Greetings, and welcome to the Parker Wellbore second quarter 2023 conference call. At this time, all participants are on a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star 0 on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Gene Davis. Thank you, Mr. Davis. You may begin. Good morning, and thank you for joining today's conference call. My name is Davis. I'm the Chairman of Parker Wellbore. Joining me today are Sandy Esslemont, our President and Chief Executive Officer, and Mike Sumruld, the Chief Financial Officer. We're pleased to have this opportunity to speak with you to share our 2023 2Q results, as well as to provide updates for our outlook for 2023. Let me turn the call over to Mike to discuss the results. Mike? Thank you, Gene. Good morning, everyone. During today's call, management may make statements regarding future expectations about the company's business, management's plans for future operations, or similar matters. These statements, which speak only as of the date of this call, are considered forward-looking statements within the meaning of U.S. securities laws. Actual results may differ materially due to several important factors. In addition, throughout the call, management will refer to non-GAAP financial measures. A reconciliation of these measures is available in the current management report. This report, as well as our quarterly financial statements, can be found with the Investor Portal section of our website. As a reminder, for the financial results, we have reported all Russia-related transactions, almost exclusively recorded in 2022 as discontinued operations. All further comments on this call, unless otherwise specified, will only address continuing operations. For the second quarter of 2023, we reported revenue of $150.8 million and net income of $7 million. We delivered a strong adjusted EBITDA margin of 26% of revenue, or $39.2 million, despite the 11% slide in US land rig count and continued global macro uncertainties. As Sandy will comment shortly, in the face of these broad challenges, we still expect earnings to grow in the third and fourth quarters. In our North America geomarket, revenues of $104.3 million, up $2.4 million, representing a 2% quarter-on-quarter increase. The revenue growth was principally driven by drilling activities in Alaska and Canada. 1 of our rigs in Alaska spud late in the second quarter, following a year of reactivation and mobilization, all of which was covered by the client. We also had a full quarter of O&M on a customer-owned rig in Alaska versus only part of the first quarter, and our O&M operations in Canada achieved a higher incentive rate during the quarter based on our performance pricing contract. Partially offsetting these gains, we saw a reduction in tubular rentals activity in US land as rig count over the quarter contracted. However, our activity declines were not as pronounced as the reduction in rig count, as our exceptional service delivery continues to support elevated pricing and an improving market share position. Our second quarter gross margin was $43 million, a sequential decrease of $3.8 million, or 8%, driven almost exclusively by high-margin product sale in the first quarter that did not reoccur in the second. In our Latin America geomarket, we reported revenue of $11.9 million, a sequential increase of $3.2 million, or 37% quarter-on-quarter. Our gross margin at $1.8 million was an increase of $2.4 million from the prior quarter. The revenue and gross margin growth was supported by all service offerings in the geomarket. As we noted in our previous call, the first quarter was a transition period in Mexico, where two of our three rigs were not on an operating rate for the full period. At the time, we also experienced delays for the Guatemala rig commissioning project. In the second quarter, all three rigs worked for the full quarter, contributing meaningfully to the revenue and gross margin growth. The commissioning project restarted in the middle of the quarter, as we expected. We also experienced increased surface and tubular and well construction activity in Mexico. These improvements were partially offset by mobilization and contract amortization that ended in the first quarter on one of our rigs. In our Europe, Africa, and CIS geomarket, revenue grew $5.3 million sequentially, or 45%, from $11.9 million in the first quarter to $17.2 million in the second quarter. The revenue growth was primarily driven by a low-margin equipment sale in Kazakhstan. Offsetting this increase, our Norwegian operations reported slightly lower seasonal machine shop activity, while surface and tubular activity in the Netherlands was lower, largely due to the completion of operations with a key customer. The geomarket reported a $1.9 million gross margin loss in the second quarter versus a $100,000 loss in the first quarter. The second quarter loss was impacted by unusually high repair costs in Kazakhstan and a reduction of activity in the Netherlands. Our Middle East/Asia Pacific geomarket revenue was $17.5 million, or 5% higher than the previous quarter revenue of $16.6 million. Gross margin increased $700,000 sequentially to $100,000.... We've long discussed the mid-year 2023 start of operations for a supermajor customer in Bangladesh, and we expect to spud in the next couple of weeks. These operations were the primary contributor to the growth in revenue and gross margin in the quarter, as we generated standby and rental revenue through the move. We also realized an increase in well construction activities in our market share leading tubular running services business in Saudi Arabia. Partially offsetting these items, we experienced lower well intervention activity in the UAE, and also completed several well construction and well intervention projects in India, while new follow-on projects were postponed by our customers from the second quarter into the back half of the year. Regarding other financial items, G&A of $4.8 million was down $300,000 sequentially, as we continue to focus on controlling our support costs as the business grows. Capital spending for the second quarter was $32.9 million, a sequential decrease of $6.5 million, or 17%. Approximately 60% of the spend was to support our premium drill pipe and tubular running services businesses in the North America geomarket. Another 32% was in support of projects where we have arranged prepayments with customers to cover certain rig upgrades prior to or immediately after operations commencing, a negotiated structure that will continue to materially benefit us in 2023 and 2024 as these assets become operational. The remaining investment covers maintenance of our operating rig fleet across the globe and our continued growth in tubular running services, driving increased share and resulting in leading positions in several key oil and gas markets. We expect these investments to have very high returns on capital and will seek opportunities to deploy capital where activity and returns dictate. Lastly, we recorded $57.2 million of cash at the end of the quarter, a sequential increase of $8.4 million or 17.2%. The increase in cash during the quarter was driven by earnings and lower working capital, the latter of which was largely related to customer payments for reactivation and mobilization of our rig in Alaska. These increases during the quarter were partially offset by capital spending. We expect our cash position to continue to improve materially through the remainder of the year. Including $25.7 million of availability from our ABL, we have total liquidity of $82.9 million at the end of the quarter. With that, I'll turn it over to Sandy to discuss operations and update our 2023 outlook. Sandy? Thank you, Mike. As always, it's a pleasure to speak with you today. Before I share some operational highlights and forward expectations, we're proud to announce the release of our 2022 ESG report, highlighting our commitment to sustainability and responsible business practices. In this report, we show progress towards our six-point plan outlined in our inaugural 2021 ESG report through data and key performance indicators. This informative report can be found on our website under ESG Performance. Moving on to company performance. As Mike mentioned, we posted strong second quarter financial results, which were largely consistent with the first quarter. Excluding the exceptional sales of equipment in the first and second quarters in Alaska and Kazakhstan, our second quarter was flat on revenue, but delivered an additional $1.1 million in adjusted EBITDA, or 3% sequentially. Considering the global macroeconomic headwinds, highlighted by declining U.S. rig count and continued inflationary and recessionary pressures, we are pleased with these solid results. Through the balance of the year and into 2024, we see three broad themes emerging for Parker Wellbore. First, we anticipate a flattening of U.S. land rig count, which we expect to support relatively stable rental tool services in the U.S. Next, we expect continued international growth in key markets where we operate to provide the foundation for further expansion of our rental services. Lastly, our execution of numerous drilling contracts over the past year will result in 9 of our land rigs operating in 2023, 4 of which will be reactivated in the back half of the year. As a result of these items, we expect material improvement in our financial results as we push through the end of the year. Taking a closer look at the business. In the North America geomarket, we began operating with the first of our two owned Arctic Alaska Drilling Units at the end of the quarter. I look forward to providing excellent service delivery to our customer in this multiyear contract. The second Arctic Alaska Drilling Unit, as I noted in our previous call, is under contract and is currently being prepared for an expected spud toward the beginning of the fourth quarter. While we haven't experienced a commensurate drop in our results relative to the dip in U.S. rig count during the quarter, we are cautious about the outlook in our rental service business. We expect U.S. rig count to hover around current activity levels, and therefore expect the performance of our rental services business to remain relatively flat for the balance of the year. We currently have four of our owned barge rigs on contract in the inland waters of the Gulf of Mexico, a market that steadily continues to provide utilization opportunities with one of those contracted rigs slated for carbon capture and storage activity in support of energy transition. Our O&M projects in Alaska will continue through 2023, as will our Eastern Canada offshore O&M project, which earned our highest contractual incentive award during the second quarter as a result of our exceptional performance. These projects provide a solid foundation to support opportunities to bring additional services into the mix, as we have done recently, again, executing our One Parker strategy. In the Latin America geomarket, we currently have all three of our rigs operating and expect two of them to continue through the balance of the year, while the third will have a brief stack period before restarting late in the fourth quarter. The two rigs on contract through the end of 2023 have options to extend through 2024. During the second quarter, our Latin America team started an O&M project in Guatemala, utilizing a rig we sold to the operator in 2022, and we expect this O&M work to continue periodically through 2023 and beyond, providing capital-light earnings into the future. Lastly, we anticipate activity and pricing in well construction services and surface and tubular rentals in Mexico and Colombia to remain relatively stable through the end of the year, increasing slightly into the fourth quarter. In our Europe, Africa, and CIS geomarket, two of our three rigs in Kazakhstan continue operating under a long-term contract up to five years, providing profitable and stable earning streams. We're continuing to collaborate with our customer on a long-term scope of work for our unique arctic-class barge rig in the Caspian Sea. The customer would like to reactivate the rig, which is currently on standby, to support relief well efforts associated with a broader workover and drilling campaign, which would last for at least five years, including reactivation. Our North Sea operations in the U.K. and Netherlands are expected to improve modestly as activity returns, while we will leverage the footprint of our recently acquired business in Norway to expand our services in the Norwegian sector and pursue opportunities in the largest platform O&M market in the world. In the Middle East/Asia Pacific geomarket, our rig arrived in Bangladesh during the quarter and is mobilizing to location for a third quarter spot. We're looking forward to showcasing our operational excellence once the drilling campaign for our supermajor customer commences. We recently negotiated an amendment to expand that drilling program from one to three wells, creating additional backlog into 2024. Our rig in Indonesia is currently on an operating rate, drilling geothermal wells, and we expect additional activity once that project is complete. Our TRS market leading positions in Saudi Arabia, UAE, and India will continue to drive positive expansion through the back half of the year. As we assess the global macroeconomic backdrop for the balance of the year, we have adjusted our outlook and now anticipate delivering full-year revenue between $600 million-$650 million, with EBITDA to range between $170 million-$200 million. We anticipate spending approximately $100 million of non-customer reimbursed CapEx, which we will adjust based on market conditions. We continue to structure unique agreements with our customers for prepayment of certain rig upgrades and other equipment purchases prior to operational startup. These arrangements, which may or may not include profit elements, are likely to impact reported CapEx but are at worst, cash neutral for us, and we have approximately $15.1 million of these prepaid agreements in 2023. Further on CapEx, thematic to our recent comments, we have a number of rigs reactivating expansion across the globe in our rentals business that demand outsized spending to support the growth. We generally expect to normalize CapEx for our current level of activity between 75% and 85% of projected 2023 spend. Much of that spend will continue to support our US rentals business and continued rig maintenance. We now expect our cash taxes to be between $8 million-$12 million, our cash interest to be $24 million, and our working capital to range between -$10 million to +$10 million. We are pleased with our second quarter results and are optimistic about the remainder of 2023 as we focus on execution and exceptional service delivery for our customers across the globe. Our One Parker strategy continues to provide opportunities for our employees to exceed customer expectations and achieve operational excellence. That concludes my comments. Gene? Yes, thanks, Sandy. Let's open the line for questions, operator. Thank you. We will now be conducting a question-and-answer session. If you would like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two if you would like to remove your question from the queue. Participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. Again, if you would like to ask a question, you may press star one on your telephone keypad to join the question-and-answer queue. It looks like there are no questions at this time. Therefore, this concludes the question-and-answer session. I'll turn the floor back over to management for closing remarks. All right. That concludes our question-and-answer session. Thank you, operator. Thank you to all of our investors for your continuing support and interest in Parker Wellbore. We look forward to bringing more exciting news in the coming quarters. Please contact us if you have any questions regarding material covered during this call. This ends our second quarter earnings call. Goodbye, and have a great day and a great weekend. Thank you, operator. You can disconnect. Thank you, ladies and gentlemen. Thank you for your participation. This does conclude today's teleconference. You may disconnect your lines and have a wonderful day. Thank you. Bye.
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