/
Organization and Overview RPC is a Delaware corporation originally organized in 1984 as a holding company for several OFS companies and is headquartered in Atlanta, Georgia. RPC provides a broad range of specialized oilfield services and equipment primarily to independent and major oil and gas companies engaged in the exploration, production and development of oil and gas properties throughout …
Operating margin is thin at 2.75%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue grew 15.0%, still solid. Margins contracted 4.1pp, which offsets some of the top-line progress.
Free cash flow declined 59% versus the prior year, cash generation momentum has weakened. ROIC dropped from 7.06% to 3.14%, capital efficiency is deteriorating.
Profitability & Returns
Revenue (TTM)
$1.75B
▲ +15.0% YoY
Net Income (TTM)
$21M
▼ -64.9% YoY
Op. Margin
2.00%
▼ -4.1pp YoY
ROIC
2.42%
▼ -3.9pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$44M
▼ -59.1% YoY
Op. Cash Flow (TTM)
$193M
▼ -42.4% YoY
Net Debt
-$157M
Net Cash Position
Cash & Equiv.
$201M
5Y CAGR: +22.1%
5Y CAGR: +32.6%
Continue Research