Delaware
|
1-8726
|
58-1550825
|
(State or Other Jurisdiction
of Incorporation)
|
(Commission File Number)
|
(IRS Employer
Identification No.)
|
o
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
o
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
o
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
o
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
-2- |
RPC, Inc. | |||
Date: October 29, 2014
|
|
/s/ Ben M. Palmer | |
Ben M. Palmer | |||
Vice President, | |||
Chief Financial Officer and Treasurer | |||
-3- |
(in thousands)
|
Three Months Ended September 30
|
Nine Months Ended September 30 | ||||||||||||||
2014
|
2013
|
2014
|
2013
|
|||||||||||||
Revenues:
|
||||||||||||||||
Technical services
|
$ | 576,908 | $ | 458,168 | $ | 1,588,270 | $ | 1,276,209 | ||||||||
Support services
|
43,776 | 32,953 | 116,937 | 98,299 | ||||||||||||
Total revenues
|
$ | 620,684 | $ | 491,121 | $ | 1,705,207 | $ | 1,374,508 | ||||||||
Operating Profit:
|
||||||||||||||||
Technical services
|
$ | 102,849 | $ | 86,183 | $ | 267,462 | $ | 210,807 | ||||||||
Support services
|
14,735 | 6,022 | 31,190 | 19,361 | ||||||||||||
Corporate expenses
|
(3,239 | ) | (5,098 | ) | (12,407 | ) | (13,592 | ) | ||||||||
Loss on disposition of assets, net
|
(7,684 | ) | (1,268 | ) | (11,321 | ) | (5,665 | ) | ||||||||
Total operating profit
|
$ | 106,661 | $ | 85,839 | $ | 274,924 | $ | 210,911 | ||||||||
Interest Expense
|
(456 | ) | (283 | ) | (842 | ) | (1,565 | ) | ||||||||
Interest Income
|
4 | 8 | 14 | 73 | ||||||||||||
Other (Expense) Income, net
|
(454 | ) | 1,279 | 457 | 1,643 | |||||||||||
Income before income taxes
|
$ | 105,755 | $ | 86,843 | $ | 274,553 | $ | 211,062 |
Ben M. Palmer
|
|
Chief Financial Officer
|
|
(404) 321-2140
|
|
irdept@rpc.net
|
|
Jim Landers
|
|
Vice President, Corporate Finance
|
|
(404) 321-2162
|
|
jlanders@rpc.net
|
CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands except per share data)
|
||||||||||||||||||||
Periods ended, (Unaudited)
|
Three Months Ended
|
Nine Months Ended
|
||||||||||||||||||
September 30, 2014
|
June 30,
2014 |
September 30, 2013
|
2014
|
2013
|
||||||||||||||||
REVENUES
|
$ | 620,684 | $ | 582,831 | $ | 491,121 | $ | 1,705,207 | $ | 1,374,508 | ||||||||||
COSTS AND EXPENSES:
|
||||||||||||||||||||
Cost of revenues
|
398,306 | 374,275 | 303,707 | 1,102,596 | 859,512 | |||||||||||||||
Selling, general and administrative expenses
|
50,814 | 47,603 | 47,096 | 147,125 | 139,621 | |||||||||||||||
Depreciation and amortization
|
57,219 | 56,517 | 53,211 | 169,241 | 158,799 | |||||||||||||||
Loss on disposition of assets, net
|
7,684 | 1,405 | 1,268 | 11,321 | 5,665 | |||||||||||||||
Operating profit
|
106,661 | 103,031 | 85,839 | 274,924 | 210,911 | |||||||||||||||
Interest expense
|
(456 | ) | (49 | ) | (283 | ) | (842 | ) | (1,565 | ) | ||||||||||
Interest income
|
4 | 6 | 8 | 14 | 73 | |||||||||||||||
Other (expense) income, net
|
(454 | ) | 831 | 1,279 | 457 | 1,643 | ||||||||||||||
Income before income taxes
|
105,755 | 103,819 | 86,843 | 274,553 | 211,062 | |||||||||||||||
Income tax provision
|
40,870 | 40,536 | 33,083 | 106,997 | 81,810 | |||||||||||||||
NET INCOME
|
$ | 64,885 | $ | 63,283 | $ | 53,760 | $ | 167,556 | $ | 129,252 | ||||||||||
EARNINGS PER SHARE
|
||||||||||||||||||||
Basic
|
$ | 0.30 | $ | 0.29 | $ | 0.25 | $ | 0.78 | $ | 0.60 | ||||||||||
Diluted
|
$ | 0.30 | $ | 0.29 | $ | 0.25 | $ | 0.77 | $ | 0.60 | ||||||||||
AVERAGE SHARES OUTSTANDING
|
||||||||||||||||||||
Basic
|
215,202 | 215,224 | 215,068 | 215,200 | 215,715 | |||||||||||||||
Diluted
|
216,334 | 216,238 | 216,142 | 216,316 | 216,862 |
CONSOLIDATED BALANCE SHEETS
|
||||||||
At September 30, (Unaudited)
|
(In thousands)
|
|||||||
2014
|
2013
|
|||||||
ASSETS
|
||||||||
Cash and cash equivalents
|
$ | 8,522 | $ | 22,937 | ||||
Accounts receivable, net
|
591,585 | 390,008 | ||||||
Inventories
|
153,948 | 128,203 | ||||||
Deferred income taxes
|
10,851 | 7,171 | ||||||
Income taxes receivable
|
11,081 | 15,088 | ||||||
Prepaid expenses
|
5,507 | 5,116 | ||||||
Other current assets
|
3,562 | 3,406 | ||||||
Total current assets
|
785,056 | 571,929 | ||||||
Property, plant and equipment, net
|
775,714 | 736,829 | ||||||
Goodwill
|
32,150 | 24,093 | ||||||
Other assets
|
23,113 | 19,478 | ||||||
Total assets
|
$ | 1,616,033 | $ | 1,352,329 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||
Accounts payable
|
$ | 182,123 | $ | 116,318 | ||||
Accrued payroll and related expenses
|
41,446 | 33,326 | ||||||
Accrued insurance expenses
|
5,526 | 5,880 | ||||||
Accrued state, local and other taxes
|
10,609 | 8,862 | ||||||
Income taxes payable
|
558 | 168 | ||||||
Other accrued expenses
|
1,214 | 1,184 | ||||||
Total current liabilities
|
241,476 | 165,738 | ||||||
Long-term accrued insurance expenses
|
10,082 | 10,989 | ||||||
Notes payable to banks
|
152,000 | 51,400 | ||||||
Long-term pension liabilities
|
22,786 | 28,076 | ||||||
Other long-term liabilities
|
14,285 | 3,140 | ||||||
Deferred income taxes
|
114,459 | 146,035 | ||||||
Total liabilities
|
555,088 | 405,378 | ||||||
Common stock
|
21,860 | 21,904 | ||||||
Capital in excess of par value
|
- | - | ||||||
Retained earnings
|
1,049,636 | 939,336 | ||||||
Accumulated other comprehensive loss
|
(10,551 | ) | (14,289 | ) | ||||
Total stockholders’ equity
|
1,060,945 | 946,951 | ||||||
Total liabilities and stockholders’ equity
|
$ | 1,616,033 | $ | 1,352,329 |
Periods ended, (Unaudited)
|
Three Months Ended
|
Nine Months Ended
|
||||||||||||||||||
(in thousands except per share data)
|
September 30, 2014
|
June 30,
2014 |
September 30, 2013
|
2014
|
2013
|
|||||||||||||||
Reconciliation of Net Income to EBITDA
|
||||||||||||||||||||
Net Income
|
$ | 64,885 | $ | 63,283 | $ | 53,760 | $ | 167,556 | $ | 129,252 | ||||||||||
Add:
|
||||||||||||||||||||
Income tax provision
|
40,870 | 40,536 | 33,083 | 106,997 | 81,810 | |||||||||||||||
Interest expense
|
456 | 49 | 283 | 842 | 1,565 | |||||||||||||||
Depreciation and amortization
|
57,219 | 56,517 | 53,211 | 169,241 | 158,799 | |||||||||||||||
Less:
|
||||||||||||||||||||
Interest income
|
4 | 6 | 8 | 14 | 73 | |||||||||||||||
EBITDA
|
$ | 163,426 | $ | 160,379 | $ | 140,329 | $ | 444,622 | $ | 371,353 | ||||||||||
EBITDA PER SHARE
|
||||||||||||||||||||
Basic
|
$ | 0.76 | $ | 0.75 | $ | 0.65 | $ | 2.07 | $ | 1.72 | ||||||||||
Diluted
|
$ | 0.76 | $ | 0.74 | $ | 0.65 | $ | 2.06 | $ | 1.71 |
:F0PX1YW)8#F)JUQ2NI+J72O%$CU=-ZD'YZ!U1`X>YO#EMTV5$641C]$ M7&SLLY..LTFX:AT'5C,X':O5!9&7+N,58@F2'W0.-I6O^K/">GBWK?V8Y1Y& MI?:;+<9VU^K_`+1D0I=@I>R8'`\@!/AY?!:[_,U>([\NODF[EW, M]L*WN\_>"/[$M[Y+9?Z?ZO=BTOG[%IWOOOC5_A[7WC6YY7)2P'LGKIJ?)4L2 MEUY@20I$"-!;HI)I"9!,H$!,QRE`XAA"X=NVP!T1#2TR^3CXEFL^?*WY;9N0 M5%#7;1N*6\=E@V?W8-$Y6AF3V>J),$9R53*BDS`0,9NW*.(0.(7AC.:Z\`W7 M6#.'>4^^VI_UJ/[LG8%G8#6=UGU-G83L*3GEUHG`5([0H)I%.0@`!2GRRE$P M;-PC8`JP.K3JB9AIH9J%5RB1TD'[1!DP$P7"HD1R0[@X>3L`M_AL"5L#R[G@ MQ?\`5DX/,/2ACU^S\7SN(F+#Y67B]R^P;@`+K!TJF("B(&$`.8PX0'>/-&^Z MP8NJ3VCE?VQ?_NFMUU'PQ^R!9\I,2@*G-*4>I3KH^)]3[AO+1!A':**"Q3+) MA_P%$WN#R6F[='X\XRZ91Q+ WT-O5>O$Z3IHZJ!@&5?7HQQ.$#"'.5$ M.(@?VW6G:6M-N?'2&WL71ABR@ `Q> M`0X2B&P0X0L'T.TEU+BM0J1;3;.Y-T7Y&29@-XH."ASB\>$WC$'BL&+>\I]] MM3_K4/W9.P+.P:ZB^Y=1CR-:.SS\B47"*:IB@5"X!.0#"` 4CY4,J\.--(J8&\`WV!HSE+1 K:+`&QPCEUP"[IBC J]5SII%6#53;I MD*@R;"JB.6D4-WC^,8=HC;%JW4U8<1EXONZJRR?&`]_1K4S_`.(I]8C_`-=M MF-^GU8O\V?H.]%]/*S@*S%_+QIFK06JJ>:)TS<\PEN"XIA';=;1_H;5>=?&, M\SRV=6C+'/F8!'>2T8U*J[4Q27I^',]CA9MT@7!5$@8R`;$%QSE'9?Q6BJ)6 M_AGULN]FS_7M_M+!JFMM)%*QT3C*:=H@A4$9'MC,#&$HY3Q!`I3)B8+PPGN$ MAORV#*WX9];/Y;/]>W^TL#"T4T_U[TYJ]*0"G%589WA1F&95VXXTK]BA0S/' M3OO+[H<-@CZX:%:J5)JE.S4-!G=1KQ1(S=<%428@*@0H\TQRF"XQ1#=8`7\, M^MEP_P"VS_7M_M+!O:$;K-X9@W6+@61;(IJ%WW&*0`$-G+8)M]@\L"\U;T3I M74E@0)`!9S#8HE92R(`*A`WX%`'SB?DCNX!"P9-J[NMZM0"Y^BQP3C(!'`YC MS` XULE$-7@9E>_[/;O2P2C3('`+D M6XF%R+O#A#"YN2P8^6ZP&6FVK[VL)9LP=PH1BHSD012$ &2O,F`>>Q9BJ8E4V)X0,&T;`3:QU=4$5*4Y#1\D M$"QF#.Q>3F!$QBF;(YB35(SBY`BBYM@&/8!"'[P\@SII@+EGVF]RI%9Q(22K M>-(NE&B4#9`I"X254,)\(`0>=<(V`VI/6`T_6:-.J1R;)-TQ3>M5S.,Q143- MTUU"E(0@E`$\W".,X&X;K`)R&K,S3^I\XE+R!I"&;I/3QD5%BU6(!6+;.43= M%ZTBL`@/.'F#NL%E'Z]3+UE'Y-+XY*3DDXUHCTHI$3Y[4SDA\TQ+PP@6XX"7 ME"^P1JJUMF2LJHATXI:,FJ=:NEY5TBJ4P-B$%,&BB)E$Q(ITG,$0`0V``V"4 MIKZ=",DWA(DBY&+]*(;)BZ+TH[DY\LRKE`J8F01$=I3;<7`%@E1VNCAS*TRR M %@CU_64XGJ \'+,U7A)*FTT@9GEFPBD]!3$YB$`<'*'R1> M88A@#%Q\%@ZT^\:H<>BC#M0D%';-N@KVBF+`"/6YW!16>`3"F =#SG M^KX_+L$VG >_0?Z;C\NP09+,_J*Q]`>:#K.#MOA\SY-@E0 M69VFV]#>(\ZAE](\_P#HO)^?\NP4D_F>L\G[*^91](8.G^,7K/D?`Y;K`05_ MF>JZOHKQB>G\'0/\7+\&P4,WF=@T[[+;C==P=#\3_P!=R)8)5,YGK@X]G> MJ)^C,':?B$\Y]#\'R<-@YM,SUXE_9[JYO-8.UMW^;^BX[!$I',Z&RN]6/21O M1.#+\T/F+_\`-KH] QM1YO8N7DRN+!UB[HX;LKGYW MS^';ANL$>!Q?T[YOJCASVMV+#T&[`7K6+G=*XK[!?)9G9KCV9ZF3Q<&1UHWG H/H/@_27V`:I?+OK/!G8O6YIF9&/M',Z0WNZ3CYN#=@P