Ranger Energy Services (RNGR) Q2 2026 earnings summary

Executive summary

• Revenue reached $176.5 million in Q2 2026, up 11% sequentially and 26% year-over-year, driven by AWS acquisition and increased activity in High Specification Rigs and Processing Solutions.

• Adjusted EBITDA rose to $28.6 million (16.2% margin), up 22% sequentially and 39% year-over-year, surpassing a $100 million annualized run rate.

• Net income for Q2 2026 was $6.9 million ($0.29 per diluted share), more than doubling sequentially but slightly below the prior year due to higher interest and tax expenses.

• Achieved strong growth through strategic acquisitions, organic expansion, and innovation with the ECHO hybrid rig program, securing major contracts and advancing technology leadership.

• Significant share repurchases and quarterly dividends highlight ongoing capital returns and shareholder focus.

Financial highlights

• Six-month revenue ended June 30, 2026 was $335.6 million, up 22% year-over-year; net income for the period was $9.9 million, up 25%.

• Free cash flow for Q2 2026 was $20 million, with year-to-date free cash flow neutral due to working capital build and ECHO fleet spend.

• Liquidity at quarter-end was $61.3 million, including $57.1 million revolver capacity and $4.2 million cash.

• Capital expenditures YTD were $24.7 million, primarily for ECHO rigs and AWS integration; full-year CapEx expected at $50 million.

• High-Spec Rigs segment contributed 65% of revenue and 70% of EBITDA for the trailing twelve months ending June 30, 2026.

Outlook and guidance

• Management expects to sustain an annual EBITDA run rate above $100 million post-AWS acquisition, with optimism for long-term growth driven by ECHO rig deployments and new service lines.

• Q3 expected to be similarly strong as Q2, with typical Q4 softening due to holidays and weather.

• Expects to reach net debt zero before the end of FY 2026, maintaining financial flexibility for growth.

• ECHO rig deployment on track, with one rig per month expected and 23 rigs under contract.

• Anticipates reduced Wireline activity and profitability in the second half of 2026 as some contracts conclude.