Precision Drilling Corporation · TSX:PD
Precision Drilling — Q1 2026 Earnings Presentation
21 slides from Precision Drilling's earnings presentation, Apr 30, 2026
Slide 1: Precision Drilling Corporation Investor Presentation
PRECISION DRILLING CORPORATION May 2026 - Investor Presentation
Slide 2: Forward-Looking Statement
FORWARD-LOOKING STATEMENT Certain statements contained in this report, including statements that contain words such as "could", "should", "can", "anticipate", "estimate", "intend", "plan", "expect", "believe", "will", "may", "continue", "project", "potential" and similar expressions and statements r
Slide 3: Precision Highlights
PRECISION HIGHLIGHTS Global Oilfield Service Company #1 Land Driller in Canada, Top U.S. Land Driller, Super Highly Desirable Super Triple Rigs in All Major Triple & Super Single Rigs; Basins; 80 Marketed Rigs 95 Marketed Rigs Active in Kuwait & Saudi #1 Well Service Provider in Arabia, 7 Rigs Contr
Slide 4: Strategic Priorities for 2026
STRATEGIC PRIORITIES FOR 2026 1. Drive revenue growth and deepen customer relationships through upgrades, operational excellence, and by leveraging technology 2. Maximize free cash flow through disciplined capital deployment and strict cost management 3. Enhance shareholder returns by reducing debt
Slide 5: Robust Free Cash Flow Yield
ROBUST FREE CASH FLOW YIELD Future Free Cash Flow Drivers >10% #1 Land Driller Canada, #2 in North America U.S. Upside to Oil Rebound plus Levered to Long-term FREE CASH FLOW YIELD POTENTIAL Gas Growth Analyst Estimates for $192M Consistent International High-Quality, Recurring 2026 Free Cash Flow1
Slide 6: Enhancing Shareholder Returns
ENHANCING SHAREHOLDER RETURNS Cumulative Debt Reduction & Share Repurchases1 $1.7B Returned to Shareholders1 2,000 1,800 1,695 1,724 Cum. Reduction/Repurchase (C$M) 1,600 1,519 1,400 1,267 Moving Direct Shareholder 1,200 969 1,085 1,000 Returns Up to 50% of FCF in 2026 800 667 849 600 436 400 262 20
Slide 7: Debt Reduction Progress
DEBT REDUCTION PROGRESS1 7.9x ENHANCING SHAREHOLDER $2.0 LONG-TERM DEBT RETURNS – DEBT REDUCTION $1.6 (US$ BILLIONS) $1.2 1.2x Approaching $0.8 1.0x $0.4 $25M Debt Repaid in Q1/2026 $0.0 Target of $700M from 2022-2027 & Achieve Net Debt To Adj EBITDA < 1.0x DEBT MATURITY PROFILE2 $560M repaid as o
Slide 8: Share Buyback Progress
ENHANCING SHAREHOLDER RETURNS – SHARE BUYBACKS SHARE BUYBACK PROGRESS PRECISION DRILLING OUTSTANDING SHARES (MILLIONS) 15.0 Reduced Share Count 11% Since Q1 2024, 6% reduction in 2025 11% decrease 14.0 Repurchased $76M of Shares in 2025 and met 13.0 target of between 35% to 45% of FCF 12.0 Targeting
Slide 9: Growing Revenue from Existing Service Lines
GROWING REVENUE FROM SUPER TRIPLE RIG FEATURES 01 Up to 39,000 ft 5.5” Racking Capacity EXISTING SERVICE LINES 02 AlphaAutomation , AlphaApps & AlphaAnalytics 06 03 Drilling Equipment Control System Allocating $97M to upgrades in 2026 04 High Speed Downhole Data 05 Omni-Directional Pad Walking Syste
Slide 10: #1 Land Driller in Attractive Canadian Market
#1 LAND DRILLER IN ATTRACTIVE CANADIAN MARKET Leveraged to High-Inventory Developments Most active driller in Canada, 36% market share1 Our Super Triple & Super Single rigs in high demand World-Class Oil and Natural Gas Plays Montney World-class oil and natural gas play Most remaining oil in
Slide 11: Tight Super Series Rig Market Supporting Strong Margins
TIGHT SUPER SERIES RIG MARKET SUPPORTING STRONG MARGINS Highly Desirable PD Super Series Rigs Current Winter Canadian Play Preferred Rig Fleet Utilization1 Montney/LNG PD Super Triple 32 ~90-95% Oil Sands/Clearwater PD Super Single 48 ~90-95% Other Plays Tele Double 15 ~50-55% Total Canada 95 ~85-90
Slide 12: Competitive Advantage of PD Super Series Rigs
COMPETITIVE ADVANTAGE OF PD SUPER SERIES RIGS High Performance, High Value Service Offering Aligned With Customer Needs Super Triple Super Single (2000, 1500 & 1200 HP) Preferred Rig for Montney/LNG Preferred Rig for Canadian & U.S. Extended Reach Drilling Heavy Oil Drilling Delivering cost-effect
Slide 13: US Levered to Oil Rebound & Long-Term Gas Growth
US LEVERED TO OIL REBOUND & LONG-TERM GAS GROWTH PRECISION’S ACTIVE U.S. BASINS U.S. Activity Expected to Improve Through Year Oil drilling activity poised for rebound with higher WTI futures prices Notable increase in inquiries from both oil and gas customers Gas drilling driven by new LNG of
Slide 14: Consistent International Operations
CONSISTENT INTERNATIONAL OPERATIONS PRECISION INTERNATIONAL ACTIVITY Established & Stable Operations Successful international operator for over a decade R904 rated top performing deep-well drilling rig in Kuwait¹ Expect 7 rigs active in 2026 (4 Kuwait and 3 Saudi Arabia) Early 2026, demobili
Slide 15: High-Quality Completion & Precision Well Service
HIGH-QUALITY COMPLETION & PRECISION WELL SERVICE PRODUCTION CASH FLOW CANADIAN LOCATIONS Premier Well Service Provider In Canada Consolidated the business with two acquisitions1 Size and scale providing increased opportunities Strong FCF With Min Capex Requirements Longer-life assets with a st
Slide 16: Margin Enhancement via Value-Add Technology
MARGIN ENHANCEMENT VIA VALUE-ADD TECHNOLOGY Fully Digital Automation: A Game Changer Empowering our Customers: Driving Sustainability Transforming traditional drilling into highly efficient Leveraging a combination of hybrid power systems, and data-driven processes optimized fuel monitoring
Slide 17: May Precision Market Update
17 MAY PRECISION MARKET UPDATE Firm Commitment To Debt Precision Drilling Activity Tight Super Series Rig PD’s Super Series Rigs Reduction & Share Update Market Supporting Strong Provide Competitive Buyback Targets Margins Advantage Expect to reduce debt by Cdn 2026 winter drilling In Canada,
Slide 18: Creating Shareholder Value
CREATING SHAREHOLDER VALUE Delivering High Generating Significant Free Performance, High Value Cash Flow Services Strict Cost Management Disciplined Investments In & Capital Discipline Our People & Equipment Higher Equity Valuation Through Strong FCF Yield, Deleveraging & Share Repurchases INVESTOR
Slide 19: Appendix
APPENDIX Precision Drilling Corporation
Slide 20: Historical Industry Drilling Activity
HISTORICAL INDUSTRY DRILLING ACTIVITY U.S. LAND RIG COUNT 10 YEAR HISTORY CANADIAN LAND RIG COUNT 5 YEAR HISTORY 1,200 918 300 2019 Avg Active Rigs 31% decline Jan 1/23 to 250 176 185 1,000 2024 Avg Dec 30/25 2023 Avg Active Rigs Active Rigs 705 174 2022 Avg 200 2022 Avg 800 Active Rigs Active Rigs
Slide 21: 2025 Strategic Priorities & Results
2025 STRATEGIC 1. Maximize free cash flow through disciplined capital deployment and strict cost management Generated $413M cash, funding rig upgrades, meeting debt reduction/share repurchase goals, and increasing cash balance PRIORITIES & RESULTS Proactively reduced fixed cost structure Deliv