Core Viewpoint - Helmerich & Payne reported strong Q3 FY2025 earnings with non-GAAP EPS of $0.22, exceeding expectations, but faced a net loss due to a significant goodwill impairment of $173 million in its international segment [1][5][9] Financial Performance - Revenue for Q3 FY2025 reached $1,040.9 million, a 49.3% increase from $697.7 million in Q3 FY2024 [2][5] - Adjusted EBITDA was $268.1 million, up 21.5% from $220.7 million in Q3 FY2024 [2][6] - Direct margin for North America Solutions was stable at $266.2 million, while International Solutions saw a substantial increase to $34.1 million from $2.5 million in Q3 FY2024 [2][5] - Offshore Solutions' direct margin nearly tripled to $22.8 million from $7.6 million in Q3 FY2024 [2][6] Business Overview and Strategy - Helmerich & Payne specializes in land-based drilling services, particularly with its advanced FlexRig® line, and operates through North America Solutions, International Solutions, and Offshore Solutions [3][4] - The company focuses on technological advancements and geographic expansion, particularly in Saudi Arabia and the Middle East [4] Key Developments - The quarter marked the first full period of the KCA Deutag acquisition, with management identifying approximately $50 million in annual cost savings from integration efforts [5][7] - The company maintained its quarterly dividend of $25 million and repaid $120 million in term loan debt, raising its full-year repayment target to $200 million [9][14] Outlook and Guidance - Management provided cautious guidance for future direct margins, expecting North America Solutions to see rig counts fall to 138–144 and direct margins between $230–$250 million [12][13] - International Solutions is forecasted to have direct margins in the $22–$32 million range, with ongoing uncertainties due to rig suspensions in Saudi Arabia [12][13]