# EDGAR Filing Document

**Accession Number:** 0001688476
**File Stem:** 0001688476-23-000046
**Filing Date:** 2023-2
**Character Count:** 89518
**Document Hash:** 8e216319f8d27a836c0f303fb626a246
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001688476-23-000046.hdr.sgml**: 20230215

**ACCESSION NUMBER**: 0001688476-23-000046

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 41

**CONFORMED PERIOD OF REPORT**: 20230215

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230215

**DATE AS OF CHANGE**: 20230215

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** NEXTIER OILFIELD SOLUTIONS INC.
- **CENTRAL INDEX KEY:** 0001688476
- **STANDARD INDUSTRIAL CLASSIFICATION:** OIL, GAS FIELD SERVICES, NBC [1389]
- **IRS NUMBER:** 000000000
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-37988
- **FILM NUMBER:** 23635569

**BUSINESS ADDRESS:**
- **STREET 1:** 3990 ROGERDALE RD.
- **CITY:** HOUSTON
- **STATE:** TX
- **ZIP:** 77042
- **BUSINESS PHONE:** 713-325-6000

**MAIL ADDRESS:**
- **STREET 1:** 3990 ROGERDALE RD.
- **CITY:** HOUSTON
- **STATE:** TX
- **ZIP:** 77042

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Keane Group, Inc.
- **DATE OF NAME CHANGE:** 20161025

?xml version="1.0" ? frac-20230215

**UNITED STATES** 

**SECURITIES AND EXCHANGE COMMISSION** 

**Washington, D.C. 20549** 

**FORM 8-K** 

**CURRENT REPORT** 

**PURSUANT TO SECTION 13 OR 15(D) OF THE** 

**SECURITIES EXCHANGE ACT OF 1934** 

**Date of report (Date of earliest event reported): February 15, 2023**

**NexTier Oilfield Solutions Inc.** 

**(Exact Name of Registrant as Specified in its Charter)** 

---

| | | |
|:---|:---|:---|
| **Delaware** | **001-37988** | **38-4016639** |
| **(State or Other Jurisdiction**<br>**of Incorporation)** | **(Commission**<br>**File Number)** | **(IRS Employer**<br>**Identification No.)** |
| **3990 Rogerdale Rd** | | |
| **Houston,** | **Texas** | **77042** |
| **(Address of Principal Executive Offices)** | **(Address of Principal Executive Offices)** | **(Zip Code)** |

---

**(713) 325-6000**

**(Registrant's telephone number, including area code)** 

**n/a**

**(Former Name or Former Address, if Changed Since Last Report)** 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425).

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12).

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)).

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)).

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol** | **Name of each exchange on which registered** |
| Common Stock, $0.01, par value | NEX | New York Stock Exchange |

---

39006448

------

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company &nbsp;&nbsp;&nbsp;&nbsp; ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

------

**Item 2.02 Results of Operations and Financial Condition.**

On February 15, 2023, NexTier Oilfield Solutions Inc. (the "Company") issued a news release announcing results for the fourth quarter and full year ending December 31, 2022. A copy of the news release is furnished as Exhibit 99.1 and incorporated by reference into this Item 2.02.

On February 16, 2023, NexTier will hold a conference call for investors at 10:00 a.m. Central Time (11:00 a.m. Eastern Time) to discuss fourth quarter and full year 2022 financial and operating results. Hosting the call will be management of the Company, including Robert Drummond, President and Chief Executive Officer and Kenny Pucheu, Executive Vice President and Chief Financial Officer. The call can be accessed via a live webcast accessible on the IR Event Calendar page in the Investor Relations section of the Company's website at www.nextierofs.com or live over the telephone by dialing (855) 560-2574, or for international callers, (412) 542-4160. A replay will be available shortly after the call and can be accessed by dialing (877) 344-7529, or for international callers, (412) 317-0088. The passcode for the telephonic replay is 7728864 and will be available until February 23, 2023. An archive of the webcast will be available shortly after the call on the Company's website at www.nextierofs.com for twelve months following the call.

The information in this Item 2.02, including Exhibit 99.1, is being furnished and shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section and shall not be deemed incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.

**Item 7.01 Regulation FD Disclosure.**

On February 15, 2023, the Company posted a presentation on the Company's website at www.nextierofs.com, a copy of which is furnished as Exhibit 99.2 hereto. Pursuant to Item 7.01 of Form 8-K, the Company expressly disclaims any obligation to update the presentation materials or any other information posted on or available through its website, and cautions that the information set forth therein is only accurate as of the date indicated in such materials.

**Item 9.01. Financial Statements and Exhibits.** 

(d) Exhibits.

---

| | |
|:---|:---|
| Exhibit Number | Description |
| <u>[99.1\*](exhibit991earningsreleaseq.htm)</u> | Earnings News Release dated February 15, 2023. |
| <u>[99.2](nextierfebruary2023inves.htm)</u>\* | February 2023 Investor Presentation. |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
| \* Furnished herewith. | \* Furnished herewith. |

---

------

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | |
|:---|:---|
| | **NEXTIER OILFIELD SOLUTIONS INC.** |
| Dated: February 15, 2023 | /s/ KEVIN MCDONALD |
| | Name: &nbsp;&nbsp;&nbsp;&nbsp;Kevin McDonald |
| | Title: &nbsp;&nbsp;&nbsp;&nbsp;Executive Vice President, Chief &nbsp;&nbsp;&nbsp;&nbsp;Administrative Officer & General Counsel |

---

## Exhibit 99.1

**Exhibit 99.1**

![nextierlogoa07a.jpg](nextierlogoa07a.jpg)

**NexTier Announces Fourth Quarter and Full Year 2022 Financial and Operational Results**

*HOUSTON, Texas (February 15, 2023) -* NexTier Oilfield Solutions Inc. (NYSE: NEX) ("NexTier" or the "Company") today reported fourth quarter and full year 2022 financial and operational results.

**Shareholder return program**

&nbsp;&nbsp;&nbsp;&nbsp;• Repurchased 11.5 million shares for $113.0 million in the fourth quarter of 2022

&nbsp;&nbsp;&nbsp;&nbsp;• Including fourth quarter of 2022 repurchases and through February 14, 2023, repurchased a total of 14.4 million shares for $139.2 million, representing 5.8% of shares outstanding prior to commencement of the program in October 2022

**Full Year 2022 Results**

&nbsp;&nbsp;&nbsp;&nbsp;• Total Revenue of $3.24 billion, up 128% year-over-year

&nbsp;&nbsp;&nbsp;&nbsp;• Net Income of $315.0 million ($1.26 per diluted share) compared to a Net Loss of $119.4 million ($0.53 per diluted share) in the previous year

&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted Net Income<sup>(1)</sup> of $394.6 million ($1.58 per diluted share) compared to Adjusted Net Loss of $96.5 million ($0.43 per diluted share) in the previous year

&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA<sup>(1)</sup> of $656.8 million compared to $114.0 million in the previous year

&nbsp;&nbsp;&nbsp;&nbsp;• Net cash provided by operating activities of $454.4 million

&nbsp;&nbsp;&nbsp;&nbsp;• Free Cash Flow<sup>(1)</sup> of $294.9 million

&nbsp;&nbsp;&nbsp;&nbsp;• Ended 2022 with total liquidity of $633.8 million, including $218.5 million of cash and undrawn ABL; no term loan maturities until 2025

**Fourth Quarter 2022 Results & Recent Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;• Total Revenue of $870.9 million, down 3% sequentially

&nbsp;&nbsp;&nbsp;&nbsp;• Net Income of $133.0 million ($0.54 per diluted share) compared to $104.7 million ($0.42 per diluted share) in the previous quarter

&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted Net Income of $145.8 million ($0.59 per diluted share) compared to $129.5 million ($0.52 per diluted share) in the previous quarter

&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA of $212.7 million compared to $194.8 million in the previous quarter, with increased profitability across all product and service lines

&nbsp;&nbsp;&nbsp;&nbsp;• Net cash provided by operating activities of $144.1 million

&nbsp;&nbsp;&nbsp;&nbsp;• Free Cash Flow of $93.2 million

 **Management Commentary**

"Operationally, NexTier delivered another very strong quarter with improved profitability and returns, even in a counter-seasonal period," said Robert Drummond, President and Chief Executive Officer of NexTier. "We believe demand for our services continues to exceed supply, and our natural gas fueled fleet is creating significant value by lowering fuel costs. As a result, pricing is still moving higher. The sold out nature of the frac industry is putting a premium on service quality, and we are confident that our wellsite integration strategy offers a superior product for our customers and should continue to earn a premium return for NexTier investors."

"For 2023, our outlook remains as strong as what we saw in 2022," Mr. Drummond continued. "We expect oil drilling rig count to only increase slightly throughout the year, but believe there is already current unmet demand of 20-25 frac fleets in oil basins at the current rig count, which will likely be sufficient to absorb all newbuilds and reactivations this year, as well as nearly all capacity that might free up if near term demand weakens in natural gas basins. In addition, lower natural gas prices place an even greater premium on our natural gas powered fleet and our Power Solutions natural gas fueling business."

Mr. Drummond concluded, "I would like to thank all of our hard-working employees for their efforts in a pivotal year for NexTier. We are excited about our prospects for 2023, and we look forward to delivering another year of strong results for our employees, our customers, and our investors."

------

"We have remained steadfast in our strategy to prioritize strong returns and free cash flow, and our success is very apparent in our 2022 financial performance," said Kenny Pucheu, Executive Vice President & Chief Financial Officer of NexTier. "Fundamentals in the oilfield services sector have improved significantly over the past couple of years, and our intense focus on timely investments and capital discipline has allowed us to generate industry leading returns. We see additional upside in 2023. We believe that a balanced focus on returns, free cash flow, and growth is the best strategy for our company, and our growing operating margins are proof that our strategy is working."

"We remain committed to return at least half of our free cash flow to our investors," continued Mr. Pucheu. "Following our Q3 2022 earnings, we initiated a shareholder return program. In just over three months, we have repurchased nearly 6% of the shares that were outstanding prior to commencement of the program. This should demonstrate conviction in our outlook on the industry, as well as conviction in our strategy. We are very excited about the opportunities for the Company over the next several years, and we will continue to prudently deploy every dollar of capital to the highest return project while rewarding our shareholders through the entire cycle."

**Full Year 2022 Financial Results**

Revenue totaled $3.24 billion for the year ended December 31, 2022, compared to $1.42 billion for the year ended December 31, 2021. The revenue increase was primarily driven by higher demand for our services including an increase in frac activity, further penetration of our wellsite integration strategy, and higher pricing relative to the prior year. Additionally, 2022 included a full year of Alamo revenue compared to only four months in 2021. Net income was $315.0 million, or $1.26 per diluted share, for the year ended December 31, 2022, compared to a net loss of $119.4 million, or $0.53 per diluted share, for the year ended December 31, 2021.

**Fourth Quarter 2022 Financial Results**

Revenue totaled $870.9 million in the fourth quarter of 2022, compared to $896.0 million in the third quarter of 2022. Demand for our services remained strong and pricing continued to strengthen during the quarter, which was offset by normal seasonal headwinds as well as lower product sales as we saw a mix shift to lower revenue, higher return work relative to the third quarter.

Net income totaled $133.0 million, or $0.54 per diluted share, in the fourth quarter of 2022, compared to net income of $104.7 million, or $0.42 per diluted share in the third quarter of 2022. Adjusted net income totaled $145.8 million, or $0.59 per diluted share, in the fourth quarter of 2022, compared to adjusted net income of $129.5 million, or $0.52 per diluted share, in the third quarter of 2022.

Selling, general and administrative expense ("SG&A") totaled $36.9 million in the fourth quarter of 2022, compared to SG&A of $37.4 million in the third quarter of 2022. Adjusted SG&A<sup>(1)</sup> totaled $29.7 million in the fourth quarter of 2022, compared to adjusted SG&A of $29.2 million in the third quarter of 2022.

Adjusted EBITDA totaled $212.7 million in the fourth quarter of 2022, compared to adjusted EBITDA of $194.8 million in the third quarter of 2022.

**Fourth Quarter 2022 Management Adjustments**

EBITDA<sup>(1)</sup> for the fourth quarter of 2022 was $199.9 million. When excluding net management adjustments of $12.8 million, adjusted EBITDA for the fourth quarter of 2022 was $212.7 million. Management adjustments included $7.1 million in stock compensation expense and a net $5.7 million in other adjustments, which includes the finalization of the last earnout for the Alamo Acquisition.

**Completion Services**

Revenue in our Completion Services segment totaled $829.8 million in the fourth quarter of 2022, compared to $857.8 million in the third quarter of 2022. The sequential decline was due to normal seasonal headwinds and a mix shift to lower revenue, higher return work, partially offset by continued strong demand and additional pricing improvements. Adjusted gross profit<sup>(1)</sup> totaled $227.5 million in the fourth quarter of 2022, compared to $205.7 million in the third quarter of 2022.

**Well Construction and Intervention Services**

Revenue in our Well Construction and Intervention ("WC&I") Services segment, totaled $41.1 million in the fourth quarter of 2022, compared to $38.3 million in the third quarter of 2022. The sequential improvement was primarily driven by increased customer activity and pricing in our Cement product line. Adjusted gross profit totaled $10.5 million in the fourth quarter of 2022, compared to adjusted gross profit of $7.6 million in the third quarter of 2022.

------

**Balance Sheet and Capital**

Total debt outstanding as of December 31, 2022 was $361.4 million, net of unamortized deferred financing costs and unamortized debt discount, excluding finance lease obligations. As of December 31, 2022, total available liquidity was $633.8 million, comprised of cash of $218.5 million, and $415.3 million of available borrowing capacity under our asset-based credit facility, which remains undrawn.

Total cash provided by operating activities during the fourth quarter of 2022 was $144.1 million and cash used by investing activities was $50.8 million, resulting in a free cash flow of $93.2 million in the fourth quarter of 2022.

**Investor Presentation and CEO Message**

NexTier published an updated Investor Presentation to be viewed alongside this earnings release and also released a message from our President and CEO Robert Drummond. To access the Investor Presentation and message from our President and CEO, please visit our Investor Relations page at www.nextierofs.com. The contents of the website, the Investor Presentation and the CEO's message are not incorporated by reference into this release.

**Outlook**

For the first quarter of 2023, we expect revenue will be up at least 6%, sequentially. Customer demand remains strong and we have had an encouraging start to the year, with limited impact from startup inefficiencies after the holiday break. Winter weather will have an impact on our Q1 results, although the expected impact is included in the guidance.

Consistent with prior guidance, our 2023 capital expenditure budget remains $350 million, in line with our 8-9% of revenue commitment, with spending weighted towards the first half of the year.

We expect to generate at least $500 million of free cash flow in 2023.

Mr. Drummond concluded, "Frac fundamentals are as strong as they have been in many years. The world is looking to limit the societal impacts of energy and commodity inflation, and doing so will require an increase in oil and gas production even as the world builds out new energy solutions. US shale will undoubtedly play a critical role in solving the world's long-term energy needs. In order for US shale to maintain its competitiveness, the oilfield services sector will need to invest responsibly to attract capital and drive the next leg of efficiency. The next phase in shale's development will require a strong and profitable OFS sector, and NexTier is prepared to do our part to help the industry responsibly move forward."

**Conference Call Information**

On February 16, 2023, NexTier will hold a conference call for investors at 10:00 a.m. Central Time (11:00 a.m. Eastern Time) to discuss fourth quarter and full year 2022 financial and operating results. Hosting the call will be management of NexTier, including Robert Drummond, President and Chief Executive Officer and Kenny Pucheu, Executive Vice President and Chief Financial Officer. The call can be accessed via a live webcast accessible on the IR Event Calendar page in the Investor Relations section of our website at www.nextierofs.com or live over the telephone by dialing (855) 560-2574, or for international callers, (412) 542-4160. A replay will be available shortly after the call and can be accessed by dialing (877) 344-7529, or for international callers, (412) 317-0088. The passcode for the telephonic replay is 7728864 and will be available until February 23, 2023. An archive of the webcast will be available shortly after the call on our website at www.nextierofs.com for twelve months following the call.

**About NexTier Oilfield Solutions**

Headquartered in Houston, Texas, NexTier is an industry-leading U.S. land oilfield service company, with a diverse set of well completion and production services across active and demanding basins. Our integrated solutions approach delivers efficiency today, and our ongoing commitment to innovation helps our customers better address what is coming next. NexTier is differentiated through four points of distinction, including safety performance, efficiency, partnership and innovation. At NexTier, we believe in living our core values from the basin to the boardroom, and helping customers win by safely unlocking affordable, reliable and plentiful sources of energy.

------

(1)**Non-GAAP Financial Measures**. The Company has included in this press release or discussed on the conference call described above certain non-GAAP financial measures, some of which are calculated on segment basis or product line basis. These measurements provide supplemental information which management believes is useful to analysts and investors to evaluate our ongoing results of operations, when considered alongside GAAP measures such as net income and operating income. You should not consider them in isolation from, or as a substitute for, analysis of our results under GAAP.

Non-GAAP financial measures include EBITDA, adjusted EBITDA, adjusted EBITDA per deployed fleet, annualized adjusted EBITDA per deployed fleet, adjusted gross profit, adjusted net income (loss), adjusted net income (loss) per share, free cash flow, cash flow conversion, adjusted SG&A, net debt, invested capital, average invested capital, return on invested capital, annualized return on invested capital, total capital, average total capital, and return on total capital. These non-GAAP financial measures exclude the financial impact of items management does not consider in assessing the Company's ongoing operating performance, and thereby facilitate review of the Company's operating performance on a period-to-period basis. Other companies may have different capital structures, and comparability to the Company's results of operations may be impacted by the effects of acquisition accounting on its depreciation and amortization. As a result of the effects of these factors and factors specific to other companies, the Company believes EBITDA, adjusted EBITDA, adjusted EBITDA per deployed fleet, annualized adjusted EBITDA per deployed fleet, adjusted gross profit, adjusted net income (loss), adjusted net income (loss) per share, and adjusted SG&A provide helpful information to analysts and investors to facilitate a comparison of its operating performance to that of other companies. The Company believes free cash flow, free cash flow conversion, and net debt provide investors a useful measure to assess management's effectiveness in the areas of profitability and capital management. Invested capital, average invested capital, return on invested capital, annualized return on invested capital, total capital, average total capital, and return on total capital are presented based on the Company's belief that these non-GAAP measures are useful information to investors and management when comparing profitability and the efficiency with which capital has been employed over time relative to other companies.

For a reconciliation of these non-GAAP measures, please see the tables at the end of this press release. Reconciliations of forward-looking non-GAAP financial measures to comparable GAAP measures are not available due to the challenges and impracticability with estimating some of the items, particularly with estimates for certain contingent liabilities, and estimating non-cash unrealized fair value losses and gains which are subject to market variability and therefore a reconciliation is not available without unreasonable effort.

<u>Non-GAAP Measure Definitions</u>: EBITDA is defined as net income (loss) adjusted to eliminate the impact of interest, income taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA as further adjusted with certain items management does not consider in assessing ongoing performance. Management uses adjusted EBITDA to set targets and to assess the performance of the Company. Adjusted EBITDA per deployed fleet is defined as (i) adjusted EBITDA for a given quarter, (ii) divided by number of fleets deployed. Annualized adjusted EBITDA per deployed fleet is defined as (i) Adjusted EBITDA per deployed fleet for a given quarter (ii) multiplied by four quarters. Adjusted gross profit is defined as revenue less cost of services, further adjusted to eliminate items in cost of services that management does not consider in assessing ongoing performance. Adjusted net income (loss) is defined as net income (loss) adjusted with certain items management does not consider in assessing ongoing performance. Adjusted net income (loss) per share is defined as (i) adjusted net income, (ii) divided by the number of weighted average shares outstanding. Free cash flow is defined as the net increase (decrease) in cash and cash equivalents before financing activities, excluding any acquisitions. When presenting free cash flow conversion on a historical basis we define it as (i) free cash flow, (ii) divided by adjusted EBITDA; when presenting free cash flow conversion on a forward-looking basis we define it as (i) free cash flow, (ii) divided by EBITDA. Adjusted SG&A is defined as selling, general and administrative expenses adjusted for severance and business divestiture costs, merger/transaction-related costs, and other non-routine items. Net debt is defined as (i) total debt, net of unamortized debt discount and unamortized deferred financing costs, (ii) subtracting cash and cash equivalents. Invested capital is defined as the sum of (a) long-term operating lease liabilities, less current maturities, (b) plus long-term finance lease liabilities, less current maturities, (c) plus long-term debt, net of unamortized deferred financing cost and unamortized debt discounts, less current maturities (d) plus total stockholder's equity. Average invested capital is defined as the average of the beginning and ending invested capital. Return on invested capital is defined as (i) net income (loss), (ii) divided by average invested capital during the period. Annualized return on invested capital is defined as (i) net income (loss) for a given quarter, (ii) multiplied by four, (iii) divided by average invested capital during the period. Total capital is defined as the sum of (i) total debt, finance leases, operating leases, and total stockholders' equity. Average total capital is defined as the average of the beginning and ending total capital. Return on total capital is defined as (i) revenue less the (ii) sum of (a) cost of services, (b) depreciation and amortization, and (c) selling, general and administrative expenses (iii) divided by average total capital.

**Forward-Looking Statements and Where to Find Additional Information**

This press release and discussion in the conference call described above contains forward-looking statements within the

------

meaning of the Private Securities Litigation Reform Act of 1995 (the "PSLRA"). These forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond the Company's control. Statements in this press release or made during the conference call described above, including guidance for 2023 and beyond and other outlook information (including with respect to the industry in which NexTier conducts its business), statements regarding our future operating results, financial position, business strategy, plans and objectives of management for future operations, and expectation regarding the capabilities and impact of our products and services on our operating results and financial position, are forward-looking statements within the meaning of the PSLRA. Statements of assumptions underlying or relating to our forward-looking statements are also forward-looking statements. Where a forward-looking statement expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. The words "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "forecast," "future," "goal," "intend," "may," "outlook," "plan," "potential," "predict," "project," "reflect," "see," "should," "target," "will," and "would," or the negative or plural thereof, and similar expressions, are intended to identify such forward-looking statements. Any forward-looking statements contained in this presentation or in oral statements made in connection with this presentation speak only as of the date on which we make them and are based upon our historical performance and on current plans, estimates and expectations. These factors and risks include, but are not limited to, (i) NexTier's business strategy, plans, objectives, expectations and intentions; (ii) NexTier's future operating results; (iii) dependence on capital spending and well completion by the onshore oil and natural gas industry and demand for services in the industry in which NexTier conducts its business; (iv) the variability of crude oil and natural gas commodity prices; (v) changing regional, national or global economic conditions, including oil and gas supply and demand and the impact of geopolitical conditions on those prices; (vi) the competitive nature of the industry in which NexTier conducts its business, including pricing pressures; (vii) the impact of pipeline capacity constraints and adverse weather conditions in oil or gas producing regions; (viii) the effect of government regulation, including regulations of hydraulic fracturing, and the operating hazards of NexTier's business; (ix) the effect of a loss of, or the financial distress of, or interruption in operations of one or more NexTier suppliers, materials or customers; (x) the ability to maintain the right level of commitments under NexTier's supply agreements; (xi) impact of new technology on NexTier's business; (xii) impact of any legal proceedings, liability claims and external investigations; (xiii) the ability to obtain permits, approvals and authorizations from governmental and third parties; (xiv) the ability to identify, effect and integrate acquisitions, divestitures and future capital expenditures and the impact of such transactions; (xv) environmental, social, and governance matters, including investor focus and industry perception; (xvi) the ability to employ a sufficient number of skilled and qualified workers; (xvii) the ability to service debt obligations and access capital; (xviii) the market volatility of our stock; (xix) the impact of our stock buyback program, (xx) our ability to maintain effective information technology systems and the impact of cybersecurity incidents on our business, (xxi) the impact of inflation on our business, and (xxii) other risks detailed in Nex Tier's latest Annual Report on Form 10-K, including, but not limited to "Part I, Item 1A. Risk Factors" and "Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations," and our other filings with the Securities and Exchange Commission (the "SEC"), which are available on the SEC website or www.NexTierOFS.com. "Forward-looking statements" also include, among other things, (a) statements about NexTier's ability to participate in any shareholder return program and (b) statements regarding NexTier's business strategy, its business and operation plan (including its ability to execute on its well site integration strategy), its future performance (including expected financial results), and its capital allocation strategy. There may be other factors of which NexTier is currently unaware or deem immaterial that may cause its actual results to differ materially from the forward-looking statements. NexTier assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates, to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events, except as may be required under applicable laws. Investors should not assume that any lack of update to a previously issued "forward-looking statement" constitutes a reaffirmation of that statement. The contents of any website referenced in this presentation are not incorporated herein by reference.

Additional information about the Company, including information on the Company's response to Covid-19, can be found in its periodic reports that are filed with the SEC, available www.sec.gov or www.NexTierOFS.com.

**Investor Contact:**

Kenneth Pucheu

Executive Vice President - Chief Financial Officer

Michael Sabella

Vice President - Investor Relations and Business Development

michael.sabella@nextierofs.com

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

(unaudited, amounts in thousands, except per share data)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** | **June 30, 2022** | **March 31, 2022** |
| Revenue | 870857 | $896010 | $842912 | $635043 |
| Operating costs and expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of services | 632890 | 682683 | 649866 | 524656 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 58760 | 56542 | 58794 | 55163 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative expenses | 36867 | 37415 | 35855 | 35859 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Merger and integration | 3000 | 27521 | 23682 | 9232 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on disposal of assets | (4456) | (10471) | (866) | (823) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating costs and expenses | 727061 | 793690 | 767331 | 624087 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating income | 143796 | 102320 | 75581 | 10956 |
| Other income (expense): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other income (expense), net | (2697) | 11124 | 1461 | 5370 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense, net | (6514) | (7150) | (7344) | (7374) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other income (expense) | (9211) | 3974 | (5883) | (2004) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income before income taxes | 134585 | 106294 | 69698 | 8952 |
| Income tax expense | (1600) | (1560) | (1240) | (160) |
| **Net income** | $**132985** | $**104734** | $**68458** | **8792** |
| Net income per share: basic | $0.55 | $0.43 | $0.28 | $0.04 |
| Net income per share: diluted | $0.54 | $0.42 | $0.27 | $0.04 |
| Weighted-average shares: basic | 241519 | 244686 | 243969 | 243269 |
| Weighted-average shares: diluted | 247980 | 250821 | 250775 | 247705 |

---

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

(unaudited, amounts in thousands, except per share data)

---

| | | |
|:---|:---|:---|
| | **Year Ended** | **Year Ended** |
| | **December 31, 2022** | **December 31, 2021** |
| Revenue | $3244822 | $1423441 |
| Operating costs and expenses: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of services | 2490095 | 1255321 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 229259 | 184164 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative expenses | 145996 | 109404 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Merger and integration | 63435 | 8709 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on disposal of assets | (16616) | (28898) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating costs and expenses | 2912169 | 1528700 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating income (loss) | 332653 | (105259) |
| Other expense: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other income, net | 15258 | 12131 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense, net | (28382) | (24609) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other expense | (13124) | (12478) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income (loss) before income taxes | 319529 | (117737) |
| Income tax expense | (4560) | (1686) |
| **Net income (loss)** | 314969 | (119423) |
| Other comprehensive income (loss): |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation adjustments | 1118 | 407 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedging activities | 12067 | 1703 |
| **Total comprehensive income (loss)** | $328154 | $(117313) |
| Net income (loss) per share: basic | $1.29 | $(0.53) |
| Net income (loss) per share: diluted | $1.26 | $(0.53) |
| Weighted-average shares: basic | 243360 | 224401 |
| Weighted-average shares: diluted | 249346 | 224401 |

---

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**CONSOLIDATED BALANCE SHEETS** 

(unaudited, amounts in thousands)

---

| | | |
|:---|:---|:---|
| | **December 31,**<br>**2022** | **December 31,**<br>**2021** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**ASSETS** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $218476 | $110695 |
| &nbsp;&nbsp;&nbsp;Trade and other accounts receivable, net | 397197 | 301740 |
| &nbsp;&nbsp;&nbsp;Inventories, net | 66395 | 38094 |
| &nbsp;&nbsp;&nbsp;Assets held for sale |  | 1555 |
| &nbsp;&nbsp;&nbsp;Prepaid and other current assets | 43947 | 55625 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 726015 | 507709 |
| &nbsp;&nbsp;Operating lease right-of-use assets | 18659 | 21767 |
| &nbsp;&nbsp;Finance lease right-of-use assets | 43714 | 41537 |
| &nbsp;&nbsp;Property and equipment, net | 679513 | 620865 |
| &nbsp;&nbsp;Goodwill | 192780 | 192780 |
| &nbsp;&nbsp;Intangible assets, net | 50586 | 64961 |
| &nbsp;&nbsp;Other noncurrent assets | 15901 | 7962 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $**1727168** | $**1457581** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**LIABILITIES AND STOCKHOLDERS' EQUITY** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $202936 | $190963 |
| &nbsp;&nbsp;&nbsp;Accrued expenses | 281715 | 213923 |
| &nbsp;&nbsp;&nbsp;Customer contract liabilities | 19377 | 23729 |
| &nbsp;&nbsp;&nbsp;Current maturities of operating lease liabilities | 6083 | 7452 |
| &nbsp;&nbsp;&nbsp;Current maturities of finance lease liabilities | 19855 | 11906 |
| &nbsp;&nbsp;&nbsp;Current maturities of long-term debt | 14004 | 13384 |
| &nbsp;&nbsp;&nbsp;Other current liabilities | 9368 | 10346 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 553338 | 471703 |
| &nbsp;&nbsp;Long-term operating lease liabilities, less current maturities | 13267 | 20446 |
| &nbsp;&nbsp;Long-term finance lease liabilities, less current maturities | 11925 | 26873 |
| &nbsp;&nbsp;Long-term debt, net of unamortized deferred financing costs and unamortized debt discount, less current maturities | 347425 | 361501 |
| &nbsp;&nbsp;Other non-current liabilities | 11294 | 30041 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total non-current liabilities | 383911 | 438861 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities** | **937249** | **910564** |
| **Stockholders' equity:** |  |  |
| &nbsp;&nbsp;&nbsp;Common stock | 2340 | 2420 |
| &nbsp;&nbsp;&nbsp;Paid-in capital in excess of par value | 1007492 | 1094020 |
| &nbsp;&nbsp;&nbsp;Retained deficit | (226195) | (541164) |
| &nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss | 6282 | (8259) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total stockholders' equity** | **789919** | **547017** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and stockholders' equity** | $**1727168** | $**1457581** |

---

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**ADDITIONAL SELECTED FINANCIAL AND OPERATING DATA**

(unaudited, amounts in thousands)

---

| | | |
|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** |
| **Completion Services:** | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Revenue | $829800 | $857751 |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services | 602326 | 652021 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation, amortization, (gain) loss on sale of assets, and impairment | 50194 | 51153 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income | 177280 | 154577 |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjusted gross profit<sup>(1)</sup> | $227474 | $205730 |
| **Well Construction and Intervention Services:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Revenue | $41057 | $38259 |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services | 30564 | 30662 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation, amortization, (gain) loss on sale of assets, and impairment | 699 | (9692) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income | 9794 | 17289 |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjusted gross profit<sup>(1)</sup> | $10493 | $7597 |

---

<sup>(1)</sup> The Company uses adjusted gross profit<sup>(1)</sup> as its measure of profitability for segment reporting.

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES**

(unaudited, amounts in thousands)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** | **June 30, 2022** | **March 30, 2022** |
| **Net income** | $**132985** | $**104734** | $**68458** | $**8792** |
| &nbsp;&nbsp;Interest expense, net | 6514 | 7150 | 7344 | 7374 |
| &nbsp;&nbsp;Income tax expense | 1600 | 1560 | 1240 | 160 |
| &nbsp;&nbsp;Depreciation and amortization | 58760 | 56542 | 58794 | 55163 |
| EBITDA | $199859 | $169986 | $135836 | $71489 |
| &nbsp;&nbsp;Plus management adjustments: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition, integration and expansion<sup>(1)</sup> | 3000 | $27521 | 23682 | 9232 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash stock compensation<sup>(2)</sup> | 7114 | 7119 | 7547 | 7815 |
| &nbsp;&nbsp;&nbsp;&nbsp;Divestiture of business<sup>(3)</sup> | (27) | 1090 | 905 | 541 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Gain) loss on equity security investment<sup>(4)</sup> | 196 | 132 | (2111) | (5606) |
| &nbsp;&nbsp;&nbsp;&nbsp;Litigation<sup>(5)</sup> |  | (179) | 416 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Insurance recovery, net<sup>(6)</sup> | 2480 | (11044) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 67 | 138 | (390) | 22 |
| **Adjusted EBITDA** | $**212689** | $**194763** | $**165885** | $**83493** |
| Annualized Adjusted EBITDA | 850756 | 779052 | 663540 | 333972 |
| Deployed Fleets | 34 | 33 | 34 | 33 |
| **Annualized adjusted EBITDA per deployed fleet** | **25022** | **23608** | **19516** | **10120** |

---

<sup>(1)</sup> <sup>&nbsp;&nbsp;&nbsp;&nbsp;</sup>Represents transaction and integration costs, including earnout payments, related to acquisitions.

<sup>(2)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents non-cash amortization of equity awards issued under the Company's Incentive Award Plan.

<sup>(3)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents bad debt expense on the sale of the Well Support Services segment to, and related to the bankruptcy filing of Basic Energy Services.

<sup>(4)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents the realized and unrealized (gain) loss on an equity security investment composed primarily of common equity shares in a public company.

<sup>(5)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents increases (decreases) in accruals related to contingencies acquired in business acquisitions.

<sup>(6)</sup> Represents a gain on insurance recovery in excess of book value due to a fire incident and losses associated with assets that were damaged in the fire and ultimately could not be repaired or recovered.

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES**

(unaudited, amounts in thousands)

---

| | | |
|:---|:---|:---|
| | **Year Ended** | **Year Ended** |
| | **December 31, 2022** | **December 31, 2021** |
| **Net income (loss)** | **314969** | **(119423)** |
| &nbsp;&nbsp;Interest expense, net | 28382 | 24609 |
| &nbsp;&nbsp;Income tax expense | 4560 | 1686 |
| &nbsp;&nbsp;Depreciation and amortization | 229259 | 184164 |
| EBITDA | 577170 | 91036 |
| &nbsp;&nbsp;Plus management adjustments: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition, integration and expansion<sup>(1)</sup> | 63435 | 8709 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash stock compensation<sup>(2)</sup> | 29595 | 24677 |
| &nbsp;&nbsp;&nbsp;&nbsp;Market-driven costs<sup>(3)</sup> |  | 8755 |
| &nbsp;&nbsp;&nbsp;&nbsp;Divestiture of business<sup>(4)</sup> | 2509 | 7849 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on equity security investment, net<sup>(5)</sup> | (7389) | (157) |
| &nbsp;&nbsp;&nbsp;&nbsp;Litigation<sup>(6)</sup> | 237 | 7875 |
| &nbsp;&nbsp;&nbsp;&nbsp;Tax audit<sup>(7)</sup> |  | (24877) |
| &nbsp;&nbsp;&nbsp;&nbsp;Insurance recovery, net<sup>(8)</sup> | (8564) | (10409) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | (163) | 504 |
| **Adjusted EBITDA** | **656830** | **113962** |

---

<sup>(1)</sup> <sup>&nbsp;&nbsp;&nbsp;&nbsp;</sup>Represents transaction and integration costs, including earnout payments, related to acquisitions.

<sup>(2)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents non-cash amortization of equity awards issued under the Company's Incentive Award Plan.

<sup>(3)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents market-driven severance, leased facility closures, and restructuring costs incurred as a result of significant declines in crude oil prices resulting from demand destruction from the COVID-19 pandemic and global oversupply.

<sup>(4)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents bad debt expense on the sale of the Well Support Services segment to, and related to the bankruptcy filing of Basic Energy Services.

<sup>(5)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents the realized and unrealized (gain) loss on an equity security investment composed primarily of common equity shares in a public company.

<sup>(6)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents increases, net in accruals related to contingencies acquired in business acquisitions.

<sup>(7)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents a reduction of the Company's accrual related to a tax audits acquired in business acquisitions or exceptional events.

<sup>(8)</sup> Represents a gain on estimated insurance recovery in excess of book value due to a fire incident and net of losses associated with assets that were damaged in the fire and ultimately could not be repaired or recovered.

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES**

(unaudited, amounts in thousands)

---

| | | |
|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** |
| **Selling, general and administrative expenses** | $**36867** | $**37415** |
| &nbsp;&nbsp;Less management adjustments: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash stock compensation | (7114) | (7119) |
| &nbsp;&nbsp;&nbsp;&nbsp;Divestiture of business | 27 | (1090) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | (67) | (138) |
| **Adjusted selling, general and administrative expenses** | $**29713** | $**29247** |

---

---

| | | | |
|:---|:---|:---|:---|
| | **Three Months Ended December 31, 2022** | **Three Months Ended December 31, 2022** | **Three Months Ended December 31, 2022** |
| | **Completion Services** | **WC&I** | **Total** |
| Revenue | $829800 | $41057 | $870857 |
| Cost of services  | 602326 | 30564 | 632890 |
| **Gross profit excluding depreciation and amortization** | **227474** | **10493** | **237967** |
| Management adjustments associated with cost of services |  |  |  |
| **Adjusted gross profit** | $**227474** | $**10493** | $**237967** |

---

---

| | | | |
|:---|:---|:---|:---|
| | **Three Months Ended September 30, 2022** | **Three Months Ended September 30, 2022** | **Three Months Ended September 30, 2022** |
| | **Completion Services** | **WC&I** | **Total** |
| Revenue | $857751 | $38259 | $896010 |
| Cost of services  | 652021 | 30662 | 682683 |
| **Gross profit excluding depreciation and amortization** | **205730** | **7597** | **213327** |
| Management adjustments associated with cost of services |  |  |  |
| **Adjusted gross profit** | $**205730** | $**7597** | $**213327** |

---

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES** 

(unaudited, amounts in thousands, except per share data)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** | **June 30, 2022** | **March 31, 2022** |
| **Net cash used in operating activities** | $**144070** | $**163821** | $**117834** | $**28666** |
| Net cash used in investing activities<sup>(1)</sup> :  |  |  |  |  |
| &nbsp;&nbsp;Capital expenditures | (79478) | (58943) | (56859) | (29838) |
| &nbsp;&nbsp;Proceeds from disposal of assets | 14129 | 26875 | 6401 | 2822 |
| &nbsp;&nbsp;Proceeds from insurance recoveries | 14506 | 825 |  | 20 |
| **Net cash used in investing activities** | **(50843)** | **(31243)** | **(50458)** | **(26996)** |
| **Free cash flow** | $**93227** | $**132578** | $**67376** | $**1670** |

---

<sup>(1)</sup> Third quarter ended September 30, 2022 excludes $27.2 million from the acquisition from Continental Intermodal Group LP. First quarter ended March 31, 2022 excludes $0.5 million due to net working capital adjustments in connection with the acquisition of Alamo Pressure Pumping ("Alamo").

---

| | |
|:---|:---|
| | **Year Ended** |
| | **December 31, 2022** |
| **Net cash used in operating activities** | $**454391** |
| Net cash used in investing activities<sup>(1)</sup> :  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Capital expenditures | (225118) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from disposal of assets | 50227 |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from insurance recoveries | 15351 |
| **Net cash used in investing activities** | **(159540)** |
| **Free cash flow** | $**294851** |

---

<sup>(1)</sup> Excludes $27.2 million from the acquisition from Continental Intermodal Group LP and $0.5 million due to net working capital adjustments in connection with the acquisition of Alamo Pressure Pumping ("Alamo").

---

| | |
|:---|:---|
| | **Year Ended** |
| | **December 31, 2022** |
| Free cash flow | $294851 |
| Adjusted EBITDA | $656830 |
| **Free cash flow conversion** | **45%** |

---

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES** 

(unaudited, amounts in thousands, except per share data)

---

| | | |
|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** |
| **Net income** | $**132985** | $**104734** |
| Plus management adjustments: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition, integration and expansion<sup>(1)</sup> | 3000 | $27521 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash stock compensation<sup>(2)</sup> | 7114 | 7119 |
| &nbsp;&nbsp;&nbsp;&nbsp;Divestiture of business<sup>(3)</sup> | (27) | 1090 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Gain) loss on equity security investment, net<sup>(4)</sup> | 196 | 132 |
| &nbsp;&nbsp;&nbsp;&nbsp;Litigation<sup>(5)</sup> |  | (179) |
| &nbsp;&nbsp;&nbsp;&nbsp;Insurance recovery, net<sup>(6)</sup> | 2480 | (11044) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 67 | 138 |
| **Adjusted net income** | $**145815** | $**129511** |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjusted net income per share, basic | $0.60 | $0.53 |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjusted net income per share, diluted | $0.59 | $0.52 |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted-average shares, basic | 241519 | 244686 |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted-average shares, diluted | 247980 | 250821 |

---

<sup>(1)</sup> <sup>&nbsp;&nbsp;&nbsp;&nbsp;</sup>Represents transaction and integration costs, including earnout payments, related to acquisitions.

<sup>(2)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents non-cash amortization of equity awards issued under the Company's Incentive Award Plan.

<sup>(3)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents bad debt expense on the sale of the Well Support Services segment to, and related to the bankruptcy filing of Basic Energy Services.

<sup>(4)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents the realized and unrealized (gain) loss on an equity security investment composed primarily of common equity shares in a public company.

<sup>(5)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents increases (decreases) in accruals related to contingencies acquired in business acquisitions.

<sup>(6)</sup> Represents a gain on insurance recovery in excess of book value due to a fire incident and losses associated with assets that were damaged in the fire and ultimately could not be repaired or recovered.

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES** 

(unaudited, amounts in thousands, except per share data)

---

| | | |
|:---|:---|:---|
| | **Year Ended** | **Year Ended** |
| | **December 31, 2022** | **December 31, 2021** |
| **Net income (loss)** | **314969** | **(119423)** |
| Plus management adjustments: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition, integration and expansion<sup>(1)</sup> | 63435 | 8709 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash stock compensation<sup>(2)</sup> | 29595 | 24677 |
| &nbsp;&nbsp;&nbsp;&nbsp;Market-driven costs<sup>(3)</sup> |  | 8755 |
| &nbsp;&nbsp;&nbsp;&nbsp;Divestiture of business<sup>(4)</sup> | 2509 | 7849 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on equity security investment, net<sup>(5)</sup> | (7389) | (157) |
| &nbsp;&nbsp;&nbsp;&nbsp;Litigation<sup>(6)</sup> | 237 | 7875 |
| &nbsp;&nbsp;&nbsp;&nbsp;Tax audit<sup>(7)</sup> |  | (24877) |
| &nbsp;&nbsp;&nbsp;&nbsp;Insurance recovery, net<sup>(8)</sup> | (8564) | (10409) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | (163) | 504 |
| **Adjusted net income (loss)** | $**394629** | $**(96497)** |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjusted net income (loss) per share, basic | $1.62 | $(0.43) |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjusted net income (loss) per share, diluted | $1.58 | $(0.43) |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted-average shares, basic | 243360 | 224401 |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted-average shares, diluted | 249346 | 224401 |

---

<sup>(1)</sup> <sup>&nbsp;&nbsp;&nbsp;&nbsp;</sup>Represents transaction and integration costs, including earnout payments, related to acquisitions.

<sup>(2)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents non-cash amortization of equity awards issued under the Company's Incentive Award Plan.

<sup>(3)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents market-driven severance, leased facility closures, and restructuring costs incurred as a result of significant declines in crude oil prices resulting from demand destruction from the COVID-19 pandemic and global oversupply.

<sup>(4)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents bad debt expense on the sale of the Well Support Services segment to, and related to the bankruptcy filing of Basic Energy Services.

<sup>(5)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents the realized and unrealized (gain) loss on an equity security investment composed primarily of common equity shares in a public company.

<sup>(6)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents increases, net in accruals related to contingencies acquired in business acquisitions.

<sup>(7)</sup> &nbsp;&nbsp;&nbsp;&nbsp;Represents a reduction of the Company's accrual related to a tax audits acquired in business acquisitions or exceptional events.

<sup>(8)</sup> Represents a gain on estimated insurance recovery in excess of book value due to a fire incident and net of losses associated with assets that were damaged in the fire and ultimately could not be repaired or recovered.

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES** 

(unaudited, amounts in thousands)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** | **June 30, 2022** | **March 31, 2022** |
| Total debt, net of unamortized deferred financing costs and unamortized debt discount | $361429 | $364835 | $368194 | $371636 |
| Cash and cash equivalents | 218476 | 250207 | 158136 | 99788 |
| **Net debt** | $**142953** | $**114628** | $**210058** | $**271848** |

---

---

| | | |
|:---|:---|:---|
| | **Year Ended** | **Year Ended** |
| | **December 31, 2022** | **December 31, 2021** |
| **Net income (loss)** | $**314969** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term operating lease liabilities, less current maturities | 13267 | 20446 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term finance lease liabilities, less current maturities | 11925 | 26873 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term debt, net of unamortized deferred financing costs and unamortized debt discount, less current maturities | 347425 | 361501 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 789919 | 547017 |
| **Invested capital** | $**1162536** | $**955837** |
| **Average invested capital** | $**1059187** |  |
| **Return on invested capital** | **30%** |  |

---

---

| | | |
|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **September 30, 2022** |
| **Net income** | $**132985** |  |
| **Annualized net income** | $**531940** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term operating lease liabilities, less current maturities | 13267 | 12823 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term finance lease liabilities, less current maturities | 11925 | 17335 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term debt, net of unamortized deferred financing costs and unamortized debt discount, less current maturities | 347425 | 350986 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 789919 | 762926 |
| **Invested capital** | $**1162536** | $**1144070** |
| **Average invested capital** | $**1153303** |  |
| **Annualized return on invested capital** | **46%** |  |

---

------

**NEXTIER OILFIELD SOLUTIONS INC. AND SUBSIDIARIES**

**NON-GAAP FINANCIAL MEASURES** 

(unaudited, amounts in thousands)

---

| | | |
|:---|:---|:---|
| | **Year Ended** | **Year Ended** |
| | **December 31, 2022** | **December 31, 2021** |
| Revenue | $3244822 | $1423441 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of services | 2490095 | 1255321 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 229259 | 184164 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative expense | 145996 | 109404 |
| **Operating income (loss) before gain/loss on sale of assets and other unusual items** | $**379472** | $**(125448)** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total debt | 361429 | $374885 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Finance leases | 31780 | 38779 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating leases | 19350 | 27898 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 789919 | 547017 |
| **Total Capital** | $**1202478** | $**988579** |
| **Average Total Capital** | $**1095529** |  |
| **Return on Total Capital** | **35%** |  |

---

## Exhibit 99.2

![](nextierfebruary2023inves001.jpg)

vo o d o o 1 NexTier Oilfield Solutions NYSE: NEX Investor Update February 2023

------

![](nextierfebruary2023inves002.jpg)

2 Forward Looking Statements & Disclosures All statements other than statements of historical facts contained in this presentation and any oral statements made in connection with this presentation, including guidance for 2023 and beyond, outlook information (including with respect to the industry in which NexTier conducts its business), statements regarding our future operating results, financial position and business strategy, plans and objectives of management for future operations, and management expectation regarding the capabilities and impact of our products and services on our operating results and financial position, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond the Company's control. Statements of assumptions underlying or relating to our forward-looking statements are also forward-looking statements. Where a forward-looking statement expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. The words "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "forecast," "future," "goal," "intend," "may," "outlook," "plan," "potential," "predict," "project," "reflect," "see," "should," "target," "will," and "would," or the negative or plural thereof, and similar expressions, are intended to identify such forward-looking statements. Any forward- looking statements contained in this presentation or in oral statements made in connection with this presentation speak only as of the date on which we make them and are based upon our historical performance and on current plans, estimates and expectations. These factors and risks include, but are not limited to, (i) NexTier's business strategy, plans, objectives, expectations and intentions; (ii) NexTier's future operating results; (iii) dependence on capital spending and well completion by the onshore oil and natural gas industry and demand for services in the industry in which NexTier conducts its business; (iv) the variability of crude oil and natural gas commodity prices; (v) changing regional, national or global economic conditions, including oil and gas supply and demand and the impact of geopolitical conditions on those prices; (vi) the competitive nature of the industry in which NexTier conducts its business, including pricing pressures; (vii) the impact of pipeline capacity constraints and adverse weather conditions in oil or gas producing regions; (viii) the effect of government regulation, including regulations of hydraulic fracturing, and the operating hazards of NexTier's business; (ix) the effect of a loss of, or the financial distress of, or interruption in operations of one or more NexTier suppliers, materials or customers; (x) the ability to maintain the right level of commitments under NexTier's supply agreements; (xi) impact of new technology on NexTier's business; (xii) impact of any legal proceedings, liability claims and external investigations; (xiii) the ability to obtain permits, approvals and authorizations from governmental and third parties; (xiv) the ability to identify, effect and integrate acquisitions, divestitures and future capital expenditures and the impact of such transactions; (xv) environmental, social, and governance matters, including investor focus and industry perception; (xvi) the ability to employ a sufficient number of skilled and qualified workers; (xvii) the ability to service debt obligations and access capital; (xviii) the market volatility of our stock; (xix) the impact of our stock buyback program, (xx) our ability to maintain effective information technology systems and the impact of cybersecurity incidents on our business, (xxi) the impact of inflation on our business, and (xxii) other risks detailed in Nex Tier's latest Annual Report on Form 10-K, including, but not limited to "Part I, Item 1A. Risk Factors" and "Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations," and our other filings with the Securities and Exchange Commission (the "SEC"), which are available on the SEC website or www.NexTierOFS.com. "Forward- looking statements" also include, among other things, (a) statements about NexTier's ability to participate in any shareholder return program and (b) statements regarding NexTier's business strategy, its business and operation plan (including its ability to execute on its well site integration strategy), its future performance (including expected financial results), and its capital allocation strategy. There may be other factors of which NexTier is currently unaware or deem immaterial that may cause its actual results to differ materially from the forward-looking statements. NexTier assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates, to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events, except as may be required under applicable laws. Investors should not assume that any lack of update to a previously issued "forward-looking statement" constitutes a reaffirmation of that statement. The contents of any website referenced in this presentation are not incorporated herein by reference.

------

![](nextierfebruary2023inves003.jpg)

3 Non-GAAP Financial Measures We have included in this presentation and in oral comments made in connection with this presentation certain non-GAAP financial measures. These measurements provide supplemental information which management believes are useful to analysts and investors to evaluate our ongoing results of operations, when considered alongside GAAP measures such as net income and operating income. You should not consider them in isolation from, or as a substitute for, analysis of our results under GAAP. Non-GAAP financial measures in this presentation include EBITDA, Adjusted EBITDA, Free Cash Flow, Annualized Adjusted EBITDA per Deployed Fleet, ROIC, Annualized ROIC, Return on Total Capital, and FCF conversion. Management believes the presentation of these measures gives useful information to investors and stockholders as they provide increased transparency and insight into the performance of NexTier. EBITDA is defined as net income (loss) adjusted to eliminate the impact of interest, income taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA, as further adjusted with certain items management does not consider in assessing ongoing performance. Management uses adjusted EBITDA to set targets and to assess the performance of NexTier. Annualized Adjusted EBITDA per Deployed Fleet is defined as (i) adjusted EBITDA for a given quarter, (ii) multiplied by four, (iii) divided by number of fleets deployed. Free Cash Flow or "FCF" is defined as the net increase (decrease) in cash and cash equivalents before financing activities, excluding acquisitions. NexTier believes free cash flow is important to investors in that it provides a useful measure to assess management's effectiveness in the areas of profitability and capital management. FCF Conversion is a non-GAAP measure defined as free cash flow as a percent of Adjusted EBITDA. We believe FCF Conversion is an important indicator given our current strategy that focuses on maximizing free cash flow and capital efficient growth. Invested Capital is defined as (i) net income, (ii) divided by the sum of (a) long-term operating lease liabilities, less current maturities, (b) plus long-term finance lease liabilities, less current maturities, (c) plus long- term debt, net of unamortized deferred financing cost and unamortized debt discounts, less current maturities. Return on Invested Capital or "ROIC" is defined as (i) net income (loss), (ii) divided by average invested capital during the period. Annualized return on invested capital is defined as (i) net income for a given quarter, (ii) multiplied by four, (iii) divided by average invested capital. Return on Total Capital is defined as (i) revenue, (ii) less the sum of cost of services, depreciation and amortization, and selling, general, and administrative expenses (iii) divided by the sum of total debt, finance liabilities, operating liabilities, and stockholder's equity. Return on total capital, invested capital, return on invested capital, and annualized return on invested capital are presented based on the Company's belief that these non-GAAP measures are useful information to investors and management when comparing profitability and the efficiency with which capital has been employed over time relative to other companies. For a reconciliation of these non-GAAP measures presented on a historical basis, please see the tables at the end of this presentation. Reconciliations of forward-looking non-GAAP financial measures to comparable GAAP measures are not available due to the challenges and impracticability with estimating some of the items, particularly with estimates for certain contingent liabilities, and estimating non-cash unrealized fair value losses and gains which are subject to market variability and therefore a reconciliation is not available without unreasonable effort.

------

![](nextierfebruary2023inves004.jpg)

4 Introduction

------

![](nextierfebruary2023inves005.jpg)

5 NexTier: Our History 1997 C&J founded in Robstown, Texas. 1973 Keane and Sons founded in Pennsylvania. 2011 C&J completes its IPO and is listed on the NYSE under the ticker symbol CJES. 2017 C&J emerges from restructuring listed as CJ on the NYSE; acquires O- Tex Pumping cement services. 2015 C&J merges with Nabors Completion and Production services. 2019 Keane and C&J merge to create industry-leading U.S. land completions company NexTier 2021 NexTier acquires Alamo Pressure Pumping, adds dual- fuel horsepower to its Tier 4 pumping portfolio and enlarging the impact of its low-cost, low- carbon operating strategy. 2017 Keane completes its IPO and is listed on the NYSE under the ticker FRAC; acquires Rockpile Energy Services. 2016 Keane acquires Trican's US Pressure pumping assets. 2011 C&J acquires Casedhole Solutions, adding wireline services. 2013 Keane acquires Calmena Wireline adding casedhole wireline services; deploys first frac fleet in the Permian. 2022 NexTier completes acquisition of last- mile logistics assets from CIG Logistics to help accelerate expansion of integrated service offerings at the wellsite.

------

![](nextierfebruary2023inves006.jpg)

6 NexTier At a Glance Market cap and Daily Avg Trading Volumes as of 2/14/2022 $28MM reflects approximate avg of daily shares traded multiplied by volume weighted avg price $2.3B Market Cap $28M Number of Employees (Dec. 2022) 4,300 2023 YTD Daily Avg Trading Volume Houston, TX Headquarters Predominantly Oil Region Predominantly Gas Region Integrated Platform Amplified with Scale Wireline + Logistics + Natural Gas Fueling + NexHubTM Digital Top 20 Clients by Type Public E&P Private E&P Balanced Customer Base: Top 20 Clients account for 80% of revenue1 1Q4 2022

------

![](nextierfebruary2023inves007.jpg)

7 NexTier Delivered Strong Results in 2022 2022 vs. 2021 Revenue Adj. EBITDA1 Diluted EPS FCF1 $3.24B $657M $1.26 $295M +128% Negative in 2021 Negative in 2021 Up 5.8x Source: 1Adjusted EBITDA and FCF (or Free Cash Flow) are non-GAAP financial measures. For a reconciliation of Adjusted EBITDA and FCF, please see the tables in the appendix.

------

![](nextierfebruary2023inves008.jpg)

8 NexTier Capital Allocation Framework MAXIMIZE SHAREHOLDER VALUE AND FINANCIAL RETURNS Strong Balance Sheet Prioritize a Path to Net Debt Zero and Maintain Strong Liquidity Annual CapEx 8-9% of Revenue Maintain the fleet, transition to natural gas over time, and grow the integration machine Repeatable Shareholder Return Program Target return of at least 50% of Free Cash Flow annually to shareholders Non-CapEx Allocation Option to participate in strategic M&A and/or increase shareholder return program; target maximum return on capital Target Sustained Free Cash Flow Winning Foundation Allocation Strategy

------

![](nextierfebruary2023inves009.jpg)

9 Investor Summary ▪ The Oilfield Services ("OFS") sector is benefitting from a strategic shift during the current cycle ▪ Prioritizing sustained returns and free cash flow more than it did in previous cycles ▪ NexTier's capital efficient investments has made it an industry leader in returns and free cash flow while balancing the demands of both our customers and investors. ▪ We believe the entire industry is set up to deliver sustained high returns for multiple years ▪ Frac industry is sold out with consolidation and capital discipline amongst the largest players ▪ Natural gas-powered equipment, that makes up under half of the US Fleet, earns a premium return that is supported by a sustainable fuel cost arbitrage between low-cost natural gas and diesel ▪ Demand is likely to remain strong for multiple years as global commodity markets seek balance ▪ US shale production is likely unable to quickly balance the market due to its own constraints, with frac equipment being one of the main bottlenecks to production growth. ▪ We believe current frac equity valuations are not aligned with industry fundamentals ▪ We believe industry fundamentals should mean less cyclicality over the next several years – strong demand, tight supply, differentiated equipment, which should allow for sustained returns

------

![](nextierfebruary2023inves010.jpg)

10 Macro Outlook: Expanded Cycle Duration

------

![](nextierfebruary2023inves011.jpg)

11 ▪ Rebuild cycles occur at increased frequency as pump-hrs/month increase ▪ Equipment rebuild costs increase each cycle as equipment ages ▪ Equipment and parts availability are limiting factor to replacing major pump components Fleet attrition places downward pressure on useful capacity, creates tightly supplied market Estimated effective lifecycle of Major Pump Components at current fleet activity pace Source: J.P. Morgan J.P. Morgan: Frac Activity and Useful HHP Capacity Useful Capacity U.S. Frac Demand Reduction in capacity the result of retirement and natural attrition Fleet attrition places a ceiling on total supply as hydraulic horsepower intensity increases Illustrative Rebuild Cost vs Newbuild Cost: Engine: 5 yrs Transmission: 3 yrs Power End: 2 yrs Rebuild Cycle #1 Rebuild Cycle #2 Rebuild Cycle #3 Rebuild Cycle #4 Newbuild Cost 80% of Newbuild R E B U IL D C O S T S A L V A G E V A L U E Source: NexTier Internal Estimates

------

![](nextierfebruary2023inves012.jpg)

12 U.S. Shale Total Frac Fleet Market Bifurcation Active Fleet Type vs. Cost of Fueling for a representative Permian fleet Steep Cost Curve Drives Fleet Differentiation Bifurcation of equipment lengthens the high return duration Conventional Diesel to remain the marginal fleet for years into the upgrade cycle ▪ At current newbuild replacement pace, 7+ years remaining before diesel fleets are meaningfully displaced as the base fleet ▪ Significant fuel cost arbitrage provides platform for sustained premium returns on natural gas-powered equipment Source: 1Rystad Energy Frac Services Report, 2NexTier Estimates A n n u a li ze d C o st o f F u e li n g , m il li o n s Estimated Percentage of Active Fleet Type (2022) e F le e t a n d D ir e c t- D ri v e T ie r 4 D u a l- F u e l T ie r 2 D u a l- F u e l C o n v e n ti o n a l D ie se l 8% 18% 21% Fleets: 53% Premium Return Potential 1 2 0 10 N E X 2 2 Q 4

------

![](nextierfebruary2023inves013.jpg)

13 OFS: Take Another Look A Durable Returns Cycle

------

![](nextierfebruary2023inves014.jpg)

14 Peer Groups: US Land Peers: LBRT, PUMP, PTEN, HP, RES, WTTR, ACDC (ACDC only included in 3Q22, 4Q22, and 2023 due to data availability, NexTier manual calculations) Large Cap OFS: HAL, BKR, SLB Source: FactSet as of 2/14/2023, 4Q22E based on partial consensus taking into consideration not all peers have yet reported as of publication. 4Q22E includes reported NexTier results. Ratio definitions as defined by FactSet can be found in the appendix. 1The referenced metrics are non-GAAP metrics defined in the appendix. -10% 0% 10% 20% 30% 40% 1Q22 2Q22 3Q22 4Q22E 2023E NEX US Land Peers Large Cap OFS -10% 0% 10% 20% 30% 40% 50% 1Q22 2Q22 3Q22 4Q22E 2023E NEX US Land Peers Large Cap OFS -20% -10% 0% 10% 20% 30% 40% 50% 1Q22 2Q22 3Q22 4Q22E 2023E NEX US Land Peers Large Cap OFS -10% 0% 10% 20% 30% 1Q22 2Q22 3Q22 4Q22E 2023E NEX US Land Peers Large Cap OFS PERFORMANCE \| Leading Returns in a Healthy Industry TTM Return on Invested Capital1 TTM Return on Total Capital1 TTM Return on Equity TTM Return on Assets

------

![](nextierfebruary2023inves015.jpg)

15 ▪ Growth since the start of 2021 was achieved in a very capital efficient manner Invested Capital vs. Annualized Adj. EBITDA per Deployed Fleet ($) Millions ▪ 4Q22 showed further improvement in net income and ROIC Net Income and Annualized ROIC ($) Millions ▪ Free cash flow expected to improve further in 2023 Free Cash Flow and Free Cash Flow Conversion ($) Millions -25% 0% 25% 50% 75% -$250 $0 $250 $500 $750 2021 2022 2023E Free Cash Flow Free Cash Flow Conversion Expect At least $500mm FCF, >50% FCF Conversion in 2023 $0 $5 $10 $15 $20 $25 $30 $35 $40 $45 $50 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 Invested Capital per Deployed Fleet Adj. EBITDA per Deployed Fleet -40% -25% -10% 5% 20% 35% 50% -$100 -$50 $0 $50 $100 $150 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 Net Income Annualized ROIC EXECUTION \| Our Returns Focused Growth Plan Capital-efficient growth strategy has resulted in recovering returns and FCF NexTier has been disciplined in our growth… Resulting in recovering returns… And accelerating Free Cash Flow…

------

![](nextierfebruary2023inves016.jpg)

16 $0 $10 $20 $30 $40 $50 $60 4Q21 1Q22 2Q22 3Q22 4Q22 M il li o n s NEX Invested Capital per Fleet Peer Average Invested Capital per Fleet NEX Annualized Adj. EBITDA per Fleet Peer Average Annualized Adj. EBITDA per Fleet Peer Groups: LBRT, PUMP, ACDC Source: Invested Capital from FactSet for NEX, LBRT, PUMP and NexTier estimate for ACDC (historical) and FactSet for 4Q22, active fleet count for peers from JP Morgan Equity Research estimate 4Q22 is actual results for LBRT and NEX, Consensus for PUMP and ACDC We believe this is an appropriate peer group for this circumstance as they are the most weighted towards hydraulic fracturing services BALANCE \| Growth and Capital Discipline ▪ NexTier Adjusted EBITDA per deployed fleet has improved significantly over the past year ▪ Our growth has been accomplished in conjunction with strong capital discipline, allowing NexTier to generate leading FCF and returns

------

![](nextierfebruary2023inves017.jpg)

17 2023E Free Cash Flow Yield 2023E FCF as a % of Enterprise Value Peer Average = 10% Peer Average = 8% Source: FactSet Consensus as of 2/14/2023 0% 5% 10% 15% 20% 25% 30% V A L N E R IG N O V B K R S L B H A L O II F T I X P R O W F R D H P W H D C H X S O I H L X P T E N L B R T W T T R P U M P N E X A C D C N B R 0% 5% 10% 15% 20% 25% 30% R IG V A L N E N O V B K R S L B O II H A L F T I W F R D X P R O H P S O I C H X W H D H L X N B R P T E N W T T R L B R T A C D C N E X P U M P COMPELLING VALUATION \| Free Cash Flow Competitively performing versus peers in delivering Free Cash Flow 3rd Highest FCF Yield in the Peer Group 2nd Highest FCF as a % of Enterprise Value

------

![](nextierfebruary2023inves018.jpg)

18 Source: FactSet Consensus as of 2/14/2023. Price to 2023 Earnings is the current share price divided by consensus 2023 earnings per share as provided by FactSet 0x 5x 10x 15x 20x 25x 30x FTI HLX VAL OII XPRO BKR NOV WHD SLB S&P 500 CHX WFRD NE HAL NBR HP SOI PTEN WTTR PUMP LBRT NEX ACDC COMPELLING VALUATION \| Price to Earnings Multiple 2nd Lowest Price to Consensus 2023 EPS Multiple in the Peer Group Price to 2023 Earnings FactSet Consensus 2nd Lowest Price to Earnings Multiple

------

![](nextierfebruary2023inves019.jpg)

19 The bottom line… Why invest with NexTier? Resilient Macro Backdrop Frac fleets likely to remain sold out; natural gas fuel cost arbitrage should result in sustained high returns Attractive Valuation Macro backdrop should mean longer cycle duration; valuations imply current results are not sustainable Winning Capital Allocation Strategy Balancing growth objectives with returns and free cash flow

------

![](nextierfebruary2023inves020.jpg)

20 Appendix

------

![](nextierfebruary2023inves021.jpg)

21 Financial Returns Calculation Tables Invested Capital vs Annualized Adj. EBITDA per Deployed Fleet ($ thousands) Three Months Ended Mar.31, 2021 Jun.30, 2021 Sept.30, 2021 Dec.31, 2021 Mar.31, 2022 Jun.30, 2022 Sept.30, 2022 Dec.31, 2022 Long-term operating leases, less current maturities $24,351 $21,145 $20,580 $20,446 $19,480 $12,456 $12,823 $13,267 Long-term finance leases, less current maturities 293 209 25,053 26,873 24,749 23,585 17,335 11,925 Long-term debt, net of unamortized deferred financing costs and unamortized debt discounts, less current maturities 332,779 332,124 361,836 361,501 358,034 354,503 350,986 347,425 Stockholders' equity 509,328 481,733 528,171 547,017 565,685 644,083 762,926 789,919 Invested Capital $866,751 $835,211 935,640 $955,837 $967,948 $1,034,627 $1,144,070 $1,162,536 Adjusted EBITDA $669 $5,300 $27,763 $80,230 $83,493 $165,885 $194,763 $212,689 Annualized Adjusted EBITDA 2,676 21,200 111,052 320,920 333,972 663,540 779,052 850,756 Deployed Fleets 18 20 25 30 33 34 33 32 Invested Capital per Deployed Fleet $48,153 $41,761 $37,426 $31,861 $29,332 $30,430 $34,669 $36,329 Annualized Adjusted EBITDA per Deployed Fleet $149 $1,060 $4,442 $10,697 $10,120 $19,516 $23,608 $26,586

------

![](nextierfebruary2023inves022.jpg)

22 Financial Returns Calculation Tables Annualized Return on Invested Capital: Net income for a given quarter, multiplied by four, as a % of average beginning and ending invested capital during the quarter TTM Return on Invested Capital: Trailing twelve months net income as a % of average beginning and ending invested capital, with invested capital defined as the sum of long-term debt, long-term financing and operating leases, and shareholder's equity ($ thousands) Three Months Ended Dec.31, 2020 Mar.31, 2021 Jun.30, 2021 Sept.30, 2021 Dec.31, 2021 Mar.31, 2022 Jun.30, 2022 Sept.30, 2022 Dec.31, 2022 Net Income (Loss) $(60,206) (54,502) (31,781) (43,994) 10,854 8,792 68,458 104,734 132,985 Annualized Net Income (Loss) (240,824) (218,008) (127,124) (175,976) 43,416 35,168 273,832 418,936 531,940 Long-term operating leases, less current maturities 24,232 24,351 21,145 20,580 20,446 19,480 12,456 12,823 13,267 Long-term finance leases, less current maturities 504 293 209 25,053 26,873 24,749 23,585 17,335 11,925 Long-term debt, net of unamortized deferred financing costs and unamortized debt discounts, less current maturities 333,288 332,779 332,124 361,836 361,501 358,034 354,503 350,986 347,425 Stockholders' equity 557,288 509,328 481,733 528,171 547,017 565,685 644,083 762,926 789,919 Invested Capital $915,312 $866,751 $835,211 $935,640 $955,837 $967,948 $1,034,627 $1,144,070 $1,162,536 Average Invested Capital 891,032 850,981 885,426 945,739 961,893 1,001,288 1,089,349 1,153,303 Annualized Return on Invested Capital -24% -15% -20% 5% 4% 27% 38% 46% TTM Return on Invested Capital -6% 5% 19% 30%

------

![](nextierfebruary2023inves023.jpg)

23 Financial Returns Calculation Tables TTM Return on Total Capital: Trailing twelve months operating income (loss) before gain/loss on sale of assets and other unusual items as a % of the average beginning and ending total capital, with total capital defined as the sum of total debt, total capital and operating leases, and shareholder's equity ($ thousands) Three Months Ended Mar.31, 2021 Jun.30, 2021 Sept.30, 2021 Dec.31, 2021 Mar.31, 2022 Jun.30, 2022 Sept.30, 2022 Dec.31, 2022 Revenue $228,402 $292,145 $393,164 $509,730 $635,043 $842,912 $896,010 $870,857 Cost of Services 217,777 269,260 344,637 423,647 524,656 649,866 682,683 632,890 Depreciation and amortization 45,868 40,671 44,861 52,764 55,163 58,794 56,542 58,760 Selling, general and administrative expense 16,069 20,734 37,453 35,148 35,859 35,855 37,415 36,867 Operating Income (Loss) before gain/loss on sale of assets and other unusual items $(51,312) $(38,520) $(33,787) $(1,829) $19,365 $98,397 $119,370 $142,340 Total Debt $335,089 $334,406 $373,022 $374,885 $371,636 $368,194 $364,835 $361,429 Finance Leases 734 589 35,491 38,779 36,784 38,178 35,596 31,780 Operating Leases 38,988 32,642 29,305 27,898 25,920 17,937 18,147 19,350 Equity 509,328 481,733 528,171 547,017 565,685 644,083 762,926 789,919 Total Capital $884,139 $849,370 $965,989 $988,579 $1,000,025 $1,068,392 $1,181,504 $1,202,478 Average Total Capital 942,082 958,881 1,073,747 1,095,529 TTM Return on Total Capital -6% 8% 22% 35%

------

![](nextierfebruary2023inves024.jpg)

24 Financial Returns Calculation Tables TTM Return on Equity: Trailing twelve months net income as a % of the average beginning and ending shareholders equity TTM Return on Assets: Trailing twelve months net income as a % of the average beginning and ending total assets ($ thousands) Three Months Ended Mar.31, 2021 Jun.30, 2021 Sept.30, 2021 Dec.31, 2021 Mar.31, 2022 Jun.30, 2022 Sept.30, 2022 Dec.31, 2022 Net Income (Loss) $(54,502) $(31,781) $(43,994) $10,854 $8,792 $68,458 $104,734 $132,985 Stockholders' Equity $509,328 $481,733 $528,171 $547,017 $565,685 $644,083 $762,926 $789,919 TTM Return on Equity -10% 8% 30% 47% ($ thousands) Three Months Ended Mar.31, 2021 Jun.30, 2021 Sept.30, 2021 Dec.31, 2021 Mar.31, 2022 Jun.30, 2022 Sept.30, 2022 Dec.31, 2022 Net Income (Loss) $(54,502) $(31,781) $(43,994) $10,854 $8,792 $68,458 $104,734 $132,985 Assets $1,133,028 $1,137,542 $1,417,975 $1,457,581 $1,532,378 $1,654,206 $1,802,324 $1,727,168 TTM Return on Assets -4% 3% 12% 20%

------

![](nextierfebruary2023inves025.jpg)

25 Reconciliation and Calculation of Non-GAAP Financial Measurements (1) Represents transaction and integration costs related to acquisitions, including earn out payments. (2) Represents non-cash amortization of equity awards issued under the NexTier's Incentive Award Plan. (3) Represents market-driven severance, leased facility closures, and restructuring costs incurred as a result of significant declines in crude oil prices resulting from demand destruction from the COVID-19 pandemic and global oversupply. (4) Represents bad debt expense on the sale of the Well Support Services segment to, and related to the bankruptcy filing of Basic Energy Services. (5) Represents the realized and unrealized (gain) loss on an equity security investment composed primarily of common equity shares in a public company. (6) Represents increases in accruals related to contingencies acquired in business acquisitions or exceptional material events. (7) Represents a reduction of NexTier's accrual related to tax audits acquired in business acquisitions. (8) Represents a gain on insurance recovery in excess of book value due to fire incidents. ($ thousands) Three Months Ended Mar. 31, 2021 Jun. 30, 2021 Sept. 30, 2021 Dec. 31, 2021 Mar. 31, 2022 Jun. 30, 2022 Sept. 30, 2022 Dec. 31, 2022 Net Income (Loss) $(54,502) $(31,781) $(43,994) $10,854 $8,792 $68,458 $104,734 $132,985 Interest expense, net 4,206 5,726 6,701 7,976 7,374 7,344 7,150 6,514 Income tax expense 857 621 472 (264) 160 1,240 1,560 1,600 Depreciation and amortization 45,868 40,671 44,861 52,764 55,163 58,794 56,542 58,760 EBITDA $(3,571) $15,237 $8,040 $71,330 $71,489 $135,836 $169,986 $199,859 Plus management adjustments Acquisition, intergation and expansion (1) - 178 4,752 3,779 9,232 23,682 27,521 3,000 Non-cash stock compensation (2) 5,203 4,889 7,350 7,235 7,815 7,547 7,119 7,114 Market driven costs (3) 7,295 378 578 504 - - - - Diverstiture of business (4) (785) 2,428 5,927 279 541 905 1,090 (27) Gain on equity security investment (5) 3,693 (1,331) 522 (3,041) (5,606) (2,111) 132 196 Litigation (6) 2,137 1,638 4,000 100 - 416 (179) - Tax audit (7) (13,328) (8,778) (2,771) - - - - - Insurance recovery (8) - (9,686) (723) - - - (11,044) 2,480 Other 25 347 88 44 22 (390) 138 67 Adjusted EBITDA $669 $5,300 $27,763 $80,230 $83,493 $165,885 $194,763 $212,689 Adjusted EBITDA

------

![](nextierfebruary2023inves026.jpg)

26 Reconciliation and Calculation of Non-GAAP Financial Measurements Free Cash Flow Conversion ($ thousands) Twelve Months Ended Dec. 31, 2021 Dec.31, 2022 Net cash used in operating activities $(50,787) $454,390 Net cash used in investing activities(1): Capital expenditures (188,478) (225,118) Proceeds from disposal of assets 70,432 50,227 Proceeds from insurance recoveries 22,947 15,351 Net cash used in investing activities $(95,099) (159,540) Free cash flow $(145,886) $294,850 Adjusted EBITDA 113,962 656,830 Free Cash Flow Conversion -128% 45% (1) Twelve months ended December 31, 2022 excludes $27.2 million from the acquisition from Continental Intermodal Group LP and $0.5 million due to net working capital adjustments in connection with the acquisition of Alamo Pressure Pumping ("Alamo"). Twelve months ended December 31, 2021 excludes $100.0 million from the Acquisition of Alamo Pressure Pumping and $2.5 million from a Q2 2021 Completions acquisition

------