Patterson-UTI Energy
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Patterson-UTI Energy (PTEN) investor relations material

Patterson-UTI Energy Q4 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q4 2025 earnings summary5 Feb, 2026

Executive summary

  • Delivered strong Q4 2025 results with robust operational execution, cost control, and technology-driven differentiation despite a challenging commodity environment.

  • Achieved $416 million in adjusted free cash flow for 2025, with Q4 being the highest since the 2023 transformation.

  • Fourth quarter 2025 revenue reached $1.2 billion, with adjusted EBITDA of $221 million and a net loss attributable to shareholders of $9 million.

  • Increased quarterly dividend by 25% to $0.10 per share, reflecting confidence in ongoing free cash flow generation and a commitment to return at least 50% of adjusted free cash flow to shareholders.

  • Continued focus on high-quality asset base and international expansion.

Financial highlights

  • Q4 2025 revenue was $1.151 billion; adjusted EBITDA for Q4 was $221 million; net loss attributable to shareholders was $9 million ($0.02 per share).

  • Adjusted free cash flow for 2025 totaled $416 million, down from $523 million in 2024.

  • Q4 segment revenues: Drilling Services $361M, Completion Services $702M, Drilling Products $84M, Other $5M.

  • Q4 adjusted gross profit: Drilling Services $132M, Completion Services $111M, Drilling Products $34M, Other $1M.

  • Cash and equivalents at year-end were $421 million, up from $241 million at the end of 2024.

Outlook and guidance

  • Q1 2026 guidance includes a $5–$10 million negative impact from winter weather, mainly in completion services.

  • Drilling Services Q1 average rig count expected in low- to mid-90s; adjusted gross profit to decline by less than 5%.

  • Completion Services Q1 adjusted gross profit expected at ~$95M, with slightly lower activity due to weather.

  • Drilling Products Q1 adjusted gross profit expected to improve slightly, with international growth offsetting lower U.S. revenue.

  • 2026 CapEx budget reduced by 15% to ~$500M gross, with net CapEx below $500M after asset sales.

Future FCF allocation beyond 50% shareholder return
Impact of fleet high-grading on future capacity
Saudi facility's role in Middle East growth strategy
Assess frac market supply/demand beyond fleet count
Balance of shareholder returns vs. growth investments
Strategy for deploying idle US assets internationally
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Frequently asked questions

Patterson-UTI Energy Inc provides drilling and pressure pumping services to oil and gas exploration and production companies. The company operates land-based drilling rigs and offers directional drilling and related services across North America. It is headquartered in Houston, Texas, and its shares are listed on the NASDAQ.

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