Precision Drilling (PDS) Investor presentation summary

Strategic priorities and financial performance

• Focused on revenue growth, operational excellence, and leveraging technology to deepen customer relationships in 2026.

• Targeting maximized free cash flow through disciplined capital deployment and strict cost management.

• Enhancing shareholder returns by reducing debt and increasing share repurchases, aiming for direct returns up to 50% of free cash flow in 2026.

• Achieved $413M cash generation in 2025, funding upgrades, debt reduction, and share repurchases.

• Reduced net debt to adjusted EBITDA to 1.3x as of March 31, 2026, with a long-term target of less than 1.0x.

Market position and operations

• Holds #1 land driller position in Canada with 95 marketed rigs and is a top U.S. land driller with 80 marketed rigs.

• Active internationally with 7 rigs contracted in Kuwait and Saudi Arabia, all supported by contracts into 2027 and 2028.

• Canadian market share at 36% in 2025, with strong presence in high-inventory oil and gas plays like Montney and Clearwater.

• U.S. operations positioned for oil rebound and long-term gas growth, with strong presence in major basins and high demand for Super Spec rigs.

• Well service business in Canada strengthened by acquisitions, supporting strong free cash flow and positive outlook.

Technology and margin enhancement

• Leading in digital automation and rig technology with Alpha, EverGreen™, and robotics, offering the most advanced rigs in North America.

• High-impact rig upgrades in 2026 funded by upfront payments and term contracts, targeting full capital recovery.

• Super Series rigs nearly fully utilized in Canada, supporting strong margins of $12,000–$13,000/day in Q2 2026.

• U.S. margins estimated at $7,500–$8,500/day in Q2 2026, with tight rig market supporting pricing.

• Value-add technology drives efficiency, predictive analytics, and sustainability, reducing emissions and operational costs.