Patterson-UTI Energy Earnings: Here’s Why the Stock is Falling Now

Patterson-UTI Energy Inc. (NASDAQ:PTEN) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 4.49%.

Patterson-UTI Energy Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 42.86% to $0.28 in the quarter versus EPS of $0.49 in the year-earlier quarter.

Revenue: Decreased 3.25% to $659 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Patterson-UTI Energy Inc. reported adjusted EPS income of $0.28 per share. By that measure, the company missed the mean analyst estimate of $0.30. It beat the average revenue estimate of $643.94 million.

Quoting Management: Andy Hendricks, Patterson-UTI’s Chief Executive Officer, stated, “Although utilization of our APEX® rigs remained high in the second quarter, lower utilization levels of conventional rigs and the seasonal decline in Canada affected our rig count. Our operating rig count averaged 183 in the United States and 2 in Canada during the second quarter, compared to 188 rigs in the United States and 11 in Canada during the first quarter.”

Key Stats (on next page)…

Revenue decreased 1.21% from $667.04 million in the previous quarter. EPS decreased 26.32% from $0.38 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.38 to a profit $0.34. For the current year, the average estimate has moved down from a profit of $1.45 to a profit of $1.36 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]