RPC, Inc. (NYSE:RES) Q3 2022 Earnings Conference Call October 26, 2022 9:00 AM ET
Company Participants
Jim Landers – Vice President-Corporate Services
Ben Palmer – President and Chief Executive Officer
Mike Schmit – Chief Financial Officer
Conference Call Participants
Don Crist – Johnson Rice
John Daniel – Daniel Energy Partners
Simon Wong – Gabelli
Andrew Pelisek – Millennium
Joel Etzler – Coeli Energy
Operator
Good morning. And thank you for joining us for RPC, Inc.’s Third Quarter 2022 Financial Earnings Conference Call. Today's call will be hosted by Ben Palmer, President and CEO; and Mike Schmit, Chief Financial Officer. Also hosting is Jim Landers, Vice President of Corporate Services. [Operator Instructions]
Jim will get us started by reading the forward-looking disclaimer.
Jim Landers
Thank you, and good morning. Before we begin our call today, I want to remind you that in order to talk about our company, we're going to mention a few things that are not historical facts. Some of the statements that we made on this call could be forward-looking in nature and reflect a number of known and unknown risks. I'd like to refer you to our press release issued today, along with our 2021 10-K and other public filings that outline those risks, all of which can be found on RPC's website at rpc.net.
In today's earnings release and conference call, we will be referring to EBITDA, which is non-GAAP measure of operating performance. RPC uses EBITDA as the measure of operating performance because it allows us to compare performance consistently over various periods without regard to changes in our capital structure. We are also required to use EBITDA to report compliance with financial covenants under our revolving credit facility.
Our press release today and our website provide reconciliation a reconciliation of EBITDA to net income, the nearest GAAP financial measure. Please review that disclosure if you are interested in seeing how it's calculated. If you have not received our press release for any reason, please visit our website again at rpc.net for a copy.
I will now turn the call over to our President and CEO, Ben Palmer.
Ben Palmer
Hi, Jim. Thanks. And thank you all for joining our call this morning. RPC’s third quarter financial results reflect continued improvement in both utilization and pricing, and we are achieving operating leverage over our fixed costs. We believe this cycle currently has room to run to in large part, to the multi-year period of low investment, coupled with the fact that this is shaping up as a margin rather than a build cycle.