Overview
RPC Q2 revenue rises 26% sequentially, misses analyst expectations, per LSEG data
Adjusted EPS for Q2 misses consensus, impacted by pressure pumping challenges
Co acquired Pintail, boosting wireline revenues and expanding customer base
Outlook
RPC sees oilfield services market challenged by lower commodity prices
Co says it will focus on full cycle returns
Result Drivers
PINTAIL ACQUISITION - Acquisition of Pintail Completions added $98.9 mln to Q2 revenue, boosting wireline revenues
PRESSURE PUMPING CHALLENGES - Weaker activity, pricing pressure, and weather impacts led to revenue decline in pressure pumping service line
DIVERSIFIED RESILIENCE - Co's diversified service lines and customer base provided resilience amid lower commodity prices and macro uncertainties
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | $420.81 mln | $421.10 mln (4 Analysts) |
Q2 Adjusted EPS | Miss | $0.08 | $0.09 (6 Analysts) |
Q2 Adjusted Net Income | Miss | $17.50 mln | $19.20 mln (5 Analysts) |
Q2 Net Income | $10.15 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the oil related services and equipment peer group is "buy."
Wall Street's median 12-month price target for RPC Inc is $5.50, about 9.1% above its July 23 closing price of $5.00
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 17 three months ago
Press Release: ID:nPnbHYhGYa
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)