Ranger Energy Services, Inc. reported its financial results for the third quarter and nine months ended September 30, 2024, reflecting a decline in overall revenue and net income compared to the same periods in 2023. For the third quarter, total revenue was $153.0 million, down 7% from $164.4 million in Q3 2023. The nine-month revenue also decreased by 12%, totaling $428.0 million compared to $485.1 million in the prior year.
The company's High Specification Rigs segment showed resilience, with revenue increasing to $86.7 million in Q3 2024, a 9% rise from $79.2 million in Q3 2023, driven by improved pricing and a 6% increase in average revenue per rig hour. However, the Wireline Services segment experienced a significant decline, with revenue falling 43% to $30.3 million, primarily due to a $26.0 million drop in completion services revenue. Processing Solutions and Ancillary Services reported a 13% increase in revenue to $36.0 million, attributed to growth in rentals and logistics.
Net income for Q3 2024 was $8.7 million, a decrease of 7% from $9.4 million in Q3 2023. For the nine-month period, net income fell 42% to $12.6 million from $21.7 million in the previous year. The decline in profitability was largely due to reduced activity in the Wireline Services segment, which saw a 44% drop in revenue year-to-date.
Operating income for the third quarter improved to $12.9 million, up from $11.7 million in Q3 2023, while total operating expenses decreased to $140.1 million from $152.7 million. The cost of services for the third quarter decreased by 9% to $122.0 million, with a notable reduction in Wireline Services costs.
Strategically, Ranger Energy Services made an acquisition of fixed assets from Pegaso Energy Services, LLC for $7.3 million in cash, enhancing its pump down services. The company also continued its share repurchase program, repurchasing $1.7 million worth of Class A Common Stock during the third quarter, bringing the total repurchased since the program's inception to $34.5 million.
As of September 30, 2024, cash and cash equivalents stood at $14.8 million, down from $15.7 million at the end of 2023. Total assets decreased to $373.9 million, while total stockholders' equity was reported at $267.6 million, down from $271.8 million at year-end 2023. The company maintained compliance with its credit agreement, which provides a secured credit facility of $75 million, with $71.3 million available for borrowings as of the reporting date.
About Ranger Energy Services, Inc.
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