NYSE$RES

Rpc Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

RPC's financial performance improved in the second quarter of 2022 due to higher customer activity and pricing improvements.

RPC, Inc. reported strong second quarter 2022 results with significant increases in revenue, operating profit, and net income compared to the previous quarter and the same period last year. The improvements were driven by higher customer activity levels, improved pricing, and a larger fleet of active pressure pumping equipment.

  • Revenues increased by 31.9% compared to the first quarter of 2022 and 98.9% compared to the second quarter of 2021.
  • Operating profit rose to $60.4 million, a substantial increase from $23.0 million in the previous quarter and an operating loss of $1.2 million in the second quarter of 2021.
  • Net income reached $46.9 million, or $0.22 diluted earnings per share, compared to $15.1 million, or $0.07 diluted earnings per share, in the prior quarter.
  • EBITDA increased by 87.4% compared to the prior quarter and significantly improved compared to the second quarter of 2021.

Headline financials

Total Revenue

$376M

Previous: $189M+98.9%
EPS (adj)

$0.22

Previous: -$0.00+6551.6%
Oil price ($/barrel)

$109.00

Previous: $66.58+63.7%
Natural gas ($/Mcf)

$7.49

Previous: $2.98+151.3%
Capital Expenditures

-$50.6M

Previous: -$25.9M-95.5%
Free Cash Flow

-$3.64M

Previous: -$26.6M+86.3%
Net Income

$46.9M

Previous: -$726K+6565.4%
Operating Income

$60.4M

Previous: -$1.22M+5052.0%
Gross Profit

$115M

Previous: $43M+166.7%
Cash & Equivalents

$78.2M

Previous: $121M-35.3%
Total Assets

$965M

No prior period
Stock-Based Comp

$1.7M

No prior period

Revenue & EPS history

Rpc · Revenue · Quarterly

$376M

Q2 2022+98.9%vs Q2 2021
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Forward guidance

RPC anticipates continued high demand for its services due to strong market dynamics as it enters the third quarter. The company is allocating capital to maintain its pressure pumping fleet capacity and is refurbishing an existing fleet for deployment in early 2023, with a new fleet expected in the first half of 2023. RPC expects to generate strong cash flows.

Tailwinds

  • Market dynamics remain strong entering the third quarter.
  • Continued high demand for services is expected.
  • A pressure pumping fleet was reactivated at minimal cost.
  • Capital is being allocated to maintain pressure pumping fleet capacity.
  • The company anticipates to generate strong cash flows.

Headwinds

  • Changes in general global business and economic conditions.
  • Fluctuations in prices of oil and natural gas.
  • Risks associated with collections of accounts receivable.
  • Reduced availability or increased costs of labor and raw materials.
  • Impact on operations due to changes in regulatory and environmental laws.

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 Q2 2022

Historical avgQ2 2022

+0.1%

Avg return

Earnings day

-0.5%

Avg return

5 days after

-1.4%

Avg return

30 days after

52%

34 / 66 earnings

Positive

+21.4%

Q2 2022

Best reaction

-18.3%

Q1 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.4%-4.3%-7.9%
Q4 2025-17.4%-12.8%-7.4%
Q3 2025+11.6%+8.4%+6.4%
Q2 2025-3.9%-5.0%-3.0%
Q1 2025+0.8%+1.0%-8.3%
Q4 2024-3.9%-0.5%-13.1%
Q3 2024-5.1%-7.9%+2.2%
Q2 2024+20.6%+27.7%+12.3%
Q1 2024-10.1%-15.5%-14.4%
Q4 2023+7.4%+10.4%+5.1%
Q3 2023-4.6%-3.5%-14.7%
Q2 2023-7.9%-7.1%-10.0%
Q1 2023-2.2%-0.5%-4.4%
Q4 2022+10.6%+11.9%+2.3%
Q3 2022+4.3%+20.6%-1.0%
Q2 2022+21.4%+19.6%+26.9%
Q1 2022-0.6%-4.5%-13.6%
Q4 2021-0.8%-1.8%+39.5%
Q3 2021-2.1%-5.5%-28.0%
Q2 2021+0.0%-6.6%-8.7%
Q1 2021+0.8%+4.0%-1.8%
Q4 2020+18.9%+27.4%+64.1%
Q3 2020-11.7%-3.8%+28.3%
Q2 2020-1.9%-1.6%+3.5%
Q1 2020+0.3%+2.6%+35.5%
Q4 2019+2.0%-9.2%-25.1%
Q3 2019-8.6%-11.6%-31.0%
Q2 2019-9.9%-15.9%-20.5%
Q1 2019-18.3%-17.5%-37.9%
Q4 2018-4.2%-4.7%-5.3%
Q3 2018-1.9%+1.4%-1.7%
Q2 2018+1.8%+7.4%+3.6%
Q1 2018-5.0%-4.1%-10.1%
Q4 2017-15.0%-19.4%-20.5%
Q3 2017+3.0%+7.0%+4.2%
Q2 2017+2.1%-1.3%-11.0%
Q1 2017+2.1%+2.3%+8.0%
Q4 2016+0.6%-1.3%-10.1%
Q3 2016+0.4%-3.9%+1.7%
Q2 2016-1.5%-3.4%+9.2%
Q1 2016+4.9%
Q4 2015+8.8%
Q3 2015+2.6%
Q2 2015+1.9%
Q1 2015+2.1%
Q4 2014-4.3%
Q3 2014-3.1%
Q2 2014+6.0%
Q1 2014+3.8%
Q4 2013-9.3%
Q3 2013+6.4%
Q2 2013-5.2%
Q1 2013-12.7%
Q4 2012+6.1%
Q3 2012-1.3%
Q2 2012+1.1%
Q1 2011-0.1%
Q1 2012+9.2%
Q4 2009+0.9%
Q4 2011+0.9%
Q3 2011+9.4%
Q3 2010+9.4%
Q4 2010-3.3%
Q2 2010-3.3%
Q2 2011-3.3%
Q1 2010+1.3%

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