Patterson-UTI Energy, Inc. (NASDAQ:PTEN) Q2 2024 Earnings Conference Call July 25, 2024 10:00 AM ET

Company Participants

Michael Sabella - VP, IR
William Hendricks - President, CEO & Director
Andy Smith - CFO & EVP

Conference Call Participants

Jim Rollyson - Raymond James
Arun Jayaram - JPMorgan
Derek Podhaizer - Barclays
Scott Gruber - Citigroup
Luke Lemoine - Piper Sandler
Stephen Gengaro - Stifel
Jeffrey LeBlanc - TPH
Keith MacKey - RBC Capital Markets
Saurabh Pant - Bank of America
Sean Mitchell - Daniel Energy Partners

Operator

Thank you for standing by. My name is Danica, and I will be your conference operator today. At this time, I would like to welcome everyone to the Patterson-UTI Second Quarter 2024 Earnings Conference Call. [Operator Instructions].

Thank you. I would now like to turn the call over to Mike Sabella, Vice President, Investor Relations. Please go ahead.

Michael Sabella

Thank you, operator. Good morning, and welcome to Patterson-UTI’s earnings conference call to discuss our second quarter 2024 results. With me today are Andy Hendricks, President and Chief Executive Officer; and Andy Smith, Chief Financial Officer.

As a reminder, statements that are made in this conference call that refer to the Company’s or management’s plans, intentions, targets, beliefs, expectations or predictions for the future are considered forward looking statements. These forward looking statements are subject to risks and uncertainties as disclosed in the company’s SEC filings, which could cause the Company’s actual results to differ materially. The Company take no obligation to publicly update or revise any forward-looking statements.

Statements made in this conference call include non-GAAP financial measures. The required reconciliations to GAAP financial measures are included on our website, patenergy.com and in the Company’s press release issued prior to this conference call.

I will now turn the call over to Andy Hendricks, President, Patterson-UTI as Chief Executive Officer.

William Hendricks

Thank you, Mike. Welcome to our second quarter earnings conference call. We are pleased with the way we’ve been managing our business through the current macro environment. We are focused on deploying a capital-efficient operating strategy that looks to maximize our returns through the cycle.

Free cash flow was strong in the first half, demonstrating the resiliency of our business. We are continuing to prove out the free cash flow potential of the company in all macro environments. Since September 30, 2023, or just after the close of the next tier and Ulterra transactions through June 30 this year, we’ve used our free cash flow to repurchase 28 million shares for $309 million, pay a steady dividend and lower our net debt, including leases.