RES earnings analysis
What we found in RES's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
RPC, Inc. reported a robust Q1 2026 with revenues of $454.8 million, a remarkable 36.6% increase year-over-year, mainly due to the Pintail acquisition and other service revenue growth. However, net income significantly dipped to $0.9 million, reflecting challenges in pricing and operational costs amidst a competitive and volatile market.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Strong Revenue Growth
- Revenues increased by $121.9 million or 36.6% year-over-year, from $332.9 million.
- Revenue Beats Estimate
- Actual revenue of $454.8 million exceeded consensus estimates of $404.54 million by 12.41%.
- Technical Services Growth
- Technical Services segment revenues rose by 39.3% compared to the prior year.
- Increased Operating Cash Flow
- Cash from operating activities was $31.2 million, despite an overall decline from $39.9 million year-over-year.
- No Debt Outstanding
- As of March 31, 2026, there were no borrowings under the credit facility, providing liquidity flexibility.
- Capital Expenditures
- Capital expenditures were $32.1 million, down slightly from $32.3 million year-over-year.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Declining Net Income
- Net income fell to $0.9 million from $12.0 million year-over-year, significantly impacting profitability.
- Increased Cost of Revenues
- Cost of revenues surged by 45.8% yo-yo to $355.6 million, outpacing revenue growth.
- High Effective Tax Rate
- Effective tax rate jumped to 80.1% in Q1 2026 compared to 27.2% in Q1 2025, due to non-deductible acquisition costs.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.03
- Segment
- Technical Services: $434.3M
- Segment
- Support Services: $20.5M
What they said about what is next.
Management expects capital expenditures for 2026 to be between $160 million and $180 million, directed towards maintenance and ERP upgrades.
The filing reads worse than the one before it.
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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