ATLANTA (AP) -- RPC Inc. said Wednesday that weaker demand and prices led to disappointing first-quarter results for the oilfield services provider.
President and CEO Richard Hubbell said competition remains fierce and is forcing the company to lower its rates. Additionally most of RPC's contracts for pressure pumping service line expired last year, and it now operates primarily in the spot market, which is more volatile. The company said lower U.S. rig counts didn't help.
Net income was $35.1 million, or 16 cents per share, for the period that ended March 31. That compares with $80.8 million, or 37 cents per share, in the same quarter last year. Revenue fell 15.3 percent to $425.8 million.
Analysts polled by FactSet, on average, expected 25 cents per share on revenue of $470.1 million.
RPC shares fell $1.61, or 11 percent, to $13.04 in afternoon trading. The stock price has traded between $9.01 and $17.40 in the past 52 weeks.