RPC INC Segments Disclosure
Note 19: Business Segment and Entity Wide Disclosures
RPC’s reportable segments are the same as its operating segments. RPC manages its business under Technical Services and Support Services. Technical Services is comprised of service lines that generate revenue based on equipment, personnel or materials at the well site and are closely aligned with completion and production activities of the customers. Support Services is comprised of service lines which generate revenue from services and equipment offered off the well site and are closely aligned with the customers’ drilling activities. Selected overhead including centralized support services and regulatory compliance are classified as Corporate.
Technical Services consists primarily of pressure pumping, downhole tools, coiled tubing, cementing, snubbing, nitrogen, well control, wireline and fishing. The services offered under Technical Services are high capital and personnel intensive businesses. The Company considers all of these services to be closely integrated oil and gas well servicing businesses and makes resource allocation and performance assessment decisions based on this operating segment as a whole across these various services.
Support Services consist primarily of drill pipe and related tools, pipe handling, pipe inspection and storage services, and oilfield training services. The demand for these services tends to be influenced primarily by customer drilling-related activity levels.
The Company’s Chief Operating Decision Maker (CODM) assesses performance and makes resource allocation decisions regarding, among others, staffing, growth and maintenance capital expenditures and key initiatives based on the operating segments outlined above.
The accounting policies of the reportable segments are the same as those described in the note titled “Significant Accounting Policies.” Gains or losses on disposition of assets are reviewed on a consolidated basis, and accordingly the Company does not report gains or losses at the segment level. Intersegment revenues are generally recorded in segment operating results at prices that management believes approximate prices for arm’s length transactions and are not material to operating results.
RPC's CODM is its Chief Executive Officer. For each of the reportable segments, the CODM uses operating income to allocate resources (equipment, financial, and human resources).
Significant segment expense by reportable segment for the years ended December 31, 2025, 2024 and 2023 are shown in the following tables:
Technical | Support | ||||||||
| Services | | Services | | Total | ||||
(in thousands) | |||||||||
2025 | | | | ||||||
Revenues | $ | 1,536,048 | $ | 90,518 | $ | 1,626,566 | |||
Employment costs (1) | 376,310 | 21,649 | 397,959 | ||||||
Materials and supplies | 433,505 | 3,585 | 437,090 | ||||||
Maintenance & repairs | 202,136 | 11,454 | 213,590 | ||||||
Fleet and transportation | 51,372 | 2,915 | 54,287 | ||||||
Other cost of revenues (2) | 125,177 | 4,779 | 129,956 | ||||||
Cost of revenues (exclusive of depreciation and amortization) |
| $ | 1,188,500 | $ | 44,382 | $ | 1,232,882 | ||
Employment costs (1) | 65,258 | 10,333 | 75,591 | ||||||
Enterprise shared services (3) | 35,457 | 1,435 | 36,892 | ||||||
Other selling, general and administrative expenses (4) | 32,335 | 6,128 | 38,463 | ||||||
Selling, general and administrative expenses | $ | 133,050 | $ | 17,896 | $ | 150,946 | |||
Segment depreciation and amortization | 146,467 | 14,648 | 161,115 | ||||||
Segment operating income | $ | 68,031 | $ | 13,592 | $ | 81,623 | |||
Unallocated corporate expenses (5) | 24,771 | ||||||||
Acquisition related employment costs | 20,312 | ||||||||
Gain on disposition of assets, net | (8,192) | ||||||||
Operating income | $ | 44,732 | |||||||
| | | | | |||||
Technical | Support | ||||||||
| Services | | Services | | Total | ||||
(in thousands) | |||||||||
2024 | |||||||||
Revenues | $ | 1,326,005 | $ | 88,994 | $ | 1,414,999 | |||
Employment costs (1) | 303,327 | 20,458 | 323,785 | ||||||
Materials and supplies | 332,781 | 3,519 | 336,300 | ||||||
Maintenance & repairs | 190,996 | 11,540 | 202,536 | ||||||
Fleet and transportation | 61,148 | 3,097 | 64,245 | ||||||
Other cost of revenues (2) | 104,340 | 5,442 | 109,782 | ||||||
Cost of revenues (exclusive of depreciation and amortization) |
| $ | 992,592 | $ | 44,056 | $ | 1,036,648 | ||
Employment costs (1) |
| 57,649 |
| 9,170 | 66,819 | ||||
Enterprise shared services (3) | 35,357 | 1,486 | 36,843 | ||||||
Other selling, general and administrative expenses (4) | 31,080 | 6,174 | 37,254 | ||||||
Selling, general and administrative expenses | $ | 124,086 | $ | 16,830 | $ | 140,916 | |||
Segment depreciation and amortization | 120,226 | 12,272 | 132,498 | ||||||
Segment operating income | $ | 89,101 | $ | 15,836 | $ | 104,937 | |||
Unallocated corporate expenses (5) | 15,598 | ||||||||
Gain on disposition of assets, net | (8,199) | ||||||||
Operating income | $ | 97,538 | |||||||
| | | | | |||||
Technical | Support | ||||||||
| Services | | Services | | Total | ||||
(in thousands) | |||||||||
2023 | |||||||||
Revenues | $ | 1,516,137 | $ | 101,337 | $ | 1,617,474 | |||
| |||||||||
Employment costs (1) |
| 307,396 | 22,186 | 329,582 | |||||
Materials and supplies | 337,006 | 3,416 | 340,422 | ||||||
Maintenance & repairs |
| 186,703 |
| 12,031 |
| 198,734 | |||
Fleet and transportation | 102,723 | 4,114 | 106,837 | ||||||
Other cost of revenues (2) | 108,925 | 5,019 | 113,944 | ||||||
Cost of revenues (exclusive of depreciation and amortization) | $ | 1,042,753 | $ | 46,766 | $ | 1,089,519 | |||
Employment costs (1) | 61,158 | 9,922 | 71,080 | ||||||
Enterprise shared services (3) | 29,179 | 2,225 | 31,404 | ||||||
Other selling, general and administrative expenses (4) | 39,370 | 5,670 | 45,040 | ||||||
Selling, general and administrative expenses | $ | 129,707 | $ | 17,817 |
| $ | 147,524 | ||
Segment depreciation and amortization | 97,773 | 10,293 | 108,066 | ||||||
Segment operating income | $ | 245,904 | $ | 26,461 | $ | 272,365 | |||
Unallocated corporate expenses (5) | 18,473 | ||||||||
Pension settlement charges | 18,286 | ||||||||
Gain on disposition of assets, net | (9,344) | ||||||||
Operating income | $ | 244,950 | |||||||
| (1) | Employment costs include employee payroll, share-based compensation, bonuses and amounts related to benefits for each of the income statement items. Additional employment costs are included within the enterprise shared services amount. |
| (2) | Includes expenses related to rent, travel, insurance and other costs. |
| (3) | Includes costs incurred at the enterprise level that are allocated to each reportable segment based on payroll cost, headcount and revenues. |
| (4) | Includes professional fees, utilities, travel & entertainment and other costs. |
| (5) | Unallocated corporate expenses are included in selling general and administrative expenses at the consolidated level. |
The table below shows the reconciliation of segment totals to the consolidated level for the years ended December 31, 2025, 2024, and 2023:
Technical | Support | Segment | Unallocated | Consolidated | ||||||||||||
| Services | | Services | | Total | | Total | | Total | |||||||
(in thousands) | ||||||||||||||||
2025 | | | | |||||||||||||
Selling, general and administrative expenses | $ | 133,050 | $ | 17,896 | $ | 150,946 | $ | 24,693 | $ | 175,639 | ||||||
Depreciation and amortization | 146,467 | 14,648 | 161,115 | 78 | 161,193 | |||||||||||
Capital expenditures (1) | 116,466 | 26,658 | 143,124 | 5,283 | 148,407 | |||||||||||
Total assets, end of period (2) | $ | 1,064,353 | $ | 101,528 | $ | 1,165,881 | $ | 302,504 | $ | 1,468,385 | ||||||
2024 | ||||||||||||||||
Selling, general and administrative expenses | $ | 124,086 | $ | 16,830 | $ | 140,916 | $ | 15,521 | $ | 156,437 | ||||||
Depreciation and amortization | 120,226 | 12,272 | 132,498 | 77 | 132,575 | |||||||||||
Capital expenditures (1) | 195,263 | 21,119 | 216,382 | 3,548 | 219,930 | |||||||||||
Total assets, end of period (2) | $ | 895,067 | $ | 85,803 | $ | 980,870 | $ | 405,619 | $ | 1,386,489 | ||||||
2023 | ||||||||||||||||
Selling, general and administrative expenses | $ | 129,707 | $ | 17,817 | $ | 147,524 | $ | 18,416 | $ | 165,940 | ||||||
Depreciation and amortization | 97,773 | 10,293 | 108,066 | 57 | 108,123 | |||||||||||
Capital expenditures (1) | $ | 160,799 | $ | 15,634 | $ | 176,433 | $ | 4,572 | $ | 181,005 | ||||||
| (1) | Unallocated total primarily related to corporate and enterprise services capital expenditures. |
| (2) | Unallocated total primarily consists of cash and cash equivalents of $210.0 million and $326.0 million managed at corporate for the years ended December 31, 2025, and 2024, respectively. |
The following summarizes revenues for the United States and separately for all international locations combined for the years ended December 31, 2025, 2024 and 2023. The revenues are presented based on the location of the use of the equipment or services. Assets related to international operations are less than 10% of RPC’s consolidated assets and therefore are not presented.
2025 | | 2024 | | 2023 | |||||
(in thousands) | |||||||||
United States revenues | $ | 1,594,244 | $ | 1,375,398 | $ | 1,588,774 | |||
International revenues | 32,322 |
| 39,601 |
| 28,700 | ||||
Total revenues | $ | 1,626,566 | $ | 1,414,999 | $ | 1,617,474 | |||
See note to the consolidated financial statements titled “Significant Accounting Policies,” “Concentration of Credit Risk” for details regarding customers who account for more than 10% of revenues.
Segment Revenues:
RPC’s reportable segment revenues by major service lines are shown in the following table:
2025 | 2024 | 2023 | ||||||
(in thousands) | ||||||||
Technical Services: | | | | |||||
Pressure Pumping | $ | 485,047 | $ | 587,051 | $ | 771,542 | ||
Downhole Tools | 393,771 |
| 386,085 |
| 397,341 | |||
Wireline | 315,520 | 18,909 | 17,138 | |||||
Coiled Tubing | 151,515 |
| 135,175 |
| 152,484 | |||
Cementing | 104,728 | 110,730 | 64,481 | |||||
Nitrogen | 29,898 |
| 34,963 |
| 47,306 | |||
Snubbing | 28,547 |
| 27,057 |
| 26,345 | |||
All other | 27,022 |
| 26,035 |
| 39,500 | |||
Total Technical Services | $ | 1,536,048 | $ | 1,326,005 | $ | 1,516,137 | ||
Support Services: |
| |
| |
| | ||
Rental Tools | $ | 66,700 | $ | 65,207 | $ | 73,301 | ||
All other |
| 23,818 |
| 23,787 |
| 28,036 | ||
Total Support Services | $ | 90,518 | $ | 88,994 | $ | 101,337 | ||
Total revenues | $ | 1,626,566 | $ | 1,414,999 | $ | 1,617,474 | ||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 27, 2026 | Showing above |
| 2024 | Feb 28, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Feb 27, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Feb 26, 2021 | |
| 2019 | Feb 28, 2020 | |
| 2018 | Feb 28, 2019 | |
| 2017 | Feb 28, 2018 | |
| 2016 | Feb 28, 2017 | |
| 2015 | Feb 29, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.