Helmerich & Payne Inc. (NYSE:HP) saw its shares fall more than 4% intra-day on Tuesday after reporting an unexpected fourth-quarter loss, overshadowing stronger-than-expected revenue.

The drilling contractor posted an adjusted loss of $0.01 per share for the quarter ended September 30, 2025, missing analyst expectations for $0.21 in earnings. Revenue totaled $1.01 billion, above the consensus estimate of $968.58 million. The bottom-line disappointment was driven by $56 million in non-recurring charges, contributing to a consolidated net loss of $57 million, or $0.58 per share.

North America Solutions generated operating income of $118 million, down from $158 million in the prior quarter. The segment posted direct margins of $242 million, or $18,620 per day. The International Solutions division recorded an operating loss of $75 million, though this marked an improvement from the prior quarter's $167 million loss.

Looking ahead, Helmerich & Payne projected fiscal 2026 gross capital expenditures of $280 million to $320 million, below 2025 levels. The company said it had repaid $210 million of its $400 million term loan by the end of October and expected to retire the remaining balance by the end of the third fiscal quarter of 2026.

For the first quarter of fiscal 2026, the firm expected North America Solutions direct margins between $225 million and $250 million, with an average contracted rig count of 138 to 144 rigs.