-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, AQwH5xtcsxNw4cRybfydbG6LOIEOKMwMtgoN9Va3YaFHU0GB4zQ00mt7zh7eTRzD H6SQ70RSE3SgmeOkeUrwBQ== 0000912057-97-014435.txt : 19970430 0000912057-97-014435.hdr.sgml : 19970430 ACCESSION NUMBER: 0000912057-97-014435 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19970331 FILED AS OF DATE: 19970429 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: RPC INC CENTRAL INDEX KEY: 0000742278 STANDARD INDUSTRIAL CLASSIFICATION: SHIP & BOAT BUILDING & REPAIRING [3730] IRS NUMBER: 581550825 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-08726 FILM NUMBER: 97589387 BUSINESS ADDRESS: STREET 1: 2170 PIEDMONT RD NE CITY: ATLANTA STATE: GA ZIP: 30324 BUSINESS PHONE: 4048882950 MAIL ADDRESS: STREET 1: 2170 PIEDMONT ROAD CITY: ATLANTA STATE: GA ZIP: 30324 FORMER COMPANY: FORMER CONFORMED NAME: RPC ENERGY SERVICES INC DATE OF NAME CHANGE: 19920703 10-Q 1 FORM 10-Q SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q /X/ Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 FOR THE QUARTERLY PERIOD ENDED MARCH 31, 1997 / / Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Commission File No. 1-8726 RPC, INC. DELAWARE 58-1550825 (State of Incorporation) (I.R.S. Employer Identification Number) 2170 Piedmont Road, NE, Atlanta, Georgia 30324 Telephone Number -- (404) 888-2950 Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No --- --- As of March 31, 1997, RPC, Inc. had 14,701,038 shares of common stock outstanding (excluding 78,253 treasury shares). 1 of 9 RPC, INC. AND SUBSIDIARIES PART I. FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 1997, AND DECEMBER 31, 1996 (In thousands except share information)
MARCH 31, December 31, 1997 1996 (UNAUDITED) (Audited) - --------------------------------------------------------------------------------------------- ASSETS Cash and cash equivalents $15,669 $13,124 Marketable securities 13,842 8,149 Accounts receivable, net of allowance for doubtful accounts of $6,251 and $7,058, respectively 27,412 24,156 Inventories, at lower of cost or market 15,464 15,427 Deferred income taxes 6,876 7,623 Prepaid expenses and other current assets 1,957 1,663 - --------------------------------------------------------------------------------------------- Current assets 81,220 70,142 - --------------------------------------------------------------------------------------------- Equipment and property, net 50,279 47,791 Marketable securities 18,966 25,071 Goodwill, net 7,906 8,105 Deferred income taxes 208 86 Other assets 1,199 1,605 - --------------------------------------------------------------------------------------------- TOTAL ASSETS $159,778 $152,800 - --------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------------------------- LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable $6,462 $6,756 Accrued payroll and related expenses 5,292 4,541 Accrued insurance expenses 6,359 6,679 Accrued state, local and other taxes 3,569 3,211 Federal income taxes payable 1,589 88 Accrued discounts 1,005 786 Other accrued expenses 9,335 8,889 - --------------------------------------------------------------------------------------------- Current liabilities 33,611 30,950 - --------------------------------------------------------------------------------------------- Long-term accrued insurance expenses 3,606 3,551 Long-term debt 300 500 - --------------------------------------------------------------------------------------------- Total liabilities 37,517 35,001 - --------------------------------------------------------------------------------------------- Commitments and contingencies - --------------------------------------------------------------------------------------------- Common stock 1,478 1,471 Capital in excess of par value 35,528 35,176 Earnings retained 85,708 81,555 Common stock in treasury, at cost, 78,253 shares and 74,953 shares, respectively (453) (403) - --------------------------------------------------------------------------------------------- Total stockholders' equity 122,261 117,799 - --------------------------------------------------------------------------------------------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $159,778 $152,800 - --------------------------------------------------------------------------------------------- - ---------------------------------------------------------------------------------------------
2 of 9 RPC, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME FOR THE THREE MONTHS ENDED MARCH 31, 1997, AND 1996 (In thousands except share and per share data) (Unaudited) Three months ended March 31, ---------------------------- 1997 1996 - ----------------------------------------------------------------------------- REVENUE $58,203 $49,717 - ----------------------------------------------------------------------------- Cost of goods sold 22,414 20,830 Operating expenses 26,946 22,068 Depreciation and amortization 2,778 2,032 Interest income (508) (438) - ----------------------------------------------------------------------------- Income before income taxes 6,573 5,225 Income tax provision 2,266 1,775 - ----------------------------------------------------------------------------- NET INCOME $4,307 $3,450 - ----------------------------------------------------------------------------- - ----------------------------------------------------------------------------- EARNINGS PER SHARE $0.29 $0.24 - ----------------------------------------------------------------------------- Average shares outstanding 14,663,800 14,544,688 - ----------------------------------------------------------------------------- 3 of 9 RPC, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE THREE MONTHS ENDED MARCH 31, 1997, and 1996 (In thousands) (Unaudited) Three months ended March 31, ---------------------------- 1997 1996 - ----------------------------------------------------------------------------- CASH FLOWS FROM OPERATING ACTIVITIES $6,677 $3,767 - ----------------------------------------------------------------------------- CASH FLOWS FROM INVESTING ACTIVITIES Capital expenditures (5,240) (5,530) Proceeds from sale of equipment and property 683 754 Net sale (purchase) of marketable securities 412 (270) Other (120) (447) - ----------------------------------------------------------------------------- Net cash (used for) investing activities (4,265) (5,493) - ----------------------------------------------------------------------------- CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from exercise of stock options 133 0 - ----------------------------------------------------------------------------- Net cash provided by financing activities 133 0 - ----------------------------------------------------------------------------- Net increase (decrease) in cash and cash equivalents 2,545 (1,726) Cash and cash equivalents at beginning of period 13,124 18,126 - ----------------------------------------------------------------------------- Cash and cash equivalents at end of period $15,669 $16,400 - ----------------------------------------------------------------------------- - ----------------------------------------------------------------------------- 4 of 9 RPC, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. The consolidated financial statements included herein have been prepared by the Registrant, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. These consolidated financial statements should be read in conjunction with the financial statements and related notes contained in the Registrant's annual report on Form 10-K for the fiscal year ended December 31, 1996. In the opinion of management, the consolidated financial statements included herein contain all adjustments necessary to present fairly the financial position of the Registrant as of March 31, 1997, the results of operations and the changes in cash flows for the three months then ended. 2. Earnings per share are computed by dividing net income by the weighted average number of shares outstanding during the respective periods. 3. The results of operations for the quarter ended March 31, 1997 are not necessarily indicative of the results to be expected for the full year. 5 of 9 RPC, INC. AND SUBSIDIARIES ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION THREE MONTHS ENDED MARCH 31, 1997 COMPARED TO THREE MONTHS ENDED MARCH 31, 1996 Revenue for the first quarter ended March 31, 1997 was $58,203,000 compared with $49,717,000 for the quarter ended March 31, 1996 and $53,970,000 for the previous quarter ended December 31, 1996. Revenue for the quarter ended March 31, 1997 increased $8,486,000 or 17% from the same period one year ago and increased $4,233,000 or 8% from the quarter ended December 31, 1996. The oil and gas services segment revenue of $29,974,000 increased 32% from last year's first quarter primarily due to a higher level of oil and gas exploration and production activities and expansion of international operations. The oil and gas services segment revenue decreased 1% from the quarter ended December 31, 1996. The power boat manufacturing segment revenue for the quarter ended March 31, 1997 of $24,935,000 increased 8% from last year's first quarter of $23,165,000 as the result, we believe, of an increase in Chaparral's market share. The power boat manufacturing segment revenue increased 21% from the quarter ended December 31, 1996 as a result of a normal seasonal upturn. Net income for the quarter ended March 31, 1997 was $4,307,000 or 29 cents per share compared to net income of $3,450,000 or 24 cents per share for the quarter ended March 31, 1996 and net income of $3,831,000 or 26 cents per share for the quarter ended December 31, 1996. The increase in earnings from the same period one year ago was due to the revenue increase for both business segments as well as improved margins for the oil and gas services segment. 6 of 9 RPC, INC. AND SUBSIDIARIES ITEM 2. CONT'D FINANCIAL CONDITION The Registrant's current ratio remained strong as of March 31, 1997 with current assets of $81,220,000 exceeding current liabilities of $33,611,000 by a ratio of 2.4-to-1. This compares to a current ratio of 2.3-to-1 at December 31, 1996. Capital expenditures during the first three months of $5,240,000 were primarily for revenue-producing equipment in the oil and gas services segment. The remainder was spent on various purchases for the other business segments. Funding for future capital requirements will be provided from operations. 7 of 9 RPC, INC. AND SUBSIDIARIES PART II. OTHER INFORMATION ITEM 4. Submission of Matters to a Vote of Security Holders (a) The Annual Meeting of Shareholders was held on April 22, 1997. ITEM 6. Exhibits and Reports on Form 8-K (a) Exhibits Exhibit 27 - Financial Data Schedule (b) Reports on Form 8-K No reports on Form 8-K were filed or required to be filed during the quarter ended March 31, 1997. 8 of 9 SIGNATURES Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. RPC, INC. /s/ Richard A. Hubbell ---------------------- Date: April 25, 1997 Richard A. Hubbell President and Chief Operating Officer /s/ Ben M. Palmer ---------------------- Date: April 25, 1997 Ben M. Palmer Treasurer and Chief Financial Officer 9 of 9 EX-27 2 EXHIBIT 27 FINANCIAL DATA SCHEDULE
5 1,000 3-MOS DEC-31-1996 JAN-01-1997 MAR-31-1997 15,669 13,842 33,663 6,251 15,464 81,220 197,237 146,958 159,778 33,611 300 0 0 1,478 120,783 159,778 0 58,203 22,414 49,360 2,778 0 0 6,573 2,266 4,307 0 0 0 4,307 0.29 0.29
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