Overview
RPC Q3 revenue rose 6% sequentially to $447.1 mln, beating analyst expectations
Adjusted EPS for Q3 was $0.09, exceeding analyst estimates
Company anticipates Q4 challenges due to lower oil prices and holiday slowdowns
Outlook
RPC expects oilfield services market to face headwinds due to oil prices below $60/barrel
Company plans incremental cost reductions amid challenging market conditions
RPC to invest prudently, focusing on full cycle returns
Result Drivers
PRESSURE PUMPING - Revenue increased 14% sequentially, driven by recovery from a soft second quarter
COILED TUBING - 19% increase supported by deployment of a new large diameter unit
DOWNHOLE TOOLS - Strong demand due to new product introductions
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $447.10 mln | $406.20 mln (4 Analysts) |
Q3 Adjusted EPS | Beat | $0.09 | $0.07 (6 Analysts) |
Q3 Adjusted Net Income | Beat | $18.40 mln | $15.90 mln (5 Analysts) |
Q3 Net Income | $12.96 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "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 October 29 closing price of $5.00
The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 13 three months ago
Press Release: ID:nPn2GgTSCa
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(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.)