NYSE$RNGR

Ranger Energy Services Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Ranger Energy Services reported increased revenue and net income in Q2 2024, driven by strong performance in the High Specification Rigs segment and improved margins in the Wireline Services segment.

Ranger Energy Services reported revenue of $138.1 million and net income of $4.7 million, or $0.21 per fully diluted share, for the second quarter of 2024. The company experienced growth in the High Specification Rigs and Ancillary segments, which offset declines in wireline completions activity. Adjusted EBITDA was $21.0 million, and free cash flow was $6.8 million, or $0.30 per share.

  • Revenue increased to $138.1 million, with growth in High Specification Rigs and Ancillary segments offsetting declines in wireline completions activity.
  • High specification rig revenue reached a record $82.7 million, a 4% increase from Q1 2024 and a 7% increase from Q2 2023.
  • Net income was $4.7 million, or $0.21 per fully diluted share, an increase of $5.5 million from Q1 2023 but a decrease of $1.4 million from Q2 2023.
  • Adjusted EBITDA was $21.0 million, a 93% improvement from Q1 2024 but a 4% decrease from Q2 2023.

Headline financials

Total Revenue

$138M

Previous: $163M-15.4%
EPS (adj)

$0.21

Previous: $0.24-12.5%
Capital Expenditures

-$21.8M

Previous: -$12.9M-69.0%
Free Cash Flow

-$17.1M

Previous: -$6.8M-151.5%
Net Income

$4.7M

Previous: $6.1M-23.0%
Operating Income

$7.3M

Previous: $11.4M-36.0%
Gross Profit

$24.9M

Previous: $26.9M-7.4%
Cash & Equivalents

$8.7M

Previous: $6.4M+35.9%
Total Assets

$360M

Previous: $365M-1.4%
Stock-Based Comp

$1.4M

Previous: $1.3M+7.7%

Revenue & EPS history

Ranger Energy Services · Revenue · Quarterly

$138M

Q2 2024-15.4%vs Q2 2023
Beat estimate in 4 of 14 quarters(29%)
ActualEstimate

Revenue by segment

Ranger Energy Services · $164M total across 3 segments · Q3 2023

  • High Specification Rigs
    $79.2M-0.6%
  • Wireline Services
    $53.2M-12.2%
  • Processing Solutions
    $32M-12.8%

Forward guidance

Ranger expects modest further improvement in third quarter results on a consolidated basis and typical seasonality in the fourth quarter, although year end customer behavior is unpredictable in current market conditions.

Tailwinds

  • The High Specification Rigs business is expected to grow revenues modestly year over year despite operator activity levels that have continued to decline during 2024.
  • Processing and Ancillary Services segment is expected to have a strong third quarter.
  • Wireline segment results have begun to stabilize over the past two months paving the way for a modest improvement in third quarter results.
  • Ranger has deployed a significant amount of its expected annual capital expenditures in the first half of 2024 and expects a declining capital expenditure profile in the back half of the year.
  • Company has gained traction during the summer months and are optimistic as they move into the second half of the year.

Headwinds

  • Year end customer behavior is unpredictable in current market conditions.
  • Rig count declines of more than 20% from peak levels in 2023.
  • Challenging conditions within the wireline completions service line.
  • Year over year revenue declines are due to reduced activity in our Wireline Services segment driven by deteriorating market conditions over the period and pricing pressure in our wireline completions service line.
  • Year over year decreases in Adjusted EBITDA were driven by reductions in activity in Wireline Services and certain Ancillary Services lines as well as inflationary pressure on costs.

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 2024

Historical avgQ2 2024

-1.0%

Avg return

Earnings day

-0.9%

Avg return

5 days after

+1.1%

Avg return

30 days after

39%

14 / 36 earnings

Positive

+15.4%

Q3 2020

Best reaction

-20.1%

Q3 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-6.4%-6.9%-17.6%
Q4 2025-2.9%-4.4%-3.7%
Q3 2025-0.7%+0.1%+3.9%
Q2 2025-1.4%+0.3%+7.1%
Q1 2025-12.1%-5.8%-15.6%
Q4 2024-2.1%-9.7%-18.2%
Q3 2024+3.3%+6.7%+33.8%
Q2 2024+12.0%+4.9%+8.9%
Q1 2024+1.6%+0.4%+0.4%
Q4 2023+4.9%+4.4%+8.9%
Q3 2023-11.4%-12.6%-26.4%
Q2 2023+6.6%+19.5%+17.0%
Q1 2023-2.8%-1.3%-1.6%
Q4 2022+2.6%+2.2%-2.9%
Q3 2022+3.7%+5.2%+10.8%
Q2 2022-3.0%-3.5%+7.6%
Q1 2022+6.3%-1.8%+14.1%
Q4 2021+9.6%+7.4%-5.8%
Q3 2021-0.8%+0.6%-2.2%
Q2 2021-3.1%-9.7%-10.7%
Q1 2021+3.1%+7.8%+35.0%
Q4 2020+3.0%+7.1%+3.9%
Q3 2020+15.4%+6.1%+29.6%
Q2 2020-10.7%-11.0%-7.1%
Q1 2020-1.3%-6.9%-7.3%
Q4 2019-1.6%-2.0%-44.5%
Q3 2019-5.7%+0.0%+33.4%
Q2 2019-14.6%-11.2%-10.0%
Q1 2019+7.5%+4.2%-14.4%
Q4 2018-2.2%+0.8%+34.0%
Q3 2018-0.3%+11.3%+15.5%
Q2 2018-6.8%-3.8%-10.3%
Q1 2018-2.8%-2.3%+2.5%
Q4 2017-4.0%-8.3%-20.7%
Q3 2017-20.1%-21.4%-12.2%
Q2 2017+2.6%+2.3%+3.5%
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro