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Patterson-UTI (PTEN) to Report Q2 Earnings: What's in Store?
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Patterson-UTI Energy, Inc. (PTEN - Free Report) is set to report second-quarter earnings on Jul 25. The Zacks Consensus Estimate for earnings is pegged at 9 cents per share and revenues of $1.42 billion.
Let’s delve into the factors that might have influenced PTEN’s performance in the to-be-reported quarter. Before that, it’s worth taking a look at the company’s performance in the last reported quarter.
Highlights of Q1 Earnings
In the last reported quarter, the Houston, TX-based oilfield services company’s earnings beat the consensus mark. PTEN reported an adjusted net profit of 15 cents per share, which was 2 cents higher than the Zacks Consensus Estimate. This was attributed to the impressive performance of the Completion Services segment in the reported quarter. Revenues of $1510.4 million also marginally beat the Zacks Consensus Estimate by 0.2%. PTEN’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed the mark in one, delivering an average negative earnings surprise of 0.54%.
The Zacks Consensus Estimate for second-quarter 2024 earnings has witnessed no upward revision and one downward movement in the past 30 days. The estimated figure indicates a 79.55% year-over-year decline. The Zacks Consensus Estimate for revenues indicates an increase of 86.6% from the year-ago period.
Factors to Consider
The appreciation in PTEN's costs is likely to have hurt its bottom line. The company’s operating costs and expenses are projected to have reached $1,368.4 million in the second quarter, which is 109.1% up from the year-ago period’s level. Its direct operating costs are expected to have increased from $488.1 million to $1028 million in the same time frame.
On a positive note, PTEN's revenues are likely to have improved in the quarter to be reported. Our model predicts second-quarter revenues to increase to $1,410.1 million from the year-ago quarter’s level of $758.9 million. This can be attributed to the strong performance of the Completion Services segment.
What Does Our Model Say?
The proven Zacks model does not conclusively show an earnings beat for Patterson-UTI this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. However, that’s not the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is -9.86%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: PTEN currently carries a Zacks Rank #4 (Sell).
Stocks to Consider
Here are some firms that you may want to consider, as these have the right combination of elements to post an earnings beat.
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Patterson-UTI (PTEN) to Report Q2 Earnings: What's in Store?
Patterson-UTI Energy, Inc. (PTEN - Free Report) is set to report second-quarter earnings on Jul 25. The Zacks Consensus Estimate for earnings is pegged at 9 cents per share and revenues of $1.42 billion.
Let’s delve into the factors that might have influenced PTEN’s performance in the to-be-reported quarter. Before that, it’s worth taking a look at the company’s performance in the last reported quarter.
Highlights of Q1 Earnings
In the last reported quarter, the Houston, TX-based oilfield services company’s earnings beat the consensus mark. PTEN reported an adjusted net profit of 15 cents per share, which was 2 cents higher than the Zacks Consensus Estimate. This was attributed to the impressive performance of the Completion Services segment in the reported quarter. Revenues of $1510.4 million also marginally beat the Zacks Consensus Estimate by 0.2%. PTEN’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed the mark in one, delivering an average negative earnings surprise of 0.54%.
Patterson-UTI Energy, Inc. Price and EPS Surprise
Patterson-UTI Energy, Inc. price-eps-surprise | Patterson-UTI Energy, Inc. Quote
Trend in Estimate Revision
The Zacks Consensus Estimate for second-quarter 2024 earnings has witnessed no upward revision and one downward movement in the past 30 days. The estimated figure indicates a 79.55% year-over-year decline. The Zacks Consensus Estimate for revenues indicates an increase of 86.6% from the year-ago period.
Factors to Consider
The appreciation in PTEN's costs is likely to have hurt its bottom line. The company’s operating costs and expenses are projected to have reached $1,368.4 million in the second quarter, which is 109.1% up from the year-ago period’s level. Its direct operating costs are expected to have increased from $488.1 million to $1028 million in the same time frame.
On a positive note, PTEN's revenues are likely to have improved in the quarter to be reported. Our model predicts second-quarter revenues to increase to $1,410.1 million from the year-ago quarter’s level of $758.9 million. This can be attributed to the strong performance of the Completion Services segment.
What Does Our Model Say?
The proven Zacks model does not conclusively show an earnings beat for Patterson-UTI this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. However, that’s not the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is -9.86%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: PTEN currently carries a Zacks Rank #4 (Sell).
Stocks to Consider
Here are some firms that you may want to consider, as these have the right combination of elements to post an earnings beat.
Expro Group Holdings (XPRO - Free Report) has an Earnings ESP of +2.04% and a Zacks Rank #2. The firm is scheduled to release earnings on Jul 25. You can see the complete list of today’s Zacks #1 Rank stocks here.
XPRO has a trailing four-quarter average earnings surprise of 78.41%. Valued at around $2.61 billion, XPRO’s shares have risen 12.6% in a year.
TechnipFMC (FTI - Free Report) has an Earnings ESP of +4.17% and a Zacks Rank #3. The firm is scheduled to release earnings on Jul 25.
FTI has a trailing four-quarter average earnings surprise of 5.42%. Valued at around $12.19 billion, FTI’s shares have risen 55.4% in a year.
Baker Hughes (BKR - Free Report) has an Earnings ESP of +1.59% and a Zacks Rank #3. The firm is scheduled to release earnings on Jul 25.
Baker Hughes is valued at $35.64 billion. BKR has a trailing four-quarter average earnings surprise of 11.4%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.