Mammoth Energy Secures Up to $58 Million in Aviation-Backed Financing
Key Facts
Mammoth Energy said on October 30 that its subsidiaries Cobra Aviation Services LLC and Leopard Aviation LLC entered into a loan and security agreement with Bank7 on October 28. The agreement provides for senior secured term loans of up to $58 million in total. The company said it expects to use the proceeds to finance the purchase of additional aviation assets. The financing adds a new tool to support the expansion of Mammoth’s aviation leasing platform, as the business posted notable growth in the second quarter. The facility limit does not mean the company has drawn the full amount; the statement describes financing available up to that limit.
According to the company’s filing with the Securities and Exchange Commission, revenue from leasing services and aviation sales rose to $10.2 million in the second quarter of 2026, from $3.1 million in the same period of 2025, an increase of 229%. Mammoth attributed $5.7 million of the increase to expansion of its aviation fleet, higher utilization and increased aviation sales activity. The company said demand for aviation assets remained favorable during the quarter, supporting higher utilization and revenue in its leasing business. The average number of the company’s units of equipment leased to customers also rose to 407 in the second quarter, compared with 389 in the first quarter of 2026 and 296 in the second quarter of 2025. The figures show an expansion in both revenue and the volume of leased equipment, as the company directs the new facility toward additional asset purchases.
Mammoth had disclosed asset purchase commitments in a July filing. On July 27, it committed to buying 3 aircraft for a total price of $32.4 million; definitive agreements had not yet been signed when the report was prepared, and the company had paid a nonrefundable security deposit of about $0.6 million. Cobra Aviation subsequently entered into two agreements on July 30 to buy aircraft auxiliary power units for about $7.1 million in total. The company completed the purchase of one of the units on July 31 for about $3.6 million. These commitments provide background on asset purchases preceding the Bank7 facility announcement, while the new statement describes the financing’s purpose as buying additional aviation assets without specifying that all of them will be aircraft.
In its second-quarter results, Mammoth said it raised its annual outlook for the second time in 2026, citing continued improvement in its businesses and a growing contribution from its aviation platform. The loss from continuing operations was $1.2 million in the second quarter, compared with a loss of $36.5 million in the same period of 2025, and following net income of $4.7 million in the first quarter of 2026. The company also forecast revenue growth of more than 90% in 2026 and an adjusted EBITDA margin of more than 10%. The outlook provides context for the plan to finance expansion of the aviation platform, whose contribution to the business the company said is increasing. On June 30, Mammoth reported $77.0 million in cash, cash equivalents and marketable securities, along with $20.0 million of available borrowing capacity under its revolving facility after accounting for $5.0 million of outstanding letters of credit; the facility was undrawn on that date.
Mammoth shares, listed under the ticker TUSK, closed at $2.91 on October 29, compared with $2.82 on October 28 and $2.67 on October 23, according to EL7 data. The closing prices show the stock rose between October 23 and October 29, but the available data do not link the move to the financing announcement. No verified price for Bank7 shares was included in the available data, so none is reported here. Mammoth invited investors to a conference call on Friday, October 30, to discuss its third-quarter results. The call is set to give the company an opportunity to present the period’s results after announcing the facility and plans to use its proceeds to buy additional aviation assets.