By Sabela Ojea
Precision Drilling said it is increasing the size of its share buyback program amid plans to further reduce its debt position.
The Canadian drilling rig company on Tuesday said that it returned $75 million to shareholders through stock repurchases, decreasing the number of shares outstanding by 4% as of Dec. 31.
Precision Drilling, which expects to release its fourth-quarter results after the market closes on Feb. 12, said that drilling field margins in Canada and the U.S. are expected to align with its previous guidance.
The company's long-term debt reduction target of repaying $600 million between 2022 and 2026 remains unchanged, it added.
"With a strong free cash flow outlook, we plan to improve our capital returns to shareholders in 2025 by continuing to reduce our debt and increasing the percentage of free cash flow returned directly to shareholders," Finance Chief Carey Ford said.
Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix
(END) Dow Jones Newswires
January 07, 2025 06:18 ET (11:18 GMT)
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