Patterson-UTI Energy (PTEN) Q3 2026 earnings summary

Executive summary

• Q3 revenue was $1.342B, up 9% sequentially; net income attributable to common stockholders was $28.353M and Adjusted EBITDA was $263.888M.

• Stronger U.S. drilling and completion demand supported pricing gains; upgraded equipment, digital capabilities and automation contributed to customer performance.

• Management expects strong free cash flow in Q4 and a meaningful increase in 2027 versus 2026.

Financial highlights

• Q3 operating income was $63.273M, versus a $6.962M operating loss in Q2 2026 and a $28.054M loss in Q3 2025.

• Q3 diluted EPS was $0.07, compared with a diluted loss per share of $0.05 in Q2 2026 and $0.10 in Q3 2025.

• Nine-month revenue was $3.688B versus $3.676B in 2025; net loss attributable to common stockholders was $15.876M versus an $84.541M loss.

• Q3 Adjusted EBITDA was $263.888M versus $231.886M in Q2 and $218.654M in Q3 2025; nine-month Adjusted EBITDA was $700.816M versus $696.496M in 2025.

Outlook and guidance

• Q4 Drilling Services adjusted gross profit is expected at $150M; U.S. rig count is expected to average ~104, exit 2026 above that level and see further reactivations in Q1 2027.

• Q4 Completion Services adjusted gross profit is expected at $140M, with broadly consistent activity and further pricing improvements; modest seasonality and potential weather delays are factors.

• Q4 Drilling Products adjusted gross profit is expected to decline 5%-10% sequentially, mainly due to lower Saudi activity; Other adjusted gross profit is expected to be steady.

• Q4 G&A is expected at ~$70M and depreciation, depletion, amortization and impairment at ~$220M; 2026 CapEx net of asset-sale proceeds is expected below $600M.

• Management expects free cash flow to increase meaningfully in 2027; 2027 CapEx plans were not finalized, with spending expected generally near 2026 levels and focused on equipment high-grading.