6-K - PDS - Equibles

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

Pursuant to Section 13a-16 or 15d-16 of the

Securities Exchange Act of 1934

For the month of, October 2025

Commission File Number: 001-14534

Precision Drilling Corporation

(Exact name of registrant as specified in its charter)

800, 525 - 8 Avenue S.W.Calgary, AlbertaCanada T2P 1G1

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F        Form 40-F  X

SIGNATURE

Pursuant to the requirements of Section 12 of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Dated: October 23, 2025	PRECISION DRILLING CORPORATION
	By:	/s/Dustin D Honing
	Name:	Dustin D. Honing
	Title:	Chief Financial Officer
Exhibit	DESCRIPTION
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31.1	Certification of Chief Executive Officer, Carey Ford, regarding the “Certification of Interim Filings” pursuant to Form 52-109F2.
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31.2	Certification of Chief Financial Officer, Dustin Honing, regarding the “Certification of Interim Filings” pursuant to Form 52-109F2.
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99.1	Management’s Discussion and Analysis for the period ended September 30, 2025.
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99.2	Consolidated Financial Statements for the period ended September 30, 2025.
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Exhibit 31.1

FORM 52-109F2

CERTIFICATION OF INTERIM FILINGS

I, Carey T. Ford, President and Chief Executive Officer of Precision Drilling Corporation, certify the following:

1.	Review: I have reviewed the interim financial report and interim MD&A (together, the<br>"interim filings") of Precision Drilling Corporation (the "issuer"), for the interim period ended September 30, 2025.
2.	No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the<br>interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that<br>is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered<br>by the interim filings.
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3.	Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim<br>financial report together with the other financial information included in the interim filings fairly present in all material respects<br>the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim<br>filings.
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4.	Responsibility: The issuer’s other certifying officer and I are responsible for establishing<br>and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are<br>defined in National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings, for the issuer.
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5.	Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's<br>other certifying officer and I have, as at the end of the period covered by the interim filings
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(a)	designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance<br>that
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(i)	material information relating to the issuer is made known to us by others, particularly during the period<br>in which the interim filings are being prepared; and
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(ii)	information required to be disclosed by the issuer in its annual filings, interim filings or other reports<br>filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified<br>in securities legislation; and
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(b)	designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding<br>the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer’s<br>GAAP.
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5.1	Control framework: The control framework the issuer's other certifying officer and I used<br>to design the issuer's ICFR is the Committee of Sponsoring Organizations of the Treadway Commission (COSO) (1992) and the Control Objectives<br>for Information and Related Technologies (COBIT).
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5.2	ICFR – material weakness relating to design: N/A.
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5.3	Limitation on scope of design: N/A.
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6.	Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in<br>the issuer’s ICFR that occurred during the period beginning on July 1, 2025 and ended on September 30, 2025 that has<br>materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.
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Date: October 23, 2025

By:	/s/ Carey T. Ford
	Name:  Carey T. Ford<br><br> <br>Title:  President and Chief Executive Officer

Exhibit 31.2

FORM 52-109F2

CERTIFICATION OF INTERIM FILINGS

I, Dustin D. Honing, Chief Financial Officer of Precision Drilling Corporation, certify the following:

1.	Review: I have reviewed the interim financial report and interim MD&A (together, the<br>"interim filings") of Precision Drilling Corporation (the "issuer"), for the interim period ended September 30, 2025.
2.	No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the<br>interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that<br>is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered<br>by the interim filings.
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3.	Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim<br>financial report together with the other financial information included in the interim filings fairly present in all material respects<br>the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim<br>filings.
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4.	Responsibility: The issuer’s other certifying officer and I are responsible for establishing<br>and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are<br>defined in National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings, for the issuer.
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5.	Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's<br>other certifying officer and I have, as at the end of the period covered by the interim filings
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(a)	designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance<br>that
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(i)	material information relating to the issuer is made known to us by others, particularly during the period<br>in which the interim filings are being prepared; and
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(ii)	information required to be disclosed by the issuer in its annual filings, interim filings or other reports<br>filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified<br>in securities legislation; and
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(b)	designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding<br>the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer’s<br>GAAP.
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5.1	Control framework: The control framework the issuer's other certifying officer and I used<br>to design the issuer's ICFR is the Committee of Sponsoring Organizations of the Treadway Commission (COSO) (1992) and the Control Objectives<br>for Information and Related Technologies (COBIT).
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5.2	ICFR – material weakness relating to design: N/A.
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5.3	Limitation on scope of design: N/A.
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6.	Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in<br>the issuer’s ICFR that occurred during the period beginning on July 1, 2025 and ended on September 30, 2025 that has<br>materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.
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Date: October 23, 2025

By:	/s/Dustin D. Honing
	Name:   Dustin D. Honing<br><br> <br>Title:     Chief Financial Officer

Exhibit 99.1

PRECISION DRILLING CORPORATION

Third Quarter Report for the three and nine months ended September 30, 2025 and 2024

This report contains “forward-looking information and statements”within the meaning of applicable securities laws. For a full disclosure of the forward-looking information and statements and the risksto which they are subject, see the “Cautionary Statement Regarding Forward-Looking Information and Statements” later in thisreport. This report contains references to certain Financial Measures and Ratios, including Adjusted EBITDA (earnings before income taxes,loss (gain) on investments and other assets, finance charges, foreign exchange, gain on asset disposals and depreciation and amortization),Funds Provided by (Used in) Operations, Net Capital Spending, Working Capital and Total Long-term Financial Liabilities. These terms donot have standardized meanings prescribed under International Financial Reporting Standards (IFRS) Accounting Standards and maynot be comparable to similar measures used by other companies. See “Financial Measures and Ratios” later in this report.

Precision Drilling Corporation ("Precision" or the "Company")(TSX:PD; NYSE:PDS) announces its 2025 third quarter results, confirms shareholder return targets, and continues to strengthen its NorthAmerican Super Series rig fleet to meet customer demand.

Financial Highlights

·	Revenue of $462 million was 3% lower than $477 million reported in the third quarter of 2024, representing<br>a relative outperformance versus industry drilling rig activity declines of 15%^(1)^<br>in Canada and 7%^(1)^ in the U.S. over the comparable period.
·	Adjusted EBITDA^(2)^ was $118 million, including $11 million<br>of share-based compensation expense. In 2024, third quarter Adjusted EBITDA was $142 million and included a share-based compensation recovery<br>of $0.2 million.
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·	Net earnings attributable to shareholders was a loss of $7 million<br>as we recorded a higher deferred income tax expense related to our U.S. operations. In the third quarter of 2024, net earnings attributable<br>to shareholders was $39 million.
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·	Cash provided by operations during the quarter was $76 million,<br>allowing the Company to repay $10 million of debt and achieve its annual guidance target three months early. Precision also repurchased<br>$9 million of common shares, bringing year-to-date repurchases to $54 million.
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·	Capital expenditures were $69 million during the quarter and $182<br>million for the first nine months of the year. During the quarter, Precision upgraded and moved two Super Triple rigs from the<br>U.S. under long-term contracts and secured additional customer-funded upgrades in Canada and the U.S. As a result, the Company revised<br>its 2025 capital budget to $260 million from $240 million.
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Operational Highlights

·	Canada averaged 63 active drilling rigs, a 13% decrease in rig utilization<br>days from the third quarter of 2024, reflective of lower industry activity.
·	Canadian revenue per utilization day increased to $34,193 from $32,325,<br>primarily due to rig mix as we had more active Super Triples.
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·	U.S. averaged 36 active rigs versus 35 in the third quarter of 2024,<br>while industry activity was down 40^(1)^ rigs over this same period. For the past two quarters, Precision's U.S. rig utilization<br>days increased 24% while industry activity declined 8%^(1)^.
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·	U.S. revenue per utilization day was US$31,040 compared to US$32,949<br>in the same period last year, as lower industry demand placed downward pressure on rates.
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·	Internationally, we averaged seven active rigs versus eight in the<br>third quarter of 2024, while revenue per utilization day was US$53,811 compared to US$47,223 due to planned rig recertifications in 2024.
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·	Canadian well service rig operating hours increased 6% versus the<br>same quarter in 2024.
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(1)	See "SEGMENT REVIEW OF CONTRACT DRILLING SERVICES".
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(2)	See “FINANCIAL MEASURES AND RATIOS”.
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SELECT FINANCIAL AND OPERATING INFORMATION

Financial Highlights

	For the three months ended September 30,
(Stated in thousands of Canadian dollars, except per share amounts)		2025		2024		% Change		2025		2024		% Change
Revenue		462,250		477,155		(3.1	)	1,365,196		1,434,157		(4.8	)
Adjusted EBITDA^(1)^		117,632		142,425		(17.4	)	363,229		400,695		(9.4	)
Net earnings (loss)		(6,472	)	39,183		(116.5	)	44,962		96,400		(53.4	)
Net earnings (loss) attributable to shareholders		(6,761	)	39,183		(117.3	)	44,017		96,400		(54.3	)
Cash provided by operations		75,869		79,674		(4.8	)	286,783		319,292		(10.2	)
Funds provided by operations^(1)^		96,541		113,322		(14.8	)	310,673		342,837		(9.4	)
Cash used in investing activities		61,194		38,852		57.5		154,445		141,032		9.5
Capital spending by spend category^(1)^
Expansion and upgrade		35,314		7,709		358.1		81,617		30,501		167.6
Maintenance and infrastructure		34,012		56,139		(39.4	)	100,447		127,297		(21.1	)
Proceeds on sale		(6,200	)	(5,647	)	9.8		(21,794	)	(21,825	)	(0.1	)
Net capital spending^(1)^		63,126		58,201		8.5		160,270		135,973		17.9
Net earnings (loss) attributable to shareholders per share:
Basic		(0.51	)	2.77		(118.4	)	3.28		6.74		(51.4	)
Diluted		(0.51	)	2.31		(122.1	)	3.09		6.73		(54.1	)
Weighted average shares outstanding:
Basic		13,211		14,142		(6.6	)	13,430		14,312		(6.2	)
Diluted		13,211		14,890		(11.3	)	14,070		14,317		(1.7	)
(1)	See “FINANCIAL MEASURES AND RATIOS”.
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Operating Highlights


	2025	2024	% Change		2025	2024	% Change
Contract drilling rig fleet	215	214	0.5		215	214	0.5
Drilling rig utilization days:
Canada	5,766	6,586	(12.5	)	17,026	17,667	(3.6	)
U.S.	3,341	3,196	4.5		9,065	9,885	(8.3	)
International	644	736	(12.5	)	2,044	2,192	(6.8	)
Revenue per utilization day:
Canada (Cdn)	34,193	32,325	5.8		35,695	34,497	3.5
U.S. (US)	31,040	32,949	(5.8	)	31,693	33,011	(4.0	)
International (US)	53,811	47,223	14.0		52,037	51,761	0.5
Operating costs per utilization day:
Canada (Cdn)	21,186	19,448	8.9		21,375	20,196	5.8
U.S. (US)	22,340	22,207	0.6		22,709	22,113	2.7
Service rig fleet	152	155	(1.9	)	148	155	(4.5	)
Service rig operating hours	63,522	59,883	6.1		172,936	184,546	(6.3	)

All values are in US Dollars.

Drilling Activity

	Average for the quarter ended 2024
		Mar. 31	June 30	Sept. 30	Dec. 31	Mar. 31	June 30	Sept. 30
Average Precision active rig count^(1)^:
Canada		73	49	72	65	74	50	63
U.S.		38	36	35	34	30	33	36
International		8	8	8	8	8	7	7
Total		119	93	115	107	112	90	106
(1)	Average number of drilling rigs working or moving.
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Financial Position

(Stated in thousands of Canadian dollars, except ratios)	September 30, 2025	December 31, 2024
Working capital^(1)^	164,986	162,592
Cash	38,311	73,771
Long-term debt	687,732	812,469
Total long-term financial liabilities^(1)^	754,334	888,173
Total assets	2,800,895	2,956,315
Long-term debt to long-term debt plus equity ratio ^(1)^	0.29	0.33
(1)	See “FINANCIAL MEASURES AND RATIOS”.
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Summary for the three months ended September 30, 2025:

·	Revenue in the third quarter was $462 million, $15 million lower<br>than the same period last year primarily due to lower Canadian drilling activity offset in part by higher average day rates. With tariff<br>and commodity price uncertainty, some Canadian producers deferred work until this winter season. Revenue from our U.S. drilling, International<br>drilling, and Completion and Production operations were all comparable with the third quarter of 2024.
·	Adjusted EBITDA was $118 million compared to $142 million in the<br>third quarter of 2024. The decrease was mainly attributable to factors impacting revenue plus higher operating costs in Canada and share-based<br>compensation expense, which was $11 million versus a recovery of $0.2 million in the same period last year. For additional information<br>on share-based compensation please refer to "Other Items" later in this report.
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·	Net earnings attributable to shareholders was a loss of $7 million<br>or a loss of $0.51 per share compared to $39 million or $2.77 per share for the same period last year. During the quarter, we recorded<br>a higher deferred income tax expense related to our U.S. operations. For additional information on income taxes please refer to "Other<br>Items" later in this report.
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·	Cash provided by operations was $76 million and the Company repurchased<br>121,364 shares for $9 million and reduced long-term debt by $10 million. We also redeemed the remaining portion of our 2026 unsecured<br>senior notes of $138 million (US$100 million) primarily by drawing $129 million from our Senior Credit Facility. Precision<br>ended the quarter with $38 million of cash and more than $400 million in available liquidity.
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·	In Canada, revenue per utilization day was $34,193 compared to $32,325<br>in the same period last year, primarily due to rig mix as Precision had more Super Triples active in the third quarter of 2025<br>compared with 2024 and higher recoverable costs.
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·	Canadian operating costs per utilization day were $21,186 compared<br>to $19,448, with the increase attributable to more labor related to rig mix, recoverable expenses, and rig move costs as we mobilized<br>two rigs from the U.S.
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·	In the U.S., revenue per utilization day was US$31,040 compared<br>to US$32,949 in the same period last year, as lower industry activity caused downward pressure on rates.
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·	U.S. operating costs per utilization day was US$22,340 versus US$22,207<br>in the third quarter of 2024. With an increasing rig count, our operating costs per utilization day included US$502 of rig reactivation<br>charges compared to US$270 in the same period last year.
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·	Internationally, we had revenue per utilization per day of US$53,811<br>compared to US$47,223 in the same period last year. The lower rate in 2024 was due to planned rig recertifications that resulted in non-billable<br>utilization days. We realized revenue of US$35 million in the third quarter of 2025 and 2024 as the higher revenue per utilization day<br>was offset by lower activity following one Saudi Arabia rig being temporarily suspended in May.
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·	Completion and Production Services revenue was $75 million versus<br>$73 million generated in the third quarter of 2024 as our well service hours increased 6% in Canada. Adjusted EBITDA was $19 million,<br>representing 26% of revenue and similar to 27% in 2024.
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·	General and administrative expenses were $31 million versus $23<br>million in the third quarter of 2024, primarily due to higher share-based compensation expense as our share price appreciated 22% in the<br>quarter.
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·	Capital expenditures were $69 million compared to $64 million in<br>the third quarter of 2024 and included $34 million for the maintenance of existing assets, infrastructure, and intangible assets and $35<br>million for upgrades^(1)^.
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(1)	See “FINANCIAL MEASURES AND RATIOS.”
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Summary for the nine months ended September 30, 2025:

·	Revenue for the first nine months of 2025 was $1,365 million, a<br>decrease of 5% from 2024. The majority of this decrease related to lower activity and day rates in U.S. drilling.
·	Adjusted EBITDA was $363 million versus $401 million in 2024. The<br>decrease was primarily driven by U.S. results, which were in part offset by share-based compensation expense of $18 million compared to<br>$32 million in 2024. On a year-to-date basis, share-based compensation decreased due to lower share price performance relative to 2024.<br>Please refer to “Other Items” later in this report for additional information on share-based compensation.
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·	Net earnings attributable to shareholders was $44 million or $3.28<br>per share compared to $96 million or $6.74 per share in 2024 due to lower Adjusted EBITDA and higher income taxes, partially offset by<br>lower net finance charges. Please refer to “Other Items” later in this report for additional information on income taxes.
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·	Net finance charges decreased $9 million to $44 million as a result<br>of a lower outstanding debt balance, partially offset by the impact of the weakening Canadian dollar on our U.S. dollar-denominated interest<br>expense.
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·	General and administrative costs were $85 million compared to $97<br>million for the first nine months of 2024, primarily the result of lower share-based compensation expense.
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·	Cash provided by operations was $287 million and the Company repurchased<br>767,422 shares for $54 million and reduced debt by $101 million, redeeming $222 million (US$160 million) of 2026 unsecured senior notes<br>while utilizing $122 million on the Senior Credit Facility.
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·	Capital expenditures were $182 million for the first nine months<br>of 2025 and included $100 million for maintenance, infrastructure, and intangible assets, and $82 million for upgrades. By comparison,<br>for the first nine months of 2024, capital expenditures were $158 million and included $127 million for maintenance, infrastructure, and<br>intangible assets, and $31 million for expansion and upgrades. On a year-to-date basis, lower rig utilization days has resulted in lower<br>maintenance expenditures, while strong demand for customer-funded rig upgrades has more than offset this decrease.
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STRATEGY

Precision’s vision is to be globally recognized as the High Performance,High Value provider of land drilling services. We work toward this vision by defining and measuring our results against strategic priorities that we establish at the beginning of every year. Precision’s 2025 strategic priorities and the progress made during the third quarter are summarized below.

1.	Maximize free cash flow through disciplined capital deploymentand strict cost management.
·	Generated cash from operations of $76 million, allowing Precision<br>to reduce debt and buy back shares.
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·	On track to realize approximately $10 million in annual savings<br>following fixed cost reductions in the first quarter to address market uncertainty.
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·	Recorded resilient operating margins^(1)^ in Canada year<br>over year and in the U.S. versus the previous quarter.
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2.	Enhance shareholder returns through debt reduction and sharerepurchases. Plan to reduce debt by at least $100 million and allocate 35% to 45% of free cash flow before debt repayments for sharerepurchases.
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·	Achieved our annual debt reduction target during the third quarter,<br>bringing our year-to-date total to $101 million.
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·	Returned $9 million of capital to shareholders by repurchasing 121,364<br>shares during the quarter. Year to date, we have repurchased $54 million in shares and are on track to meet our annual guidance.
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·	Well positioned to meet our long-term debt reduction target of $700<br>million between 2022 and 2027. As of September 30, 2025, we have reduced our debt by $535 million since the beginning of 2022.
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3.	Grow revenue in existing service lines through contracted upgrades,optimized pricing and utilization, and opportunistic consolidating tuck-in acquisitions.
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·	Maintained strong pricing in Canada with revenue per utilization<br>day improving 6% over the third quarter of 2024.
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·	Grew U.S. rig utilization averaging 36 active rigs versus 33 in<br>the previous quarter while industry activity decreased.
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·	Increased 2025 capital budget to $260 million from $240 million<br>to provide for five additional customer-funded rig upgrades, including two Super Triple rigs moved from the U.S. to Canada under<br>long-term contracts.
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·	Current market conditions and commodity price volatility have made<br>acquisitions less attractive in the near term.
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(1)	Defined as revenue per utilization day less operating costs per utilization day.
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OUTLOOK

Near-term expectations for global energy demand growth continue to be tempered by several geopolitical events, including OPEC+ easing of curtailments, trade and tariff uncertainty, and international conflicts. However, we believe the long-term fundamentals for energy are positive, driven by economic growth, demand from emerging economies, LNG off-take, and natural gas sourced power generation demand for AI data centers.

In Canada, additional takeaway capacity for both oil and natural gas continues to support Canadian activity. LNG Canada made its first shipment at the beginning of July and as customers take a long-term view of this business, demand for our Super Triple rigs is near full capacity. The Trans Mountain pipeline expansion continues to support heavy oil production, driving our Super Single rig utilization toward full capacity. With strong Canadian drilling fundamentals, we expect our winter drilling season to meet or exceed last year's winter activity, assuming supportive commodity prices.

In the U.S., while oil rig activity continues to be challenged, the year-to-date natural gas rig count has increased approximately 20% as customers are becoming more constructive on LNG off-take and AI demand. We have capitalized on these emerging opportunities in natural gas basins such as the Haynesville and Marcellus and increased our U.S. drilling rig utilization days 24% over the last two quarters. We currently have 39 rigs active and continue to have encouraging customer conversations that could result in additional activity increases.

Internationally, we have eight rigs under contract with five active in Kuwait, two active in the Kingdom of Saudi Arabia and one rig temporarily suspended in Saudi Arabia. The majority of our international rigs are under five-year term contracts that extend into 2027 and 2028 and we expect seven active for the remainder of the year. We continue to look for opportunities to leverage our international footprint and expertise.

As the premier well service provider in Canada, the long-term outlook for this business is positive, driven by increased takeaway capacity from the Trans Mountain pipeline expansion and LNG Canada, and our High Performance, High Value service offering. We expect customer demand and pricing to remain strong into the foreseeable future, assuming no significant change in market conditions.

Overall, our outlook for the remainder of the year remains optimistic but will continue to be commodity price dependent. With the constructive commodity prices we experienced at the beginning of the fourth quarter, we expect our fourth quarter activity levels to be steady year over year with some upside potential. Our operating margins in Canada are expected to average between $14,000 and $15,000 per utilization day and remain consistent to the margins we reported in the fourth quarter of 2024. In the U.S., we expect our fourth quarter operating margins to remain stable and average between US$8,000 and US$9,000 per utilization day.

Contracts

The following chart outlines the average number of drilling rigs under term contract by quarter as at October 22, 2025. For the quarter ending after September 30, 2025, this chart represents the minimum number of term contracts from which we will earn revenue. We expect the actual number of contracted rigs to vary in future periods as we sign additional term contracts.

As at October 22, 2025	Average for the quarter ended 2024								Average		Average for the quarter ended 2025								Average
	Mar. 31		June 30		Sept. 30		Dec. 31		2024		Mar. 31		June 30		Sept. 30		Dec. 31		2025
Average rigs under term contract:
Canada		24		22		23		23		23		20		18		16		20		19
U.S.		20		17		17		16		18		16		16		17		16		16
International		8		8		8		8		8		8		7		7		7		7
Total		52		47		48		47		49		44		41		40		43		42

In Canada, because of the seasonal nature of well site access, term contracted rigs normally generate 250 utilization days, with some pad drilling rigs trending toward 350 days. Accordingly, our anticipated Canadian rigs under term contract may fluctuate as customers complete their commitments earlier than projected. In most regions in the U.S. and internationally, term contracts normally generate 365 utilization days per year. In accordance with the seasonality of our business and varying levels of rig count, we generally experience builds of working capital^(1)^ in the first and third quarters and releases of working capital in the second and fourth quarters.

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Capital Spending and Free Cash Flow Allocation

Capital spending in 2025 is expected to be $260 million, an increase of $20 million from our previously announced plan as we moved two Super Triples from the U.S. to Canada under long-term contracts and secured five additional customer-funded rig upgrades in Canada and the U.S. Capital spending by spend category^(2)^ is expected to include $151 million for maintenance, infrastructure, and intangibles, and $109 million for upgrades. We expect to spend $240 million in the Contract Drilling Services segment, $19 million in the Completion and Production Services segment and $1 million in the Corporate segment. At September 30, 2025, Precision had capital commitments of $165 million with payments expected through 2027. We remain committed to our capital allocation plans and achieving a sustained Net Debt to Adjusted EBITDA ratio^(1)^ of below 1.0 times. As at September 30, 2025 we have achieved our annual debt reduction target of at least $100 million and are well on track to allocate 35% to 45% of free cash flow before debt repayments for share repurchases by year end, repurchasing $54 million in shares during the first nine months of the year.

Commodity Prices

Third quarter average West Texas Intermediate and Western Canadian Select decreased 14% and 13%, respectively, compared with the same period last year, as U.S. tariff concerns and OPEC+ production increases continued to weigh on oil prices. The average Henry Hub natural gas price increased 38% due to optimism from LNG off-take and AI data centers. Meanwhile, AECO decreased 14% as Canadian inventories remained high given the slow ramp up of LNG Canada.

				Year ended December 31,
		2024		2024
Average oil and natural gas prices
Oil
West Texas Intermediate (per barrel) (US)	64.95		75.20		75.73
Western Canadian Select (per barrel) (US)	54.46		62.30		61.24
Natural gas
United States
Henry Hub (per MMBtu) (US)	3.07		2.22		2.41
Canada
AECO (per MMBtu) (CDN)	0.61		0.71		1.39

All values are in US Dollars.

(1)	See “FINANCIAL MEASURES AND RATIOS”.

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SEGMENTED FINANCIAL RESULTS

Precision’s operations are reported in two segments: Contract Drilling Services, which includes our drilling rig, oilfield supply and manufacturing divisions; and Completion and Production Services, which includes our service rig, rental and camp and catering divisions.

	For the three months ended September 30,									For the nine months ended September 30,
(Stated in thousands of Canadian dollars)	2025			2024			% Change			2025			2024			% Change
Revenue:
Contract Drilling Services		390,943			406,155			(3.7	)		1,165,752			1,215,125			(4.1	)
Completion and Production Services		74,612			73,074			2.1			207,878			225,987			(8.0	)
Inter-segment eliminations		(3,305	)		(2,074	)		59.4			(8,434	)		(6,955	)		21.3
		462,250			477,155			(3.1	)		1,365,196			1,434,157			(4.8	)
Adjusted EBITDA:^(1)^
Contract Drilling Services		116,860			133,235			(12.3	)		364,298			406,662			(10.4	)
Completion and Production Services		19,271			19,741			(2.4	)		46,693			50,786			(8.1	)
Corporate and Other		(18,499	)		(10,551	)		75.3			(47,762	)		(56,753	)		(15.8	)
		117,632			142,425			(17.4	)		363,229			400,695			(9.4	)
Depreciation and amortization		79,487			75,073			5.9			229,381			227,104			1.0
Gain on asset disposals		(3,454	)		(3,323	)		3.9			(12,751	)		(14,235	)		(10.4	)
Foreign exchange		717			849			(15.5	)		(533	)		772			(169.0	)
Finance charges		13,751			16,914			(18.7	)		44,368			53,472			(17.0	)
Loss (gain) on investments and other assets		(94	)		(150	)		(37.3	)		1,531			(330	)		(563.9	)
Net earnings before income tax		27,225			53,062			(48.7	)		101,233			133,912			(24.4	)
Income taxes		33,697			13,879			142.8			56,271			37,512			50.0
Net earnings (loss)		(6,472	)		39,183			(116.5	)		44,962			96,400			(53.4	)
Non-controlling interest		289			—			100.0			945			—			100.0
Net earnings (loss) attributable to shareholders		(6,761	)		39,183			(117.3	)		44,017			96,400			(54.3	)
(1)	See “FINANCIAL MEASURES AND RATIOS”.
---	---

SEGMENT REVIEW OF CONTRACT DRILLING SERVICES

	For the three months ended September 30,									For the nine months ended September 30,
(Stated in thousands of Canadian dollars, except where noted)	2025			2024			% Change			2025			2024			% Change
Revenue		390,943			406,155			(3.7	)		1,165,752			1,215,125			(4.1	)
Expenses:
Operating		264,300			262,933			0.5			771,160			776,210			(0.7	)
General and administrative		9,783			9,987			(2.0	)		30,294			32,253			(6.1	)
Adjusted EBITDA^(1)^		116,860			133,235			(12.3	)		364,298			406,662			(10.4	)
Adjusted EBITDA as a percentage of revenue^(1)^		29.9	%		32.8	%					31.3	%		33.5	%
(1)	See “FINANCIAL MEASURES AND RATIOS”.
---	---
Canadian onshore drilling statistics:^(1)^	2025				2024
---	---	---	---	---	---	---	---	---
	Precision		Industry^(2)^		Precision		Industry^(2)^
Average number of active land rigs for quarters ended:
March 31		74		214		73		208
June 30		50		127		49		134
September 30		63		176		72		207
Year to date average		62		172		65		183
(1)	Canadian operations only.
---	---
(2)	Baker Hughes rig counts.
---	---
United States onshore drilling statistics:^(1)^	2025				2024
---	---	---	---	---	---	---	---	---
	Precision		Industry^(2)^		Precision		Industry^(2)^
Average number of active land rigs for quarters ended:
March 31		30		572		38		602
June 30		33		556		36		583
September 30		36		525		35		565
Year to date average		33		551		36		583
(1)	United States lower 48 operations only.
---	---
(2)	Baker Hughes rig counts.
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Revenue from Contract Drilling Services was $391 million compared to $406 million in the third quarter of 2024, due to lower drilling rig activity in Canada, offset in part by higher average day rates. Precision's Canadian drilling rig utilization days were down 13% due to tariff and commodity price uncertainty that caused some producers to defer work until this winter season. This decrease was similar to the 15% experienced by the Canadian industry. Precision's revenue per utilization day was $34,193 compared to $32,325 in the same period last year, primarily due to rig mix as Precision had more Super Triples active in the third quarter of 2025 compared with 2024 and higher recoverable costs. Revenue from our U.S. and International drilling operations were comparable with the third quarter of 2024.

Adjusted EBITDA was $117 million for the quarter and represented 30% of revenue compared to 33% realized in the third quarter of 2024. The percentage decrease was mainly driven by an increase in Canadian operating costs due to rig mix and rig move costs plus lower average day rates in the U.S.

In Canada, 26% of our utilization days were generated from rigs under term contract in third quarter of 2025 compared to 32% in 2024. In the U.S., 41% of utilization days were generated from rigs under term contract versus 50% in 2024.

SEGMENT REVIEW OF COMPLETION AND PRODUCTION SERVICES

	For the three months ended September 30,									For the nine months ended September 30,
(Stated in thousands of Canadian dollars, except where noted)	2025			2024			% Change			2025			2024
Revenue		74,612			73,074			2.1			207,878			225,987		(8.0	)
Expenses:
Operating		52,832			50,608			4.4			153,914			167,128		(7.9	)
General and administrative		2,509			2,725			(7.9	)		7,271			8,073		(9.9	)
Adjusted EBITDA^(1)^		19,271			19,741			(2.4	)		46,693			50,786		(8.1	)
Adjusted EBITDA as a percentage of revenue^(1)^		25.8	%		27.0	%					22.5	%		22.5	%
Well servicing statistics:
Number of service rigs (end of period)		152			155			(1.9	)		148			155		(4.5	)
Service rig operating hours		63,522			59,883			6.1			172,936			184,546		(6.3	)
(1)	See “FINANCIAL MEASURES AND RATIOS”.
---	---

Completion and Production Services revenue was $75 million compared to $73 million in the third quarter as well service rig operating hours increased 6% and more than offset the lost contribution from our U.S. well servicing operations that we wound down in the second quarter of 2025. Higher activity in the third quarter of 2025 was driven by customers advancing projects that were deferred in the second quarter and favorable weather conditions.

Adjusted EBITDA was $19 million, representing 26% of revenue and comparable to 27% in the third quarter of 2024.

SEGMENT REVIEW OF CORPORATE AND OTHER

Our Corporate and Other segment provides support functions to our operating segments. The Corporate and Other segment had negative Adjusted EBITDA of $18 million for the third quarter versus a negative Adjusted EBITDA of $11 million in the same period last year primarily due to higher share-based compensation expense. On a year-to-date basis, the favorable change in Adjusted EBITDA was driven by lower share-based compensation expense.

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OTHER ITEMS

Share-based Incentive Compensation Plans

We have several cash and equity-settled share-based incentive plans for non-management directors, officers, and other eligible employees. Our accounting policies for each share-based incentive plan can be found in our 2024 Annual Report.

A summary of expense amounts under these plans during the reporting periods are as follows:

	For the three months ended September 30,					For the nine months ended September 30,
(Stated in thousands of Canadian dollars)	2025		2024			2025		2024
Cash settled share-based incentive plans		9,285		(1,626	)		12,350		28,810
Equity settled share-based incentive plans		1,544		1,440			5,522		3,517
Total share-based incentive compensation plan expense		10,829		(186	)		17,872		32,327
Allocated:
Operating		2,308		221			4,690		8,159
General and Administrative		8,521		(407	)		13,182		24,168
		10,829		(186	)		17,872		32,327

Cash settled share-based compensation expense for the quarter was $9 million as compared with recovery of $2 million in 2024. The higher expense was primarily due to our share price appreciating 22% during the third quarter of 2025. On a year-to-date basis, our share based-compensation expense has decreased due to our lower share price performance relative to 2024.

During the first quarters of 2024 and 2025, we issued Executive Restricted Share Units (Executive RSUs) to certain senior executives that were aligned with our annual compensation framework. These issuances resulted in an equity-settled share-based compensation expense of $2 million for the quarter. On a year-to-date basis, Executive RSUs and Deferred Share Units account for $5 million and $1 million, respectively, of equity-settled share-based compensation expense.

As at September 30, 2025, the majority of our share-based compensation plans were classified as cash-settled and will be impacted by changes in our share price. Although accounted for as cash-settled, Precision retains the ability to settle certain vested units in common shares at its discretion.

Income Taxes

During the quarter, the Company recognized a deferred income tax expense of $33 million, primarily attributable to the waiving of certain U.S. tax deductions. These deductions were waived to mitigate minimum taxes that the Corporation became subject to as a result of stronger operating results. Consequently, Precision expects to not be subject to U.S. income tax for several years. The waiving of these U.S. tax deductions has been accounted for as a change in tax estimate and adjusted prospectively, resulting in an increase to deferred tax expense and corresponding increase to the deferred tax liability.

LIQUIDITY AND CAPITAL RESOURCES

The oilfield services business is inherently cyclical in nature. To manage this, we focus on maintaining a strong balance sheet in order to have the financial flexibility to manage our growth and cash flow regardless of where we are in the business cycle. We maintain a variable operating cost structure so we can be responsive to changes in demand.

Our maintenance capital expenditures are tightly governed and highly responsive to activity levels with additional cost savings leverage provided through our internal manufacturing and supply divisions. Term contracts on expansion capital provide more certainty of future revenues and return on our capital investments.

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Liquidity

Amount	Availability	Used for	Maturity
Senior Credit Facility (secured)
US$375 million (extendible, revolving<br><br>term credit facility with US$375 million accordion feature)	US$80 million and $28 million drawn with US$51 million in outstanding letters of credit	General corporate purposes	October 31, 2028^(1)^
Operating facilities (secured)
$40 million	Undrawn, except $4 million in<br><br>outstanding letters of credit	Letters of credit and general<br><br>corporate purposes
US$15 million	Undrawn	Short-term working capital<br><br>requirements
Demand letter of credit facility (secured)
US$40 million	Undrawn, except US$30 million in<br><br>outstanding letters of credit	Letters of credit
Unsecured senior notes (unsecured)
US$400 million – 6.875%	Fully drawn	Debt redemption and repurchases	January 15, 2029
(1)	US$43 million will expire on June 28, 2027.
---	---

In the third quarter of 2025, we reduced long-term debt by $10 million, redeeming the remaining portion of our 2026 unsecured senior notes of $138 million (US$100 million), while drawing $129 million from our Senior Credit Facility. As at September 30, 2025, we had a total of $696 million outstanding under our Senior Credit Facility and unsecured senior notes as compared with $822 million at December 31, 2024. The current blended cash interest cost of our debt is approximately 6.6%.

Senior Credit Facility

Our Senior Credit Facility requires that we comply with certain covenants including a leverage ratio of consolidated senior debt to consolidated Covenant EBITDA of less than 2.5:1. For purposes of calculating the leverage ratio, consolidated senior debt only includes secured indebtedness. The Senior Credit Facility limits the redemption and repurchase of junior debt subject to a pro forma senior net leverage covenant test of less than or equal to 1.75:1.

During the third quarter, Precision fully redeemed the 2026 unsecured senior notes. The redemption was executed at par value, comprising US$100 million in principal and US$1 million in accrued interest. The transaction was financed through a combination of cash on hand and proceeds drawn from the Senior Credit Facility.

Precision also extended its Senior Credit Facility's maturity date and amended certain terms of the facility during the third quarter. The maturity date was extended from June 28, 2027 to October 31, 2028, with the exception of US$43 million, which will mature on June 28, 2027.

Unsecured Senior Notes

The unsecured senior notes require that we comply with certain restrictive and financial covenants, including an incurrence based consolidated interest coverage ratio test of consolidated cash flow, as defined in the senior note agreements, to consolidated interest expense of greater than 2.0:1 for the most recent four consecutive fiscal quarters. In the event our consolidated interest coverage ratio is less than 2.0:1 for the most recent four consecutive fiscal quarters, the unsecured senior notes restrict our ability to incur additional indebtedness.

Covenants

As at September 30, 2025, we were in compliance with the covenants of our Senior Credit Facility.

	Covenant
Senior Credit Facility
Consolidated senior debt to consolidated covenant EBITDA^(1)^		<2.50	0.29
Consolidated covenant EBITDA to consolidated interest expense		>2.50	8.54
(1)	For purposes of calculating the leverage ratio consolidated senior debt only includes secured indebtedness.
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Impact of foreign exchange rates

The following table summarizes the average and closing Canada-U.S. foreign exchanges rates.

	For the three months ended September 30,				For the nine months ended September 30,				At December 31,
	2025		2024		2025		2024		2024
Canada-U.S. foreign exchange rates
Average		1.38		1.36		1.40		1.36		—
Closing		1.39		1.35		1.39		1.35		1.44

Hedge of investments in foreign operations

We utilize foreign currency long-term debt to hedge our exposure to changes in the carrying value of our net investment in certain foreign operations as a result of changes in foreign exchange rates.

We have designated our U.S. dollar-denominated long-term debt as a net investment hedge in our U.S. operations and other foreign operations that have a U.S. dollar functional currency. To be accounted for as a hedge, the foreign currency denominated long-term debt must be designated and documented as such and must be effective at inception and on an ongoing basis. We recognize the effective amount of this hedge (net of tax) in other comprehensive income. We recognize ineffective amounts (if any) in net earnings (loss).

QUARTERLY FINANCIAL SUMMARY

(Stated in thousands of Canadian dollars, except per share amounts)	2024		2025
Quarters ended	December 31		March 31		June 30		September 30
Revenue		468,171		496,331		406,615		462,250
Adjusted EBITDA^(1)^		120,526		137,497		108,100		117,632
Net earnings (loss)		14,930		34,947		16,487		(6,472	)
Net earnings (loss) attributable to shareholders		14,795		34,511		16,267		(6,761	)
Net earnings (loss) attributable to shareholders per basic share		1.06		2.52		1.21		(0.51	)
Net earnings (loss) attributable to shareholders per diluted share		1.06		2.20		1.07		(0.51	)
Funds provided by operations^(1)^		120,535		109,842		104,290		96,541
Cash provided by operations		162,791		63,419		147,495		75,869
(Stated in thousands of Canadian dollars, except per share amounts)	2023		2024
---	---	---	---	---	---	---	---	---
Quarters ended	December 31		March 31		June 30		September 30
Revenue		506,871		527,788		429,214		477,155
Adjusted EBITDA^(1)^		151,231		143,149		115,121		142,425
Net earnings		146,722		36,516		20,701		39,183
Net earnings attributable to shareholders		146,722		36,516		20,701		39,183
Net earnings attributable to shareholders per basic share		10.42		2.53		1.44		2.77
Net earnings attributable to shareholders per diluted share		9.81		2.53		1.44		2.31
Funds provided by operations^(1)^		145,189		117,765		111,750		113,322
Cash provided by operations		170,255		65,543		174,075		79,674
(1)	See “FINANCIAL MEASURES AND RATIOS.”
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CRITICAL ACCOUNTING JUDGEMENTS AND ESTIMATES

Because of the nature of our business, we are required to make judgements and estimates in preparing our Condensed Consolidated Interim Financial Statements that could materially affect the amounts recognized. Our judgements and estimates are based on our past experiences and assumptions we believe are reasonable in the circumstances. The critical judgements and estimates used in preparing the Condensed Consolidated Interim Financial Statements are described in our 2024 Annual Report.

EVALUATION OF CONTROLS AND PROCEDURES

Based on their evaluation as at December 31, 2024, Precision’s Chief Executive Officer and Chief Financial Officer concluded that the Corporation’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the United States Securities Exchange Act of 1934, as amended (the Exchange Act)), were effective to ensure that information required to be disclosed by the Corporation in reports that are filed or submitted to Canadian and U.S. securities authorities is recorded, processed, summarized and reported within the time periods specified in Canadian and U.S. securities laws. In addition, as at September 30, 2025, there were no changes in the internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) that occurred during the three months ended September 30, 2025 that have materially affected, or are reasonably likely to materially affect, the Corporation’s internal control over financial reporting. Management will continue to periodically evaluate the Corporation’s disclosure controls and procedures and internal control over financial reporting and will make any modifications from time to time as deemed necessary.

Based on their inherent limitations, disclosure controls and procedures and internal control over financial reporting may not prevent or detect misstatements, and even those controls determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation.

FINANCIAL MEASURES AND RATIOS

Non-GAAP Financial Measures
We reference certain additional Non-Generally Accepted Accounting Principles (Non-GAAP) measures that are not defined terms under IFRS Accounting Standards to assess performance because we believe they provide useful supplemental information to investors.
Adjusted EBITDA	We believe Adjusted EBITDA (earnings before income taxes, loss (gain) on<br> investments and other assets, finance charges, foreign exchange, gain on asset disposals and depreciation and amortization), as reported<br> in our Condensed Interim Consolidated Statements of Net Earnings (Loss) and our reportable operating segment disclosures, is a useful<br> measure because it gives an indication of the results from our principal business activities prior to consideration of how our activities<br> are financed and the impact of foreign exchange, taxation and depreciation and amortization charges.<br><br> <br>The most directly comparable financial measure is net earnings.

Non-GAAP Financial Measures

We reference certain additional Non-Generally Accepted Accounting Principles (Non-GAAP) measures that are not defined terms under IFRS Accounting Standards to assess performance because we believe they provide useful supplemental information to investors.

Adjusted EBITDA

We believe Adjusted EBITDA (earnings before income taxes, loss (gain) on investments and other assets, finance charges, foreign exchange, gain on asset disposals and depreciation and amortization), as reported in our Condensed Interim Consolidated Statements of Net Earnings (Loss) and our reportable operating segment disclosures, is a useful measure because it gives an indication of the results from our principal business activities prior to consideration of how our activities are financed and the impact of foreign exchange, taxation and depreciation and amortization charges. The most directly comparable financial measure is net earnings.

	For the three months ended September 30,						For the nine months ended September 30,
(Stated in thousands of Canadian dollars)	2025			2024			2025			2024
Adjusted EBITDA by segment:
Contract Drilling Services		116,860			133,235			364,298			406,662
Completion and Production Services		19,271			19,741			46,693			50,786
Corporate and Other		(18,499	)		(10,551	)		(47,762	)		(56,753	)
Adjusted EBITDA		117,632			142,425			363,229			400,695
Depreciation and amortization		79,487			75,073			229,381			227,104
Gain on asset disposals		(3,454	)		(3,323	)		(12,751	)		(14,235	)
Foreign exchange		717			849			(533	)		772
Finance charges		13,751			16,914			44,368			53,472
Loss (gain) on investments and other assets		(94	)		(150	)		1,531			(330	)
Income taxes		33,697			13,879			56,271			37,512
Net earnings (loss)		(6,472	)		39,183			44,962			96,400
Non-controlling interests		289			—			945			—
Net earnings (loss) attributable to shareholders		(6,761	)		39,183			44,017			96,400

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Funds Provided by (Used in) Operations	We believe funds provided by (used in) operations, as reported in our Condensed<br> Interim Consolidated Statements of Cash Flows, is a useful measure because it provides an indication of the funds our principal business<br> activities generate prior to consideration of working capital changes, which is primarily made up of highly liquid balances.<br><br> <br>The most directly comparable financial measure is cash provided by (used<br> in) operations.
Net Capital Spending	We believe net capital spending is a useful measure as it provides an indication<br> of our primary investment activities.<br><br> <br>The most directly comparable financial measure is cash provided by (used<br> in) investing activities.<br><br> <br>Net capital spending is calculated as follows:
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Funds Provided by (Used in) Operations

We believe funds provided by (used in) operations, as reported in our Condensed Interim Consolidated Statements of Cash Flows, is a useful measure because it provides an indication of the funds our principal business activities generate prior to consideration of working capital changes, which is primarily made up of highly liquid balances. The most directly comparable financial measure is cash provided by (used in) operations.

Net Capital Spending

We believe net capital spending is a useful measure as it provides an indication of our primary investment activities. The most directly comparable financial measure is cash provided by (used in) investing activities. Net capital spending is calculated as follows:

---

	For the three months ended September 30,						For the nine months ended September 30,
(Stated in thousands of Canadian dollars)	2025			2024			2025			2024
Capital spending by spend category
Expansion and upgrade		35,314			7,709			81,617			30,501
Maintenance, infrastructure and intangibles		34,012			56,139			100,447			127,297
		69,326			63,848			182,064			157,798
Proceeds on sale of property, plant and equipment		(6,200	)		(5,647	)		(21,794	)		(21,825	)
Net capital spending		63,126			58,201			160,270			135,973
Proceeds from sale of investments and other assets		—			—			—			(3,623	)
Purchase of investments and other assets		10			7			21			7
Receipt of finance lease payments		(209	)		(207	)		(626	)		(591	)
Changes in non-cash working capital balances		(1,733	)		(19,149	)		(5,220	)		9,266
Cash used in investing activities		61,194			38,852			154,445			141,032

Working Capital	We define working capital as current assets less current liabilities, as<br> reported in our Condensed Interim Consolidated Statements of Financial Position.<br><br> <br>Working capital is calculated as follows:

	September 30,			December 31,
(Stated in thousands of Canadian dollars)	2025			2024
Current assets		449,676			501,284
Current liabilities		(284,690	)		(338,692	)
Working capital		164,986			162,592

Total Long-term Financial Liabilities	We define total long-term financial liabilities as total non-current liabilities<br> less deferred tax liabilities, as reported in our Condensed Interim Consolidated Statements of Financial Position.<br><br> <br>Total long-term financial liabilities is calculated as follows:

	September 30,			December 31,
(Stated in thousands of Canadian dollars)	2025			2024
Total non-current liabilities		848,943			935,624
Deferred tax liabilities		(94,609	)		(47,451	)
Total long-term financial liabilities		754,334			888,173

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We reference certain additional Non-GAAP ratios that are not defined terms under IFRS to assess performance because we believe they provide useful supplemental information to investors.
Adjusted EBITDA % of Revenue	We believe Adjusted EBITDA as a percentage of consolidated revenue, as reported in our Condensed Interim Consolidated Statements of Net Earnings (Loss), provides an indication of our profitability from our principal business activities prior to consideration of how our activities are financed and the impact of foreign exchange, taxation and depreciation and amortization charges.
Long-term debt to long-term debt plus equity	We believe that long-term debt (as reported in our Condensed Interim Consolidated Statements of Financial Position) to long-term debt plus equity (total equity as reported in our Condensed Interim Consolidated Statements of Financial Position) provides an indication of our debt leverage.
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Net Debt to Adjusted EBITDA	We believe that the Net Debt (long-term debt plus current portion of long-term debt less cash, as reported in our Condensed Interim Consolidated Statements of Financial Position) to Adjusted EBITDA ratio provides an indication of the number of years it would take for us to repay our debt obligations.
---	---
<br><br> <br>Supplementary Financial Measures<br><br> <br>
We reference certain supplementary financial measures that are not defined terms under IFRS to assess performance because we believe they provide useful supplemental information to investors.
Capital Spending by Spend Category	We provide additional disclosure to better depict the nature of our capital spending. Our capital spending is categorized as expansion and upgrade, maintenance and infrastructure, or intangibles.
---	---

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION AND STATEMENTS

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 relating to matters that are not historical facts constitute "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995 (collectively, "forward-looking information and statements").

In particular, forward-looking information and statements include, but are not limited to, the following:

·	our strategic priorities for 2025;
·	our capital expenditures, free cash flow allocation and debt reduction plans for 2025 and beyond;
---	---
·	anticipated activity levels, demand for our drilling rigs, day rates and daily operating margins in 2025;
---	---
·	the average number of term contracts in place for 2025;
---	---
·	customer adoption of Alpha^TM^ technologies and EverGreen^TM^ suite of environmental<br>solutions;
---	---
·	potential commercial opportunities and rig contract renewals; and
---	---
·	our future debt reduction plans.
---	---

These forward-looking information and statements are based on certain assumptions and analysis made by Precision in light of our experience and our perception of historical trends, current conditions, expected future developments and other factors we believe are appropriate under the circumstances. These include, among other things:

·	our ability to react to customer spending plans as a result of changes in oil and natural gas prices;
·	the status of current negotiations with our customers and vendors;
---	---
·	customer focus on safety performance;
---	---
·	existing term contracts are neither renewed nor terminated prematurely;
---	---
·	our ability to deliver rigs to customers on a timely basis;
---	---
·	the impact of an increase/decrease in capital spending; and
---	---
·	the general stability of the economic and political environments in the jurisdictions where we operate.
---	---

| 14 |

| --- |

Undue reliance should not be placed on forward-looking information and statements. Whether actual results, performance or achievements will conform to our expectations and predictions is subject to a number of known and unknown risks and uncertainties which could cause actual results to differ materially from our expectations. Such risks and uncertainties include, but are not limited to:

·	volatility in the price and demand for oil and natural gas;
·	fluctuations in the level of oil and natural gas exploration and development activities;
---	---
·	fluctuations in the demand for contract drilling, well servicing and ancillary oilfield services;
---	---
·	our customers’ inability to obtain adequate credit or financing to support their drilling and production<br>activity;
---	---
·	changes in drilling and well servicing technology, which could reduce demand for certain rigs or put us<br>at a competitive advantage;
---	---
·	shortages, delays and interruptions in the delivery of equipment supplies and other key inputs;
---	---
·	liquidity of the capital markets to fund customer drilling programs;
---	---
·	availability of cash flow, debt and equity sources to fund our capital and operating requirements, as<br>needed;
---	---
·	the impact of weather and seasonal conditions on operations and facilities;
---	---
·	the impact of tariffs and trade disputes;
---	---
·	competitive operating risks inherent in contract drilling, well servicing and ancillary oilfield services;
---	---
·	ability to improve our rig technology to improve drilling efficiency;
---	---
·	general economic, market or business conditions;
---	---
·	the availability of qualified personnel and management;
---	---
·	a decline in our safety performance which could result in lower demand for our services;
---	---
·	changes in laws or regulations, including changes in environmental laws and regulations such as increased<br>regulation of hydraulic fracturing or restrictions on the burning of fossil fuels and greenhouse gas emissions, which could have an adverse<br>impact on the demand for oil and natural gas;
---	---
·	terrorism, social, civil and political unrest in the foreign jurisdictions where we operate;
---	---
·	fluctuations in foreign exchange, interest rates and tax rates; and
---	---
·	other unforeseen conditions which could impact the use of services supplied by Precision and Precision’s<br>ability to respond to such conditions.
---	---

Readers are cautioned that the forgoing list of risk factors is not exhaustive. Additional information on these and other factors that could affect our business, operations or financial results are included in reports on file with applicable securities regulatory authorities, including but not limited to Precision’s Annual Information Form for the year ended December 31, 2024, which may be accessed on Precision’s SEDAR+ profile at www.sedarplus.ca or under Precision’s EDGAR profile at www.sec.gov. The forward-looking information and statements contained in this report are made as of the date hereof and Precision undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, except as required by law.

Exhibit 99.2

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (UNAUDITED)

(Stated in thousands of Canadian dollars)		September 30, 2025			December 31, 2024
ASSETS
Current assets:
Cash	$	38,311		$	73,771
Accounts receivable		365,110			378,712
Inventory		46,255			43,300
Assets held for sale		—			5,501
Total current assets		449,676			501,284
Non-current assets:
Deferred tax assets		2,228			6,559
Property, plant and equipment		2,267,036			2,356,173
Intangibles		10,353			12,997
Right-of-use assets		59,358			66,032
Finance lease receivables		4,395			4,806
Investments and other assets		7,849			8,464
Total non-current assets		2,351,219			2,455,031
Total assets	$	2,800,895		$	2,956,315
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable and accrued liabilities	$	264,296		$	314,355
Income taxes payable		2,355			3,778
Current portion of lease obligations		18,039			20,559
Total current liabilities		284,690			338,692
Non-current liabilities:
Share-based compensation (Note 7)		11,278			13,666
Provisions and other		7,213			7,472
Lease obligations		48,111			54,566
Long-term debt (Note 5)		687,732			812,469
Deferred tax liabilities (Note 11)		94,609			47,451
Total non-current liabilities		848,943			935,624
Equity:
Shareholders’ capital (Note 8)		2,264,396			2,301,729
Contributed surplus		79,591			77,557
Accumulated other comprehensive income		175,451			199,020
Deficit		(856,817	)		(900,834	)
Total equity attributable to shareholders		1,662,621			1,677,472
Non-controlling interest		4,641			4,527
Total equity		1,667,262			1,681,999
Total liabilities and equity	$	2,800,895		$	2,956,315

See accompanying notes to condensed interim consolidated financial statements.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF NET EARNINGS (LOSS) (UNAUDITED)

		Three Months Ended September 30,						Nine Months Ended September 30,
(Stated in thousands of Canadian dollars, except per share amounts)		2025			2024			2025			2024
Revenue (Note 3)	$	462,250		$	477,155		$	1,365,196		$	1,434,157
Expenses:
Operating		313,827			311,467			916,640			936,383
General and administrative		30,791			23,263			85,327			97,079
Earnings before income taxes, loss (gain) on<br><br> <br>investments and other assets, finance <br> charges, foreign exchange, gain on asset<br> disposals, and depreciation and amortization		117,632			142,425			363,229			400,695
Depreciation and amortization		79,487			75,073			229,381			227,104
Gain on asset disposals		(3,454	)		(3,323	)		(12,751	)		(14,235	)
Foreign exchange		717			849			(533	)		772
Finance charges (Note 6)		13,751			16,914			44,368			53,472
Loss (gain) on investments and other assets		(94	)		(150	)		1,531			(330	)
Earnings before income taxes		27,225			53,062			101,233			133,912
Income taxes:
Current		1,133			2,297			3,307			4,659
Deferred (Note 11)		32,564			11,582			52,964			32,853
		33,697			13,879			56,271			37,512
Net earnings (loss)	$	(6,472	)	$	39,183		$	44,962		$	96,400
Attributable to:
Shareholders of Precision Drilling Corporation	$	(6,761	)	$	39,183		$	44,017		$	96,400
Non-controlling interests	$	289		$	—		$	945		$	—
Net earnings (loss) per share attributable to share-<br> holders of Precision Drilling Corporation (Note 9):
Basic	$	(0.51	)	$	2.77		$	3.28		$	6.74
Diluted	$	(0.51	)	$	2.31		$	3.09		$	6.73

See accompanying notes to condensed interim consolidated financial statements.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

		Three Months Ended September 30,						Nine Months Ended September 30,
(Stated in thousands of Canadian dollars)		2025			2024			2025			2024
Net earnings (loss)	$	(6,472	)	$	39,183		$	44,962		$	96,400
Unrealized gain (loss) on translation of assets<br><br> <br>and liabilities of operations denominated in <br> foreign currency		30,777			(16,104	)		(49,327	)		30,409
Foreign exchange gain (loss) on net investment hedge<br> with U.S. denominated debt		(14,715	)		9,536			25,758			(19,283	)
Comprehensive income	$	9,590		$	32,615		$	21,393		$	107,526
Attributable to:
Shareholders of Precision Drilling Corporation	$	9,301		$	32,615		$	20,448		$	107,526
Non-controlling interests	$	289		$	—		$	945		$	—

See accompanying notes to condensed interim consolidated financial statements.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

		Three Months Ended September 30,						Nine Months Ended September 30,
(Stated in thousands of Canadian dollars)		2025			2024			2025			2024
Cash provided by (used in):
Operations:
Net earnings (loss)	$	(6,472	)	$	39,183		$	44,962		$	96,400
Adjustments for:
Long-term compensation plans		5,608			2,620			11,998			14,490
Depreciation and amortization		79,487			75,073			229,381			227,104
Gain on asset disposals		(3,454	)		(3,323	)		(12,751	)		(14,235	)
Unrealized foreign exchange		1,380			815			(1,034	)		965
Finance charges		13,751			16,914			44,368			53,472
Income taxes		33,697			13,879			56,271			37,512
Other		2			27			(19	)		120
Loss (gain) on investments and other assets		(94	)		(150	)		1,531			(330	)
Income taxes paid		(593	)		(508	)		(4,760	)		(4,842	)
Income taxes recovered		5			58			5			58
Interest paid		(26,987	)		(31,692	)		(60,245	)		(69,435	)
Interest received		211			426			966			1,558
Funds provided by operations		96,541			113,322			310,673			342,837
Changes in non-cash working capital balances		(20,672	)		(33,648	)		(23,890	)		(23,545	)
Cash provided by operations		75,869			79,674			286,783			319,292
Investments:
Purchase of property, plant and equipment		(69,326	)		(63,797	)		(182,064	)		(157,747	)
Purchase of intangibles		—			(51	)		—			(51	)
Proceeds on sale of property, plant and equipment		6,200			5,647			21,794			21,825
Proceeds from sale of investments and other assets		—			—			—			3,623
Purchase of investments and other assets		(10	)		(7	)		(21	)		(7	)
Receipt of finance lease payments		209			207			626			591
Changes in non-cash working capital balances		1,733			19,149			5,220			(9,266	)
Cash used in investing activities		(61,194	)		(38,852	)		(154,445	)		(141,032	)
Financing:
Issuance of long-term debt		128,780			10,900			138,780			10,900
Repayment of long-term debt		(138,475	)		(59,658	)		(239,439	)		(162,506	)
Repurchase of share capital (Note 8)		(8,802	)		(16,891	)		(54,058	)		(50,465	)
Issuance of common shares from the exercise<br> of options		208			495			208			686
Debt amendment fees		(697	)		—			(697	)		(1,317	)
Distributions to non-controlling interest		(831	)		—			(831	)		—
Lease payments		(3,854	)		(3,586	)		(11,363	)		(10,005	)
Funding from non-controlling interest		—			4,392			—			4,392
Cash used in financing activities		(23,671	)		(64,348	)		(167,400	)		(208,315	)
Effect of exchange rate changes on cash		609			(403	)		(398	)		177
Decrease in cash		(8,387	)		(23,929	)		(35,460	)		(29,878	)
Cash, beginning of period		46,698			48,233			73,771			54,182
Cash, end of period	$	38,311		$	24,304		$	38,311		$	24,304

See accompanying notes to condensed interim consolidated financial statements.

CONDENSED INTERIM CONSOLIDATED STATEMENTSOF CHANGES IN EQUITY (UNAUDITED)

	Attributable to shareholders of the Corporation
(Stated in thousands of <br> Canadian dollars)		Shareholders’<br> Capital			Contributed<br> Surplus			Accumulated<br> Other<br> Comprehensive<br> Income			Deficit			Total			Non-<br> controlling interest			Total<br> Equity
Balance at January 1, 2025	$	2,301,729		$	77,557		$	199,020		$	(900,834	)	$	1,677,472		$	4,527		$	1,681,999
Net earnings for the period		—			—			—			44,017			44,017			945			44,962
Other comprehensive income <br> for the period		—			—			(23,569	)		—			(23,569	)		—			(23,569	)
Share options exercised		299			(91	)		—			—			208			—			208
Settlement of Executive<br><br> <br>Performance and Restricted <br> Share Units		11,651			(2,790	)		—			—			8,861			—			8,861
Distributions to non-controlling <br> interest		—			—			—			—			—			(831	)		(831	)
Share repurchases (Note 8)		(49,889	)		—			—			—			(49,889	)		—			(49,889	)
Redemption of non-management <br> directors share units		606			(606	)		—			—			—			—			—
Share-based compensation <br> expense		—			5,521			—			—			5,521			—			5,521
Balance at September 30, 2025	$	2,264,396		$	79,591		$	175,451		$	(856,817	)	$	1,662,621		$	4,641		$	1,667,262
	Attributable to shareholders of the Corporation
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
(Stated in thousands of <br> Canadian dollars)		Shareholders’<br> Capital			Contributed<br> Surplus			Accumulated<br> Other<br> Comprehensive<br> Income		Deficit			Total			Non-<br> controlling interest		Total<br> Equity
Balance at January 1, 2024	$	2,365,129		$	75,086		$	147,476	$	(1,012,029	)	$	1,575,662		$	—	$	1,575,662
Net earnings for the period		—			—			—		96,400			96,400			—		96,400
Other comprehensive income<br> for the period		—			—			11,126		—			11,126			—		11,126
Settlement of Executive<br><br> <br>Performance and Restricted <br> Share Units		21,846			(1,479	)		—		—			20,367			—		20,367
Share options exercised		978			(292	)		—		—			686			—		686
Share repurchases		(51,050	)		—			—		—			(51,050	)		—		(51,050	)
Redemption of non-management <br> directors share units		176			(176	)		—		—			—			—		—
Share-based compensation<br> expense		—			3,517			—		—			3,517			—		3,517
Funding from non-controlling<br> interest		—			—			—		—			—			4,392		4,392
Balance at September 30, 2024	$	2,337,079		$	76,656		$	158,602	$	(915,629	)	$	1,656,708		$	4,392	$	1,661,100

See accompanying notes to condensed interim consolidated financial statements.

NOTES TO CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

(Tabular amounts are stated in thousands of Canadian dollars exceptshare numbers and per share amounts)

NOTE 1. DESCRIPTION OF BUSINESS

Precision Drilling Corporation (Precision or the Corporation) is incorporated under the laws of the Province of Alberta, Canada and is a provider of contract drilling and completion and production services primarily to oil and natural gas and geothermal exploration and production companies in Canada, the United States and certain international locations.

NOTE 2. BASIS OF PRESENTATION

(a) Statement of Compliance

These condensed interim consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) Accounting Standards 34, Interim Financial Reporting, using accounting policies consistent with IFRS as issued by the International Accounting Standards Board (IASB).

The condensed interim consolidated financial statements do not include all of the information required for full annual financial statements and should be read in conjunction with the consolidated annual financial statements of the Corporation as at and for the year ended December 31, 2024.

These condensed interim consolidated financial statements were prepared using accounting policies and methods of their application are consistent with those used in the preparation of the Corporation’s consolidated annual financial statements for the year ended December 31, 2024.

These condensed interim consolidated financial statements were approved by the Board of Directors on October 22, 2025.

(b) Use of Estimates and Judgements

The preparation of the condensed interim consolidated financial statements requires management to make estimates and judgements that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingencies. These estimates and judgements are based on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. The estimation of anticipated future events involves uncertainty and, consequently, the estimates used in preparation of the condensed interim consolidated financial statements may change as future events unfold, more experience is acquired, or the Corporation’s operating environment changes.

Significant estimates and judgements used in the preparation of these condensed interim consolidated financial statements remained unchanged from those disclosed in the Corporation’s consolidated annual financial statements for the year ended December 31, 2024.

The impacts of geopolitical events, such as the imposed tariffs between Canada and the U.S., regional conflicts, especially in oil producing areas, can materially impact energy markets, interest and inflation rates, and supply chains, resulting in higher levels of volatility and uncertainty. Management has, to the extent reasonable, incorporated known facts and circumstances into the estimates made, however, actual results could differ from those estimates and those differences could be material.

NOTE 3. Revenue

(a)	Disaggregation of revenue

The following table includes a reconciliation of disaggregated revenue by reportable segment. Revenue has been disaggregated by primary geographical market and type of service provided.

Three Months Ended September 30, 2025		Contract Drilling Services		Completion and Production Services		Corporate and Other		Inter- Segment Eliminations			Total
Canada	$	200,434	$	74,612	$	—	$	(3,305	)	$	271,741
United States		142,794		—		—		—			142,794
International		47,715		—		—		—			47,715
	$	390,943	$	74,612	$	—	$	(3,305	)	$	462,250
Day rate/hourly services	$	387,660	$	74,612	$	—	$	(791	)	$	461,481
Other		3,283		—		—		(2,514	)		769
	$	390,943	$	74,612	$	—	$	(3,305	)	$	462,250

Three Months Ended September 30, 2024		Contract<br> Drilling<br> Services		Completion<br> and<br> Production<br> Services		Corporate<br> and Other		Inter-<br> Segment<br> Eliminations			Total
Canada	$	215,109	$	69,875	$	—	$	(2,074	)	$	282,910
United States		143,624		3,199		—		—			146,823
International		47,422		—		—		—			47,422
	$	406,155	$	73,074	$	—	$	(2,074	)	$	477,155
Day rate/hourly services	$	403,902	$	73,074	$	—	$	(195	)	$	476,781
Shortfall payments/idle but contracted		54		—		—		—			54
Other		2,199		—		—		(1,879	)		320
	$	406,155	$	73,074	$	—	$	(2,074	)	$	477,155

Nine Months Ended September 30, 2025		Contract Drilling Services		Completion and Production Services		Corporate and Other		Inter- Segment Eliminations			Total
Canada	$	615,899	$	206,156	$	—	$	(8,434	)	$	813,621
United States		401,221		1,722		—		—			402,943
International		148,632		—		—		—			148,632
	$	1,165,752	$	207,878	$	—	$	(8,434	)	$	1,365,196
Day rate/hourly services	$	1,152,627	$	207,878	$	—	$	(2,243	)	$	1,358,262
Shortfall payments/idle but contracted		4,975		—		—		—			4,975
Other		8,150		—		—		(6,191	)		1,959
	$	1,165,752	$	207,878	$	—	$	(8,434	)	$	1,365,196

Nine Months Ended September 30, 2024		Contract<br> Drilling<br> Services		Completion<br> and<br> Production<br> Services		Corporate<br> and Other		Inter-<br> Segment<br> Eliminations			Total
Canada	$	617,115	$	214,777	$	—	$	(6,955	)	$	824,937
United States		443,656		11,210		—		—			454,866
International		154,354		—		—		—			154,354
	$	1,215,125	$	225,987	$	—	$	(6,955	)	$	1,434,157
Day rate/hourly services	$	1,207,438	$	225,987	$	—	$	(550	)	$	1,432,875
Shortfall payments/idle but contracted		54		—		—		—			54
Other		7,633		—		—		(6,405	)		1,228
	$	1,215,125	$	225,987	$	—	$	(6,955	)	$	1,434,157

(b)	Seasonality

Precision has operations that are carried on in Canada which represent approximately 60% (2024 – 58%) of consolidated revenue for the nine months ended September 30, 2025 and 43% (2024 – 41%) of consolidated total assets as at September 30, 2025. The ability to move heavy equipment in Canadian oil and natural gas fields is dependent on weather conditions. As warm weather returns in the spring, the winter's frost comes out of the ground rendering many secondary roads incapable of supporting the weight of heavy equipment until they have thoroughly dried out. The duration of this “spring break-up” has a direct impact on Precision’s activity levels. In addition, many exploration and production areas in northern Canada are accessible only in winter months when the ground is frozen hard enough to support equipment. The timing of freeze up and spring break-up affects the ability to move equipment in and out of these areas. As a result, late March through May is traditionally Precision’s slowest time in this region.

NOTE 4. SEGMENTED INFORMATION

The Corporation has two reportable operating segments; Contract Drilling Services and Completion and Production Services. Contract Drilling Services includes drilling rigs, procurement and distribution of oilfield supplies, and manufacture, sale and repair of drilling equipment. Completion and Production Services includes service rigs, oilfield equipment rental and camp and catering services. The Corporation provides services primarily in Canada, the United States and certain international locations.

Three Months Ended September 30, 2025		Contract Drilling Services			Completion and Production Services			Corporate and Other			Inter- Segment Eliminations			Total
Revenue	$	390,943		$	74,612		$	—		$	(3,305	)	$	462,250
Earnings before income taxes, loss <br> (gain) on investments and other assets, <br> finance charges, foreign exchange, gain <br> on asset disposals, and depreciation <br> and amortization		116,860			19,271			(18,499	)		—			117,632
Depreciation and amortization		71,337			5,715			2,435			—			79,487
Gain on asset disposals		(1,714	)		(846	)		(894	)		—			(3,454	)
Foreign exchange		315			9			393			—			717
Finance charges		147			94			13,510			—			13,751
Loss (gain) on investments and other assets		(473	)		—			379			—			(94	)
Income taxes		19,315			(141	)		14,523			—			33,697
Net earnings (loss) for reportable segments		27,933			14,440			(48,845	)		—			(6,472	)
Total assets		2,426,270			242,074			132,551			—			2,800,895
Capital expenditures		65,041			4,259			26			—			69,326

Three Months Ended September 30, 2024		Contract<br> Drilling<br> Services			Completion<br> and<br> Production<br> Services			Corporate<br> and Other			Inter-<br> Segment<br> Eliminations			Total
Revenue	$	406,155		$	73,074		$	—		$	(2,074	)	$	477,155
Earnings before income taxes, loss <br> (gain) on investments and other assets, <br> finance charges, foreign exchange, gain <br> on asset disposals, and depreciation <br> and amortization		133,235			19,741			(10,551	)		—			142,425
Depreciation and amortization		67,215			5,436			2,422			—			75,073
Gain on asset disposals		(2,331	)		(946	)		(46	)		—			(3,323	)
Foreign exchange		179			5			665			—			849
Finance charges		446			114			16,354			—			16,914
Loss (gain) on investments and other assets		—			—			(150	)		—			(150	)
Income taxes		10,914			431			2,534			—			13,879
Net earnings (loss) for reportable segments		56,812			14,701			(32,330	)		—			39,183
Total assets		2,495,082			251,955			140,959			—			2,887,996
Capital expenditures		58,000			5,648			200			—			63,848
Nine Months Ended September 30, 2025		Contract Drilling Services			Completion and Production Services			Corporate and Other			Inter- Segment Eliminations			Total
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
Revenue	$	1,165,752		$	207,878		$	—		$	(8,434	)	$	1,365,196
Earnings before income taxes, loss <br> (gain) on investments and other assets, <br> finance charges, foreign exchange, gain <br> on asset disposals, and depreciation <br> and amortization		364,298			46,693			(47,762	)		—			363,229
Depreciation and amortization		205,091			16,938			7,352			—			229,381
Gain on asset disposals		(7,153	)		(4,659	)		(939	)		—			(12,751	)
Foreign exchange		274			27			(834	)		—			(533	)
Finance charges		536			299			43,533			—			44,368
Loss (gain) on investments and other assets		895			—			636			—			1,531
Income taxes		11,265			(496	)		45,502			—			56,271
Net earnings (loss) for reportable segments		153,390			34,584			(143,012	)		—			44,962
Total assets		2,426,270			242,074			132,551			—			2,800,895
Capital expenditures		171,364			10,491			209			—			182,064

Nine Months Ended September 30, 2024		Contract<br> Drilling<br> Services			Completion<br> and<br> Production<br> Services			Corporate<br> and Other			Inter-<br> Segment<br> Eliminations			Total
Revenue	$	1,215,125		$	225,987		$	—		$	(6,955	)	$	1,434,157
Earnings before income taxes, loss <br> (gain) on investments and other assets, <br> finance charges, foreign exchange, gain <br> on asset disposals, and depreciation <br> and amortization		406,662			50,786			(56,753	)		—			400,695
Depreciation and amortization		204,999			15,314			6,791			—			227,104
Gain on asset disposals		(8,885	)		(2,463	)		(2,887	)		—			(14,235	)
Foreign exchange		425			8			339			—			772
Finance charges		1,403			315			51,754			—			53,472
Loss (gain) on investments and other assets		—			—			(330	)		—			(330	)
Income taxes		(7,654	)		108			45,058			—			37,512
Net earnings (loss) for reportable segments		216,374			37,504			(157,478	)		—			96,400
Total assets		2,495,082			251,955			140,959			—			2,887,996
Capital expenditures		143,253			13,495			1,050			—			157,798

NOTE 5. LONG-TERM DEBT

		U.S. Denominated Facilities					Translated Facilities
			September 30,			December 31,		September 30,			December 31,
			2025			2024		2025			2024
Long-Term Debt
Senior Credit Facility:
U.S. Denominated Borrowings	US	$	80,000	US	$	12,000	$	111,321		$	17,252
Canadian Denominated Borrowings			—			—		28,000			—
Unsecured Senior Notes:
7.125% senior notes due 2026			—			160,000		—			230,026
6.875% senior notes due 2029			400,000			400,000		556,604			575,064
	US	$	480,000	US	$	572,000		695,925			822,342
Less net unamortized debt issue costs<br> and original issue discount								(8,193	)		(9,873	)
							$	687,732		$	812,469

		Senior Credit Facility			Unsecured Senior Notes			Debt Issue Costs and Original Issue Discount			Total
Current	$	—		$	—		$	—		$	—
Long-term		17,252			805,090			(9,873	)		812,469
December 31, 2024		17,252			805,090			(9,873	)		812,469
Changes from financing cash flows:
Proceeds from Senior Credit Facility		138,780			—			—			138,780
Repayment of unsecured senior notes		—			(222,329	)		—			(222,329	)
Repayment of Senior Credit Facility		(17,110	)		—			—			(17,110	)
Payment of debt issue costs		—			—			(736	)		(736	)
		138,922			582,761			(10,609	)		711,074
Amortization of debt issue costs		—			—			1,869			1,869
Reclassification of loan commitment fees		—			—			547			547
Foreign exchange adjustment		399			(26,157	)		—			(25,758	)
September 30, 2025	$	139,321		$	556,604		$	(8,193	)	$	687,732
Current	$	—		$	—		$	—		$	—
Long-term		139,321			556,604			(8,193	)		687,732
September 30, 2025	$	139,321		$	556,604		$	(8,193	)	$	687,732

During the third quarter, Precision extended its Senior Credit Facility's maturity date and amended certain terms of the facility. The maturity date was extended from June 28, 2027 to October 31, 2028, with the exception of US$43 million, which will mature on June 28, 2027.

a) Covenants

As at September 30, 2025, Precision was in compliance with the covenants of the Senior Credit Facility.

	Covenant	As at September 30, 2025
Senior Credit Facility
Consolidated senior debt to consolidated covenant EBITDA^(1)^	<2.50	0.29
Consolidated covenant EBITDA to consolidated interest expense	>2.50	8.54
(1)	For purposes of calculating the leverage ratio consolidated senior debt only includes secured indebtedness.
---	---

NOTE 6. FINANCE CHARGES

	Three Months Ended September 30,						Nine Months Ended September 30,
		2025			2024			2025			2024
Interest:
Long-term debt	$	12,351		$	15,341		$	40,063		$	49,008
Lease obligations		990			1,122			3,128			3,204
Other		(118	)		17			2			266
Income		(291	)		(416	)		(1,202	)		(1,761	)
Amortization of debt issue costs, loan commitment fees<br> and original issue discount		819			850			2,377			2,755
Finance charges	$	13,751		$	16,914		$	44,368		$	53,472

NOTE 7. SHARE-BASED COMPENSATION PLANS

Liability Classified Plans

		Restricted<br> Share Units ^(a)^			Performance<br> Share <br> Units ^(a)^			Non-Management<br> Directors’ DSUs ^(b)^			Total
December 31, 2024	$	11,560		$	35,443		$	10,855		$	57,858
Expensed during period		3,329			10,024			(1,003	)		12,350
Settlement in shares		(1,920	)		(6,941	)		—			(8,861	)
Payments and redemptions		(6,772	)		(21,582	)		—			(28,354	)
Foreign exchange		(47	)		(46	)		—			(93	)
September 30, 2025	$	6,150		$	16,898		$	9,852		$	32,900
Current	$	4,079		$	7,691		$	9,852		$	21,622
Long-term		2,071			9,207			—			11,278
	$	6,150		$	16,898		$	9,852		$	32,900

(a) Restricted Share Units and Performance Share Units

A summary of the activity under the Restricted Share Unit (RSU) and the Performance Share Unit (PSU) plans are presented below:

	RSUs<br> Outstanding		PSUs<br> Outstanding
December 31, 2024	179,760		497,053
Granted	67,480		156,763
Redeemed	(102,849	)	(230,252	)
Forfeited	(8,142	)	(8,684	)
September 30, 2025	136,249		414,880

(b) Non-Management Directors – Deferred Share Units Plan

A summary of the activity under the non-management director DSU plan is presented below:

	DSUs<br> Outstanding
December 31, 2024	123,473
Granted	1,886
September 30, 2025	125,359

Equity Settled Plans

(c) Executive Restricted Share Units Plan

Precision granted Executive RSUs to certain senior executives with the intention of settling them in voting shares of the Corporation either issued from treasury or purchased in the open market. Granted units vest annually over a three-year term.

	Executive RSUs Outstanding			Weighted Average Fair Value
December 31, 2024	92,492		$	85.48
Granted	89,291			80.35
Redeemed	(36,241	)		87.07
Forfeited	(4,152	)		82.01
September 30, 2025	141,390		$	81.93

Included in net earnings (loss) for the three and nine months ended September 30, 2025 were expenses of $2 million (2024 – $1 million) and $5 million (2024 – $3 million), respectively.

(d) Option Plan

A summary of the activity under the option plan is presented below:

Canadian share options	Outstanding			Range of<br> Exercise Price				Weighted<br> Average<br> Exercise Price	Exercisable
December 31, 2024	11,960		$	87.00	—	87.00	$	87.00	11,960
Forfeited	(11,960	)		87.00	—	87.00		87.00
September 30, 2025	—		$	—	—	—	$	—	—
U.S. share options	Outstanding			Range of Exercise Price (US)			Weighted<br> Average<br> Exercise Price<br> (US$)	Exercisable
---	---	---	---	---	---	---	---	---
December 31, 2024	60,052		$	51.20	72.46	$	66.44	60,052
Exercised	(2,935	)	$	51.20	51.20		51.20
Forfeited	(51,457	)		68.80	72.46		68.99
September 30, 2025	5,660		$	51.20	51.20	$	51.20	5,660

All values are in US Dollars.

(e) Non-Management Directors – Deferred Share Unit Plans

A summary of the activity under the non-management director DSU plans is presented below:

Deferred share units	Outstanding- <br> 2012 Plan	Outstanding- <br> 2024 Plan
December 31, 2024	1,470	2,753
Granted	—	12,658
Redeemed	—	(8,395	)
June 30, 2025	1,470	7,016

Included in net earnings (loss) for the three and nine months ended September 30, 2025 were expenses of nil (2024 – $0.4 million) and $1 million (2024 – $0.4 million), respectively.

NOTE 8. SHAREHOLDERS’ CAPITAL

Common shares	Number			Amount
December 31, 2024	13,779,502		$	2,301,729
Reversal of share repurchase accrual — December 31, 2024	—			10,000
Share repurchase accrual — September 30, 2025	—			(5,000	)
Settlement of PSUs and RSUs	150,068			11,651
Share options exercised	2,935			299
Share repurchases	(767,422	)		(54,889	)
Redemption of non-management directors share units	8,395			606
September 30, 2025	13,173,478		$	2,264,396

(a) Normal Course IssuerBid

During the third quarter of 2025, the Toronto Stock Exchange (TSX) approved the renewal of Precision's Normal Course Issuer Bid (NCIB). Pursuant to the NCIB, the Corporation has been authorized by the TSX to repurchase and cancel up to a maximum of 1,251,850 common shares. The NCIB will terminate no later than September 18, 2026. For the period ended September 30, 2025, Precision repurchased and cancelled a total of 767,422 (2024 – 543,778) common shares for $54 million (2024 – $50 million) and recorded $1 million (2024 – $1 million) of Canadian share buy back tax.

(b) Automated Share PurchasePlan

Prior to September 30, 2025, Precision entered into an Automated Share Purchase Plan (ASPP) with an independent broker to permit the repurchase of common shares during its internal blackout period. The volume of purchases is determined by the broker in its sole discretion based on purchase price and maximum volume parameters established by the Corporation under the ASPP. The Corporation recorded a liability for purchases estimated to occur during the blackout period based on the parameters of the NCIB and the ASPP. As at September 30, 2025, Precision recorded a liability in accounts payable with a corresponding decrease to share capital of $5 million.

NOTE 9. PER SHARE AMOUNTS

The following tables reconcile net earnings (loss) and weighted average shares outstanding used in computing basic and diluted net earnings (loss) per share:

	Three Months Ended September 30,						Nine Months Ended September 30,
		2025			2024			2025			2024
Net earnings (loss) attributable to <br> shareholders – basic	$	(6,761	)	$	39,183		$	44,017		$	96,400
Effect of share options and other equity<br> compensation plans		—			(4,802	)		(580	)		—
Net earnings (loss) attributable to <br> shareholders – diluted	$	(6,761	)	$	34,381		$	43,437		$	96,400


(Stated in thousands)	2025	2024	2025	2024
Weighted average shares outstanding – basic	13,211	14,142	13,430	14,312
Effect of share options and other equity<br> compensation plans	—	748	640	5
Weighted average shares outstanding – diluted	13,211	14,890	14,070	14,317

NOTE 10. FAIR VALUES OF FINANCIAL INSTRUMENTS

The carrying value of cash, accounts receivable, accounts payable and accrued liabilities approximates their fair value due to the relatively short period to maturity of the instruments. At the end of each reporting period, investments and other assets are measured at their estimated fair value, with changes in fair value recognized in profit or loss. Amounts drawn on the Senior Credit Facility, measured at amortized cost, approximate fair value as this indebtedness is subject to floating rates of interest and the interest rate swap is classified as a derivative fair valued through profit or loss. The fair value of the unsecured senior note at September 30, 2025 was approximately $559 million (December 31, 2024 – $801 million).

Financial assets and liabilities recorded or disclosed at fair value in the consolidated statement of financial position are categorized based upon the level of judgement associated with the inputs used to measure their fair value. Hierarchical levels are based on the amount of subjectivity associated with the inputs in the fair value determination and are as follows:

Level I—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.

Level II—Inputs (other than quoted prices included in Level I) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the instrument’s anticipated life.

Level III—Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model.

The estimated fair value of unsecured senior notes and interest rate swap is based on level II inputs. The fair value is estimated considering the risk-free interest rates on government debt instruments of similar maturities, adjusted for estimated credit risk, industry risk and market risk premiums.

NOTE 11. INCOME TAXES

During the quarter, the Corporation recognized a deferred income tax expense of $33 million, primarily attributable to the waiving of certain U.S. tax deductions. These deductions were waived to mitigate minimum taxes that the Corporation became subject to as a result of stronger operating results. Consequently, Precision expects to not be subject to U.S. income tax for several years. The waiving of these U.S. tax deductions has been accounted for as a change in tax estimate and adjusted prospectively, resulting in an increase to deferred tax expense and corresponding increase to the deferred tax liability. Precision continues to not recognize deferred income tax assets for certain international locations.

SHAREHOLDER INFORMATION STOCK EXCHANGE LISTINGS Shares of Precision Drilling Corporation are listed on the Toronto Stock Exchange under the trading symbol PD and on the New York Stock Exchange under the trading symbol PDS. TRANSFER AGENT AND REGISTRAR Computershare Trust Company of Canada Calgary, Alberta TRANSFER POINT Computershare Trust Company NA Canton, Massachusetts Q3 2025 TRADING PROFILE Toronto (TSX: PD) High: $83.00 Low: $67.83 Close: $78.38 Volume Traded: 4,812,673 New York (NYSE: PDS) High: US$60.01 Low: US$46.44 Close: US$56.36 Volume Traded: 5,317,679 ACCOUNT QUESTIONS Precision’s Transfer Agent can help you with a variety of shareholder related services, including: • change of address • lost unit certificates • transfer of shares to another person • estate settlement Computershare Trust Company of Canada 100 University Avenue 9th Floor, North Tower Toronto, Ontario M5J 2Y1 Canada 1-800-564-6253 (toll free in Canada and the United States) 1-514-982-7555 (international direct dialing) Email: service@computershare.com ONLINE INFORMATION To receive news releases by email, or to view this interim report online, please visit Precision’s website at www.precisiondrilling.com and refer to the Investor Relations section. Additional information relating to Precision, including the Annual Information Form, Annual Report and Management Information Circular has been filed with SEDAR+ and is available at www.sedarplus.ca and on the EDGAR website www.sec.gov

CORPORATE INFORMATION DIRECTORS William T. Donovan Carey T. Ford Steven W. Krablin Lori A. Lancaster Susan M. MacKenzie Kevin O. Meyers David W. Williams Alice L. Wong OFFICERS Carey T. Ford President and Chief Executive Officer Veronica H. Foley Chief Legal & Compliance Officer Shuja U. Goraya Chief Technology Officer Dustin D. Honing Chief Financial Officer Darren J. Ruhr Chief Administrative Officer Gene C. Stahl Chief Operating Officer AUDITORS KPMG LLP Calgary, Alberta HEAD OFFICE Suite 800, 525 8th Avenue SW Calgary, Alberta, T2P 1G1 Canada Telephone: 403-716-4500 Facsimile: 403-264-0251 Email: info@precisiondrilling.com www.precisiondrilling.com