RPC (NYSE:RES) Posts Earnings Results, Beats Estimates By $0.04 EPS

RPC (NYSE:RES) released its quarterly earnings results on Thursday. The oil and gas company reported $0.08 EPS for the quarter, topping the consensus estimate of $0.04 by $0.04, Zacks reports. The firm had revenue of $460.87 million during the quarter, compared to analyst estimates of $463.48 million. RPC had a return on equity of 4.82% and a net margin of 1.28%.The business’s revenue for the quarter was up 9.5% compared to the same quarter last year. During the same period in the previous year, the company posted $0.08 EPS.

Here are the key takeaways from RPC’s conference call:

• Second-quarter results improved sequentially: Revenue rose 1% to $461 million, while adjusted EBITDA increased to $66 million from $53.5 million and adjusted EBITDA margin expanded 250 basis points to 14.3%, supported by better job mix, modest pricing gains and operating leverage.
• RPC’s differentiated technology businesses showed momentum, with ThruTubing Solutions revenue up 10% and Cudd Pressure Control revenue up 8%; MetalMax, UnPlug and longer-lateral applications are expanding the addressable market for downhole tools.
• The company is accelerating targeted coiled-tubing investments, expecting three 2 7/8-inch-capable units by year-end, while maintaining a strong liquidity position with approximately $180 million of cash, only $30 million of notes payable and no revolver borrowings.
• Industry activity remains subdued and management does not expect a significant near-term improvement; wireline revenue fell 16% sequentially amid customer activity reductions and aggressive competitor pricing, while pressure pumping revenue declined 1% and no fleets are planned for reactivation at current market levels.
• CEO Ben Palmer plans to retire and leave the board by the end of 2026, with a successor search expected to conclude before year-end; Palmer will remain in an advisory role to support the transition.

RPC Price Performance

Shares of NYSE RES opened at $5.63 on Friday. The company has a debt-to-equity ratio of 0.02, a quick ratio of 2.61 and a current ratio of 3.34. The company has a market cap of $1.25 billion, a PE ratio of 62.56 and a beta of 0.64. The business has a 50-day simple moving average of $6.20 and a two-hundred day simple moving average of $6.47. RPC has a fifty-two week low of $4.18 and a fifty-two week high of $8.16.

RPC Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Monday, August 10th will be paid a $0.04 dividend. The ex-dividend date is Monday, August 10th. This represents a $0.16 dividend on an annualized basis and a yield of 2.8%. RPC’s dividend payout ratio (DPR) is 177.78%.

Hedge Funds Weigh In On RPC

Several hedge funds and other institutional investors have recently modified their holdings of RES. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its stake in RPC by 4.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 50,558 shares of the oil and gas company’s stock worth $278,000 after purchasing an additional 2,190 shares in the last quarter. Mariner LLC raised its holdings in shares of RPC by 3.3% in the third quarter. Mariner LLC now owns 76,699 shares of the oil and gas company’s stock worth $365,000 after buying an additional 2,446 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its holdings in shares of RPC by 2.1% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 128,551 shares of the oil and gas company’s stock worth $699,000 after buying an additional 2,648 shares during the last quarter. State Board of Administration of Florida Retirement System lifted its stake in shares of RPC by 1.7% during the fourth quarter. State Board of Administration of Florida Retirement System now owns 204,551 shares of the oil and gas company’s stock worth $1,113,000 after buying an additional 3,411 shares during the period. Finally, Baird Financial Group Inc. lifted its stake in shares of RPC by 0.9% during the second quarter. Baird Financial Group Inc. now owns 396,393 shares of the oil and gas company’s stock worth $1,875,000 after buying an additional 3,542 shares during the period. 41.06% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting RPC

Here are the key news stories impacting RPC this week:

• Positive Sentiment: RPC reported adjusted earnings of $0.08 per share, double the $0.04 analyst consensus and matching the year-ago result. Profit benefited from a better job mix, improved pricing and stronger demand for downhole tools. RES Q2 Earnings Beat Estimates on Better Job Mix, Revenues Miss
• Positive Sentiment: Revenue increased 9.5% year over year to $460.9 million and rose 1% sequentially. Support Services revenue grew 11% from the prior quarter, while Technical Services revenue increased 1%, indicating broad-based operating improvement. RPC Reports Second Quarter 2026 Financial Results
• Positive Sentiment: Net income rose sharply to $12.1 million from $0.9 million in the first quarter, and net margin improved sequentially to 2.6%. RPC also ended the quarter with $179.5 million in cash and no borrowings under its $100 million revolving credit facility, supporting financial flexibility.
• Positive Sentiment: The company declared its regular $0.04-per-share quarterly dividend, payable September 10 to shareholders of record August 10. The dividend represents an annualized yield of approximately 2.9%. RPC Reports Revenue and Declares Dividend
• Negative Sentiment: Quarterly revenue of $460.9 million was slightly below the $463.5 million consensus estimate. The modest miss, combined with RPC’s low 1.2% net margin and shares trading below their 50-day and 200-day moving averages, may limit the strength of the rally.

Analyst Ratings Changes

RES has been the topic of a number of recent research reports. Weiss Ratings reaffirmed a “hold (c)” rating on shares of RPC in a research report on Friday, July 10th. Susquehanna reduced their target price on shares of RPC from $7.50 to $6.00 and set a “neutral” rating for the company in a report on Wednesday, July 8th. Three equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, RPC currently has an average rating of “Reduce” and a consensus target price of $5.33.

About RPC

RPC, Inc (NYSE: RES) provides essential equipment and services to companies engaged in the exploration, production and maintenance of oil and natural gas wells. The firm operates as an equity interest holding company, partnering with a network of independent service businesses to deliver a comprehensive suite of offerings for well completion and production operations.

Through its affiliated service companies, RPC offers pressure pumping and fracturing services, coiled tubing and nitrogen pumping, downhole tools and telemetry solutions, well intervention and workover services, along with rental tools and supply-chain logistics.