Smart Sand : May Investor Presentation

Published: 2026-05-14 15:12:10 ET SND

Published on 05/14/2026 at 03:12 pm EDT

Investor Presentation - May 2026

Disclaimer (cont'd)

This presentation includes frac sand reserve and resource estimates based on engineering, economic and geological data assembled, analyzed and periodically reviewed by the Company and its outside consultants. However, frac sand reserve estimates are by nature imprecise and depend to some extent on statistical inferences drawn from available data, which may prove unreliable. There are numerous uncertainties inherent in estimating quantities and qualities of frac sand reserves and non-reserve frac sand deposits and costs to mine recoverable reserves, many of which are beyond our control and any of which could cause actual results to differ materially from our expectations. These uncertainties include: geological and mining conditions that may not be fully identified by available data or that may differ from experience; assumptions regarding the effectiveness of our mining, quality control and training programs; assumptions concerning future prices of frac sand, operating costs, mining technology improvements, development costs and reclamation costs; and assumptions concerning future effects of regulation, including the issuance of required permits and taxes by governmental agencies.

This presentation also contains information about the Company's contribution margin, EBITDA, adjusted EBITDA, and free cash flow which are not measures derived in accordance with U.S. generally accepted accounting principles ("GAAP") and which exclude components that are important to understanding the Company's financial performance.

We use contribution margin, which we define as total revenues less costs of goods sold excluding depreciation, depletion and accretion of asset retirement obligations, to measure our financial and operating performance. Contribution margin excludes other operating expenses and income, including costs not directly associated with the operations of our business such as accounting, human resources, information technology, legal, sales and other administrative activities. Gross profit is the GAAP measure most directly comparable to contribution margin. Contribution margin should not be considered an alternative to gross profit presented in accordance with GAAP. We believe contribution margin is a meaningful measure because it provides an operating and financial measure of our ability to generate margin in excess of our operating cost base.

We define EBITDA as net income, plus: (i) depreciation, depletion and amortization expense; (ii) income tax expense (benefit) and other results of operations based taxes; and (iii) interest expense. We define Adjusted EBITDA as EBITDA, plus: (i) gain or loss on sale of fixed assets or discontinued operations; (ii) integration and transition costs associated with specified transactions; (iii) equity compensation; (iv) acquisition and development costs; (v) non-recurring cash charges related to restructuring, retention and other similar actions; (vi) earn-out, contingent consideration obligations and other acquisition and development costs; and (vii) non-cash charges and unusual or non-recurring charges. We believe that our presentation of EBITDA and Adjusted EBITDA will provide useful information to investors in assessing our financial condition and results of operations. Net income is the GAAP measure most directly comparable to EBITDA and Adjusted EBITDA. EBITDA and Adjusted EBITDA should not be considered alternatives to net income presented in accordance with GAAP.

Free cash flow, which we define as net cash provided by operating activities less purchases of property, plant and equipment, is used as a supplemental financial measure by our management and by external users of our financial statements, such as investors and commercial banks, to measure the liquidity of our business. Net cash provided by operating activities is the GAAP measure most directly comparable to free cash flows. Free cash flows should not be considered an alternative to net cash provided by operating activities presented in accordance with GAAP.

You should not consider contribution margin, EBITDA, adjusted EBITDA, or free cash flow in isolation or as substitutes for an analysis of our results as reported under GAAP. Because contribution margin, EBITDA, adjusted EBITDA, and free cash flow may be defined differently by other companies in our industry, our definitions on these non-GAAP financials measures may not be comparable to similarly titled measures of other companies, thereby diminishing their utility.

Company Highlights - Leading Provider of

Northern White Sand in North America

Over 450 million tons of high quality, fine mesh reserves at three operating mines (Oakdale, WI, Blair, WI, Ottawa, IL)

The majority of our reserves are fine mesh (40/70 and 100 Mesh); fine mesh frac sand represents over 80% of the current demand for frac sand

Northern White Sand vs. in-basin sand is a higher quality product that we believe can lead to better long-term well results for oil and gas producers

Oakdale, WI: 5.5 million tons of annual processing capacity, unit train capable access to CP and UP rail lines

Ottawa, IL: 1.6 million tons of annual processing capacity, unit train capable access to BNSF rail line

Blair, WI: 2.9 million tons of annual processing capacity, unit train capable access to CN rail line

Company controlled terminals at Van Hook, ND; Waynesburg, PA; El Reno, OK; Minerva, OH; and Dennison, OH, coupled with network of third-party terminal partners

Unit train shipments of 100+ railcars can be originated at all three plants providing a competitive advantage in delivering northern white sand efficiently and cost effectively into all operating basins in North America

SmartSystemsTM wellsite storage solutions provides cost effective, sustainable frac sand management and delivery at the well site

Large single mine sites on rail dominate other bulk commodity business models

Mining, processing, and shipping primarily done in close proximity to ensure efficient and low-cost operations

Combination of large, high quality reserve base, low-cost operations, and ability to ship large quantities of sand efficiently and sustainably to all operating basins leads to efficient and low-cost supply chain management solutions for our customers

Strong market positions in primary natural gas basins of Marcellus/Utica in the United States and the Duvernay and Montney basins in Canada

Company Highlights- Asset Base and Capital Structure to Deliver Long Term Value

Existing reserve base and processing locations well positioned to support sales into the Industrial Products market

Lowest leverage levels in the proppant industry

~18% owned by CEO and ~36% owned by insiders

High insider ownership aligns management with investors

~$27 million in capital returned to shareholders since January 2023

Repurchased ~6.6 million shares since January 2023

Paid $0.10/common share dividends in October 2024 and August 2025, a $0.05/ common share dividend in December 2025 and a $0.10/common share in May 2026

Company Overview

Smart Sand is a Fully Integrated Provider of Mine to Wellsite Solutions

Smart Sand's Business Offerings

Premium Northern White Reserve

Gigantic Rail Capacity

Terminal & Forward Staging Management

Last Mile Logistics Wellsite Storage Solutions

Large Finer Mesh Northern White Reserve

Class 1 rail (CP, UP, BNSF, CN)

Planning ahead reduces risks

Safe and reliable

Wellsite storage

Consistent high-quality proppant

Unit train capable logistics facilities at all mine locations

Redundancy in the supply chain

Helps eliminate demurrage

Direct to the blender delivery

Realtime inventory control

Up to approximately 10 million tons annual production capability

Avoid trucking congestion

Smaller fleet and more turns per day

Summary Financials

Quarterly Sales Volumes

Quarterly Revenue

(thousands of tons)

1,424 1,472 1,478 1,492

($ in millions)

$92.8

$93.1

$85.8

$86.0

1,069

$65.6

Q1'25 Q2'25 Q3'25 Q4'25 Q1'26

Contribution Margin/Ton

Quarterly Adjusted EBITDA

$14.76

($ in millions)

$13.6

$11.08

$12.18

$8.96

$8.84

$7.8

$7.1

$3.8

$1.4

Q1'25

Q1'26

Q2'25

Q3'25

Q4'25

Q1'25 Q2'25 Q3'25 Q4'25 Q1'26

Northern White Sand's Superior Profitability

Independent Study by Rystad Energy confirms that premium Northern White Sand delivers higher profitability than inferior in-basin sand in the Permian Basin

After examining nearly 900 wells, Rystad concluded that NWS economically outperforms in-basin sand wells within 1-2 years in 85% of cases

The superior characteristics of NWS lead to greater conductivity (ability to allow hydrocarbons to

flow) and higher production

The inferior characteristics of in-basin sand lead to lower conductivity and steeper production declines

NWS Drives Values for Operators and Investors

Despite higher upfront costs, NWS maximizes operator cash flows over the medium and long-

term

Over 85% of operators realize higher profits on wells completed utilizing premium Northern White Sand within one or two years

Premium Northern White Sand delivers conductivity up to 3.4 to 4.5x greater, on average, than in-basin sand

Rystad's conclusions hold over a range of oil prices and have been validated over time with an initial report in 2019, and updates in 2020 and 2022. The complete Rystad Energy report can be found at https://www.smartsand.com.

Market Overview

Long Term Fundamentals Strong for North America Natural Gas Demand

Source: Raymond James, EIA, HFI

Lateral Lengths Continue to Increase

Source: Spears & Associates Q1 2026 North American Proppant Market Report

Lateral Lengths in the Marcellus and Utica Basins in the Eastern United States continue to increase leading to increasing demand for Northern White Sand

Industry Trends continue to support more Proppant

per Well Completed

Source: Spears & Associates Q1 2026 North American Proppant Market Report

US Frac Sand Demand estimated to grow by ~15% in 2026

Source: Spears & Associates Q1 2026 North American Proppant Market Report

Canadian Shale Basin Lateral Length Trends

Lateral lengths continue to increase in Canadian Shale basins which supports increasing demand for Northern White Sand

Source: Spears & Associates Q3 2025 Hydraulic Fracturing Report

While active Frac Crews are projected to be relatively stable, Frac Sand per Crew continues to increase

Source: Spears & Associates Q1 2026 Hydraulic Fracturing Market Report

Mining and Production

Mining and Production Highlights

Efficient operations at three facilities with total plant annual capacity of ~ 10 million tons

Direct access to four Class 1 rail lines with quality connections to the NS and CSX allows Smart Sand to compete in all North American operating basins

CP - Oakdale

UP - Oakdale

BN - Ottawa

CN - Blair

Reserve mix on a combined basis is majority fine mesh sand which lines up well with market demand

The combination of three facilities increases our ability to manage product mix and customer demand

Provides the opportunity to match up better with overall product mix demand in the market

Expands opportunities with our customer base by being able to serve their demand in multiple basins

Rail access over multiple Class 1 rail lines creates opportunity to provide most cost-effective logistics services

Cost-Effective, Differentiated Process

On-site Mining / Excavation Hydro Mining direct feed to Wet Plant Wet Plant Cleans and Sorts Product

Dry Plant Dries and Sorts Product

Unit Trains Deliver Dry Sand to Basins

Low-Cost Structure Due to Several Key Attributes:

− Low royalty rates

− Higher mining yields due to balance of coarse and fine mineral reserve deposits

− Minimal trucking required; reserves, processing plants, and rail facilities are centralized

Continuously Evaluating New Initiatives to Reduce Mining and Operating Costs 19

Oakdale Facility: High Quality Northern White Raw Frac Sand in an Efficient Configuration

Disclaimer

Smart Sand Inc. published this content on May 14, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 14, 2026 at 19:11 UTC.