Financial Performance - Net income for the first quarter of fiscal 2025 was $55 million, or $0.54 per diluted share, down from $75 million, or $0.76 per diluted share in the previous quarter[1]. - The company reported operating revenues of $677.3 million for the three months ended December 31, 2024, compared to $693.8 million for the previous quarter, reflecting a decrease of approximately 2.3%[27]. - Net income for the same period was $54.8 million, down from $75.5 million in the prior quarter, representing a decline of about 27.5%[27]. - Basic earnings per share for the quarter were $0.55, down from $0.75 in the previous quarter, indicating a decrease of 26.7%[27]. - Adjusted net income for Q4 2024 was $71,448, translating to an EPS of $0.71, compared to $76,074 and $0.76 in Q3 2024[38]. - Net income for Q4 2024 was $54,772, down 27.5% from $75,476 in Q3 2024 and down 42.5% from $95,173 in Q4 2023[45]. Segment Performance - The North America Solutions segment had 148 active rigs, generating revenue of $38,600 per day and direct margins of $19,400 per day[3]. - Operating income for the North America Solutions segment decreased by $4 million to $152 million, with direct margins down by $9 million to $266 million[3]. - North America Solutions operating revenues for Q4 2024 were $598,145, a decrease of 3.3% from $618,285 in Q3 2024 and an increase of 0.1% from $594,282 in Q4 2023[30]. - International Solutions reported an operating loss of $15,170 in Q4 2024, compared to a loss of $5,097 in Q3 2024 and a profit of $5,423 in Q4 2023[30]. - Offshore Gulf of Mexico segment operating revenues increased to $29,210 in Q4 2024, up 6.0% from $27,545 in Q3 2024 and 14.6% from $25,531 in Q4 2023[30]. - North America Solutions segment operating income for Q4 2024 was $151,994, a decrease of 2% from $155,695 in Q3 2024 and an increase of 5.2% from $144,490 in Q4 2023[42]. - Offshore Gulf of Mexico segment operating income was $3,505 in Q4 2024, down from $4,275 in Q3 2024 but up from $3,052 in Q4 2023[42]. Cash Flow and Assets - Cash and cash equivalents increased to $391.2 million as of December 31, 2024, compared to $217.3 million at the end of the previous quarter, marking an increase of about 80%[28]. - Total assets as of December 31, 2024, were $5.82 billion, a slight increase from $5.78 billion at the end of the previous quarter[28]. - The company reported net cash provided by operating activities of $158.4 million for the three months ended December 31, 2024, compared to $174.8 million for the same period in 2023[29]. - Total shareholders' equity increased to $2.95 billion as of December 31, 2024, from $2.92 billion at the end of the previous quarter[28]. Acquisition and Backlog - The acquisition of KCA Deutag added approximately $5.5 billion in backlog with high-quality, investment-grade customers[3]. - The completion of the KCA Deutag acquisition on January 16, 2025, added approximately $5.5 billion to the company's contract backlog[25]. - Direct margin contribution from KCA Deutag's legacy operations is expected to be between $35-$50 million for the second quarter[16]. Expenses and Investments - Gross capital expenditures for fiscal 2025 are projected to be approximately $360-$395 million[16]. - Research and development expenses for fiscal 2025 are expected to be roughly $32 million[16]. - Research and development expenses increased to $9,440 in Q4 2024 from $8,987 in Q3 2024 and $8,689 in Q4 2023, indicating a focus on innovation[42]. - Selling, general and administrative expenses for North America Solutions decreased to $15,773 in Q4 2024 from $17,305 in Q3 2024, reflecting cost management efforts[42]. - The company incurred acquisition transaction costs of $10.5 million during the three months ended December 31, 2024[27]. - The company incurred acquisition transaction costs of $10,535 in Q4 2024, compared to $7,452 in Q3 2024[34]. Other Financial Metrics - Adjusted EBITDA for the first quarter was reported at $199 million[3]. - Adjusted EBITDA for Q4 2024 was $198,905, a decrease of 8.4% from $217,411 in Q3 2024 and an increase of 1.3% from $215,016 in Q4 2023[45]. - The company reported interest and dividend income of $21,741 in Q4 2024, an increase from $11,979 in Q3 2024[34]. - The company reported a significant interest expense of $22,298 in Q4 2024, up from $16,124 in Q3 2024, impacting overall profitability[45].

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Helmerich & Payne despite higher revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - Helmerich & Payne is expected to report quarterly earnings of $0.69 per share, reflecting a year-over-year decrease of 28.9%, while revenues are projected to be $691.43 million, an increase of 2.1% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised 8.31% higher in the last 30 days, indicating a positive reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that the Most Accurate Estimate is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +5.29%, indicating a likelihood of beating the consensus EPS estimate [10][11]. Historical Performance - In the last reported quarter, Helmerich & Payne had an expected EPS of $0.79 but reported $0.76, resulting in a surprise of -3.80%. Over the last four quarters, the company has beaten consensus EPS estimates three times [12][13]. Investment Considerations - While a potential earnings beat is a positive indicator, other factors may influence stock performance, making it essential to consider the broader context [14][16].

Helmerich & Payne, Inc. (HP) is set to release first-quarter earnings on Feb. 5, after the closing bell. The Zacks Consensus Estimate for earnings is pegged at 69 cents per share on revenues of $691.43 million.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Let us delve into the factors that might have influenced HP’s performance in the to-be-reported quarter. Before that, it is worth taking a look at the company’s performance in the last reported quarter. Highlights of HP’s Q4 Earnin ...

Acquisition Overview - Helmerich & Payne Inc (HP) has completed the acquisition of KCA Deutag International Limited, solidifying its position as a global leader in onshore drilling [1] - The acquisition is expected to enhance HP's global footprint, service capability, and technology offerings [1] - The deal was originally agreed upon in July 2024 for a consideration of $1 97 billion in cash [4] Strategic Benefits - The acquisition will provide HP with a robust geographic mix, accelerating its international growth strategy, particularly in the Middle East [3] - It will diversify HP's portfolio across the US and international crude oil and natural gas markets, enhancing operational scale and cash flow [3] - The deal is expected to generate approximately $25 million in synergies by 2026 [4] Integration and Future Outlook - HP is focusing on a seamless transition to deliver strategic and financial benefits, with integration meticulously planned by global teams [2] - The company will continue operations from its Oklahoma headquarters, with John Lindsay as president and CEO [5] - HP envisions near- and long-term growth driven by enhanced technological solutions and broader reach [5] Industry Context - HP is engaged in contract drilling of oil and gas wells in the US and internationally, currently holding a Zacks Rank 3 (Hold) [6] - Top-ranked energy sector stocks include ARC Resources Ltd (AETUF), Gulfport Energy Corporation (GPOR), and YPF Sociedad Anónima (YPF), each with a Zacks Rank 1 (Strong Buy) [7] - ARC Resources has an expected EPS growth rate of 50 78% for next year, significantly higher than the industry growth rate of 10 50% [8] - Gulfport Energy's 2024 earnings are expected to grow by 108 53% year-over-year [8] - YPF Sociedad Anónima's 2024 earnings are projected to grow by 50 59% year-over-year [9]

Helmerich & Payne (HP) has endured 12 tough months, with its shares dropping roughly 10%, starkly underperforming the broader energy sector's 4.3% gain and the S&P 500 Index’s impressive 28.5% surge.HP One-Year Stock Performance Image Source: Zacks Investment ResearchThis steep decline begs the question: where does this oil and gas drilling contractor stand now? Let’s dive deeper into HP’s performance, challenges, and future outlook to uncover what might be next for the company.Helmerich & Payne Disappoints ...

It has been about a month since the last earnings report for Helmerich & Payne (HP) . Shares have lost about 0.3% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Helmerich & Payne due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. Helmerich & Payne Q4 Earnings Miss, ...

Helmerich & Payne, Inc. (HP) reported a fourth-quarter fiscal 2024 adjusted net income of 76 cents per share, which missed the Zacks Consensus Estimate of 79 cents. The underperformance was due to weakness in the company's International Solutions and Gulf of Mexico segments.However, the bottom line topped the year-ago quarter’s reported figure of 69 cents per share. This was due to an improvement in the company's North America Solutions segment.Operating revenues of $693.8 million outpaced the Zacks Consens ...

Helmerich & Payne (HP) came out with quarterly earnings of $0.76 per share, missing the Zacks Consensus Estimate of $0.79 per share. This compares to earnings of $0.69 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -3.80%. A quarter ago, it was expected that this oil and gas well-drilling contractor would post earnings of $0.77 per share when it actually produced earnings of $0.92, delivering a surprise of 19.48%.Over the las ...

Helmerich & Payne (HP) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on November 13, 2024, might help the stock move higher if these key numbers are bett ...

Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? Helmerich & Payne (HP) , which belongs to the Zacks Oil and Gas - Drilling industry, could be a great candidate to consider. This oil and gas well-drilling contractor has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 10.33%. For the most recent q ...