Patterson-UTI Energy PTEN reported second-quarter 2026 adjusted earnings of break-even, outperforming the Zacks Consensus Estimate of a loss of 3 cents per share. The bottom line improved from the year-ago quarter's adjusted loss of 6 cents, primarily due to stronger performance in its Completion Services segment and year-over-year improvement in the Drilling Products and Other operations.
Houston, TX-based oil and gas drilling company’s total revenues of $1.23 billion beat the Zacks Consensus Estimate of $1.15 billion by 7%. The top line also increased about 0.7% year over year, driven by improved activity and pricing in the Completion Services segment, along with higher revenues from Drilling Products and Other operations.
PTEN’s board of directors declared a quarterly dividend of 10 cents per share, payable on Sept. 15, 2026, to shareholders of record as of Sept. 1.
Patterson-UTI Energy, Inc. Price, Consensus and EPS Surprise
Patterson-UTI Energy, Inc. price-consensus-eps-surprise-chart | Patterson-UTI Energy, Inc. Quote
PTEN’s Q2 Segmental Performances
Drilling Services: Revenues in this segment totaled $373.5 million, down 7.5% from the year-ago quarter's $403.8 million, but beat our estimate of $350.7 million.
Operating income declined to $22.7 million from $40.6 million a year ago, primarily due to a non-cash charge related to the Colombia exit. The reported figure also missed our operating income estimate of $41.1 million.
Completion Services: Segment revenues increased 4.8% year over year to $753.6 million from $719.3 million and beat our estimate of $659.1 million.
Operating income totaled $8.2 million against an operating loss of $29.2 million in the prior-year quarter. This improvement was driven by high pressure pumping utilization, better pricing and continued growth in integrated completion services. The reported figure beat our expectation of an operating loss of $17.6 million.
Drilling Products: Revenues increased 3.3% year over year to $91.3 million from $88.4 million and beat our estimate of $80.4 million.
Operating income improved to $8.3 million from $6.8 million in the year-ago quarter. Record international revenues and stronger U.S. revenue per industry rig offset disruptions in the Middle East and seasonal weakness in Canada. However, the reported operating income beat our estimate of $2.7 million.
Other: Revenues amounted to $9.5 million, up 21.8% from the year-ago quarter’s $7.8 million and beat our estimate of $7.7 million.
Operating income improved to $5.1 million from a loss of $2 million in the second quarter of 2025, aided by higher oil prices. The reported figure beat our operating income estimate of $2.3 million.
PTEN’s Capital Expenditure & Financial Position
In the reported quarter, PTEN spent $155.9 million on capital programs compared with $144.2 million in the prior-year period. As of June 30, 2026, this Zacks Rank #2 (Buy) company had cash and cash equivalents of $203.2 million and long-term debt of $1.23 billion. Its debt-to-capitalization was 28.5%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Patterson-UTI Energy’s Q3 Outlook
For the third quarter, the Drilling Services segment is expected to operate at an average U.S. rig count of approximately 100 rigs, with adjusted gross profit projected at around $145 million, supported by higher pricing and increased activity. Completion Services' adjusted gross profit is expected to be roughly $140 million on near-full utilization and additional pricing gains. Drilling Products' adjusted gross profit is forecasted at about $40 million, benefiting from stronger U.S. drilling activity and seasonal recovery in Canada.
Other operations are expected to generate an adjusted gross profit of approximately $5 million. The company projects third-quarter G&A expenses of about $70 million, depreciation and amortization expense of around $225 million and continues to expect approximately $600 million of capital expenditures for full-year 2026.
Important Earnings at a Glance
While we have discussed PTEN’s second-quarter results in detail, let us take a look at three other key reports in this space.
Houston, TX-based oil and gas equipment and services provider Halliburton HAL posted second-quarter 2026 adjusted net income per share of 55 cents, marginally beating the Zacks Consensus Estimate of 54 cents. The outperformance was backed by year-over-year revenue growth. However, the bottom line was flat compared with the prior-year level.
As of June 30, 2026, Halliburton had approximately $2 billion in cash and cash equivalents and $7.1 billion in long-term debt, representing a debt-to-capitalization of 39%.
Fort Worth, TX-based oil and gas exploration and production company Range Resources Corporation RRC reported second-quarter 2026 adjusted earnings of 79 cents per share, up 19.7% from 66 cents a year ago. Range Resources’ bottom line topped the Zacks Consensus Estimate of 56 cents by 41.1%. Strong quarterly results are driven by higher production and improved price realization.
The company’s net debt was $880.8 million at June 30, 2026, down 28% from $1.22 billion at year-end 2025. Range Resources repurchased $78 million of shares and paid $24 million in dividends during the quarter.
Houston, TX-based oil and gas storage and transportation company Kinder Morgan, Inc. KMI reported second-quarter 2026 adjusted earnings of 37 cents per share, beating the Zacks Consensus Estimate of 31 cents by 19.35%. Earnings increased 32.1% from 28 cents per share in the year-ago quarter. Strong quarterly results benefited from broad-based segment growth, led by higher natural gas transportation and gathering volumes. Natural gas transport volumes rose 7%, while gathering volumes increased 26%.
As of June 30, 2026, Kinder Morgan reported $89 million in cash and cash equivalents. Kinder Morgan’s net debt stood at $32.03 billion at quarter-end. The net debt-to-adjusted EBITDA ratio improved to 3.6X from 3.8X at the end of 2025.
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