Results
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Third Quarter 2026 Earnings Release
RPC, Inc. Reports Third Quarter 2026 Financial Results
And Declares Regular Quarterly Cash Dividend
ATLANTA, October 29, 2026 - RPC, Inc. (NYSE: RES) (“RPC” or the “Company”), a leading diversified oilfield services company, announced its unaudited results for the third quarter ended September 30, 2026.
Non-GAAP and adjusted measures may include Adjusted operating income, Adjusted net income, Adjusted net income margin, Adjusted earnings per share (diluted), EBITDA and Adjusted EBITDA, Adjusted EBITDA margin, and Free cash flow which are reconciled to the most directly comparable GAAP measures in the appendices of this earnings release.
Sequential comparisons are to 2Q:26.
The Company believes quarterly sequential comparisons are most useful in assessing industry trends and RPC’s recent financial results.
Both sequential and year-over-year comparisons are available in the tables at the end of this earnings release.
Third Quarter 2026 Highlights
Revenues increased 1% sequentially to $467.7 million.
Net loss, including non-cash impairment charges, was $41.9 million, compared to Net income of $12.1 million in the prior quarter, and Loss per share was $0.20; Net loss margin was 9.0% compared with Net income margin of 2.6% in 2Q:26.
The Net loss in the third quarter included non-cash impairment charges of $74.5 million related to Pintail, our wireline business.
Impairment charges reflect Pintail’s persistent pricing weakness as well as lower activity and cost pressure.
See discussion below and Appendices A through C.
Adjusted net income was $22.8 million, compared to $17.8 million in the prior quarter, and Adjusted diluted earnings per share (EPS) was $0.10; Adjusted net income margin was 4.9%.
See Appendices B and C for additional details.
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) was $71.5 million, compared to $66.0 million in the prior quarter; Adjusted EBITDA margin was 15.3% compared with Adjusted EBITDA margin of 14.3% in 2Q:26.
See Appendix C for additional details.
The Board of Directors declared a regular quarterly cash dividend of $0.04 per share, payable on December 10, 2026, to common stockholders of record at the close of business on November 10, 2026.
Management Commentary
“During the quarter, Revenues improved, reflecting continued strength across several of our service lines.
Within our Technical Services segment Cudd Pressure Controls’ Coiled Tubing, Nitrogen, and Snubbing revenues each grew double digits, partially offset by lower Pintail Wireline revenues.
Our Support Services segment revenues grew 3% sequentially led by Patterson Rental Tools, which increased 7%.
Our results benefited from improved profitability across much of our portfolio, demonstrating the value of RPC’s diversified service offerings.”
“While the oilfield services market remains very competitive, drilling and completion activity has improved during the year resulting in higher customer activity levels in several of our service lines.
Current oil prices are supporting a more favorable operating environment.
At the same time, inflationary pressures across several expense categories, particularly labor, trucking and fuel, continue to create cost pressures.”
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Third Quarter 2026 Earnings Release
“The breadth of our service offerings, strong balance sheet and disciplined capital allocation strategy continue to position RPC to respond to changing customer activity levels while pursuing opportunities that enhance long-term shareholder returns,” stated Ben M. Palmer, RPC’s President and Chief Executive Officer.
Selected Industry Data (Source: Baker Hughes Company, U.S. Energy Information Administration)
3Q:26 Consolidated Financial Results (sequential comparisons to previous quarter)
2Revenues were $467.7 million, up $6.9 million compared to the previous quarter.
7Within the Technical Services segment, revenues increased $6.1 million sequentially, with increases in Coiled Tubing, Nitrogen and Snubbing partially offset by a decrease in Wireline revenues.
Support Services segment revenues were up 3% primarily due to an increase in Rental Tools.
Cost of revenues , which excludes depreciation and amortization of $37.0 million, increased to $349.8 million, up from $345.7 million, primarily reflecting the increase in revenues.
8Selling, general and administrative expenses were $50.8 million, essentially unchanged compared with $51.5 million in the prior quarter.
Impairment charges were $74.5 million, all of which were non-cash, reflecting the excess of the carrying amount of Pintail’s asset group over its estimated fair value.
Pintail’s persistent pricing weakness, lower activity and cost pressure led management to conclude that the carrying amount of the Pintail asset group was not fully recoverable.
Of the total impairment charges, $58.3 million related to Pintail’s Other intangible assets, net with the remaining $16.2 million related to Property, plant and equipment.
Acquisition related employment costs were approximately $7.3 million during 3Q:26, unchanged from 2Q:26, and represent non-cash accounting adjustments for costs related to the Pintail acquisition that are contingent upon continued employment.
3Depreciation and amortization were $42.7 million during 3Q:26, slightly down from the previous quarter.
Interest income totaled $1.5 million, a decrease of 2% compared to the prior quarter.
The decrease was due to a lower average cash balance reflecting a $20.0 million principal payment on a note payable made in 2Q:26.
Interest expense totaled $533 thousand, a decrease of 21% compared to the prior quarter, primarily due to the principal reduction of a note payable.
6Income tax benefit was $10.0 million, compared to tax provision of $4.5 million in the prior quarter.
The effective benefit rate was 19.2% on a pretax loss of $51.9 million, primarily reflecting the impact of unfavorable permanent differences on the quarter’s pretax loss.
In addition, the effective rate includes the impact of impairment charges recorded in the third quarter.
Net loss and Loss per share totaled $41.9 million and $0.20, respectively, compared with net income of $12.1 million and diluted earnings per share of $0.05, respectively, in 2Q:26.
1Net loss margin was 9.0% in 3Q:26 compared to net income margin of 2.6% in 2Q:26.
See Appendix C for additional details.
Adjusted net income and Adjusted diluted EPS were $22.8 million and $0.10, respectively, versus $17.8 million and $0.08, respectively, in 2Q:26.
Adjusted net income margin increased to 4.9% compared to 3.9% in 2Q:26.
See Appendix B for additional details.
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Third Quarter 2026 Earnings Release
5Adjusted EBITDA was $71.5 million, an 8% increase from $66.0 million in 2Q:26.
Adjusted EBITDA margin increased 100 basis points sequentially to 15.3%.
See Appendix C for additional details.
Balance Sheet, Cash Flow and Capital Allocation
4Cash and cash equivalents decreased $32.9 million year-to-date to $177.1 million at the end of the third quarter, primarily due to working capital needs associated with increased activity and a $20.0 million principal payment on a note payable.
The Company had no outstanding borrowings under its $100 million revolving credit facility during the quarter.
Net cash provided by operating activities and Free cash flow were $115.7 million and $5.0 million, respectively, year-to-date through 3Q:26.
Working capital was a significant use of cash primarily due to higher accounts receivable resulting from increased customer activity and timing of collections, and strategic inventory purchases including key components in short supply.
See Appendix D for additional details.
Payment of dividends totaled $26.6 million year-to-date.
Additionally, the Board of Directors declared a regular quarterly cash dividend of $0.04 per share, payable on December 10, 2026, to common stockholders of record at the close of business on November 10, 2026.
Share repurchases totaled $3.5 million year-to-date, related to tax withholdings for restricted stock vesting.
Segment Operations (sequential comparisons versus the previous quarter)
Technical Services performs value-added completion, production and maintenance services directly to a customer’s well.
These services include Pressure Pumping, Downhole Tools, Wireline, Coiled Tubing, Cementing, and other offerings.
Revenues were $444.2 million, up 1%
Operating income was $28.9 million, up 5%
Results were driven primarily by higher activity in Coiled Tubing and Nitrogen
These results exclude the impairment charges of $74.5 million, all of which relate to this segment
Support Services provides equipment for customer use or services to assist customer operations, including Rental Tools, pipe inspection services and storage.
Revenues were $23.5 million, up 3%
Operating income was $3.6 million, up 56%
Results were driven by higher activity in Rental Tools and the fixed-cost nature of this service line
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Third Quarter 2026 Earnings Release
RPC provides a broad range of specialized oilfield services and equipment primarily to independent and major oilfield companies engaged in the exploration, production and development of oil and gas properties throughout the United States, including the Gulf of America, mid-continent, southwest, Appalachian and Rocky Mountain regions, and in selected international markets.
RPC’s investor website can be found at www.rpc.net .
These risks and uncertainties include, among others,
Third Quarter 2026 Earnings Release
changes in the price of oil and natural gas and the overall performance of the U.S. and global economies; levels of capital spending by our customers and the resulting demand for our services; the impact of tariffs and other trade actions, which may increase our cost of materials and affect our profitability; business interruptions due to adverse weather conditions or other natural or man-made disasters; changes in the competitive environment of our industry; political instability and geopolitical events in petroleum-producing regions of the world, including actions by the United States or other governments, such as the recent actions by the United States in Iran and Venezuela, and any related sanctions or disruptions of key transportation routes such as the Strait of Hormuz; actions of OPEC and other oil producing nations; our customers’ drilling and production activities; the possibility that our ongoing integration of Pintail and/or its operating performance may not match our previous projections, including the possibility of continued pricing weakness, lower activity levels and cost pressure requiring further impairments with respect to Pintail, and our ability to identify, consummate and successfully integrate acquisitions and/or other strategic investments or transactions.
The ability to pay dividends may be impacted by many factors including our liquidity and the possibility of unanticipated needs for cash, as well as potential alternative uses for available cash.
For information about RPC, Inc., please contact:
Joshua Large,
Vice President, Corporate Finance and Investor Relations
Third Quarter 2026 Earnings Release
RPC INCORPORATED AND SUBSIDIARIES
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