HOUSTON, Oct. 28, 2021 /PRNewswire/ -- PATTERSON-UTI
ENERGY, INC. (NASDAQ: PTEN) today reported financial results
for the three and nine months ended September 30, 2021. The Company reported a
net loss of $83.0 million, or
$0.44 per share, for the third
quarter of 2021, compared to a net loss of $112 million, or $0.60 per share, for the third quarter of
2020. Revenues for the third quarter of 2021 were
$358 million, compared to
$207 million for the third quarter of
2020.
For the nine months ended September 30,
2021, the Company reported a net loss of $293 million, or $1.55 per share, compared to a net loss of
$697 million, or $3.70 per share, for the nine months ended
September 30, 2020. Revenues
for the nine months ended September 30,
2021 were $891 million,
compared to $903 million for the same
period in 2020.
The financial results for the three months ended September 30, 2021 include pretax
acquisition-related expenses of $0.9
million ($0.8 million
after-tax) related to the acquisition of Pioneer Energy
Services. Pretax acquisition-related expenses totaled
$2.1 million for the nine months
ended September 30, 2021.
Andy Hendricks, Patterson-UTI's
Chief Executive Officer, stated, "I am pleased that our total
adjusted EBITDA for the third quarter increased 44% sequentially to
$51.1 million on a 23% increase in
revenues. As well, highlighting that our pressure pumping
business continues to improve, adjusted EBITDA in this business
more than doubled sequentially in the third quarter on a 36%
increase in revenues."
Mr. Hendricks continued, "In contract drilling, steady growth in
activity positively impacted our third quarter financial
results. Our average rig count for the third quarter improved
to 80 rigs from 73 rigs in the second quarter. We expect
activity growth will be robust in the fourth quarter, as we expect
our average rig count, including 13 rigs from Pioneer Energy, to be
approximately 106 rigs in the United States.
"Total contract drilling revenues and gross profit for the third
quarter increased approximately 11% sequentially. On a per
rig day basis, average rig margin per day for the third quarter
increased slightly to $6,300 as an
increase in average rig revenue per day was largely offset by a
similar increase in average rig cost per day. The number and
cost of rig reactivations, as well as general oilfield cost
inflation, including the cost of rig labor, services and supplies,
moved higher in the third quarter.
"In the fourth quarter, we expect the increase in the rig count
to drive an improvement in total revenue and gross margin.
Due to the large number of rig reactivations in the fourth quarter,
as well as general cost inflation, average rig margin per day is
expected to decrease to approximately $5,500. With the tight rig market and
resulting increases we have seen in leading-edge dayrates, we
expect daily margins for drilling rigs to rebound in the first
quarter.
"As of September 30, 2021,
Patterson-UTI and Pioneer Energy had term contracts for drilling
rigs in the United States
providing for future dayrate drilling revenue of approximately
$286 million and $64 million, respectively. Based on
contracts currently in place in the
United States, we expect an average of 53 rigs operating
under term contracts during the fourth quarter, and an average of
35 rigs operating under term contracts during the four quarters
ending September 30, 2022.
"In pressure pumping, during the third quarter we were able to
achieve higher pricing based on our outstanding service
quality. We also benefited from more simulfrac work and the
full quarter impact of two spreads that were reactivated in the
second quarter. Relative to the second quarter, gross profit
increased by 85% to $17.9 million on
a 36% increase in revenues to $153
million. We activated our tenth spread in
September. We expect to activate our 11th spread
late in the fourth quarter and our 12th spread in the
first quarter.
"In directional drilling, the third quarter gross profit of
$3.4 million increased 35% from the
second quarter on a 28% increase in revenues to $31.7 million. During the third quarter, we
benefited from the full-quarter impact of the strong growth in
activity we saw in the second quarter."
Mr. Hendricks concluded, "The acquisition of Pioneer Energy
Services enhances our position as a leading provider of contract
drilling services in the United
States and expands our geographic footprint into Latin
America. With this acquisition, we have expanded our APEX®
rig fleet to 215 rigs of which 166 have super-spec
capabilities. We are excited about the opportunities this
acquisition offers, and we welcome the Pioneer employees to the
Patterson-UTI family.
The Company declared a quarterly dividend on its common stock of
$0.02 per share, payable on
December 16, 2021, to holders of
record as of December 2, 2021.
Financial results for the nine months ended September 30, 2020 include pre-tax charges
totaling $461 million, consisting of
$423 million of non-cash impairment
charges and $38.3 million of
restructuring costs. Partially offsetting these charges is a
pre-tax gain of $4.2 million.
All references to "per share" in this press release are diluted
earnings per common share as defined within Accounting Standards
Codification Topic 260.
The Company's quarterly conference call to discuss the operating
results for the quarter ended September 30,
2021, is scheduled for today, October
28, 2021, at 9:00 a.m. Central
Time. The dial-in information for participants is (888)
550-5422 (Domestic) and (646) 960-0676 (International). The
conference ID for both numbers is 3822955. The call is also
being webcast and can be accessed through the Investor Relations
section of the Company's website at investor.patenergy.com. A
replay of the conference call will be on the Company's website for
two weeks.
About Patterson-UTI
Patterson-UTI is a leading provider of oilfield services and
products to oil and natural gas exploration and production
companies in the United States and
other select countries, including contract drilling, pressure
pumping and directional drilling services. For more
information, visit www.patenergy.com.
Cautionary Statement Regarding Forward-Looking
Statements
This press release contains forward-looking statements which
are protected as forward-looking statements under the Private
Securities Litigation Reform Act of 1995 that are not limited to
historical facts, but reflect Patterson-UTI's current beliefs,
expectations or intentions regarding future events. Words
such as "anticipate," "believe," "budgeted," "continue," "could,"
"estimate," "expect," "intend," "may," "plan," "predict,"
"potential," "project," "pursue," "should," "strategy," "target,"
or "will," and similar expressions are intended to identify such
forward-looking statements. The statements in this press
release that are not historical statements, including statements
regarding Patterson-UTI's future expectations, beliefs, plans,
objectives, financial conditions, assumptions or future events or
performance that are not historical facts, are forward-looking
statements within the meaning of the federal securities laws.
These statements are subject to numerous risks and uncertainties,
many of which are beyond Patterson-UTI's control, which could cause
actual results to differ materially from the results expressed or
implied by the statements. These risks and uncertainties
include, but are not limited to: the ultimate timing, outcome and
results of integrating the operations of Pioneer Energy Services
into Patterson-UTI; the effects of the acquisition on
Patterson-UTI, including Patterson-UTI's future financial
condition, results of operations, strategy and plans; potential
adverse reactions or changes to business relationships resulting
from the closing of the transaction; the failure to realize
expected synergies and other benefits from the transaction; adverse
oil and natural gas industry conditions; including the rapid
decline in crude oil prices as a result of economic repercussions
from the COVID-19 pandemic; global economic conditions; volatility
in customer spending and in oil and natural gas prices that could
adversely affect demand for Patterson-UTI's services and their
associated effect on rates; excess availability of land drilling
rigs, pressure pumping and directional drilling equipment,
including as a result of reactivation, improvement or construction;
competition and demand for Patterson-UTI's services; strength and
financial resources of competitors; utilization, margins and
planned capital expenditures; liabilities from operational risks
for which Patterson-UTI does not have and receive full
indemnification or insurance; operating hazards attendant to the
oil and natural gas business; failure by customers to pay or
satisfy their contractual obligations (particularly with respect to
fixed-term contracts); the ability to realize backlog;
specialization of methods, equipment and services and new
technologies, including the ability to develop and obtain
satisfactory returns from new technology; the ability to retain
management and field personnel; loss of key customers; shortages,
delays in delivery, and interruptions in supply, of equipment and
materials; cybersecurity events; synergies, costs and financial and
operating impacts of acquisitions; difficulty in building and
deploying new equipment; governmental regulation; climate
legislation, regulation and other related risks; environmental,
social and governance practices, including the perception thereof;
environmental risks and ability to satisfy future environmental
costs; technology-related disputes; legal proceedings and actions
by governmental or other regulatory agencies; the ability to
effectively identify and enter new markets; weather; operating
costs; expansion and development trends of the oil and natural gas
industry; ability to obtain insurance coverage on commercially
reasonable terms; financial flexibility; interest rate volatility;
adverse credit and equity market conditions; availability of
capital and the ability to repay indebtedness when due; stock price
volatility; and compliance with covenants under Patterson-UTI's
debt agreements.
Additional information concerning factors that could cause
actual results to differ materially from those in the
forward-looking statements is contained from time to time in
Patterson-UTI's SEC filings. Patterson-UTI's filings may be
obtained by contacting Patterson-UTI or the SEC or through
Patterson-UTI's website at http://www.patenergy.com or through the
SEC's Electronic Data Gathering and Analysis Retrieval System
(EDGAR) at http://www.sec.gov. Patterson-UTI undertakes no
obligation to publicly update or revise any forward-looking
statement.
PATTERSON-UTI
ENERGY, INC.
|
Condensed
Consolidated Statements of Operations
|
(unaudited, in
thousands, except per share data)
|
|
|
|
Three Months
Ended
|
|
|
Nine Months
Ended
|
|
|
|
September
30,
|
|
|
September
30,
|
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
REVENUES
|
|
$
|
357,885
|
|
|
$
|
207,141
|
|
|
$
|
890,588
|
|
|
$
|
903,448
|
|
COSTS AND
EXPENSES:
|
|
|
|
|
|
|
|
|
|
|
|
|
Direct operating
costs
|
|
|
285,067
|
|
|
|
141,257
|
|
|
|
703,051
|
|
|
|
632,631
|
|
Depreciation,
depletion, amortization and impairment
|
|
|
141,065
|
|
|
|
157,319
|
|
|
|
437,984
|
|
|
|
517,201
|
|
Impairment of
goodwill
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
395,060
|
|
Selling, general and
administrative
|
|
|
22,063
|
|
|
|
22,355
|
|
|
|
68,176
|
|
|
|
76,692
|
|
Credit loss
expense
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5,606
|
|
Restructuring
expenses
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
38,338
|
|
Merger and integration
expense
|
|
|
918
|
|
|
|
—
|
|
|
|
2,066
|
|
|
|
—
|
|
Other operating
(income) expense, net
|
|
|
(1,219)
|
|
|
|
776
|
|
|
|
(3,743)
|
|
|
|
5,980
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total costs and
expenses
|
|
|
447,894
|
|
|
|
321,707
|
|
|
|
1,207,534
|
|
|
|
1,671,508
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING
LOSS
|
|
|
(90,009)
|
|
|
|
(114,566)
|
|
|
|
(316,946)
|
|
|
|
(768,060)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER INCOME
(EXPENSE):
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
|
37
|
|
|
|
238
|
|
|
|
196
|
|
|
|
1,229
|
|
Interest expense, net
of amount capitalized
|
|
|
(10,683)
|
|
|
|
(11,288)
|
|
|
|
(31,396)
|
|
|
|
(33,496)
|
|
Other
|
|
|
14
|
|
|
|
512
|
|
|
|
840
|
|
|
|
682
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total other
expense
|
|
|
(10,632)
|
|
|
|
(10,538)
|
|
|
|
(30,360)
|
|
|
|
(31,585)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LOSS BEFORE INCOME
TAXES
|
|
|
(100,641)
|
|
|
|
(125,104)
|
|
|
|
(347,306)
|
|
|
|
(799,645)
|
|
INCOME TAX
BENEFIT
|
|
|
(17,643)
|
|
|
|
(12,993)
|
|
|
|
(54,586)
|
|
|
|
(102,480)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET LOSS
|
|
$
|
(82,998)
|
|
|
$
|
(112,111)
|
|
|
$
|
(292,720)
|
|
|
$
|
(697,165)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET LOSS PER
COMMON SHARE:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
(0.44)
|
|
|
$
|
(0.60)
|
|
|
$
|
(1.55)
|
|
|
$
|
(3.70)
|
|
Diluted
|
|
$
|
(0.44)
|
|
|
$
|
(0.60)
|
|
|
$
|
(1.55)
|
|
|
$
|
(3.70)
|
|
WEIGHTED AVERAGE
NUMBER OF COMMON
SHARES OUTSTANDING:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
188,965
|
|
|
|
187,280
|
|
|
|
188,355
|
|
|
|
188,193
|
|
Diluted
|
|
|
188,965
|
|
|
|
187,280
|
|
|
|
188,355
|
|
|
|
188,193
|
|
CASH DIVIDENDS PER
COMMON SHARE
|
|
$
|
0.02
|
|
|
$
|
0.02
|
|
|
$
|
0.06
|
|
|
$
|
0.08
|
|
PATTERSON-UTI
ENERGY, INC.
|
Additional Financial
and Operating Data
|
(unaudited, dollars
in thousands)
|
|
|
Three Months
Ended
|
|
|
Nine Months
Ended
|
|
|
Three
Months
Ended
|
|
|
|
September
30,
|
|
|
September
30,
|
|
|
June
30,
|
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
Contract
Drilling:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
157,925
|
|
|
$
|
115,054
|
|
|
$
|
433,158
|
|
|
$
|
553,552
|
|
|
$
|
141,732
|
|
|
Direct operating
costs
|
$
|
111,537
|
|
|
$
|
59,117
|
|
|
$
|
291,049
|
|
|
$
|
309,664
|
|
|
$
|
100,134
|
|
|
Margin
(1)
|
$
|
46,388
|
|
|
$
|
55,937
|
|
|
$
|
142,109
|
|
|
$
|
243,888
|
|
|
$
|
41,598
|
|
|
Restructuring
expenses
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2,430
|
|
|
$
|
—
|
|
|
Other operating
expenses (income), net
|
$
|
(28)
|
|
|
$
|
—
|
|
|
$
|
17
|
|
|
$
|
(4,155)
|
|
|
$
|
33
|
|
|
Selling, general and
administrative
|
$
|
1,086
|
|
|
$
|
876
|
|
|
$
|
3,346
|
|
|
$
|
3,684
|
|
|
$
|
1,202
|
|
|
Depreciation,
amortization and impairment
|
$
|
97,160
|
|
|
$
|
102,275
|
|
|
$
|
297,426
|
|
|
$
|
328,843
|
|
|
$
|
98,592
|
|
|
Impairment of
goodwill
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
395,060
|
|
|
$
|
—
|
|
|
Operating
loss
|
$
|
(51,830)
|
|
|
$
|
(47,214)
|
|
|
$
|
(158,680)
|
|
|
$
|
(481,974)
|
|
|
$
|
(58,229)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
days
|
|
7,361
|
|
|
|
5,499
|
|
|
|
20,196
|
|
|
|
24,184
|
|
|
|
6,652
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average revenue per
operating day
|
$
|
21.45
|
|
|
$
|
20.92
|
|
|
$
|
21.45
|
|
|
$
|
22.89
|
|
|
$
|
21.31
|
|
|
Average direct
operating costs per operating day
|
$
|
15.15
|
|
|
$
|
10.75
|
|
|
$
|
14.41
|
|
|
$
|
12.80
|
|
|
$
|
15.05
|
|
|
Average margin per
operating day (1)
|
$
|
6.30
|
|
|
$
|
10.17
|
|
|
$
|
7.04
|
|
|
$
|
10.08
|
|
|
$
|
6.25
|
|
|
Average rigs
operating
|
|
80
|
|
|
|
60
|
|
|
|
74
|
|
|
|
88
|
|
|
|
73
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
$
|
21,239
|
|
|
$
|
9,502
|
|
|
$
|
56,708
|
|
|
$
|
101,448
|
|
|
$
|
24,042
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pressure
Pumping:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
152,634
|
|
|
$
|
71,973
|
|
|
$
|
340,464
|
|
|
$
|
256,613
|
|
|
$
|
111,991
|
|
|
Direct operating
costs
|
$
|
134,726
|
|
|
$
|
63,721
|
|
|
$
|
313,556
|
|
|
$
|
234,844
|
|
|
$
|
102,320
|
|
|
Margin
(2)
|
$
|
17,908
|
|
|
$
|
8,252
|
|
|
$
|
26,908
|
|
|
$
|
21,769
|
|
|
$
|
9,671
|
|
|
Restructuring
expenses
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
31,331
|
|
|
$
|
—
|
|
|
Selling, general and
administrative
|
$
|
1,844
|
|
|
$
|
2,004
|
|
|
$
|
5,379
|
|
|
$
|
6,748
|
|
|
$
|
1,852
|
|
|
Depreciation,
amortization and impairment
|
$
|
29,838
|
|
|
$
|
37,104
|
|
|
$
|
98,963
|
|
|
$
|
118,586
|
|
|
$
|
31,740
|
|
|
Operating
loss
|
$
|
(13,774)
|
|
|
$
|
(30,856)
|
|
|
$
|
(77,434)
|
|
|
$
|
(134,896)
|
|
|
$
|
(23,921)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average active spreads
(3)
|
|
9
|
|
|
|
4
|
|
|
|
7
|
|
|
|
6
|
|
|
|
8
|
|
|
Effective utilization
(4)
|
|
10.1
|
|
|
|
5.1
|
|
|
|
7.9
|
|
|
|
5.4
|
|
|
|
7.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fracturing
jobs
|
|
116
|
|
|
|
69
|
|
|
|
292
|
|
|
|
193
|
|
|
|
105
|
|
|
Other jobs
|
|
185
|
|
|
|
180
|
|
|
|
591
|
|
|
|
541
|
|
|
|
206
|
|
|
Total jobs
|
|
301
|
|
|
|
249
|
|
|
|
883
|
|
|
|
734
|
|
|
|
311
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average revenue per
fracturing job
|
$
|
1,265.98
|
|
|
$
|
960.70
|
|
|
$
|
1,102.58
|
|
|
$
|
1,251.37
|
|
|
$
|
1,006.36
|
|
|
Average revenue per
other job
|
$
|
31.24
|
|
|
$
|
31.58
|
|
|
$
|
31.32
|
|
|
$
|
27.91
|
|
|
$
|
30.69
|
|
|
Average revenue per
total job
|
$
|
507.09
|
|
|
$
|
289.05
|
|
|
$
|
385.58
|
|
|
$
|
349.61
|
|
|
$
|
360.10
|
|
|
Average costs per
total job
|
$
|
447.59
|
|
|
$
|
255.91
|
|
|
$
|
355.10
|
|
|
$
|
319.95
|
|
|
$
|
329.00
|
|
|
Average margin per
total job (2)
|
$
|
59.50
|
|
|
$
|
33.14
|
|
|
$
|
30.47
|
|
|
$
|
29.66
|
|
|
$
|
31.10
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Margin as a percentage
of revenues (2)
|
|
11.7
|
%
|
|
|
11.5
|
%
|
|
|
7.9
|
%
|
|
|
8.5
|
%
|
|
|
8.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
$
|
6,468
|
|
|
$
|
1,653
|
|
|
$
|
19,457
|
|
|
$
|
17,880
|
|
|
$
|
8,921
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PATTERSON-UTI
ENERGY, INC.
|
Additional Financial
and Operating Data
|
(unaudited, dollars
in thousands)
|
|
|
Three Months
Ended
|
|
|
Nine Months
Ended
|
|
|
Three Months
Ended
|
|
|
|
September
30,
|
|
|
September
30,
|
|
|
June
30,
|
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
Directional
Drilling:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
31,728
|
|
|
$
|
10,271
|
|
|
$
|
76,267
|
|
|
$
|
56,498
|
|
|
$
|
24,869
|
|
|
Direct operating
costs
|
$
|
28,360
|
|
|
$
|
9,754
|
|
|
$
|
67,367
|
|
|
$
|
54,348
|
|
|
$
|
22,370
|
|
|
Margin
(5)
|
$
|
3,368
|
|
|
$
|
517
|
|
|
$
|
8,900
|
|
|
$
|
2,150
|
|
|
$
|
2,499
|
|
|
Restructuring
expenses
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3,175
|
|
|
$
|
—
|
|
|
Selling, general and
administrative
|
$
|
1,177
|
|
|
$
|
829
|
|
|
$
|
3,651
|
|
|
$
|
4,169
|
|
|
$
|
1,015
|
|
|
Depreciation,
amortization and impairment
|
$
|
6,772
|
|
|
$
|
9,600
|
|
|
$
|
19,863
|
|
|
$
|
29,698
|
|
|
$
|
6,594
|
|
|
Operating
loss
|
$
|
(4,581)
|
|
|
$
|
(9,912)
|
|
|
$
|
(14,614)
|
|
|
$
|
(34,892)
|
|
|
$
|
(5,110)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Margin as a percentage
of revenues (5)
|
|
10.6
|
%
|
|
|
5.0
|
%
|
|
|
11.7
|
%
|
|
|
3.8
|
%
|
|
|
10.0
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
$
|
3,290
|
|
|
$
|
510
|
|
|
$
|
4,613
|
|
|
$
|
4,562
|
|
|
$
|
1,219
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
Operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
15,598
|
|
|
$
|
9,843
|
|
|
$
|
40,699
|
|
|
$
|
36,785
|
|
|
$
|
13,182
|
|
|
Direct operating
costs
|
$
|
10,444
|
|
|
$
|
8,665
|
|
|
$
|
31,079
|
|
|
$
|
33,775
|
|
|
$
|
10,409
|
|
|
Margin
(6)
|
$
|
5,154
|
|
|
$
|
1,178
|
|
|
$
|
9,620
|
|
|
$
|
3,010
|
|
|
$
|
2,773
|
|
|
Restructuring
expenses
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
501
|
|
|
$
|
—
|
|
|
Selling, general and
administrative
|
$
|
623
|
|
|
$
|
747
|
|
|
$
|
1,489
|
|
|
$
|
2,969
|
|
|
$
|
441
|
|
|
Depreciation,
depletion, amortization and impairment
|
$
|
5,866
|
|
|
$
|
6,852
|
|
|
$
|
17,309
|
|
|
$
|
35,087
|
|
|
$
|
5,619
|
|
|
Operating
loss
|
$
|
(1,335)
|
|
|
$
|
(6,421)
|
|
|
$
|
(9,178)
|
|
|
$
|
(35,547)
|
|
|
$
|
(3,287)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
$
|
2,833
|
|
|
$
|
1,704
|
|
|
$
|
9,006
|
|
|
$
|
9,776
|
|
|
$
|
3,429
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative
|
$
|
17,333
|
|
|
$
|
17,899
|
|
|
$
|
54,311
|
|
|
$
|
59,122
|
|
|
$
|
19,045
|
|
|
Restructuring
expenses
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
901
|
|
|
$
|
—
|
|
|
Depreciation
|
$
|
1,429
|
|
|
$
|
1,488
|
|
|
$
|
4,423
|
|
|
$
|
4,987
|
|
|
$
|
1,492
|
|
|
Credit loss
expense
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5,606
|
|
|
$
|
—
|
|
|
Merger and integration
expense
|
$
|
918
|
|
|
$
|
—
|
|
|
$
|
2,066
|
|
|
$
|
—
|
|
|
$
|
1,148
|
|
|
Other operating
(income) expense, net
|
$
|
(1,191)
|
|
|
$
|
776
|
|
|
$
|
(3,760)
|
|
|
$
|
10,135
|
|
|
$
|
(2,822)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
$
|
434
|
|
|
$
|
73
|
|
|
$
|
1,053
|
|
|
$
|
1,377
|
|
|
$
|
439
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Capital
Expenditures
|
$
|
34,264
|
|
|
$
|
13,442
|
|
|
$
|
90,837
|
|
|
$
|
135,043
|
|
|
$
|
38,050
|
|
|
(1)
|
For Contract
Drilling, margin is defined as revenues less direct operating costs
and excludes restructuring expenses, depreciation, amortization and
impairment, impairment of goodwill, other operating expenses
(income), net and selling, general and administrative expenses.
Average margin per operating day is defined as margin divided by
operating days.
|
(2)
|
For Pressure Pumping,
margin is defined as revenues less direct operating costs and
excludes restructuring expenses, depreciation, amortization and
impairment and selling, general and administrative expenses.
Average margin per total job is defined as margin divided by total
jobs. Margin as a percentage of revenues is defined as margin
divided by revenues.
|
(3)
|
Average active
spreads is the average number of spreads that were crewed and
actively marketed during the period.
|
(4)
|
Effective utilization
is calculated as total pumping days during the quarter divided by
75 days or during the first nine months of the year divided by 225
days, which we consider full effective utilization for a spread
during the period.
|
(5)
|
For Directional
Drilling, margin is defined as revenues less direct operating costs
and excludes restructuring expenses, depreciation, amortization and
impairment and selling, general and administrative expenses. Margin
as a percentage of revenues is defined as margin divided by
revenues.
|
(6)
|
For Other Operations,
margin is defined as revenues less direct operating costs and
excludes restructuring expenses, depreciation, depletion,
amortization and impairment, and selling, general and
administrative expenses.
|
|
|
September
30,
|
|
|
December
31,
|
|
Selected Balance
Sheet Data (unaudited, in thousands):
|
|
2021
|
|
|
2020
|
|
Cash and cash
equivalents
|
|
$
|
|
191,284
|
|
|
$
|
|
224,915
|
|
Current
assets
|
|
$
|
|
543,532
|
|
|
$
|
|
477,956
|
|
Current
liabilities
|
|
$
|
|
338,849
|
|
|
$
|
|
273,722
|
|
Working
capital
|
|
$
|
|
204,683
|
|
|
$
|
|
204,234
|
|
Long-term
debt
|
|
$
|
|
902,104
|
|
|
$
|
|
901,484
|
|
PATTERSON-UTI
ENERGY, INC.
|
Non-U.S. GAAP
Financial Measures
|
(unaudited, dollars
in thousands)
|
|
|
Three Months
Ended
|
|
|
Nine Months
Ended
|
|
|
Three Months
Ended
|
|
|
|
September
30,
|
|
|
September
30,
|
|
|
June
30,
|
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
Adjusted Earnings
Before Interest, Taxes, Depreciation
and Amortization (Adjusted
EBITDA)(1):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss
|
$
|
(82,998)
|
|
|
$
|
(112,111)
|
|
|
$
|
(292,720)
|
|
|
$
|
(697,165)
|
|
|
$
|
(103,309)
|
|
|
Income tax
benefit
|
|
(17,643)
|
|
|
|
(12,993)
|
|
|
|
(54,586)
|
|
|
|
(102,480)
|
|
|
|
(15,973)
|
|
|
Net interest
expense
|
|
10,646
|
|
|
|
11,050
|
|
|
|
31,200
|
|
|
|
32,267
|
|
|
|
10,684
|
|
|
Depreciation,
depletion, amortization and impairment
|
|
141,065
|
|
|
|
157,319
|
|
|
|
437,984
|
|
|
|
517,201
|
|
|
|
144,037
|
|
|
Impairment of
goodwill
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
395,060
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
$
|
51,070
|
|
|
$
|
43,265
|
|
|
$
|
121,878
|
|
|
$
|
144,883
|
|
|
$
|
35,439
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenues
|
$
|
357,885
|
|
|
$
|
207,141
|
|
|
$
|
890,588
|
|
|
$
|
903,448
|
|
|
$
|
291,774
|
|
|
Adjusted EBITDA
margin
|
|
14.3
|
%
|
|
|
20.9
|
%
|
|
|
13.7
|
%
|
|
|
16.0
|
%
|
|
|
12.1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA by
operating segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contract
drilling
|
$
|
45,330
|
|
|
$
|
55,061
|
|
|
$
|
138,746
|
|
|
$
|
241,929
|
|
|
$
|
40,363
|
|
|
Pressure
pumping
|
|
16,064
|
|
|
|
6,248
|
|
|
|
21,529
|
|
|
|
(16,310)
|
|
|
|
7,819
|
|
|
Directional
drilling
|
|
2,191
|
|
|
|
(312)
|
|
|
|
5,249
|
|
|
|
(5,194)
|
|
|
|
1,484
|
|
|
Other
operations
|
|
4,531
|
|
|
|
431
|
|
|
|
8,131
|
|
|
|
(460)
|
|
|
|
2,332
|
|
|
Corporate
|
|
(17,046)
|
|
|
|
(18,163)
|
|
|
|
(51,777)
|
|
|
|
(75,082)
|
|
|
|
(16,559)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Adjusted
EBITDA
|
$
|
51,070
|
|
|
$
|
43,265
|
|
|
$
|
121,878
|
|
|
$
|
144,883
|
|
|
$
|
35,439
|
|
|
(1)
|
Adjusted earnings
before interest, taxes, depreciation and amortization ("Adjusted
EBITDA") is not defined by accounting principles generally accepted
in the United States of America ("U.S. GAAP"). We define Adjusted
EBITDA as net loss plus net interest expense, income tax benefit
and depreciation, depletion, amortization and impairment expense
(including impairment of goodwill). We present Adjusted EBITDA
because we believe it provides to both management and investors
additional information with respect to the performance of our
fundamental business activities and a comparison of the results of
our operations from period to period and against our peers without
regard to our financing methods or capital structure. We exclude
the items listed above from net loss in arriving at Adjusted EBITDA
because these amounts can vary substantially from company to
company within our industry depending upon accounting methods and
book values of assets, capital structures and the method by which
the assets were acquired. Adjusted EBITDA should not be construed
as an alternative to the U.S. GAAP measure of net income (loss).
Our computations of Adjusted EBITDA may not be the same as
similarly titled measures of other companies.
|
PATTERSON-UTI
ENERGY, INC.
|
Pressure Pumping
Adjusted EBITDA
|
(unaudited, dollars
in thousands)
|
|
|
|
Three Months
Ended
|
|
|
Three Months
Ended
|
|
|
|
|
|
|
September
30,
|
|
|
June
30,
|
|
|
|
|
|
|
2021
|
|
|
2021
|
|
|
Change
|
|
Adjusted Earnings
Before Interest, Taxes, Depreciation
and Amortization (Adjusted
EBITDA)(1):
|
|
|
|
|
|
|
|
|
|
Operating
loss
|
|
$
|
(13,774)
|
|
|
$
|
(23,921)
|
|
|
|
|
Depreciation,
amortization and impairment
|
|
|
29,838
|
|
|
|
31,740
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
|
$
|
16,064
|
|
|
$
|
7,819
|
|
|
|
105
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
We present Adjusted
EBITDA of our pressure pumping business because we believe it
provides to both management and investors additional information
with respect to the performance of our pressure pumping business
and a comparison of the results of our pressure pumping operations
from period to period and against our peers without regard to our
financing methods or capital structure. Pressure Pumping Adjusted
EBITDA should not be construed as an alternative to the U.S. GAAP
measure of operating income (loss).
|
View original
content:https://www.prnewswire.com/news-releases/patterson-uti-energy-reports-financial-results-for-the-three-and-nine-months-ended-september-30-2021-301410586.html
SOURCE PATTERSON-UTI ENERGY, INC.