In This Article:
Patterson-UTI Energy PTEN reported a first-quarter 2023 adjusted net profit of 46 cents per share, which beat the Zacks Consensus Estimate of 36 cents. This outperformance can be attributed to better-than-expected operating income in Contract Drilling and Pressure Pumping segments. Adjusted net profit improved from the year-ago quarter's loss of 13 cents per share.
Total revenues of $791.8 million outperformed the Zacks Consensus Estimate of $756 million. The top line also improved 55.4% on a year-over-year basis.
Patterson-UTI will pay its quarterly dividend of 8 cents per share on Jun 15, 2023, to shareholders of record as of Jun 1, 2023.
Patterson-UTI Energy, Inc. Price, Consensus and EPS Surprise
Patterson-UTI Energy, Inc. price-consensus-eps-surprise-chart | Patterson-UTI Energy, Inc. Quote
Segmental Performances
Contract Drilling: Revenues totaled $419 million, up 63.3% from the prior-year quarter’s figure of $256.6 million. This was due to continued renewal of drilling rig contracts at unchanged rates. Operating profit came in at $100.3 million against a loss of $3.2 million in the first quarter of 2022. The figure also beat the Zacks Consensus Estimate of $83 million.
Pressure Pumping: Revenues of $293.3 million rose about 54.7% from the year-ago quarter’s figure of $189.6 million due to better pricing. Operating profit was $44.4 million compared to a loss of $6.4 million in the first quarter of 2022. The figure beat the Zacks Consensus Estimate of $43.16 million. The surge in profit can be attributed to better pricing.
Directional Drilling: Revenues totaled $56.3 million, up 30% from the prior-year quarter’s figure of $43.3 million. Operating profit was $2.1 million compared with $1.8 million in the corresponding quarter of 2022. The figure missed the Zacks Consensus Estimate of $2.3 million. The year-over-year improvement can be attributed to higher activity and more favorable pricing.
Other Operations: Revenues were $23.2 million, 17.7% higher than the year-ago quarter’s figure of $19.8 million. This was mainly due to improved activity levels. The unit also reported a profit of $835,000 compared with $741,000 in the year-ago quarter.
Capital Expenditure & Financial Position
In the reported quarter, PTEN spent $117.6 million on capital programs compared with $94.8 million in the prior-year period. As of Mar 31, 2023, the company had $157.2 million worth cash and cash equivalents, and $822.2 million as long-term debt.
Outlook
For the second quarter of 2023, Patterson-UTI projects approximately 79 rigs to be in operation under term contracts in the United States.