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RES Shares Fall 5.7% Despite Beating Q1 Earnings & Revenue Estimates
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Key Takeaways
RPC shares dropped 5.7% despite a Q1 earnings beat and a 36.6% YoY jump in quarterly revenues.
RPC benefited from the Pintail acquisition and increased pressure pumping activity.
RPC ended Q1 with $200.73M in cash and no borrowings under its revolving credit facility.
RPC Inc. (RES - Free Report) reported first-quarter 2026 results on May 7, before the opening bell. Following the announcement, the company’s stock price declined 5.7% to $6.92 per share.
RES reported first-quarter 2026 adjusted earnings of 3 cents per share, which beat the Zacks Consensus Estimate of a penny by 200%. The bottom line declined 50% from the year-ago quarter’s level of 6 cents per share.
Total quarterly revenues were $454.76 million, up 36.6% from the year-ago quarter’s figure of $332.88 million. The top line beat the Zacks Consensus Estimate of $396 million by 14.84%.
The better-than-expected earnings were driven by the contribution from Pintail, which was acquired during the second quarter of 2025, combined with increased earnings across pressure pumping, downhole tools and coiled tubing operations. The positives were partially offset by the higher cost of revenues, primarily due to the Pintail acquisition and increased expenses driven by higher customer activity.
Operating profit in the Technical Services segment totaled $15.98 million, higher than the year-ago quarter’s $14 million. The improvement was driven by increased activity in downhole tools. First-quarter 2026 results reflect Pintail’s operating performance. Lower prices and an unfavorable pressure-pumping job mix offset the positives.
Operating profit in the Support Services segment amounted to $401 thousand, down from $2.66 million in the year-ago quarter. The segment was mainly affected by lower rental tool activity, driven by lower customer activity.
The company’s total operating income in the quarter was $2.62 million compared with $12.39 million in the year-ago quarter. The average domestic rig count declined 6.8% year over year.
The average oil price was $70.54 per barrel, down 1.9% year over year. The average natural gas price was $4.81 per thousand cubic feet (Mcf), 16.2% higher than the $4.14 per Mcf recorded in the corresponding period of 2025.
RES’ Costs & Expenses
In the first quarter, the cost of revenues (excluding depreciation and amortization) increased to $355.58 million from $243.89 million in the prior-year period. Selling, general and administrative expenses amounted to $48.21 million, higher than the year-ago quarter’s $42.5 million. The figure also included acquisition-related employment costs.
Balance Sheet & Cash Flow of RES
As of March 31, 2026, RES had cash and cash equivalents of $200.73 million. It had no outstanding borrowings under its revolving credit facility and maintained a debt-free balance sheet.
Net cash provided by operating activities was $31.2 million, down from $39.9 million in the year-ago quarter. Capital expenditures were $32.1 million for the quarter.
Equinor reported first-quarter 2026 adjusted earnings per share of $1.48, which beat the Zacks Consensus Estimate of $1.01.
As of March 31, 2026, EQNR reported $5.9 million in cash and cash equivalents. At the quarter's end, long-term debt and lease liabilities totaled $25 billion.
BP reported first-quarter 2026 earnings of $1.24 per American Depositary Share, which beat the Zacks Consensus Estimate of 91 cents.
As of March 31, 2026, BP reported $35.7 million in cash and cash equivalents. At the quarter's end, its long-term debt totaled $25.3 billion.
Eni reported first-quarter 2026 adjusted earnings from continuing operations of 81 cents per American Depository Receipt, which missed the Zacks Consensus Estimate of $1.13.
As of March 31, 2026, E had a long-term debt of €21.7 billion, and cash and cash equivalents of €8.3 billion.
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RES Shares Fall 5.7% Despite Beating Q1 Earnings & Revenue Estimates
Key Takeaways
RPC Inc. (RES - Free Report) reported first-quarter 2026 results on May 7, before the opening bell. Following the announcement, the company’s stock price declined 5.7% to $6.92 per share.
RES reported first-quarter 2026 adjusted earnings of 3 cents per share, which beat the Zacks Consensus Estimate of a penny by 200%. The bottom line declined 50% from the year-ago quarter’s level of 6 cents per share.
Total quarterly revenues were $454.76 million, up 36.6% from the year-ago quarter’s figure of $332.88 million. The top line beat the Zacks Consensus Estimate of $396 million by 14.84%.
The better-than-expected earnings were driven by the contribution from Pintail, which was acquired during the second quarter of 2025, combined with increased earnings across pressure pumping, downhole tools and coiled tubing operations. The positives were partially offset by the higher cost of revenues, primarily due to the Pintail acquisition and increased expenses driven by higher customer activity.
RPC, Inc. Price, Consensus and EPS Surprise
RPC, Inc. price-consensus-eps-surprise-chart | RPC, Inc. Quote
Q1 Segmental Performance of RES
Operating profit in the Technical Services segment totaled $15.98 million, higher than the year-ago quarter’s $14 million. The improvement was driven by increased activity in downhole tools. First-quarter 2026 results reflect Pintail’s operating performance. Lower prices and an unfavorable pressure-pumping job mix offset the positives.
Operating profit in the Support Services segment amounted to $401 thousand, down from $2.66 million in the year-ago quarter. The segment was mainly affected by lower rental tool activity, driven by lower customer activity.
The company’s total operating income in the quarter was $2.62 million compared with $12.39 million in the year-ago quarter. The average domestic rig count declined 6.8% year over year.
The average oil price was $70.54 per barrel, down 1.9% year over year. The average natural gas price was $4.81 per thousand cubic feet (Mcf), 16.2% higher than the $4.14 per Mcf recorded in the corresponding period of 2025.
RES’ Costs & Expenses
In the first quarter, the cost of revenues (excluding depreciation and amortization) increased to $355.58 million from $243.89 million in the prior-year period. Selling, general and administrative expenses amounted to $48.21 million, higher than the year-ago quarter’s $42.5 million. The figure also included acquisition-related employment costs.
Balance Sheet & Cash Flow of RES
As of March 31, 2026, RES had cash and cash equivalents of $200.73 million. It had no outstanding borrowings under its revolving credit facility and maintained a debt-free balance sheet.
Net cash provided by operating activities was $31.2 million, down from $39.9 million in the year-ago quarter. Capital expenditures were $32.1 million for the quarter.
RES’ Zacks Rank
RPC currently carries a Zacks Rank #3 (Hold).
Recent Q1 Releases From the Energy Sector
Some better-ranked stocks from the energy sector that have recently released their earnings are Equinor ASA (EQNR - Free Report) , BP plc (BP - Free Report) and Eni S.p.A. (E - Free Report) . EQNR, BP and E currently sport a Zacks Rank #1 (Strong Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
Equinor reported first-quarter 2026 adjusted earnings per share of $1.48, which beat the Zacks Consensus Estimate of $1.01.
As of March 31, 2026, EQNR reported $5.9 million in cash and cash equivalents. At the quarter's end, long-term debt and lease liabilities totaled $25 billion.
BP reported first-quarter 2026 earnings of $1.24 per American Depositary Share, which beat the Zacks Consensus Estimate of 91 cents.
As of March 31, 2026, BP reported $35.7 million in cash and cash equivalents. At the quarter's end, its long-term debt totaled $25.3 billion.
Eni reported first-quarter 2026 adjusted earnings from continuing operations of 81 cents per American Depository Receipt, which missed the Zacks Consensus Estimate of $1.13.
As of March 31, 2026, E had a long-term debt of €21.7 billion, and cash and cash equivalents of €8.3 billion.