||||||
Weighted average number of shares outstanding (Note 3) | 38,500,000 | ||||||||||||||||
4
MAMMOTH ENERGY SERVICES, INC.
PRO FORMA CONDENSED COMBINED STATEMENT OF COMPREHENSIVE (LOSS) INCOME
YEAR ENDED DECEMBER 31, 2015
(Unaudited)
Mammoth | Sturgeon | Sturgeon | Mammoth | ||||||||||||||
Historical | (A) | Eliminations | As Adjusted | ||||||||||||||
REVENUE | |||||||||||||||||
Services revenue | $ | 172,012,405 | $ | — | $ | — | $ | 172,012,405 | |||||||||
Services revenue - related parties | 132,674,989 | — | (122,131 | ) | a, b | 132,552,858 | |||||||||||
Product revenue | 16,732,077 | 8,457,482 | — | 25,189,559 | |||||||||||||
Product revenue - related parties | 38,517,222 | 23,185,931 | (23,521,183 | ) | a, b | 38,181,970 | |||||||||||
Total Revenue | 359,936,693 | 31,643,413 | (23,643,314 | ) | 367,936,792 | ||||||||||||
COST AND EXPENSES | |||||||||||||||||
Services cost of revenue | 225,820,450 | — | 123,818 | a, c | 225,944,268 | ||||||||||||
Services cost of revenue - related parties | 4,177,335 | — | (2,798,502 | ) | a, c | 1,378,833 | |||||||||||
Product cost of revenue | 25,838,555 | 21,525,593 | — | 47,364,148 | |||||||||||||
Product cost of revenue - related parties | 20,510,977 | 457,653 | (20,968,630 | ) | a, c | — | |||||||||||
Selling, general and administrative | 19,303,557 | 1,354,695 | 791,180 | a, c | 21,449,432 | ||||||||||||
Selling, general and administrative - related parties | 1,237,991 | 503,777 | (791,180 | ) | a, c | 950,588 | |||||||||||
Depreciation and amortization | 72,393,882 | 2,104,692 | — | 74,498,574 | |||||||||||||
Impairment of long-lived assets | 12,124,353 | — | — | 12,124,353 | |||||||||||||
Total cost and expenses | 381,407,100 | 25,946,410 | (23,643,314 | ) | 383,710,196 | ||||||||||||
Operating (loss) income | (21,470,407 | ) | 5,697,003 | — | (15,773,404 | ) | |||||||||||
OTHER (EXPENSE) INCOME | |||||||||||||||||
Interest income | 98,492 | — | — | 98,492 | |||||||||||||
Interest expense | (5,290,821 | ) | (173,726 | ) | — | (5,464,547 | ) | ||||||||||
Other, net | (2,157,764 | ) | (111,294 | ) | — | (2,269,058 | ) | ||||||||||
Total other expense | (7,350,093 | ) | (285,020 | ) | — | (7,635,113 | ) | ||||||||||
(Loss) income before income taxes | (28,820,500 | ) | 5,411,983 | — | (23,408,517 | ) | |||||||||||
Benefit for income taxes | (1,589,086 | ) | — | — | (1,589,086 | ) | |||||||||||
Net (loss) income | $ | (27,231,414 | ) | $ | 5,411,983 | $ | — | $ | (21,819,431 | ) | |||||||
OTHER COMPREHENSIVE (LOSS) INCOME | |||||||||||||||||
Foreign currency translation adjustment | (4,814,819 | ) | — | — | (4,814,819 | ) | |||||||||||
Comprehensive (loss) income | $ | (32,046,233 | ) | $ | 5,411,983 | $ | — | $ | (26,634,250 | ) | |||||||
Net loss per share (basic and diluted) (Note 3) | $ | (0.59 | ) | ||||||||||||||
Weighted average number of shares outstanding (Note 3) | 37,000,000 | ||||||||||||||||
5
MAMMOTH ENERGY SERVICES, INC.
PRO FORMA CONDENSED COMBINED STATEMENT OF COMPREHENSIVE (LOSS) INCOME
YEAR ENDED DECEMBER 31, 2014
(Unaudited)
September 13 to December 31, | |||||||||||||||||
Mammoth | Sturgeon | Mammoth | |||||||||||||||
Historical | (A) | Eliminations | As Adjusted | ||||||||||||||
REVENUE | |||||||||||||||||
Services revenue | $ | 182,341,309 | $ | — | $ | — | $ | 182,341,309 | |||||||||
Services revenue - related parties | 30,834,421 | — | — | 30,834,421 | |||||||||||||
Product revenue | 36,859,731 | 14,301,656 | — | 51,161,387 | |||||||||||||
Product revenue - related parties | 9,490,543 | 3,910,574 | (2,008,800 | ) | c, d | 11,392,317 | |||||||||||
Total Revenue | 259,526,004 | 18,212,230 | (2,008,800 | ) | 275,729,434 | ||||||||||||
COST AND EXPENSES | |||||||||||||||||
Services cost of revenue | 150,482,793 | — | — | $ | 150,482,793 | ||||||||||||
Services cost of revenue - related parties | 1,770,565 | — | (1,029,974 | ) | c, f | 740,591 | |||||||||||
Product cost of revenue | 35,525,596 | 9,360,221 | — | 44,885,817 | |||||||||||||
Product cost of revenue - related parties | 3,289,947 | 111,398 | (978,826 | ) | c, f | 2,422,519 | |||||||||||
Selling, general and administrative | 14,272,986 | 1,510,985 | — | 15,783,971 | |||||||||||||
Selling, general and administrative - related parties | 2,754,877 | — | — | 2,754,877 | |||||||||||||
Depreciation and amortization | 35,627,165 | 738,433 | — | 36,365,598 | |||||||||||||
Impairment of long-lived assets | — | — | — | — | |||||||||||||
Total cost and expenses | 243,723,929 | 11,721,037 | (2,008,800 | ) | 253,436,166 | ||||||||||||
Operating income | 15,802,075 | 6,491,193 | — | 22,293,268 | |||||||||||||
OTHER (EXPENSE) INCOME | |||||||||||||||||
Interest income | 214,141 | — | — | $ | 214,141 | ||||||||||||
Interest expense | (4,603,595 | ) | — | — | (4,603,595 | ) | |||||||||||
Interest expense - related parties | (184,479 | ) | — | (184,479 | ) | ||||||||||||
Other, net | (5,724,496 | ) | (2,668 | ) | — | (5,727,164 | ) | ||||||||||
Total other expense | (10,298,429 | ) | (2,668 | ) | — | (10,301,097 | ) | ||||||||||
Income before income taxes | 5,503,646 | 6,488,525 | — | 11,992,171 | |||||||||||||
Provision for income taxes | 7,514,194 | — | — | $ | 7,514,194 | ||||||||||||
Net (loss) income | $ | (2,010,548 | ) | $ | 6,488,525 | $ | — | $ | 4,477,977 | ||||||||
OTHER COMPREHENSIVE (LOSS) INCOME | |||||||||||||||||
Foreign currency translation adjustment | 472,714 | — | — | $ | 472,714 | ||||||||||||
Comprehensive (loss) income | $ | (1,537,834 | ) | $ | 6,488,525 | $ | — | $ | 4,950,691 | ||||||||
Net earnings per share (basic and diluted) (Note 3) | $ | 0.16 | |||||||||||||||
Weighted average number of shares outstanding (Note 3) | 28,056,073 | ||||||||||||||||
6
MAMMOTH ENERGY SERVICES, INC.
NOTES TO THE CONDENSED COMBINED FINANCIAL STATEMENTS
(Unaudited)
1. Basis of presentation
The unaudited condensed combined financial statements are based upon the historical combined financial statements of the Company and the historical financial statements of Sturgeon. The unaudited condensed combined financial statements present the impact of the Acquisition, which is described in the introduction to the unaudited condensed combined financial statements, on the Company's results of operations, and financial position.
(A) | See Exhibits 99.3 and 99.4 to this Report. |
2. Eliminations
The following adjustments to the Company's historical financial statements have been made:
a. | Adjustment column reflects both the revenue (cost) generated (incurred) between Sturgeon and the Company. See d, f and g for breakouts between Sturgeon and the Company as well as references to the audited financial statements. |
b. | Revenue and accounts receivable elimination activity as a result of the Acquisition included the following: |
REVENUES | ACCOUNTS RECEIVABLE | ||||||||||||||||
Three Months Ended, | Year Ended December 31, | At March 31, | |||||||||||||||
March 31, 2017 | 2016 | 2015 | 2014 | 2017 | |||||||||||||
Sturgeon and Muskie | (i) | $ | 7,554,380 | $ | 20,586,715 | $ | 20,510,977 | $ | 867,428 | $ | 4,056,830 | ||||||
Sturgeon and Pressure Pumping | (i) | — | 4,256,830 | 2,642,693 | 1,029,974 | — | |||||||||||
Sturgeon and Barracuda | (i) | 64,428 | 10,176 | — | — | 203,165 | |||||||||||
Sturgeon and SR Logistics | (i) | — | — | 32,261 | — | — | |||||||||||
Sturgeon and Energy Services | (i) | — | — | — | — | — | |||||||||||
$ | 7,618,808 | $ | 24,853,721 | $ | 23,185,931 | $ | 1,897,402 | $ | 4,259,995 | ||||||||
Muskie and Sturgeon | (ii) | $ | 35,732 | $ | 2,540,050 | $ | 335,252 | $ | 111,398 | $ | 20,193 | ||||||
Mammoth and Sturgeon | (ii) | — | — | — | — | 629,492 | |||||||||||
Barracuda and Sturgeon | (ii) | 170,914 | 452,378 | 122,131 | — | 58,227 | |||||||||||
$ | 206,646 | $ | 2,992,428 | $ | 457,383 | $ | 111,398 | $ | 707,912 | ||||||||
Sturgeon adjustment, net | $ | 7,825,454 | $ | 27,846,149 | $ | 23,643,314 | $ | 2,008,800 | $ | 4,967,907 | |||||||
(i) | See Exhibit 99.3 and 99.4 to this Report. |
(ii) | See Note 12 of Part 1 in the Company's Quarterly Report on Form 10-Q filed with the SEC on May 15, 2017. |
7
MAMMOTH ENERGY SERVICES, INC.
NOTES TO THE CONDENSED COMBINED FINANCIAL STATEMENTS
(Unaudited)
c. | Expense and accounts payable elimination activity as a result of the Acquisition of Sturgeon included the following: |
COST OF REVENUE | ACCOUNTS PAYABLE | ||||||||||||||||
Three Months Ended, | Year Ended December 31, | At March 31, | |||||||||||||||
March 31, 2017 | 2016 | 2015 | 2014 | 2017 | |||||||||||||
Sturgeon and Barracuda | (i) | $ | 170,914 | $ | 452,558 | $ | 122,131 | $ | — | $ | 58,227 | ||||||
Sturgeon and Mammoth | (i,ii) | — | 35,856 | — | — | 629,492 | |||||||||||
Sturgeon and Muskie | (i) | 35,732 | 2,540,050 | 335,522 | 111,398 | 20,193 | |||||||||||
Sturgeon and Pressure Pumping | (i,ii) | — | 192,035 | — | — | — | |||||||||||
Sturgeon and Stingray Energy | (i,ii) | — | 150 | — | — | — | |||||||||||
$ | 206,646 | $ | 3,220,649 | $ | 457,653 | $ | 111,398 | $ | 707,912 | ||||||||
Pressure Pumping and Sturgeon | (iii) | $ | — | $ | 4,256,832 | $ | 2,685,202 | $ | 1,029,974 | $ | — | ||||||
Muskie and Sturgeon | (iii) | 7,554,380 | 20,586,715 | 20,510,977 | 867,428 | 4,056,830 | |||||||||||
Barracuda and Sturgeon | (ii, iii) | 64,428 | 255,029 | 81,039 | — | 203,165 | |||||||||||
Stingray Entities and Sturgeon | (iii) | — | — | 32,261 | — | — | |||||||||||
$ | 7,618,808 | $ | 25,098,576 | $ | 23,309,479 | $ | 1,897,402 | $ | 4,259,995 | ||||||||
Sturgeon adjustment, net | $ | 7,825,454 | $ | 28,319,225 | $ | 23,767,132 | $ | 2,008,800 | |||||||||
SELLING, GENERAL AND ADMINSTRATIVE | |||||||||||||||||
Sturgeon and Mammoth | (i,ii) | $ | 270,090 | $ | 405,552 | $ | 401,859 | $ | — | $ | — | ||||||
Sturgeon and Muskie | (i,ii) | — | 51,483 | 19,344 | — | — | |||||||||||
Sturgeon and Pressure Pumping | (i,ii) | — | 44,901 | 82,574 | — | — | |||||||||||
Sturgeon and Energy Services | (i,ii) | — | 10,364 | — | — | — | |||||||||||
$ | 270,090 | $ | 512,300 | $ | 503,777 | $ | — | $ | — | ||||||||
Mammoth and Sturgeon | (ii, iii) | $ | 62,550 | $ | 160,622 | $ | 287,403 | $ | — | $ | — | ||||||
Sturgeon adjustment, net | $ | 332,640 | $ | 672,922 | $ | 791,180 | $ | — | $ | — | |||||||
Sturgeon adjustment, net | $ | 4,967,907 |
(i) | See Exhibit 99.3 and 99.4 to this Report.. |
(ii) | Predominantly cost reimbursement that is not reflected as revenue recognition in the offsetting party |
(iii) | See Note 12 of Part 1 in the Company's Quarterly Report on Form 10-Q filed with the SEC on May 15, 2017. |
3. Net income (loss) per common share
Net income (loss) per common share is determined by dividing the net income (loss) that would have been allocated to the common stockholders by the number of shares of common stock outstanding. In the Company's audited financial statements, the reported weighted average shares outstanding for the three months ended March 31, 2017 was 37,500,000 and for the years ended December 31, 2016, 2015 and 2014 were 31,500,000, 30,000,000 and 21,056,073, respectively. For purposes of this calculation, the Company assumed that shares of common stock outstanding were 44,750,000 for the three months ended March 31, 2017 and 38,500,000, 37,000,000 and 28,056,073 for the years ended December 31, 2016, 2015 and 2014.
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