Highlights

  • Q4 revenue rose to USD 479 million, reflecting higher U.S. drilling activity.
  • Net loss for Q4 was USD 42 million due to non-cash decommissioning and drill pipe charges.
  • Full-year 2025 Adjusted EBITDA declined to USD 490 million amid lower U.S. drilling activity.

Precision Drilling Corporation (TSX:PD) reported revenue of USD 479 million for Q4 2025, compared to USD 468 million in the same period last year. The increase primarily resulted from higher drilling activity in the U.S., offset partially by lower international operations. Adjusted EBITDA rose to USD 126 million from USD 121 million in Q4 2024, driven by stronger U.S. performance and lower share-based compensation costs.

Net loss attributable to shareholders was USD 42 million, or USD 3.23 per share, compared to net earnings of USD 15 million, or USD 1.06 per share, in Q4 2024. Non-cash charges included USD 67 million for decommissioning 31 rigs and USD 17 million related to drill pipe asset write-downs. Cash provided by operations was USD 126 million, with capital expenditures of USD 81 million and share repurchases of USD 22 million, increasing the cash balance by USD 47 million.

Canadian operations maintained steady revenue per utilization day at CAD 35,241, while U.S. operations averaged USD 30,904 per day. Internationally, revenue per utilization day improved to USD 53,505, though total international revenue declined due to lower rig activity. Completion and Production Services revenue in Canada reached USD 71 million, up from USD 69 million, partially offset by winding down U.S. operations.

Full-Year 2025 Results
Revenue for the year ended December 31, 2025, was USD 1,844 million, down 3% from USD 1,902 million in 2024. Adjusted EBITDA fell to USD 490 million from USD 521 million, mainly due to lower U.S. drilling activity. Net earnings attributable to shareholders were USD 3 million, or USD 0.14 per share, down from USD 111 million, or USD 7.81 per share in 2024.

Capital expenditures totaled USD 263 million, including USD 107 million for upgrades, such as 27 major rig enhancements. The company reduced long-term debt by USD 101 million and repurchased over one million shares for USD 76 million, lowering total outstanding shares by 6%. Available liquidity at year-end exceeded USD 445 million, with a Net Debt to Adjusted EBITDA ratio of approximately 1.2 times.

Operational Highlights

  • Canada averaged 66 active rigs, U.S. averaged 37 rigs, and international operations maintained seven active rigs.
  • Revenue per utilization day in Canada remained stable at CAD 35,241, while U.S. revenue per utilization day was USD 30,904.
  • Service rig operating hours in Canada increased by 6% over Q4 2024, totaling 61,231 hours.

2026 Outlook

Precision expects to invest USD 245 million in fleet and infrastructure, reduce debt by USD 100 million, and allocate up to 50% of free cash flow, before debt repayments, toward share repurchases. Canadian activity is projected to surpass last year’s levels, with near-full utilization of Super Triple and Super Single rigs. U.S. operations anticipate steady activity, while international utilization is supported by seven contracted rigs in Kuwait and Saudi Arabia.

Capital spending in 2026 is planned at USD 245 million, including USD 182 million for maintenance, infrastructure, and intangibles, and USD 63 million for expansion and upgrades.

Stock Snapshot
As of 11 February 2026, Precision traded at 122.51 CAD,.

Precision Drilling’s 2025 results show mixed performance with U.S. activity supporting Q4 gains but full-year results impacted by international and service rig reductions. The company continues debt reduction and share repurchase programs while investing in rig upgrades and infrastructure.

FAQs
Q1. What was Precision Drilling’s Q4 revenue?
USD 479 million, up from USD 468 million in Q4 2024.

Q2. How much did Precision spend on capital expenditures in 2025?
USD 263 million, including USD 107 million on rig upgrades.

Q3. What is Precision’s 2026 capital plan?
 USD 245 million, with USD 63 million allocated for fleet expansion and upgrades.