Delaware
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1-8726
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58-1550825
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(State or Other Jurisdiction
of Incorporation)
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(Commission File Number)
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(IRS Employer
Identification No.)
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
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o
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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o
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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o
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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o
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Item 2.02
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Results of Operations and Financial Condition.
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Item 9.01
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Financial Statements and Exhibits.
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RPC, Inc. | |||
Date: October 24, 2012
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/s/ Ben M. Palmer | |
Ben M. Palmer | |||
Vice President,
Chief Financial Officer and Treasurer
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Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
2012
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2011
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2012
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2011
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|||||||||||||
(in thousands) | ||||||||||||||||
Revenues:
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||||||||||||||||
Technical services
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$ | 436,056 | $ | 463,685 | $ | 1,359,220 | $ | 1,219,823 | ||||||||
Support services
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36,362 | 38,550 | 115,861 | 107,202 | ||||||||||||
Total revenues
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$ | 472,418 | $ | 502,235 | $ | 1,475,081 | $ | 1,327,025 | ||||||||
Operating Profit:
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||||||||||||||||
Technical services
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$ | 98,708 | $ | 127,877 | $ | 334,610 | $ | 337,302 | ||||||||
Support services
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10,004 | 14,121 | 36,532 | 37,210 | ||||||||||||
Corporate expenses
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(4,793 | ) | (3,365 | ) | (13,200 | ) | (11,775 | ) | ||||||||
Loss on disposition of assets, net
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1,551 | 4,179 | 4,859 | 2,690 | ||||||||||||
Total operating profit
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$ | 102,368 | $ | 134,454 | $ | 353,083 | $ | 360,047 | ||||||||
Other Income/(Expense), net
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1,104 | (906 | ) | 1,144 | (582 | ) | ||||||||||
Interest Expense
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(441 | ) | (887 | ) | (1,687 | ) | (2,964 | ) | ||||||||
Interest Income
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16 | 9 | 25 | 16 | ||||||||||||
Income before income taxes
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$ | 103,047 | $ | 132,670 | $ | 352,565 | $ | 356,517 |
RPC INCORPORATED AND SUBSIDIARIES
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||||||||||||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands except per share data)
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||||||||||||||||||||||||
Periods ended September 30, (Unaudited)
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Third Quarter
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Nine Months
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||||||||||||||||||||||
2012
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2011
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% BETTER
(WORSE)
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2012
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2011
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% BETTER
(WORSE)
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|||||||||||||||||||
REVENUES
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$ | 472,418 | $ | 502,235 | (5.9 | )% | $ | 1,475,081 | $ | 1,327,025 | 11.2 | % | ||||||||||||
COSTS AND EXPENSES:
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||||||||||||||||||||||||
Cost of revenues
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271,401 | 279,936 | 3.0 | 826,479 | 724,179 | (14.1 | ) | |||||||||||||||||
Selling, general and administrative expenses
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43,016 | 37,190 | (15.7 | ) | 131,058 | 109,203 | (20.0 | ) | ||||||||||||||||
Depreciation and amortization
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54,082 | 46,476 | (16.4 | ) | 159,602 | 130,906 | (21.9 | ) | ||||||||||||||||
Loss on disposition of assets, net
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1,551 | 4,179 | 62.9 | 4,859 | 2,690 | (80.6 | ) | |||||||||||||||||
Operating profit
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102,368 | 134,454 | (23.9 | ) | 353,083 | 360,047 | (1.9 | ) | ||||||||||||||||
Interest expense
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(441 | ) | (887 | ) | 50.3 | (1,687 | ) | (2,964 | ) | 43.1 | ||||||||||||||
Interest income
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16 | 9 | 77.8 | 25 | 16 | 56.3 | ||||||||||||||||||
Other income (expense), net
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1,104 | (906 | ) | N/M | 1,144 | (582 | ) | N/M | ||||||||||||||||
Income before income taxes
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103,047 | 132,670 | (22.3 | ) | 352,565 | 356,517 | (1.1 | ) | ||||||||||||||||
Income tax provision
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37,007 | 49,559 | 25.3 | 133,510 | 134,717 | 0.9 | ||||||||||||||||||
NET INCOME
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$ | 66,040 | $ | 83,111 | (20.5 | )% | $ | 219,055 | $ | 221,800 | (1.2 | )% | ||||||||||||
EARNINGS PER SHARE
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||||||||||||||||||||||||
Basic
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$ | 0.31 | $ | 0.38 | (18.4 | )% | $ | 1.02 | $ | 1.02 | 0.0 | % | ||||||||||||
Diluted
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$ | 0.30 | $ | 0.38 | (21.1 | )% | $ | 1.01 | $ | 1.01 | 0.0 | % | ||||||||||||
AVERAGE SHARES OUTSTANDING
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Basic
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215,151 | 217,910 | 215,211 | 217,752 | ||||||||||||||||||||
Diluted
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216,645 | 220,299 | 216,819 | 220,433 | ||||||||||||||||||||
RPC INCORPORATED AND SUBSIDIARIES
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||||||||
CONSOLIDATED BALANCE SHEETS
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||||||||
At September 30, (Unaudited)
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(In thousands)
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|||||||
2012
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2011
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ASSETS
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Cash and cash equivalents
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$ | 11,142 | $ | 6,970 | ||||
Accounts receivable, net
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378,156 | 437,257 | ||||||
Inventories
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142,558 | 93,136 | ||||||
Deferred income taxes
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6,357 | 8,037 | ||||||
Income taxes receivable
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3,103 | 2,374 | ||||||
Prepaid expenses
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5,125 | 3,758 | ||||||
Other current assets
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11,063 | 13,761 | ||||||
Total current assets
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557,504 | 565,293 | ||||||
Property, plant and equipment, net
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760,114 | 612,724 | ||||||
Goodwill
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24,093 | 24,093 | ||||||
Other assets
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16,435 | 11,921 | ||||||
Total assets
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$ | 1,358,146 | $ | 1,214,031 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY
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Accounts payable
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$ | 114,094 | $ | 139,508 | ||||
Accrued payroll and related expenses
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33,444 | 28,078 | ||||||
Accrued insurance expenses
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6,353 | 6,041 | ||||||
Accrued state, local and other taxes
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11,315 | 6,139 | ||||||
Income taxes payable
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1,553 | 3,985 | ||||||
Other accrued expenses
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202 | 1,324 | ||||||
Total current liabilities
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166,961 | 185,075 | ||||||
Long-term accrued insurance expenses
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10,791 | 8,889 | ||||||
Notes payable to banks
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83,700 | 140,800 | ||||||
Long-term pension liabilities
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22,573 | 18,431 | ||||||
Other long-term liabilities
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3,545 | 2,926 | ||||||
Deferred income taxes
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162,623 | 139,082 | ||||||
Total liabilities
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450,193 | 495,203 | ||||||
Common stock
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21,972 | 22,247 | ||||||
Capital in excess of par value
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- | - | ||||||
Retained earnings
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898,232 | 706,121 | ||||||
Accumulated other comprehensive loss
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(12,251 | ) | (9,540 | ) | ||||
Total stockholders' equity
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907,953 | 718,828 | ||||||
Total liabilities and stockholders' equity
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$ | 1,358,146 | $ | 1,214,031 | ||||
Periods ended September 30, (Unaudited)
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Third Quarter
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% BETTER |
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Nine Months
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% BETTER |
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||||||||||||||||||
2012 | 2011 | (WORSE) | 2012 | 2011 | (WORSE) | |||||||||||||||||||
Reconciliation of Net Income to EBITDA
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||||||||||||||||||||||||
Net Income
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$ | 66,040 | $ | 83,111 | (20.5 | )% | $ | 219,055 | $ | 221,800 | (1.2 | )% | ||||||||||||
Add:
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Income tax provision
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37,007 | 49,559 | 25.3 | 133,510 | 134,717 | 0.9 | ||||||||||||||||||
Interest expense
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441 | 887 | 50.3 | 1,687 | 2,964 | 43.1 | ||||||||||||||||||
Depreciation and amortization
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54,082 | 46,476 | (16.4 | ) | 159,602 | 130,906 | (21.9 | ) | ||||||||||||||||
Less:
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Interest income
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16 | 9 | 77.8 | 25 | 16 | 56.3 | ||||||||||||||||||
EBITDA
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$ | 157,554 | $ | 180,024 | (12.5 | )% | $ | 513,829 | $ | 490,371 | 4.8 | % | ||||||||||||
EBITDA PER SHARE
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||||||||||||||||||||||||
Basic
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$ | 0.73 | $ | 0.83 | (12.0 | )% | $ | 2.39 | $ | 2.25 | 6.2 | % | ||||||||||||
Diluted
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$ | 0.73 | $ | 0.82 | (11.0 | )% | $ | 2.37 | $ | 2.22 | 6.8 | % |