Patterson-UTI Energy Reports Financial Results for Three Months Ended March 31, 2013

 Patterson-UTI Energy Reports Financial Results for Three Months Ended March
                                   31, 2013

PR Newswire

HOUSTON, April 25, 2013

HOUSTON, April 25, 2013 /PRNewswire/ --PATTERSON-UTI ENERGY, INC. (NASDAQ:
PTEN) today reported financial results for the three months ended March 31,
2013. The Company reported net income of $56.2 million, or $0.38 per share,
for the first quarter of 2013, compared to net income of $97.3 million, or
$0.62 per share, for the quarter ended March 31, 2012. Revenues for the first
quarter of 2013 were $667 million, compared to $746 million for the first
quarter of 2012.

Andy Hendricks, Patterson-UTI's Chief Executive Officer, stated, "Our U.S. rig
activity continues to be supported by our growing fleet of high-specification
APEX^® rigs. The increased proportion of APEX^® rigs working during the first
quarter, together with fewer rigs on standby, positively impacted our average
revenue per day. Additionally, we received an early termination payment for
one rig, which positively impacted average revenue per day by $170. In total,
average revenue per day increased $940 sequentially to $23,410.

Mr. Hendricks added, "The fewer rigs on standby also contributed to a $350
increase in our average direct operating cost per day to $13,800. Most
importantly, our average margin per operating day increased $590 to $9,610.

"During the first quarter, our average number of rigs operating in the United
States was 188 compared to 198 during the fourth quarter of 2012. In Canada,
our average number of rigs operating was 11 compared to 7 in the fourth
quarter of 2012. Our rig count in Canada has recently declined as expected
due to the annual spring breakup. We expect our April rig count to average
approximately 186 rigs operating in the United States and3 in Canada.

"As of March 31, 2013, we had term contracts for drilling rigs providing for
approximately $1.14 billion of dayrate drilling revenue. Based on contracts
currently in place, we expect to have an average of 116 rigs operating under
term contracts during the second quarter, and an average of 100 rigs operating
under term contracts during the last three quarters of 2013.

"We completed 4 new APEX^® rigs during the first quarter, all of which went to
work under term contracts. Demand for new APEX^® rigs remains steady, and we
continue to plan to build a total of 13 APEX^® rigs during 2013.

"In pressure pumping, revenue growth during the first quarter was driven by
the commissioning of additional horsepower during both the fourth and first
quarters to meet incremental demand primarily from existing customers.
Revenues during the first quarter of $231 million increased 9% sequentially.
Consistent with our expectations, EBITDA from pressure pumping of $58.8
million was relatively flat with the fourth quarter.

Mark S. Siegel, Chairman of Patterson-UTI, stated, "I am pleased with the
financial results we were able to deliver for the first quarter. We believe
that these results suggest that the markets continue to bifurcate as drilling
and service companies dedicated to operating efficiency and execution are able
to outperform.

"While the rig count has been relatively flat thus far in 2013, utilization
remains high for our APEX^® rigs. We also have been able to increase activity
levels and revenues in our pressure pumping business.

"In the first quarter, despite a sideways rig market and pricing pressure in
both drilling and pressure pumping, we adhered to our philosophy of providing
premium equipment, high quality service and superior well-site execution. In
drilling, we see increased price competition as some competitors seek to
regain lost share with lower pricing. In pressure pumping, our record level
of activity is expected to continue, and we see relatively stable pricing
going forward, but at slightly lower average pricing than the first quarter
due to pricing adjustments following the expiration of certain term
agreements.

"In both businesses, our commitment to state-of-the-art rigs and pressure
pumping equipment, along with highly trained and dedicated personnel, allowed
us to achieve good results in a difficult market. We believe that the
strategic direction we have pursued over the past several years has and will
continue to provide our shareholders with excellent returns. We are well
positioned for a market upturn which we believe will occur later in 2013 based
on current commodity prices. In short, we 'stayed the course' in the first
quarter and achieved better resultsthan we expected," he concluded.

The Company declared a quarterly cash dividend on its common stock of $0.05
per share, to be paid on June 28, 2013 to holders of record as of June 14,
2013.

All references to "net income per share" in this press release are diluted
earnings per common share as defined within Accounting Standards Codification
Topic 260.

The Company's quarterly conference call to discuss the operating results for
the quarter ended March 31, 2013 is scheduled for April 25, 2013 at 9:00 a.m.
Central Time. The dial-in information for participants is 877-556-5921
(Domestic) and 617-597-5474 (International). The Passcode for both numbers is
64208937. The call is also being webcast and can be accessed through the
Investor Relations section at www.patenergy.com. Webcast participants should
log on 10-15 minutes prior to the scheduled start time. Replay of the
conference call will be available at www.patenergy.com through May 9, 2013 and
at 888-286-8010 (Domestic) and 617-801-6888 (International) through April 29,
2013. The Passcode for both telephone numbers is 39344853.

About Patterson-UTI

Patterson-UTI Energy, Inc. subsidiaries provide onshore contract drilling and
pressure pumping services to exploration and production companies in North
America. Patterson-UTI Drilling Company LLC and its subsidiaries have more
than 300 marketable land-based drilling rigs and operate primarily in oil and
natural gas producing regions in the continental United States, Alaska, and
western and northern Canada. Universal Pressure Pumping, Inc. and Universal
Well Services, Inc. provide pressure pumping services primarily in Texas and
the Appalachian region.

Location information about the Company's drilling rigs and their individual
inventories is available through the Company's website at www.patenergy.com.

Statements made in this press release which state the Company's or
management's intentions, beliefs, expectations or predictions for the future
are forward-looking statements. It is important to note that actual results
could differ materially from those discussed in such forward-looking
statements. Important factors that could cause actual results to differ
materially include, but are not limited to, deterioration of global economic
conditions, declines in customer spending and in oil and natural gas prices
that could adversely affect demand for the Company's services, and their
associated effect on rates, utilization, margins and planned capital
expenditures, excess availability of land drilling rigs and pressure pumping
equipment, including as a result of reactivation or construction, adverse
industry conditions, adverse credit and equity market conditions, difficulty
in integrating acquisitions, shortages of labor, equipment, supplies and
materials, supplier issues, weather, loss of key customers, liabilities from
operations, changes in technology and efficiencies, governmental regulation
and ability to retain management and field personnel. Additional information
concerning factors that could cause actual results to differ materially from
those in the forward-looking statements is contained from time to time in the
Company's SEC filings, which may be obtained by contacting the Company or the
SEC. These filings are also available through the Company's web site at
http://www.patenergy.com or through the SEC's Electronic Data Gathering and
Analysis Retrieval System (EDGAR) at http://www.sec.gov. We undertake no
obligation to publicly update or revise any forward-looking statement.



PATTERSON-UTI ENERGY, INC.
Condensed Consolidated Statements of Income (Unaudited)
(in thousands, except per share amounts)


                                         Three Months Ended

                                         March 31,
                                        2013                2012
REVENUES                                $   667,039       $   745,921
COSTS AND EXPENSES
Direct operating costs (excluding
depreciation, depletion, amortization   418,150             452,236
and impairment)
Depreciation, depletion, amortization   136,435             122,953
and impairment
Selling, general and administrative     17,397              13,868
Net (gain) loss on asset disposals      125                 (2,400)
Provision for bad debts                 —                   1,600
Total costs and expenses                572,107             588,257
OPERATING INCOME                        94,932              157,664
OTHER INCOME (EXPENSE)
Interest income                         173                 54
Interest expense                        (6,766)             (4,582)
Other                                   19                  55
Total other expense                     (6,574)             (4,473)
INCOME BEFORE INCOME TAXES              88,358              153,191
INCOME TAX EXPENSE                      32,128              55,917
NET INCOME                              $    56,230      $    97,274
NET INCOME PER COMMON SHARE
Basic                                   $     0.38     $     0.62
Diluted                                 $     0.38     $     0.62
WEIGHTED AVERAGE NUMBER OF COMMON
SHARES OUTSTANDING
Basic                                   144,827             154,625
Diluted                                 146,783             155,401
CASH DIVIDENDS PER COMMON SHARE         $     0.05     $     0.05







PATTERSON-UTI ENERGY, INC.

Additional Financial and Operating Data (Unaudited)

(dollars in thousands)


                                         Three Months Ended

                                         March 31,
                                        2013                2012
Contract Drilling
Revenues                                $   419,094       $   489,482
Direct operating costs (excluding       $   247,072       $   282,649
depreciation)
Selling, general and administrative     $     1,851     $     1,336
Depreciation                            $    97,622      $    93,726
Operating income                        $    72,549      $   111,771
Operating days – United States          16,957              20,428
Operating days – Canada                 946                 1,182
Total operating days                    17,903              21,610
Average revenue per operating day –     $    22.94      $    22.21
United States
Average direct operating costs per      $    13.49      $    12.73
operating day – United States
Average rigs operating – United States  188                 224
Average revenue per operating day –     $    31.76      $    30.34
Canada
Average direct operating costs per      $    19.29      $    19.06
operating day – Canada
Average rigs operating – Canada         11                  13
Average revenue per operating day –     $    23.41      $    22.65
Total
Average direct operating costs per      $    13.80      $    13.08
operating day – Total
Average rigs operating – Total          199                 237
Capital expenditures                    $   134,383       $   200,607
Pressure Pumping
Revenues                                $   231,160       $   241,722
Direct operating costs (excluding       $   168,156       $   166,857
depreciation and amortization)
Selling, general and administrative     $     4,253     $     4,275
Depreciation and amortization           $    30,236      $    23,803
Operating income                        $    28,515      $    46,787
Fracturing jobs                         266                 330
Other jobs                              1,142               1,659
Total jobs                              1,408               1,989
Average revenue per fracturing job      $   784.60       $   625.98
Average revenue per other job           $    19.66      $    21.19
Total average revenue per job           $   164.18       $   121.53
Total average costs per job             $   119.43       $    83.89
Capital expenditures                    $    30,234      $    54,574
Oil and Natural Gas Production and
Exploration
Revenues – Oil                          $    15,395      $    13,813
Revenues – Natural gas and liquids      $     1,390     $      904
Revenues – Total                        $    16,785      $    14,717
Direct operating costs (excluding       $     2,922     $     2,730
depletion and impairment)
Depletion                               $     5,723     $     4,177
Impairment of oil and natural gas       $     1,899     $      292
properties
Operating income                        $     6,241     $     7,518
Capital expenditures                    $     8,664     $     7,429
Corporate and Other
Selling, general and administrative     $    11,293      $     8,257
Depreciation                            $      955    $      955
Net (gain) losson asset disposals      $      125    $    (2,400)
Provision for bad debts                 $        —   $     1,600
Capital expenditures                    $      880    $      793
Total capital expenditures              $   174,161       $   263,403
                                        March 31,           December 31,
Selected Balance Sheet Data (Unaudited) 2013                2012
Cash and cash equivalents               $    144,031    $    110,723
Current assets                          $    741,313    $    699,991
Current liabilities                     $    389,854    $    359,863
Working capital                         $    351,459    $    340,128
Current portion of long-term debt       $      7,500  $      6,250
Long-term debt                          $    690,000    $    692,500







PATTERSON-UTI ENERGY, INC.
Non-GAAP Financial Measures (Unaudited)
(dollars in thousands)


                                  Three Months Ended

                                  March
                                 31,
                                 2013                2012
Earnings Before Interest, Taxes,
Depreciation and Amortization
(EBITDA)(1)
Net income                       $    56,230      $    97,274
Income tax expense               32,128              55,917
Net interest expense             6,593               4,528
Depreciation, depletion,         136,435             122,953
amortization and impairment
EBITDA                           $   231,386       $   280,672
Total revenue                    $   667,039       $   745,921
EBITDA margin                    34.7%               37.6%
EBITDA by operating segment
Contract drilling                $   170,171       $   205,497
Pressure pumping                 58,751              70,590
Oil and natural gas              13,863              11,987
Corporate and other              (11,399)            (7,402)
Consolidated EBITDA              $   231,386       $   280,672


(1) EBITDA is not defined by generally accepted accounting principles
("GAAP"). We present EBITDA (a non-GAAP measure) because we believe it
provides additional information with respect to both the performance of our
fundamental business activities and our ability to meet our capital
expenditures and working capital requirements. EBITDA should not be construed
as an alternative to the GAAP measures of net income or operating cash flow.









SOURCE PATTERSON-UTI ENERGY, INC.

Website: http://www.patenergy.com
Contact: Mike Drickamer, Director, Investor Relations, Patterson-UTI Energy,
Inc., (281) 765-7170
 
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