RPC (RES) Interest Coverage

: 501.03 (As of Dec. 2023)

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Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. RPC's Operating Income for the three months ended in Dec. 2023 was $48 Mil. RPC's Interest Expense for the three months ended in Dec. 2023 was $-0 Mil. RPC's interest coverage for the quarter that ended in Dec. 2023 was 501.03. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. RPC Inc has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for RPC's Interest Coverage or its related term are showing as below:

RES' s Interest Coverage Range Over the Past 10 Years
Min: 2.8 Med: 438.65 Max: 690.93
Current: 690.93

RES's Interest Coverage is ranked better than
87.81% of 763 companies
in the Oil & Gas industry
Industry Median: 6.67 vs RES: 690.93

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

RPC Interest Coverage Historical Data

The historical data trend for RPC's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

* Premium members only.

RPC Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

2.80

454.62

690.93

RPC Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Interest Coverage																1,546.63	1,218.35	1,087.04	207.26	501.03

Competitive Comparison

For the Oil & Gas Equipment & Services subindustry, RPC's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

RPC Interest Coverage Distribution

For the Oil & Gas industry and Energy sector, RPC's Interest Coverage distribution charts can be found below:

* The bar in red indicates where RPC's Interest Coverage falls into.

RPC Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage

-1

Operating Income

Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt ⁽¹⁾.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

RPC's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, RPC's Interest Expense was $-0 Mil. Its Operating Income was $236 Mil. And its Long-Term Debt & Capital Lease Obligation was $19 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	235.606	/	-0.341
	=	690.93

RPC's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, RPC's Interest Expense was $-0 Mil. Its Operating Income was $48 Mil. And its Long-Term Debt & Capital Lease Obligation was $19 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2023 )	/	Interest Expense (Q: Dec. 2023 )
	=	-1	*	47.598	/	-0.095
	=	501.03

The higher the ratio, the stronger the company's Financial Strength is.

RPC (NYSE:RES) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .

RPC Interest Coverage Related Terms

Thank you for viewing the detailed overview of RPC's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.

RPC (RES) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » RPC Inc (NYSE:RES) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

RLD:Germany

Address

2801 Buford Highway NE, Suite 300, Atlanta, GA, USA, 30329

Website

https://www.rpc.net

RPC Inc is an oilfield services company. It provides specialized oilfield services and equipment primarily to independent and major oil and gas companies engaged in the exploration, production, and development of oil and gas properties throughout the United States. The company's operating segment includes Technical Services and Support Services. It generates maximum revenue from the Technical Services segment. Technical Services segment consists primarily of pressure pumping, downhole tools, coiled tubing, snubbing, nitrogen, well control, wireline, and fishing. Support Services segment consists primarily of drill pipe and related tools, pipe handling, pipe inspection and storage services, and oilfield training and consulting services.

Executives

Gary W. Rollins Voting Trust U/a Dated September 14, 1994	10 percent owner	C/O RFA MANAGEMENT COMPANY, LLC, 1908 CLIFF VALLEY WAY, NE, ATLANTA GA 30329
Amy Rollins Kreisler	director	2801 BUFORD HIGHWAY, NE, SUITE 520, ATLANTA GA 30329
Timothy Curtis Rollins	director	2801 BUFORD HIGHWAY, NE, SUITE 520, ATLANTA GA 30329
Pam R Rollins	director	2170 PIEDMONT ROAD, ATLANTA GA 30324
Gary W Rollins	director, 10 percent owner	2170 PIEDMONT ROAD NE, ATLANTA GA 30324
Lor Inc	10 percent owner	C/O RFA MANAGEMENT COMPANY, LLC, 1908 CLIFF VALLEY WAY NE, ATLANTA GA 30329
Michael Schmit	officer: CFO and Corporate Secretary	3055 TORRINGTON DRIVE, BALL GROUND GA 30107
John F Wilson	director	2170 PIEDMONT ROAD, NE, ATLANTA GA 30324
Rollins Holding Company, Inc.	10 percent owner	C/O RFA MANAGEMENT COMPANY, LLC, 1908 CLIFF VALLEY WAY NE, ATLANTA GA 30329
Ben M Palmer	officer: VP, CFO and Treasurer	C/O MARINE PRODUCTS CORP, 2170 PIEDMONT RD, NE, ATLANTA GA 30324
Patrick J. Gunning	director	1958 CALDER COURT, DUNWOODY GA 30338
Susan R. Bell	director	852 CASTLE FALLS DR., ATLANTA GA 30329
Harry J Cynkus	director	2170 PIEDMONT RD, ATLANTA GA 30324
Jerry W Nix	director	2999 WILDWOOD PARKWAY, ATLANTA GA 30339
R. Randall Rollins 2012 Trust	10 percent owner	C/O RFA MANAGEMENT COMPANY, LLC, 1908 CLIFF VALLEY WAY, NE, ATLANTA GA 30329