Patterson-UTI reports Q3 EPS (10c), consensus (11c)

Reports Q3 revenue $1.2B, consensus $1.17B. “In Q3, our teams successfully navigated a challenging environment, and we are executing our plan that concentrates on optimizing our business in the areas that we can control,” said CEO Andy Hendricks. “Operationally, our teams are performing well, and we continue to enhance our commercial strategy through additional integration and performance-based agreements, while at the same time we are lowering our cost structure…U.S. activity levels stabilized towards the end of the third quarter, and while we do expect normal seasonality in completion activity during Q3, we think our activity should remain relatively steady into 2026.We believe the full impact of the moderation of activity over the past six months is yet to be fully reflected in U.S. oil production, and we believe current industry activity is already below levels needed to hold U.S. oil production steady. Any further rig count declines would likely result in additional pressure on U.S. oil production volumes for an extended period, which could negatively impact global oil supply in 2026. On natural gas, we continue to see a strengthening outlook as physical LNG takeaway begins to come into focus, which we expect to result in higher natural gas drilling and completion activity in 2026.”