Helmerich & Payne, Inc. (NYSE:HP) Q2 2022 Earnings Conference Call April 28, 2022 11:00 AM ET

Company Participants

John Lindsay - President & CEO

Mark Smith - SVP, CFO

Dave Wilson - VP of IR

Conference Call Participants

Taylor Zurcher - Tudor Pickering

Douglas Becker - Benchmark Research

Ian Macpherson - Piper Sandler

Waqar Syed - ATB Capital Markets

Derek Podhaizer - Barclays

Connor Lynagh - Morgan Stanley

Operator

Good day everyone and welcome to the Helmerich & Payne Fiscal Second Quarter Earnings Call. [Operator Instructions].

It is now my pleasure to turn the call over to Dave Wilson, Vice President of Investor Relations. Please go ahead.

Dave Wilson

Thank you, Nikki and welcome everyone to Helmerich & Payne conference call and webcast for the second quarter of fiscal year 2022. With us today are John Lindsay, President and CEO; Mark Smith, Senior Vice President and CFO. Both John and Mark will be sharing some comments with us after which we'll open the call for questions. Before we begin our prepared remarks, I'll remind everyone that this call includes forward looking statements as defined in the securities laws. Such statements are based upon current information and management's expectations as of this date, and are not guarantees of future performance. Forward looking statements involve certain risks and uncertainties and assumptions that are difficult to predict. As such, our actual outcomes and results could differ materially. You can learn more about these risks in our annual report on Form 10K, our quarterly reports on Form 10Q and our other SEC filings.

You should not place undue reliance on forward looking statements. We undertake no obligation to publicly update these forward looking statements. We also be making reference to certain non GAAP financial measures such as segments, direct margin and other operating statistics. You'll find the GAAP reconciliation, comments and calculations in the yesterday's press release.

With that said, I'll turn the call over to John Lindsay.

John Lindsay

Thank you, Dave. Good morning, everyone. And thank you for joining us today. Since August of 2020, oil and gas industry has been undergoing a record recovery from the worst downturn in its history. Just when we thought the environment was beginning normalize another geopolitical event, Russia's invasion of Ukraine unleashed immediate and lasting ramifications. This has provided a sharp reminder to everyone how critical, abundant, cost effective and secure energy is to sustaining security and the broader global economy. Given the industry's negative experience in recent years, it should be no surprise to anyone that US producers have remained cautious, rational and discipline with regard to their capital expenditures, even in the face of spiking commodity prices. HP’s strategy is to also maintain CapEx budget discipline and holding that line is something we believe is crucial to creating a healthy and sustainable company over the longer term.