Ranger Energy Services, Inc.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 27 April 2026: press release. Guidance figures: 1 kept. The quarter’s numbers.

Read the filing

Key takeaways

• Revenue and Adjusted EBITDA rose: Revenue was $159.1 million, up $16.9 million sequentially and $23.9 million from a year earlier. Adjusted EBITDA margin was 14.6%, against 14.3% in the fourth quarter. Source
• High Specification Rigs hours increased: Rig hours rose 13% sequentially to 145,400 and 26% year over year. Segment Adjusted EBITDA was $21.4 million, against $19.6 million in the fourth quarter. Source
• Wireline stage count nearly halved: Wireline Completions reported 740 completed stages, down 51% from 1,500 in the fourth quarter. The company attributed the decline to a deliberate adjustment of its service mix. Source
• Operator activity picked up recently: Management described a meaningful pick-up in activity over the past six weeks. Source
• Free cash flow was negative: Free cash flow was negative $21.7 million, against $3.4 million a year earlier. The release cites growing receivables from customer billing delays and AWS-related system transitions. Source
• Liquidity fell to $42.5 million: Total liquidity was $42.5 million, comprised of $35.6 million of revolver capacity and $6.9 million of cash. It was $67.7 million at December 31, 2025. Source
• ECHO rig construction started: Construction started on fifteen ECHO Hybrid Electric Rigs contracted during the quarter. Management listed this among priorities already advanced. Source

“As winter came to a close, operators have been increasing activity levels and conversations are trending positively.”

Stuart Bodden, Ranger’s Chief Executive Officer

Guidance

What changed from last quarter

• New: The company reported completing key AWS integration transition activities, including the roll-out of the TANGO operating system. Source

Results and growth drivers

• Revenue and Adjusted EBITDA rose: Revenue was $159.1 million, up $16.9 million sequentially and $23.9 million from a year earlier. Adjusted EBITDA margin was 14.6%, against 14.3% in the fourth quarter. Source
• Net income and EPS compared: Net income was $3.0 million, or $0.12 per diluted share, against $3.2 million, or $0.14 per diluted share, in the fourth quarter. Operating income was $5.1 million. Source
• AWS drove sequential revenue gain: Management attributed the sequential revenue increase mainly to AWS. It said Adjusted EBITDA improved on higher revenue and margins in two segments, and that Wireline reached neutral profitability. Source

Segments and regions

• High Specification Rigs hours increased: Rig hours rose 13% sequentially to 145,400 and 26% year over year. Segment Adjusted EBITDA was $21.4 million, against $19.6 million in the fourth quarter. Source
• Rig segment operating income declined: High Specification Rigs operating income was $10.5 million, down 13% from $12.0 million in the fourth quarter. The release gives the same $1.5 million, 13% decrease against the prior-year period, also at $12.0 million. Source
• Processing and Ancillary revenue up 39%: Processing Solutions and Ancillary Services revenue was $42.3 million, up 13% sequentially and 39% year over year, with the largest gain from AWS ancillary solutions. Segment operating income was $4.1 million, against $2.9 million. Source
• Wireline stage count nearly halved: Wireline Completions reported 740 completed stages, down 51% from 1,500 in the fourth quarter. The company attributed the decline to a deliberate adjustment of its service mix. Source
• Wireline Adjusted EBITDA near breakeven: Wireline Adjusted EBITDA was a $0.1 million loss, against roughly breakeven in the fourth quarter. Segment operating loss narrowed to $2.4 million from $2.7 million. Source

“The AWS acquisition is driving our top and bottom line results higher, and we expect our disciplined focus on utilization, cost control, customer service and operational consistency from both organizations will continue to push margins higher in future periods.”

Stuart Bodden, Ranger’s Chief Executive Officer

Costs, margins and pricing

• Cost of services ratio at 82%: Cost of services was $130.6 million, or 82% of revenue, against $117.1 million in the fourth quarter and 85% in the prior-year period. The release links the higher level to AWS consolidation. Source
• G&A eased from acquisition costs: General and administrative expenses were $7.8 million, down from $8.9 million in the fourth quarter. The release says both quarters carry AWS acquisition-related expenses. Source
• Depreciation rose to $16.2 million: Depreciation and amortization was $16.2 million, against $13.8 million in the fourth quarter and $10.6 million a year earlier. The release does not attribute the change. Source
• Hourly rig rate rose 2% sequentially: Hourly rig rate was $731, up 2% from $718 in the fourth quarter and down 3% from $756 a year earlier. The release cites asset mix and idle and downtime between jobs. Source

Demand and activity

• Operator activity picked up recently: Management described a meaningful pick-up in activity over the past six weeks. Source
• Customers held steady activity: Management said the customer base has generally held to a steady course of activity despite significant commodity volatility from geopolitical events. Source
• Ready to scale activity: Management said its fleet and organization can scale activity efficiently while preserving service quality and returns, and that Ranger is prepared to respond as demand evolves. Source

“Wireline segment activity remains depressed, but we are encouraged with a team that is able to operate efficiently.”

Stuart Bodden, Ranger’s Chief Executive Officer

Cash flow and liquidity

• Free cash flow was negative: Free cash flow was negative $21.7 million, against $3.4 million a year earlier. The release cites growing receivables from customer billing delays and AWS-related system transitions. Source
• Liquidity fell to $42.5 million: Total liquidity was $42.5 million, comprised of $35.6 million of revolver capacity and $6.9 million of cash. It was $67.7 million at December 31, 2025. Source
• Operating cash flow sign differs: The release text states operating cash of $3.4 million, while the cash flow statement shows net cash used in operating activities of $(3.4) million. Source
• Revolver borrowings and repayments: Revolver borrowings were $42.3 million and principal repayments were $19.1 million. The current portion of long-term debt rose to $26.8 million from $3.5 million. Source
• Capex rose with ECHO payments: Capital expenditures were $18.3 million, against $7.2 million a year earlier. About $14 million covered ECHO milestone payments; the prior-year figure included about $1.6 million of growth spending. Source

Capital returns to shareholders

• Cumulative buybacks since 2023: Since the program began in 2023, the company has repurchased 4,358,900 shares for $47.7 million, net of tax. Source
• Focus on consistent free cash flow: Management said its focus remains on generating consistent free cash flow, optimizing asset utilization and delivering durable, long-term value for shareholders. Source
• Shares outstanding increased: Shares outstanding were 23,776,772 at March 31, 2026, up from 23,563,288 at December 31, 2025. Source

Strategy, integration and operations

• AWS integration advanced significantly: Management said AWS integration activities advanced significantly over the quarter, with key transition steps completed. Source
• ECHO rig construction started: Construction started on fifteen ECHO Hybrid Electric Rigs contracted during the quarter. Management listed this among priorities already advanced. Source
• Production-focused thesis restated: Management said the production-focused thesis aligns with recent developments, and that workovers and existing-well optimization offer the fastest delivery and lowest incremental cost per barrel. Source
• Safety and service quality maintained: Management said operations teams maintain the highest level of safety and service quality, which it linked to the quarter's results. Source

Coming up, as management said on 27 April 2026

• Wireline improvement expected: Management said exiting the first quarter with positive EBITDA suggests further Wireline improvement in the coming quarters. Source

Figures management reported

Risks management discussed

• External: Management cited significant commodity volatility from geopolitical events as a condition in the market. Source
• Demand: Management said crude oil pricing expectations were subdued at the start of the year, and it had expected a flat to down year. Source
• Demand: The release says Wireline results reflect pricing pressure and operating deleverage from lower activity in the service line. Source
• Financial: The release cites growing receivables from customer billing delays at year end and system transitions tied to integration. Source

Earlier plans management reported on

• Not stated: Management said the dividend reinforces its commitment to a consistent return of capital each quarter. Source
• Not stated: Management said it remains committed to disciplined capital allocation, including returning capital to shareholders. Source

Other quarters

• Q3 FY2026 earnings call
• Q2 FY2026 earnings call
• Q4 FY2025 earnings call
• Q3 FY2025 results

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.