RPC, Inc. Reports First Quarter 2026 Financial Results

Rhea-AI Summary

RPC (NYSE: RES) reported 1Q 2026 results: revenues $454.8M (up 7% sequentially) and GAAP net income of $0.9M (EPS $0.00). Adjusted EBITDA was $53.5M with an 11.8% margin. Cash was $200.7M with no borrowings on the $100M revolver. The board declared a $0.04 quarterly cash dividend payable June 10, 2026.

Technical Services drove the revenue gain (+7% sequential) while Support Services was flat; adjusted net income fell to $7.6M and free cash flow was ($0.9M) YTD.

Positive

• Revenues +7% sequential to $454.8M
• Adjusted EBITDA of $53.5M (11.8% margin)
• Cash balance of $200.7M with no revolver borrowings
• Board declared $0.04 quarterly dividend payable June 10, 2026

Negative

• Adjusted net income down to $7.6M from $9.4M sequentially
• Adjusted EBITDA margin down 110 basis points sequentially
• Free cash flow negative ($0.9M) year-to-date through 1Q:26
• Support Services operating income down 76% to $0.4M

Key Figures

1Q:26 Revenue: $454.8M Net income: $0.9M Adjusted net income: $7.6M +5 more

8 metrics

1Q:26 Revenue $454.8M First quarter 2026 revenues, up 7% sequentially

Net income $0.9M 1Q:26 net income vs $3.1M loss in 4Q:25

Adjusted net income $7.6M 1Q:26 adjusted net income vs $9.4M in 4Q:25

Adjusted EBITDA $53.5M 1Q:26 adjusted EBITDA vs $55.1M in 4Q:25

Cash & equivalents $200.7M Cash and cash equivalents at March 31, 2026

Operating cash flow $31.2M Net cash provided by operating activities YTD through 1Q:26

Capital expenditures $32.1M Capital expenditures for three months ended March 31, 2026

Quarterly dividend $0.04 per share Regular cash dividend payable June 10, 2026

Market Reality Check

Price: $7.13 Vol: Volume 2,199,228 vs 20-da...

normal vol

$7.13 Last Close

Volume Volume 2,199,228 vs 20-day avg 2,271,286 - near typical levels. normal

Technical Price $7.38, trading above 200-day MA $5.63 and 9.56% below 52-week high $8.16.

Peers on Argus

RES fell 5.38% while peers were mixed: MRC rose 10.59%, NESR gained 1.89%, NPKI ...

1 Down

RES fell 5.38% while peers were mixed: MRC rose 10.59%, NESR gained 1.89%, NPKI rose 2.01%, VTOL declined 5.56%, WTTR slipped 0.74%. This points to a stock-specific reaction.

Previous Earnings Reports

1 past event · Latest: Feb 03 (Negative)

Same Type Pattern 1 events

Date	Event	Sentiment	Move	Catalyst
Feb 03	Quarter and year results	Negative	-17.4%	4Q:25 and 2025 results with weaker profitability and margin compression.

Pattern Detected

Limited earnings history in this window; the prior earnings release triggered a sizable negative reaction.

Recent Company History

Recent news centered on governance, dividends, and earnings. The prior earnings report on Feb 3, 2026 showed 4Q:25 revenue of $425.8M and full‑year 2025 revenue of $1.626B, but net income fell sharply and adjusted EBITDA margin compressed. That release saw a -17.37% move. Today’s 1Q:26 results show sequential revenue growth but modest profitability, continuing the theme of pressured margins despite higher activity.

Historical Comparison

-17.4% avg move · In the past 6 months, RES had 1 earnings release with an average move of -17.37%. Today’s -5.38% dec...

earnings

-17.4%

Average Historical Move earnings

In the past 6 months, RES had 1 earnings release with an average move of -17.37%. Today’s -5.38% decline is smaller but directionally consistent with that reaction.

This earnings release follows 4Q:25 results that combined strong revenue growth with significantly weaker profitability, suggesting ongoing focus on margins and returns.

Market Pulse Summary

This announcement highlights 1Q:26 revenue of $454.8M, up 7% sequentially, and a return to positive ...

Analysis

This announcement highlights 1Q:26 revenue of $454.8M, up 7% sequentially, and a return to positive net income of $0.9M, while adjusted EBITDA declined slightly to $53.5M. Management notes weather disruptions, higher commodity prices, and cautious customer spending. Compared with 4Q:25 results, investors may watch trends in adjusted margins, cash balances around $200.7M, capital expenditures of $32.1M, and ongoing integration of the Pintail acquisition.

Key Terms

ebitda, adjusted ebitda, free cash flow, basis points, +3 more

7 terms

ebitda financial

"Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) was $53.5 million"

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

adjusted ebitda financial

"Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) was $53.5 million"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

free cash flow financial

"Adjusted EBITDA margin, and free cash flow which are reconciled to the most directly comparable GAAP measures"

Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.

basis points financial

"Net income margin increased 90 basis points sequentially to 0.2%"

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

pressure pumping technical

"Cudd Energy Services' pressure pumping saw the largest percentage increase at 20%"

Pressure pumping is a well-stimulation service that uses high-pressure fluids to fracture underground rock and release oil or natural gas, similar to forcing open tiny cracks in a clogged pipe to let liquid flow more freely. Investors watch it because it affects production rates, operating costs and revenues for energy producers and equipment providers, and it can carry environmental and regulatory risks that influence a company’s expenses and public perception.

downhole tools technical

"Thru Tubing Solutions' downhole tools increased 11% driven by higher activity"

Downhole tools are the specialized instruments and devices lowered into oil or gas wells on cables, tubing or drill strings to drill, measure conditions, complete or repair the well and boost production. For investors, they matter because their quality and effectiveness influence how quickly a well can be brought into service, how much oil or gas it produces, and the cost and safety of operations—similar to how the right mechanic’s toolkit affects how fast and well a car is fixed.

coiled tubing technical

"These services include pressure pumping, downhole tools, wireline, coiled tubing, cementing"

Coiled tubing is a long, flexible length of pipe wound on a large reel that can be unspooled and pushed into oil and gas wells to clean, repair, measure, or perform light drilling without removing the main wellhead. Think of it like a continuous garden hose or fishing line that lets technicians reach deep down quickly and repeatedly. Investors care because coiled tubing services affect production uptime, repair costs and service-company revenue; efficient use can lower operating expenses and speed returns on well investments.

AI-generated analysis. Not financial advice.

ATLANTA, May 7, 2026 /PRNewswire/ -- RPC, Inc. (NYSE: RES) ("RPC" or the "Company"), a leading diversified oilfield services company, announced its unaudited results for the first quarter ended March 31, 2026.

Non-GAAP and adjusted measures may include, adjusted operating income, adjusted net income, adjusted net income margin, adjusted earnings per share (diluted), EBITDA and adjusted EBITDA, adjusted EBITDA margin, and free cash flow which are reconciled to the most directly comparable GAAP measures in the appendices of this earnings release.

Sequential comparisons are to 4Q:25. The Company believes quarterly sequential comparisons are most useful in assessing industry trends and RPC's recent financial results. Both sequential and year-over-year comparisons are available in the tables at the end of this earnings release.

First Quarter 2026 Highlights

• Revenues increased 7% sequentially to $454.8 million
• Net income was $0.9 million, compared to net loss of $3.1 million in the prior quarter, and diluted Earnings Per Share (EPS) was $0.00; Net income margin increased 90 basis points sequentially to 0.2%
• Adjusted net income was $7.6 million, compared to $9.4 million in the prior quarter, and adjusted diluted EPS was $0.03; Adjusted net income margin was 1.7%. See Appendices B and C for additional details
• Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) was $53.5 million, compared to $55.1 million in the prior quarter; Adjusted EBITDA margin decreased 110 basis points sequentially to 11.8%. See Appendix C for additional details

Management Commentary

"During the first quarter we experienced modest revenue increases despite weather impacts to start the year. Our Technical Services segment revenues increased 7% sequentially. Within Technical Services, Cudd Energy Services' pressure pumping saw the largest percentage increase at 20% followed by Cudd Pressure Control's nitrogen service line which increased 13%. Thru Tubing Solutions' downhole tools increased 11% driven by higher activity supported by new technologies. Our Support Services segment revenues were flat sequentially, as the first quarter typically sees the biggest weather impact," stated Ben M. Palmer, RPC's President and Chief Executive Officer.

"The year started off with winter storms disrupting activity across multiple basins which was followed by significant geopolitical events that meaningfully increased oil prices. We are seeing signs of optimism including increased bidding activity, as well as a number of operators electing to maintain activity, rather than following through with previously announced reduction plans. However, industry concerns about the duration of higher commodity prices and price volatility are currently limiting any significant reevaluation of spending plans. As we look ahead, we will be measured in our approach focusing on returns on capital and strategically investing where prudent."

Selected Industry Data (Source: Baker Hughes, Inc., U.S. Energy Information Administration)

		1Q:26			4Q:25			Change			% Change		1Q:25			Change			% Change
Average U.S. rig count			548			548			—		—	%		588			(40)		(6.8)	%
Average Oil price ($/barrel)		$	70.54		$	59.79		$	10.75		18.0	%	$	71.93		$	(1.39)		(1.9)	%
Average Natural gas ($/Mcf)		$	4.81		$	3.69		$	1.12		30.4	%	$	4.14		$	0.67		16.2	%

1Q:26 Consolidated Financial Results (sequential comparisons to previous quarter)

Revenues were $454.8 million, up 7%. Within the Technical Services segment, we saw revenues increase 7% sequentially with pumping, nitrogen, and downhole tools seeing double digit percentage increases. Within the Support Services segment revenues were essentially flat.

Cost of revenues, which excludes depreciation and amortization of $37.1 million, was $355.6 million, up from $336.6 million. Cost of revenues was most impacted by costs that typically vary with activity and job mix, specifically materials & supplies and fuel sourced for customers.

Selling, general and administrative expenses were $48.2 million, slightly up from $47.7 million.

Acquisition related employment costs were approximately $7.3 million during 1Q:26 and 4Q:25, and represent non-cash accounting adjustments related to the Pintail acquisition costs that are contingent upon continued employment.

Depreciation and amortization was $42.9 million during 1Q:26, and 4Q:25 was $39.1 million. The fourth quarter reflected a $2.8 million reduction in depreciation and amortization due to the change in wireline cable accounting. See Appendix C for additional details.

Interest income totaled $1.8 million, approximating the prior quarter.

Interest expense totaled $830 thousand, approximating the prior quarter.

Income tax provision was $3.5 million, primarily due to the disproportionate impact of permanent non-deductible items, mainly acquisition related employment costs, on a relatively low pretax income.

Net earnings and Earnings per share totaled $0.9 million and $0.00 respectively, versus net loss of $3.1 million and diluted loss per share of $0.02, respectively, in 4Q:25. Net income margin increased 90 basis points sequentially to 0.2%.

Adjusted net income and Adjusted diluted EPS were $7.6 million and $0.03, respectively, versus $9.4 million and $0.04, respectively, in 4Q:25. Adjusted net income margin decreased to 1.7% from 2.2% in 4Q:25.

Adjusted EBITDA was $53.5 million, down from $55.1 million. Adjusted EBITDA margin decreased 110 basis points sequentially to 11.8%. See Appendix C for additional details. 

Balance Sheet, Cash Flow and Capital Allocation

Cash and cash equivalents decreased slightly to $200.7 million at the end of the first quarter compared to the end of 2025, with no outstanding borrowings under the Company's $100 million revolving credit facility.

Net cash provided by operating activities and Free cash flow were $31.2 million and ($0.9) million, respectively, year-to-date through 1Q:26. Working capital was a significant use of cash during the quarter primarily due to higher accounts receivable resulting from revenue increases.

Payment of dividends totaled $8.9 million year-to-date. As previously announced, the Board of Directors declared a regular quarterly cash dividend of $0.04 per share, payable on June 10, 2026, to common stockholders of record at the close of business on May 11, 2026.

Share repurchases totaled $3.5 million year-to-date, all of which related to tax withholding for restricted stock vesting.

Segment Operations (sequential comparisons versus the previous quarter)

Technical Services performs value-added completion, production and maintenance services directly to a customer's well. These services include pressure pumping, downhole tools, wireline, coiled tubing, cementing, and other offerings.

• Revenues were $434.3 million, up 7%
• Operating income was $16.0 million, up $7.5 million or 89%. Recall the fourth quarter was impacted by the transition to expensing wireline cables
• Operating income saw broad based increases across most of our service lines

Support Services provides equipment for customer use or services to assist customer operations, including rental tools, pipe inspection services and storage.

• Revenues were $20.5 million, essentially flat
• Operating income was $0.4 million, down $1.3 million or 76%
• Rental Tools typically sees the most seasonality during the first quarter

		Three Months Ended
		March 31,			December 31,			March 31,
(In thousands)		2026			2025			2025
			(Unaudited)			(Unaudited)			(Unaudited)
Revenues:
Technical Services		$	434,282		$	405,244		$	311,844
Support Services			20,473			20,533			21,033
Total revenues		$	454,755		$	425,777		$	332,877
Operating income (loss):
Technical Services		$	15,978		$	8,457	(1)	$	14,003
Support Services			401			1,688			2,661
Corporate expenses			(8,270)			(7,748)			(5,804)
Acquisition related employment costs			(7,292)			(7,291)			—
Gain on disposition of assets, net			1,803			904			1,526
Total operating income (loss)		$	2,620		$	(3,990)		$	12,386
Interest expense			(830)			(942)			(131)
Interest income			1,770			1,654			3,395
Other income, net			749			3,426			885
Income before income taxes		$	4,309		$	148		$	16,535

(1)  Beginning in the fourth quarter of 2025, wireline cables, previously capitalized and depreciated over 18 months, began being expensed due to a change in their estimated useful lives. Wireline cable adjustments in 2025 totaled approximately $13.8 million: $4.7 million in second quarter, $4.5 million in the third quarter, and $4.6 million in the fourth quarter. Wireline cable purchase expenses are partially offset by a decrease in depreciation of $1.9 million in the second quarter, $2.5 million in the third quarter and $1.0 million in the fourth quarter.  The net 2025 operating income impact was additional expense of $8.3 million comprised of $2.8 million in the second quarter, $2.0 million in the third quarter and $3.5 million in the fourth quarter.

Conference Call Information

RPC, Inc. will hold a conference call today, May 7, 2026, at 9:00 a.m. ET to discuss the results for the quarter. Interested parties may listen in by accessing a live webcast in the investor relations section of RPC, Inc.'s website at www.rpc.net. The live conference call can also be accessed by calling (800) 715-9871, or +1 (646) 307-1963 for international callers, and using conference ID number 5388095. For those not able to attend the live conference call, a replay will be available in the investor relations section of RPC, Inc.'s website beginning approximately two hours after the call and for a period of 90 days.

About RPC

RPC provides a broad range of specialized oilfield services and equipment primarily to independent and major oilfield companies engaged in the exploration, production and development of oil and gas properties throughout the United States, including the Gulf of America, mid-continent, southwest, Appalachian and Rocky Mountain regions, and in selected international markets. RPC's investor website can be found at www.rpc.net.

Forward Looking Statements

Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements that look forward in time or express management's beliefs, expectations or hopes. In particular, such statements include, without limitation:  that the Company is seeing signs of optimism, including increased bidding activity, as well as a number of operators electing to maintain activity, rather than previously announced reduction plans; that industry concerns about the duration of higher commodity prices and price volatility are currently limiting any significant reevaluation of spending plans; and the Company's expectation for future periods that it will follow a measured approach focusing on returns on capital and strategically investing in a prudent manner. Risk factors that could cause such future events not to occur as expected include the following: the price of oil and natural gas and overall performance of the U.S. economy, both of which can impact capital spending by our customers and demand for our services; the impact of tariffs, which may increase our cost of materials and impact our profitability, business interruptions due to adverse weather conditions; changes in the competitive environment of our industry, including the potential impact of the recent U.S. actions in Iran and Venezuela, including without limitation the impacts of the blockade of the Strait of Hormuz; political instability in the petroleum-producing regions of the world; the actions of the OPEC oil cartel; our customers' drilling and production activities; and our ability to identify, complete and successfully integrate acquisitions and/or other strategic investments or transactions.  Additional factors that could cause the actual results to differ materially from management's projections, forecasts, estimates, and expectations are contained in RPC's Form 10-K for the year ended December 31, 2025.

For information about RPC, Inc., please contact:

Joshua Large,
Vice President, Corporate Finance and Investor Relations
(404) 321-2152
jlarge@rpc.net

Michael L. Schmit,
Chief Financial Officer
(404) 321-2140
irdept@rpc.net

RPC INCORPORATED AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands except per share data)
		Three Months Ended
		March 31,			December 31,			March 31,
		2026			2025			2025
			(Unaudited)			(Unaudited)			(Unaudited)
REVENUES		$	454,755		$	425,777		$	332,877
COSTS AND EXPENSES:
Cost of revenues (exclusive of depreciation and amortization shown separately below)			355,585			336,568			243,895
Selling, general and administrative expenses			48,207			47,687			42,499
Acquisition related employment costs			7,292			7,291			—
Depreciation and amortization			42,854			39,125			35,623
Gain on disposition of assets, net			(1,803)			(904)			(1,526)
Operating income (loss)			2,620			(3,990)			12,386
Interest expense			(830)			(942)			(131)
Interest income			1,770			1,654			3,395
Other income, net			749			3,426			885
Income before income taxes			4,309			148			16,535
Income tax provision			3,454			3,209			4,505
NET INCOME (LOSS)		$	855		$	(3,061)		$	12,030
EARNINGS (LOSS) PER SHARE
Basic		$	0.00		$	(0.02)	(1)	$	0.06
Diluted		$	0.00		$	(0.02)		$	0.06
WEIGHTED AVERAGE SHARES OUTSTANDING
Basic			221,331			212,247	(2)		215,691
Diluted			221,331			212,247			215,691

(1)	For the three months ended December 31, 2025, loss per share reflects a reduction of $0.01, due to the adjustment for earnings attributable to participating securities under the two-class method. Participating securities are share-based payment awards with non-forfeitable rights to dividends.
(2)	Average shares outstanding were reduced by 8,327 shares of participating securities for the three months ended December 31, 2025, under the two-class method and because the inclusion of such securities would be anti-dilutive.

RPC INCORPORATED AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
		(In thousands)
		March 31,			December 31,
		2026			2025
			(Unaudited)
ASSETS
Cash and cash equivalents		$	200,730		$	209,974
Accounts receivable, net			374,693			327,668
Inventories			120,375			119,004
Income taxes receivable			1,701			6,302
Prepaid expenses			14,164			18,307
Other current assets			23,109			23,215
Total current assets			734,772			704,470
Property, plant and equipment, net			521,206			531,556
Operating lease right-of-use assets			22,209			24,094
Finance lease right-of-use assets			1,908			1,934
Goodwill			81,249			83,422
Other intangibles, net			96,742			97,499
Other assets			22,872			25,410
Total assets		$	1,480,958		$	1,468,385
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES
Accounts payable		$	160,765		$	119,757
Accrued payroll and related expenses			26,955			38,636
Accrued insurance expenses			8,438			7,194
Accrued state, local and other taxes			5,101			3,543
Income taxes payable			881			787
Unearned revenue			—			13,233
Current portion of operating lease liabilities			6,408			7,606
Current portion of finance lease liabilities			1,018			977
Current portion of notes payable			20,000			20,000
Accrued expenses and other liabilities			5,397			5,419
Total current liabilities			234,963			217,152
Accrued insurance expenses			16,134			15,570
Notes payable			30,000			30,000
Operating lease liabilities			16,314			17,762
Finance lease liabilities			970			1,041
Other long-term liabilities			10,937			10,814
Deferred income taxes			75,338			76,875
Total liabilities			384,656			369,214
STOCKHOLDERS' EQUITY
Common stock			22,164			22,057
Capital in excess of par value			—			—
Retained earnings			1,076,801			1,079,664
Accumulated other comprehensive loss			(2,663)			(2,550)
Total stockholders' equity			1,096,302			1,099,171
Total liabilities and stockholders' equity		$	1,480,958		$	1,468,385

RPC INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
		(In thousands)
Three months ended March 31,		2026			2025
			(Unaudited)
OPERATING ACTIVITIES
Net income		$	855		$	12,030
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			42,854			35,623
Acquisition related employment costs			7,292			—
Working capital			(21,697)			(6,920)
Other operating activities			1,869			(868)
Net cash provided by operating activities			31,173			39,865
INVESTING ACTIVITIES
Capital expenditures			(32,105)			(32,270)
Proceeds from sale of assets			4,265			4,827
Net cash used for investing activities			(27,840)			(27,443)
FINANCING ACTIVITIES
Payment of dividends			(8,865)			(8,653)
Cash paid for common stock purchased and retired			(3,452)			(2,868)
Cash paid for finance lease and finance obligations			(260)			(152)
Net cash used for financing activities			(12,577)			(11,673)
Net (decrease) increase in cash and cash equivalents			(9,244)			749
Cash and cash equivalents at beginning of period			209,974			325,975
Cash and cash equivalents at end of period		$	200,730		$	326,724

Non-GAAP Measures

RPC, Inc. has used the non-GAAP financial measures of adjusted operating income, adjusted net income, adjusted net income margin, adjusted earnings per share, adjusted EBITDA, adjusted EBITDA margin and free cash flow in today's earnings release. These measures should not be considered in isolation or as a substitute for performance or liquidity measures prepared in accordance with GAAP. Management believes that presenting these non-GAAP measures, other than free cash flow, enables investors to compare the operating performance of our core business consistently over various time periods, without regard to acquisition related employment costs and changes in our accounting for purchases of wireline cables, and in the case of Adjusted EBITDA and Adjusted EBITDA margin, without regard to changes in our capital structure. Management believes that free cash flow, which measures our ability to generate additional cash from our business operations, is an important financial measure for use in evaluating RPC's liquidity. Free cash flow should be considered in addition to, rather than as a substitute for, net cash provided by operating activities as a measure of our liquidity. Additionally, RPC's definition of free cash flow is limited, in that it does not represent residual cash flows available for discretionary expenditures, due to the fact that the measure does not deduct the payments required for debt service and other contractual obligations or payments made for business acquisitions. Therefore, management believes it is important to view free cash flow as a measure that provides supplemental information to our Condensed Consolidated Statements of Cash Flows.

A non-GAAP financial measure is a numerical measure of financial performance, financial position, or cash flows that either 1) excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of operations, balance sheet or statement of cash flows, or 2) includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented.

Set forth in the appendices below are reconciliations of these non-GAAP measures with their most directly comparable GAAP measures. These reconciliations also appear on RPC, Inc.'s investor website, which can be found at www.rpc.net.

Appendix A
(Unaudited)		Three Months Ended
		March 31,			December 31,			March 31,
(In thousands)		2026			2025			2025
Reconciliation of Operating Income (Loss) to Adjusted Operating Income
Operating income (loss)		$	2,620		$	(3,990)		$	12,386
Wireline cable expenses			—			4,818	(1)		—
Acquisition related employment costs			7,292			7,291			—
Adjusted operating income		$	9,912		$	8,119		$	12,386

(1) Beginning in the fourth quarter of 2025, wireline cables, previously capitalized and depreciated over 18 months, began being expensed due to a change in their estimated useful lives. Wireline cable adjustments in 2025 totaled approximately $13.8 million: $4.7 million in second quarter, $4.5 million in the third quarter, and $4.6 million in the fourth quarter. Wireline cable purchase expenses are partially offset by a decrease in depreciation of $1.9 million in the second quarter, $2.5 million in the third quarter and $1.0 million in the fourth quarter.  The net 2025 operating income impact was additional expense of $8.3 million comprised of $2.8 million in the second quarter, $2.0 million in the third quarter and $3.5 million in the fourth quarter.

Appendix B
(Unaudited)		Three Months Ended
		March 31,			December 31,			March 31,
(In thousands)		2026			2025			2025
Reconciliation of Net Income (Loss) to Adjusted Net Income
Net income (loss)		$	855		$	(3,061)		$	12,030
Adjustments:
Wireline cable expenses, before taxes			—			4,818	(1)		—
Tax effect of wireline cable expenses			—			(1,132)			—
Acquisition related employment costs, before taxes			7,292			7,291			—
Tax effect of Acquisition related employment costs			(572)			(2,504)			—
Taxes on company owned life insurance liquidation			—			3,962			—
Total adjustments, net of tax			6,720			12,435			—
Adjusted net income		$	7,575		$	9,373		$	12,030

(1)  Beginning in the fourth quarter of 2025, wireline cables, previously capitalized and depreciated over 18 months, are now being expensed due to a change in their estimated useful lives. Wireline cable adjustments in 2025 totaled approximately $13.8 million: $4.7 million in second quarter, $4.5 million in the third quarter, and $4.6 million in the fourth quarter. Wireline cable purchase expenses are partially offset by a decrease in depreciation of $1.9 million in the second quarter, $2.5 million in the third quarter and $1.0 million in the fourth quarter.  The net 2025 operating income impact was additional expense of $8.3 million comprised of $2.8 million in the second quarter, $2.0 million in the third quarter and $3.5 million in the fourth quarter.

(Unaudited)		Three Months Ended
		March 31,			December 31,			March 31,
		2026			2025			2025
Reconciliation of Diluted Earnings (Loss) Per Share to Adjusted Diluted Earnings Per Share
Diluted earnings (loss) per share		$	0.00		$	(0.02)		$	0.06
Adjustments:
Wireline cable expenses, before taxes			—			0.02	(1)		—
Tax effect of wireline cable expenses			—			—			—
Acquisition related employment costs, before taxes			0.03			0.03			—
Tax effect of Acquisition related employment costs			(0.00)			(0.01)			—
Taxes on company owned life insurance liquidation			—			0.02			—
Total adjustments, net of tax			0.03			0.06			—
Adjusted diluted earnings per share		$	0.03		$	0.04		$	0.06
Weighted average shares outstanding  (in thousands)			221,331			220,574			215,691

(1)  Beginning in the fourth quarter of 2025, wireline cables, previously capitalized and depreciated over 18 months, began being expensed due to a change in their estimated useful lives. Wireline cable adjustments in 2025 totaled approximately $13.8 million: $4.7 million in second quarter, $4.5 million in the third quarter, and $4.6 million in the fourth quarter. Wireline cable purchase expenses are partially offset by a decrease in depreciation of $1.9 million in the second quarter, $2.5 million in the third quarter and $1.0 million in the fourth quarter.  The net 2025 operating income impact was additional expense of $8.3 million comprised of $2.8 million in the second quarter, $2.0 million in the third quarter and $3.5 million in the fourth quarter.

Appendix C
(Unaudited)		Three Months Ended
		March 31,			December 31,			March 31,
(In thousands)		2026			2025			2025
Reconciliation of Net Income (loss) to EBITDA and Adjusted EBITDA, and Net Income Margin to Adjusted Net Income Margin and Adjusted EBITDA Margin
Net income (loss)		$	855		$	(3,061)		$	12,030
Adjustments:
Add: Income tax provision			3,454			3,209			4,505
Add: Interest expense			830			942			131
Add: Depreciation and amortization			42,854			39,125			35,623
Less: Interest income			1,770			1,654			3,395
EBITDA		$	46,223		$	38,561		$	48,894
Add: Wireline cable expenses			—			9,251	(2)		—
Add: Acquisition related employment costs			7,292			7,291			—
Adjusted EBITDA		$	53,515		$	55,103		$	48,894
Revenues		$	454,755		$	425,777		$	332,877
Net income (loss) margin(1)			0.2 %			(0.7) %			3.6 %
Adjusted net income margin(1)			1.7 %			2.2 %	(2)		3.6 %
Adjusted EBITDA margin(1)			11.8 %			12.9 %	(2)		14.7 %

(1)  Net income margin is calculated as Net income divided by Revenues. Adjusted net income margin is calculated as Adjusted net income divided by Revenues. Adjusted EBITDA margin is calculated as Adjusted EBITDA divided by Revenues.

(2)  Beginning in the fourth quarter of 2025, wireline cables, previously capitalized and depreciated over 18 months, began being expensed due to a change in their estimated useful lives. Wireline cable adjustments in 2025 totaled approximately $13.8 million: $4.7 million in second quarter, $4.5 million in the third quarter, and $4.6 million in the fourth quarter. Wireline cable purchase expenses are partially offset by a decrease in depreciation of $1.9 million in the second quarter, $2.5 million in the third quarter and $1.0 million in the fourth quarter.  The net 2025 operating income impact was additional expense of $8.3 million comprised of $2.8 million in the second quarter, $2.0 million in the third quarter and $3.5 million in the fourth quarter.

Appendix D
(Unaudited)	Three months ended March 31,
(In thousands)	2026			2025
Reconciliation of Operating Cash Flow to Free Cash Flow
Net cash provided by operating activities	$	31,173		$	39,865
Capital expenditures		(32,105)			(32,270)
Free cash flow	$	(932)		$	7,595

 

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SOURCE RPC, Inc.

FAQ

What were RPC (RES) 1Q 2026 revenues and how did they change sequentially?

RPC reported $454.8 million in revenues for 1Q 2026, a 7% sequential increase. According to the company, Technical Services drove the gain while Support Services were essentially flat, with higher accounts receivable contributing to working capital use.

What was RPC's adjusted EBITDA and margin in 1Q 2026 (RES)?

Adjusted EBITDA was $53.5 million with an 11.8% margin in 1Q 2026. According to the company, adjusted EBITDA declined versus the prior quarter and margin decreased by 110 basis points sequentially.

Did RPC (RES) generate positive free cash flow in 1Q 2026?

No; free cash flow was ($0.9) million year-to-date through 1Q 2026. According to the company, working capital was a significant use of cash driven by higher accounts receivable from revenue increases.

What dividend did RPC (RES) declare for shareholders and when is it payable?

RPC declared a regular quarterly cash dividend of $0.04 per share, payable June 10, 2026. According to the company, shareholders of record at the close of business on May 11, 2026, are eligible for the payment.

How did RPC's Technical Services segment perform in 1Q 2026 (RES)?

Technical Services revenues were $434.3 million, up 7% sequentially in 1Q 2026. According to the company, pumping, nitrogen and downhole tools posted double-digit percentage increases, with operating income rising broadly across service lines.

Does RPC (RES) have borrowings on its credit facility after 1Q 2026?

No; RPC reported no outstanding borrowings under its $100 million revolving credit facility at March 31, 2026. According to the company, cash and cash equivalents totaled $200.7 million at quarter end.