Precision Drilling Corp. (TSE:PD)
TSX:PD
Earnings Data
Report Date
Apr 23, 2026Before Open (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
2.57Last Year’s EPS
2.2Same Quarter Last Year
Strong Buy
Based on 8 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call highlights disciplined capital allocation, strengthened balance sheet, resilient operating margins, executed share buybacks, growing U.S. activity and strong free cash flow and liquidity. These positives were partially offset by significant noncash Q4 charges for rig decommissioning and drill pipe, some international softness and ongoing cost pressures in the C&P division. Management provided constructive forward guidance for rig activity and margins, a clear deleveraging roadmap and capital-light international growth initiatives, while acknowledging short-term contract visibility risks in the U.S.Company Guidance
Adjusted EBITDA and Underlying Profitability
Q4 adjusted EBITDA of $126 million ($132M before share-based compensation) versus prior year $121 million, representing a ~4% increase in adjusted EBITDA year-over-year. Excluding one-time noncash charges, Q4 net income would have been +$42 million versus $15 million in Q4 2024 (an increase of ~180%).
Debt Reduction and Leverage Progress
Reduced debt by $101 million during 2025 and entered 2026 with a net debt-to-adjusted-EBITDA ratio of 1.2x, progressing toward the long-term target of <1.0x and providing increased financial flexibility.
Shareholder Returns Execution
Repurchased $76 million of shares in 2025, meeting the midpoint of guidance to allocate 35%–45% of free cash flow to buybacks; company plans to increase free cash flow allocated to shareholders up to 50% over time.
Strong Free Cash Flow and Liquidity
Generated strong free cash flow while reinvesting in rigs and digital technology; year-end cash increased to $86 million (up $12 million year-over-year) and total liquidity in excess of $445 million.
Rig Activity and Market Position
Canada: averaged 66 active rigs in Q4 (up 1 YoY) and peaked at 87 rigs in Q1 winter season; U.S.: averaged 37 active rigs in Q4 (up 3 YoY) and increased U.S. rig utilization from a low of 27 in February to 40 in the fall, exiting the year with 38 active rigs. Precision is the second most active driller in North America.
Day Rates and Operating Margins Resilience
Canada Q4 daily operating margin $14,132/day (within guidance); U.S. Q4 operating margin USD 8,754/day (stable sequentially). International day rates averaged USD 53,505/day, up 8% year-over-year (benefitting from prior-year nonbillable recertification days).
Capital Allocation Discipline
2025 capex of $263 million (sustaining & infrastructure $156M; upgrades $107M). 2026 budgeted capex $245 million (sustaining $182M; upgrades $63M) with activity-driven upgrade spend and long-lead purchasing to enable flexible allocation between maintenance and upgrades.
C&P and Service Hours Growth
Completion & Production (C&P) adjusted EBITDA of $17 million in Q4 versus $16 million prior year Q4, and a 6% increase in service hours for the division in 2025, with operational improvements addressing rising costs.
Balance Sheet Metrics and Cost of Debt
Average cost of debt ~6.6%, cash interest expense guidance ~$45 million for 2026, and depreciation expected at $305 million — demonstrating clear visibility on key financial drivers for 2026.
International and Expansion Initiatives
Active international footprint (7 rigs) with opportunities to reactivate idle rigs in the Middle East and an MOU in Argentina to support potential 1–3 rig deployments using local partner operations and Precision's rig/digital technology (capital-light, longer timeline).
TSE:PD Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
TSE:PD Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 11, 2026 | C$122.51 | C$113.10 | -7.68% |
Oct 22, 2025 | C$78.83 | C$82.26 | +4.35% |
Jul 29, 2025 | C$72.47 | C$77.45 | +6.87% |
Apr 23, 2025 | C$58.97 | C$59.78 | +1.37% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Precision Drilling Corp. (TSE:PD) report earnings?
Precision Drilling Corp. (TSE:PD) is schdueled to report earning on Apr 23, 2026, Before Open (Confirmed).
What is Precision Drilling Corp. (TSE:PD) earnings time?
Precision Drilling Corp. (TSE:PD) earnings time is at Apr 23, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
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What is TSE:PD EPS forecast?
TSE:PD EPS forecast for the fiscal quarter 2026 (Q1) is 2.57.