PTEN · 10-Q · 2026Q1 · Full report

Capital Expenditure Trends

PATTERSON UTI ENERGY INC · 2026-04-28 · Importance 44 · Surprise 24

The company invested $117 million in capital expenditures during the three months ended March 31, 2026 primarily for betterment and refurbishment of drilling and completion services equipment. Segment capex in Q1 2026 was $54.4 million for Drilling Services, $45.1 million for Completion Services and $15.8 million for Drilling Products, with capital spend reduced year‑over‑year due to timing of order placement and fewer operating days. Management notes the majority of capex is for normal, recurring items to support operations and that a portion of capital spending can be adjusted to match market demand and activity levels.

Key facts

• A portion of our capital expenditures can be adjusted and managed to match market demand and activity levels.
• Drilling services capital expenditures were $54,421 thousand for the three months ended March 31, 2026.
• Completion services capital expenditures were $45,101 thousand for the three months ended March 31, 2026.
• The decrease in cash used in investing activities between the three months ended March 31, 2026 and 2025 was primarily attributable to lower capital spending due to timing of order placement, lower maintenance capital expenditures due to fewer operating days, and an increase in proceeds from the sale of assets.
• Capital expenditures in Drilling Products increased sequentially primarily due to higher raw material costs, particularly tungsten powder used in certain matrix bit applications.
• Drilling products capital expenditures were $15,842 thousand for the three months ended March 31, 2026.
• Our capital expenditures decreased primarily due to the timing of order placement and lower maintenance capital expenditures due to fewer operating days.