| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 906.43 | 7.6% | 10.5% |
| Total Income | 906.43 | 7.6% | 10.5% |
| Expenditure | 969.28 | 10.0% | 0.5% |
| PBT | -46.56 | 44.4% | 204.8% |
| Net Profit | -58.61 | 39.4% | 3652.1% |
| OPM | -4.07% | 2.03pp | 8.24pp |
| NPM | -6.47% | 3.39pp | 6.63pp |
| EPS | -0.59 | 39.8% | 6000.0% |
Helmerich & Payne Announces Q2 FY26 Revenue of $932 Million and Adjusted EBITDA of $178 Million
07 May 2026 · 7 May, 2:03 am
Summary
Helmerich & Payne, Inc. announced its second fiscal quarter results, reporting consolidated revenue of $932 million, an 8.24% decrease year-over-year, and a consolidated net loss of $(59) million, or $(0.59) per share. Adjusted for non-recurring items, the company's adjusted net loss was $(38) million, or $(0.38) per share, with adjusted EBITDA totaling $178 million. Despite a dynamic macro environment and an operating loss in International Solutions due to the Middle East conflict, the North America Solutions segment showed strong performance, and the company made significant progress on deleveraging by selling Utica Square and retiring $400 million in debt. Management expressed optimism for improving activity in North America and continued strategic value from Offshore Solutions.
Key Highlights
- 1
Helmerich & Payne, Inc. reported consolidated revenue of $932 million for the second fiscal quarter ended March 31, 2026, representing an 8.24% decrease year-over-year.
- 2
The company posted a consolidated net loss of $(59) million, or $(0.59) per share, for Q2 FY26, which includes a non-cash impairment charge of $26 million.
- 3
Adjusted for non-recurring items, the adjusted net loss for the quarter was $(38) million, or $(0.38) per share.
- 4
Consolidated adjusted EBITDA for the second fiscal quarter totaled $178 million, marking a 26.34% decline compared to the same period last year.
- 5
The North America Solutions segment delivered an operating income of $111 million and maintained an industry-leading direct margin of $215 million.
- 6
Helmerich & Payne successfully completed the sale of Utica Square, with after-tax proceeds exceeding its $100 million target, and retired $400 million of post-acquisition debt ahead of schedule.
- 7
The Offshore Solutions segment secured a significant five-year contract renewal with bp in the Caspian Sea, with potential revenue exceeding $1 billion if all extension options are exercised.
Management Comments
Trey Adams
H&P delivered solid operational performance during the second quarter, reflecting the resilience of our core business and the disciplined execution of our teams. Regarding the conflict in the Middle East, our primary focus has been on the safety and security of our people in the region. I am pleased to report that our teams have remained focused and safe. We continue to closely monitor developments in the region and despite a fluid environment, our team has done an exceptional job in maintaining continuity of operations, including the planned reactivation of rigs in the region, supported by strong local leadership and the dedication of our people in the region. Turning our attention to the current macro environment, the Middle East conflict has exposed the fragility of the energy complex, and we believe has fundamentally changed the outlook for oil and gas within a matter of months. As a result, customer sentiment in our North America Solutions segment continues to show signs of improvement and we remain optimistic that current crude prices will translate into higher activity. Additionally, we are very encouraged to be advancing the rollout of our FlexRobotics™ Technology to four additional rigs. The uptick in Middle East activity that was underway prior to the conflict is now less well defined. Despite that uncertainty, we continue to have constructive dialogue with our partners in the region and remain optimistic that more rigs could go back to work this year. Our Offshore Solutions segment continues to demonstrate its strategic value, supported by long‑term contracts that provide earnings stability through market cycles. We are seeing strong momentum in multi‑year extensions, highlighted by a recent five‑year renewal with bp in the Caspian Sea. As Kevin Vann prepares to depart the organization, I want to express that it has been an honor to work with him. The stability provided during the KCA Deutag transaction, as well as his substantial contributions to our financial function and balance sheet, have been invaluable. Everyone at H&P sincerely appreciates your service and extends their best wishes for your retirement. I am excited to work with Todd Scruggs on navigating the company through this next chapter, energized by the opportunities ahead and the strength of the team advancing our strategy. With a customer‑centric focus, technology leadership and accelerating Western and Eastern Hemisphere growth, we are well positioned to deliver durable, long‑term value for all stakeholders.
Kevin Vann
We were also pleased to announce the closing of the sale of Utica Square, with after‑tax proceeds exceeding our previously communicated $100 million divestiture target. This enabled the retirement of the remaining term‑loan balance, ahead of schedule. This transaction accelerates deleveraging plans and sharpens our focus on core drilling solutions. Our next priority is addressing the $350 million bond maturing in calendar 2027, supported by strong free cash flow generation and the improving North American market environment.
Informational and educational content only. Not investment advice.