Brian DiRubbio: Got it. No, got it. Do you say — I know this is just temporary, but these 10,000 to 15,000 horsepower transition. Are we going to be then experiencing some make-ready costs during this three to six to eight-month time period?
John Jackson: We still are, yes. And I think we make ready’s come down some this year compared to last year a little bit, but I would expect that to continue to abate as we get this done. You’re always going to have units that are coming up and moving around on your midsize to smaller horsepower, but we’re really trying to put our large horsepower fleet largely away. And when you think about coming out of COVID and you had an enormous amount of horsepower set around for 1.5 years, and then all of them make ready to get that out over a year or so, 1.5 years or so and now trying to optimize where it is and with who it is, that’s taken a lot of dollars. But I expect that to — towards the end of this year, early next year, get to normal, I’d say status — steady state.
Brian DiRubbio: Got it. No, that’s very helpful there. So then just as we’re thinking about the fleet today and going back to some of the comments you said before, 70% of the fleet on the term with only 40% of that greater than one year. Just rough numbers, what percent of your total fleet in terms of horsepower do you think is on a price card within the last — generated in the last three months?
John Jackson: I mean coming up over the next three months or last?
Brian DiRubbio: The last — how much of your fleet been repriced over the last three months?
John Jackson: Well, we have probably 20% or so of our fleet revenue, I would say, of our revenue, not our fleet. We had — when I think about revenue, we had — we have some significant customers that had a lot of units come up for renewal that just got renewed effective July 01 and so when you put all that in, it’s probably 20%, 15% to 20% of our fleet just got repriced in the last quarter.
Brian DiRubbio: Okay. So in theory, we should maybe start seeing acceleration of revenue per deployed horsepower?
John Jackson: Correct.
Brian DiRubbio: Okay. Perfect that I was looking for and then just a final question for me, just SG&A cost up 12% year-over-year. Anything there that’s notable?
Jon Byers: No, I don’t think so. It was really timing of costs between the quarters. If you look at first half last year to first half this year, we’re pretty much in line. We’re up a couple of hundred thousand dollars. So I don’t think there’s anything notable there.
Brian DiRubbio: Perfect. Appreciate all the color always. Thank you.
Operator: Our next question comes from Jay Spencer from Stifel. Go ahead.
Jay Spencer: Thanks guys and congrats on a good quarter. Some of my questions have been addressed. But just taking a step back and looking at contracted but not revenue-generating part of your fleet, it sounds like naturally, you’re always going to have some that’s in transition. So utilization of 100% is just not achievable, but when you think about that 87% utilization rate, if we were to include contracted but not revenue generating, what would that utilization rate look like? Is that over 90%?
John Jackson: I think it gets close. I think the other thing, it gets right around 90% because we have a fair bit of horsepower that’s contracted, but not out yet. I think the other thing that you have to think about with us relative to our competitors is we have about almost 100,000 of horsepower that’s rotary screw that’s the utilization in the 50s. 55%, give or take. And we have about 90,000 horsepower that’s GasJack and V Jacks that are — we have 2,400 of those units that are 46-horsepower or less per unit. So that utilization sits in the low 50s and has really come down over the last two quarters from near 60. So that probably drags our utilization a little bit. So full utilization for us when you factor in those two components of our fleet that make up maybe what, $200,000 out of $1.2 million, give or take in round numbers, it’s always going to drag you a little bit to the 90% versus 95%.
