NYSE$HP

Helmerich & Payne Inc · Q4 2024 earnings

Q4 2024 earnings · · Investor relations

Briefing

Helmerich & Payne reported fourth quarter earnings with net income of $75 million and revenue of $694 million. The company is progressing with the KCA Deutag acquisition and anticipates its closure by the end of the calendar year.

Helmerich & Payne's Q4 2024 earnings revealed a net income of $75 million on operating revenues of $694 million. The North America Solutions segment exited the quarter with 151 active rigs. The company is focused on the KCA Deutag acquisition, expecting it to close before the end of 2024.

  • Net income for the fourth quarter of fiscal year 2024 was $75 million, or $0.76 per diluted share, from operating revenues of $694 million.
  • The North America Solutions segment exited the fourth quarter with 151 active rigs.
  • NAS revenue per day was approximately $39,100 with direct margins per day of $19,800 during the quarter.
  • The company expects the KCA Deutag acquisition to close prior to calendar 2024 year end.

Headline financials

Total Revenue

$694M

Previous: $660M+5.2%
EPS (adj)

$0.76

Previous: $0.69+10.1%
NA revenue days

13.9K

No prior period
NA avg active rigs

151

No prior period
Capital Expenditures

-$106M

Previous: -$114M+6.8%
Net Income

$75M

Previous: $78M-3.8%
Operating Income

$107M

Previous: $93.7M+13.7%
Gross Profit

$185M

Previous: $156M+18.1%
R&D Expense

$8.86M

No prior period
Stock-Based Comp

$7.42M

Previous: $8.57M-13.4%

Revenue & EPS history

Helmerich & Payne · Revenue · Quarterly

$694M

Q4 2024+5.2%vs Q4 2023
Beat estimate in 11 of 14 quarters(79%)
ActualEstimate

Revenue by segment

Helmerich & Payne · $628M total across 2 segments · Q4 2023

  • North America Solutions
    $575M+4.1%
  • International Solutions
    $53.2M+25.5%

Forward guidance

H&P anticipates exiting the first quarter of fiscal year 2025 with between 147-153 active rigs in the North America Solutions segment. Capital expenditures for fiscal year 2025 are expected to range between $290 and $325 million.

Tailwinds

  • North America Solutions direct margins are expected to be between $260-$280 million.
  • Offshore Gulf of Mexico direct margins are expected to be between $7-$9 million.
  • The company plans to allocate approximately $100 million to its annual base dividend of $1/share.
  • Planned capital expenditures are expected to range between $290 and $325 million, representing a sizeable sequential decrease from H&P's fiscal 2024 spend.
  • The anticipated reduction in the planned fiscal 2025 capex relative to fiscal 2024, which we currently believe will be approximately $190 million, is projected to create a significant increase in the Company's projected free cash flow

Headwinds

  • International Solutions direct margins are expected to be between $(2)-$2 million, exclusive of any foreign exchange gains or losses.
  • Incremental demand for rigs is fairly matched with rigs rolling from existing commitments, leading to a relatively flat rig count.
  • NAS direct margins are expected to remain relatively flat.
  • Cash taxes for fiscal year 2025 are expected to be approximately $140 to $190 million
  • The current capital expenditures expectations do not include any amounts related to the pending KCA Deutag acquisition

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

-1.2%

Avg return

Earnings day

-1.7%

Avg return

5 days after

-3.4%

Avg return

30 days after

43%

31 / 72 earnings

Positive

+12.8%

Q1 2024

Best reaction

-20.8%

Q2 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-7.2%-1.7%-6.0%
Q1 2026-5.2%-6.0%-6.4%
Q4 2025-3.7%-3.2%+0.3%
Q2 2025-3.5%+0.6%-11.8%
Q1 2025-16.5%-17.9%-23.0%
Q4 2024-6.0%-6.8%-6.9%
Q3 2024+8.8%+3.8%-11.4%
Q2 2024-4.4%-3.5%-12.2%
Q1 2024+12.8%+5.0%+6.9%
Q4 2023-3.0%-0.7%-6.2%
Q3 2023+5.1%+5.4%-5.0%
Q2 2023-4.0%-5.0%-5.8%
Q1 2023-1.5%-7.8%-12.8%
Q4 2022-1.6%-3.2%-11.5%
Q3 2022+5.2%+7.4%+7.4%
Q2 2022+12.1%+6.6%+22.5%
Q1 2022+6.8%+14.2%+33.7%
Q4 2021-19.7%-23.8%-28.1%
Q3 2021-0.9%-4.7%-5.4%
Q2 2021-5.2%-0.5%+4.5%
Q1 2021+4.8%+3.5%+21.5%
Q4 2020+2.0%+22.5%+26.1%
Q3 2020-9.9%-12.9%-18.9%
Q2 2020-20.8%-19.9%-5.1%
Q1 2020+2.8%+5.2%-13.9%
Q4 2019+3.4%-2.1%+7.3%
Q3 2019-2.5%-5.1%-26.3%
Q2 2019-2.5%-7.3%-19.9%
Q1 2019+8.4%+7.9%+3.4%
Q4 2018+7.4%+4.3%+0.3%
Q3 2018+1.0%+6.4%+11.2%
Q2 2018-2.4%-4.5%-7.7%
Q1 2018+3.8%+1.9%-6.3%
Q4 2017+3.6%+3.9%+7.5%
Q3 2017-5.9%-10.7%-18.7%
Q2 2017-7.0%-10.0%-17.7%
Q1 2017-10.4%-12.3%-16.7%
Q4 2016+3.5%+5.4%+19.4%
Q3 2016-1.6%-2.0%-0.9%
Q2 2016-6.7%
Q1 2016+10.3%
Q4 2015-2.2%
Q3 2015-3.4%
Q2 2015+1.2%
Q1 2015-0.2%
Q4 2014-7.7%
Q3 2014-7.9%
Q2 2014-6.0%
Q1 2014+3.4%
Q4 2013+3.0%
Q3 2013-4.7%
Q2 2013-4.5%
Q1 2013+2.2%
Q4 2012+8.4%
Q3 2012+5.0%
Q2 2012-6.6%
Q1 2012+1.9%
Q4 2011-5.5%
Q3 2011-2.9%
Q2 2011+1.7%
Q1 2011+0.3%
Q4 2010+1.2%
Q3 2010-1.9%
Q2 2010-6.0%
Q1 2009-6.8%
Q1 2010+3.1%
Q4 2007-1.2%
Q2 2009-1.2%
Q4 2009-1.2%
Q3 2008+0.5%
Q4 2008+0.5%
Q3 2009+0.5%

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