Precision Drilling First Quarter 2024 Earnings: Revenues Beat Expectations, EPS Lags

Precision Drilling (TSE:PD) First Quarter 2024 Results

Key Financial Results

• Revenue: CA$527.8m (down 5.5% from 1Q 2023).
• Net income: CA$36.5m (down 62% from 1Q 2023).
• Profit margin: 6.9% (down from 17% in 1Q 2023). The decrease in margin was primarily driven by higher expenses.
• EPS: CA$2.54 (down from CA$7.02 in 1Q 2023).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Precision Drilling Revenues Beat Expectations, EPS Falls Short

Revenue exceeded analyst estimates by 2.2%. Earnings per share (EPS) missed analyst estimates by 3.1%.

Looking ahead, revenue is forecast to grow 2.7% p.a. on average during the next 3 years, compared to a 12% decline forecast for the Energy Services industry in Canada.

Performance of the Canadian Energy Services industry.

The company's shares are up 11% from a week ago.

Risk Analysis

We should say that we've discovered 4 warning signs for Precision Drilling (1 is a bit unpleasant!) that you should be aware of before investing here.

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