ProFrac Holding Corp. Annual report [Section 13 and 15(d), not S-K Item 405]

Annual report [Section 13 and 15(d), not S-K Item 405]

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2025

Summary of Components of Income Tax Expense (Benefit)

The following table summarizes the components of income tax expense (benefit):


	Year Ended December 31,
	2025			2024			2023
Current income taxes:
Federal	$	0.1		$	—		$	(1.1	)
State		1.0			3.7			2.2
Foreign		0.1			—			—
Total current		1.2			3.7			1.1

Deferred income taxes:
Federal		(13.7	)		(9.6	)		—
State		(0.4	)		(1.1	)		0.1
Total deferred		(14.1	)		(10.7	)		0.1

Income tax expense (benefit)	$	(12.9	)	$	(7.0	)	$	1.2

Summary of Actual Income Tax Expense (Benefit) Differed From the Amount Computed by Applying the Statutory Federal Income Tax Rate to Income (Loss) Before Income Taxes

Actual income tax expense (benefit) for 2025 differed from the amount computed by applying the statutory federal income tax rate to income (loss) before income taxes as follows:


	Year Ended December 31, 2025
	$			%
Income (loss) before income taxes	$	(368.4	)
Federal income tax expense (benefit) at statutory rate		(77.4	)		21.0
State taxes, net of federal benefit		0.4			(0.1	)
Foreign tax effects		0.3			(0.1	)
Domestic Federal Reconciling Items
Effect of Cross-Border Tax Laws		0.1			—
Changes in valuation allowance		37.6			(10.2	)
Nontaxable or nondeductible items		0.7			(0.2	)
Other adjustments
Transactions with related parties		25.2			(6.8	)
Other items		0.2			(0.1	)
Income tax expense (benefit)	$	(12.9	)		3.5

Actual income tax expense (benefit) for 2023 and 2024 differed from the amount computed by applying the statutory federal income tax rate to income (loss) before income taxes as follows:


	Year Ended December 31,
	2024			2023
Income (loss) before income taxes	$	(214.8	)	$	(58.0	)
Statutory rate	21%			21%
Federal income tax expense (benefit) at statutory rate		(45.1	)		(12.2	)
State taxes, net of federal benefit		(0.8	)		0.8
Permanent items		3.4			7.2
Other		3.6			(1.3	)
Non-controlling interest		—			(10.7	)
Business combination adjustment		—			(8.3	)
Valuation allowance		31.9			25.7
Income tax expense (benefit)	$	(7.0	)	$	1.2
Effective tax rate		3.3	%		-2.1	%

Summary of Temporary Differences That Gives Rise to Deferred Tax Assets and Deferred Tax Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below:


	December 31,
	2025			2024
Deferred tax assets:
Net operating loss carryforward	$	168.4		$	147.1
Interest carryforward		33.2			31.4
Lease liability		35.4			39.8
Intangible assets and goodwill		190.1			198.6
Other		36.2			31.8
Gross deferred tax assets		463.3			448.7
Valuation allowance		(182.5	)		(139.2	)
Total deferred tax assets		280.8			309.5

Deferred tax liabilities:
Property, Plant & Equipment		(223.4	)		(280.2	)
Right-of-use asset		(33.9	)		(38.2	)
Other		(6.3	)		(6.0	)
Total deferred tax liabilities		(263.6	)		(324.4	)

Net deferred tax assets (liabilities)	$	17.2		$	(14.9	)

Summary of Income Taxes Paid Net of Refund Received

The following table summarizes income taxes paid net of refund received:


	Year Ended December 31,
	2025
US Federal	$	0.2
US State and Local
Louisiana		0.3
Pennsylvania		0.2
Texas		1.3
Other		0.1
Total	$	2.1