Oilfield companies firm RPC Inc. posted a internet earnings of $40.3 million for the fourth quarter of 2023, a 120 p.c soar towards the prior quarter.
Nonetheless, in comparison with the corresponding quarter in 2022, RPC’s internet earnings was 116.1 p.c decrease.
For full-year 2023, RPC reported a internet earnings of $195.1 million, which was an 11.9 p.c drop from the 12 months prior.
Revenues elevated 19 p.c sequentially to $394.5 million, whereas full-year revenues landed at $1.61 billion, one p.c above the $1.60 billion reported for 2022. The corporate mentioned that its sturdy sequential enchancment in revenues and profitability resulted from considerably increased stress pumping fleet utilization in comparison with the third quarter of 2023.
“We closed out 2023 with a powerful sequential enchancment in fourth quarter monetary outcomes”, said Ben M. Palmer, RPC’s President and Chief Government Officer. “As anticipated, the fourth quarter started with a strong improve in stress pumping exercise. Nonetheless, as oil costs fell towards the tip of the 12 months, buyer demand adopted swimsuit and we skilled a extra important vacation season slowdown than initially anticipated. Wanting ahead, we’ve a brand new Tier 4 dual-fuel fleet on order and anticipate putting it in service by the tip of the second quarter of 2024, changing a Tier 2 diesel fleet as we improve our asset base with out including to stress pumping trade capability.
“We now have over $220 million in money on the steadiness sheet, are extremely liquid, debt-free, and able to navigating an unsure atmosphere. This strong monetary place additionally helps focused natural investments, in addition to continued capital returns to our shareholders by each dividends and opportunistic share buybacks. With the Spinnaker integration primarily full, we’re actively assessing extra acquisition alternatives to bolster chosen service traces, improve our scale, and improve our development outlook,” mentioned Palmer.
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