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Helmerich & Payne (HP) Q4 Loss Narrower Than Expected
November 17, 2016

HP

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Have you been eager to see how contract drilling services provider Helmerich & Payne Inc. (HP - Free Report) performed in fiscal Q4 in comparison with the market expectations? Let’s quickly scan through the key facts from this Tulsa, OK-based company’s earnings release this morning:

About Helmerich & Payne: Incorporated in 1940, Helmerich & Payne is engaged in the contract drilling of oil and gas wells in the U.S. and internationally. The company supplies drilling rigs, equipment, personnel, and camps on a contractual basis to explore for and develop oil and gas from onshore areas and from fixed platforms, tension-leg platforms, and spars in offshore areas. Helmerich & Payne’s contract drilling business consists of three business segments: U.S. land drilling, offshore drilling and international land drilling.

Zacks Rank & Surprise History: Currently, Helmerich & Payne has a Zacks Rank #3 (Hold) but that could change following its fiscal fourth quarter 2016 earnings report which has just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Coming to earnings surprise history, the company has a bad record: its missed estimates in three of the last four quarters.

HELMERICH&PAYNE Price and EPS Surprise

 

HELMERICH&PAYNE Price and EPS Surprise | HELMERICH&PAYNE Quote

We have highlighted some of the key details from the just-released announcement below:

A Narrower-than-Expected Loss: Helmerich & Payne reports loss. Net operating loss per share – excluding special items – came in at 33 cents, narrower than the Zacks Consensus Estimate for a loss of 43 cents.

Revenue Came in Higher than Expected: Revenues beat expectations. Revenues of $331.7 million were above the Zacks Consensus Estimate of $300.7 million.

Key Stats: The ‘U.S. Land’ segment swung to an operating loss of $69.7 million, as against income of $33.7 million in the year-earlier quarter. Helmerich & Payne’s ‘Offshore’ unit earned $2.6 million in the fourth quarter, down 80%. Lastly, the ‘International Land’ segment reported a small operating loss of $162,000, significantly narrower than the $47.2 million incurred in the fourth quarter of fiscal 2015.

Total operating costs decreased by approximately 27% to $424.7 million.

For 2017, Helmerich & Payne expects a capital budget of $200 million.

Check back later for our full write up on this Helmerich & Payne earnings report later!

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