6-K

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, July 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: July 30, 2025	PRECISION DRILLING CORPORATION
	By:	/s/ Carey T Ford
	Name:	Carey T Ford
	Title:	Chief Financial Officer
Exhibit	DESCRIPTION
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31.1	Certification of Chief Executive Officer, Kevin Neveu, regarding the “Certification of Interim Filings” pursuant to Form 52-109F2.
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31.2	Certification of Chief Financial Officer, Carey Ford, 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 June 30, 2025.
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99.2	Consolidated Financial Statements for the period ended June 30, 2025.
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Exhibit 31.1

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FORM 52-109F2

CERTIFICATION OF INTERIM FILINGS

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I, Kevin A. Neveu, 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 June 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 April 1, 2025 and ended on June 30, 2025 that has materially<br>affected, or is reasonably likely to materially affect, the issuer’s ICFR.
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Date: July 30, 2025

By:	/s/Kevin A Neveu
	Name: Kevin A. Neveu<br><br> <br>Title: President and Chief Executive Officer

Exhibit 31.2

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FORM 52-109F2

CERTIFICATION OF INTERIM FILINGS

I, Carey T. Ford, 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 June 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 April 1, 2025 and ended on June 30, 2025 that has materially<br>affected, or is reasonably likely to materially affect, the issuer’s ICFR.
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Date: July 30, 2025

By:	/s/Carey T. Ford
	Name: Carey T. Ford<br><br> <br>Title: Chief Financial Officer

Exhibit 99.1

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PRECISION DRILLING CORPORATION

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Second Quarter Report for the three months ended June 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 2025 second quarter results and confirms shareholder return targets while increasing its investment in its Super Series rig fleet to meet customer demand and drive drilling revenue growth.

Financial Highlights

·	Revenue was $407 million, including $7 million for customer-funded rig upgrades, compared to $429 million<br>in the second quarter of 2024. The decrease was mainly attributable to lower U.S. and international activity and day rates, as well as<br>a decline in well service activity.
·	Adjusted EBITDA^(1)^ was $108 million, including $4 million<br>of share-based compensation expense. In 2024, second quarter Adjusted EBITDA^(1)^ was $115 million and included share-based compensation<br>expense of $10 million.
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·	Net earnings attributable to shareholders in the second quarter<br>was $16 million or $1.21 per share, marking the 12^th^ consecutive quarter of positive earnings. In the second quarter of 2024,<br>net earnings attributable to shareholders was $21 million or $1.44 per share.
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·	Cash provided by operations during the quarter was $147 million<br>and the Company repaid $74 million of debt and repurchased $14 million of common shares. Year to date, Precision has repaid $91 million<br>of debt and repurchased $45 million of shares and is well above the midpoint of its annual guidance for both these targets.
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·	Capital expenditures were $53 million, bringing the year-to-date<br>total to $113 million. Precision has revised its 2025 capital budget to $240 million from $200 million as it plans to upgrade 22 of its<br>Super Series rigs to meet customer demand, secure additional customer commitments, and drive revenue growth.
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Operational Highlights

·	Canada averaged 50 active drilling rigs compared to 49 active rigs<br>in the second quarter of 2024, outpacing Canadian industry activity that declined 5%.
·	Canadian revenue per utilization day increased to $37,725 from $36,075<br>in the same period last year, primarily due to customer-funded rig upgrades.
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·	U.S. averaged 33 active rigs versus 36 in the second quarter of<br>2024, reflecting a similar decline as industry activity. Compared to the first quarter, Precision's average U.S. rig count was up 3 rigs<br>with U.S. rig utilization days increasing 13% while industry declined 3%.
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·	U.S. revenue per utilization day was US$31,113 compared to US$33,227<br>in the same period last year, primarily due to lower industry activity that caused downward pressure on rates.
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·	Internationally, we averaged seven active rigs versus eight in the<br>second quarter of 2024 and realized revenue of US$36 million compared to US$40 million in the second quarter of 2024.
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·	Service rig operating hours decreased 23% compared to the same quarter<br>in 2024 due to customer driven project deferrals, the impact of weather, and lower U.S. activity. During the quarter we wound down<br>our U.S. well servicing operations, selling certain assets and mobilizing others into Canada.
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(1)	See “FINANCIAL<br> MEASURES AND RATIOS.”
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SELECT FINANCIAL AND OPERATING INFORMATION

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Financial Highlights

	For the three months ended June 30,									For the six months ended June 30,
(Stated in thousands of Canadian dollars, except per share amounts)	2025			2024			% Change			2025			2024			% Change
Revenue		406,615			429,214			(5.3	)		902,946			957,002			(5.6	)
Adjusted EBITDA^(1)^		108,100			115,121			(6.1	)		245,597			258,270			(4.9	)
Net earnings		16,487			20,701			(20.4	)		51,434			57,217			(10.1	)
Net earnings attributable to shareholders		16,267			20,701			(21.4	)		50,778			57,217			(11.3	)
Cash provided by operations		147,495			174,075			(15.3	)		210,914			239,618			(12.0	)
Funds provided by operations^(1)^		104,290			111,750			(6.7	)		214,132			229,515			(6.7	)
Cash used in investing activities		36,049			26,943			33.8			93,251			102,180			(8.7	)
Capital spending by spend category^(1)^
Expansion and upgrade		26,757			8,422			217.7			46,303			22,792			103.2
Maintenance and infrastructure		26,016			30,001			(13.3	)		66,435			71,158			(6.6	)
Proceeds on sale		(11,829	)		(10,992	)		7.6			(15,594	)		(16,178	)		(3.6	)
Net capital spending^(1)^		40,944			27,431			49.3			97,144			77,772			24.9
Net earnings attributable to shareholders per share :
Basic		1.21			1.44			(16.0	)		3.75			3.97			(5.5	)
Diluted		1.07			1.44			(25.7	)		3.28			3.97			(17.3	)
Weighted average shares outstanding:
Basic		13,401			14,389			(6.9	)		13,541			14,398			(6.0	)
Diluted		13,987			14,395			(2.8	)		14,158			14,402			(1.7	)
(1)	See<br> “FINANCIAL MEASURES AND RATIOS.”
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Operating Highlights

							For the six months ended June 30,
		2024		% Change			2025		2024		% Change
Contract drilling rig fleet	215		214		0.5			215		214		0.5
Drilling rig utilization days:
Canada	4,580		4,464		2.6			11,260		11,081		1.6
U.S.	3,033		3,236		(6.3	)		5,724		6,689		(14.4	)
International	680		728		(6.6	)		1,400		1,456		(3.8	)
Revenue per utilization day:
Canada (Cdn)	37,725		36,075		4.6			36,465		35,789		1.9
U.S. (US)	31,113		33,227		(6.4	)		32,074		33,041		(2.9	)
International (US)	53,129		55,301		(3.9	)		51,221		54,055		(5.2	)
Operating costs per utilization day:
Canada (Cdn)	22,419		21,652		3.5			21,471		20,641		4.0
U.S. (US)	22,087		22,427		(1.5	)		22,784		22,062		3.3
Service rig fleet	144		165		(12.7	)		144		165		(12.7	)
Service rig operating hours	43,837		57,051		(23.2	)		110,823		131,555		(15.8	)

All values are in US Dollars.

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Drilling Activity

	Average for the quarter ended 2024								Average for the quarter ended 2025
	Mar. 31		June 30		Sept. 30		Dec. 31		Mar. 31		June 30
Average Precision active rig count^(1)^:
Canada		73		49		72		65		74		50
U.S.		38		36		35		34		30		33
International		8		8		8		8		8		7
Total		119		93		115		107		112		90
(1)	Average number<br> of drilling rigs working or moving.
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Financial Position

(Stated in thousands of Canadian dollars, except ratios)	June 30, 2025		December 31, 2024
Working capital^(1)^		3,681		162,592
Cash		46,698		73,771
Long-term debt		546,429		812,469
Total long-term financial liabilities^(1)^		609,299		888,173
Total assets		2,742,837		2,956,315
Long-term debt to long-term debt plus equity ratio ^(1)^		0.25		0.33
(1)	See “FINANCIAL<br> MEASURES AND RATIOS.”
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Summary for the three months ended June 30, 2025:

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·	Revenue in the second quarter was $407 million and included $7 million for customer-funded upgrades. While<br>Canadian drilling activity and day rates increased over the same period last year, revenue decreased $23 million from the second quarter<br>of 2024 primarily due to U.S. and international drilling activity declining 6% and 7%, respectively, and well service activity falling<br>23%.
·	Adjusted EBITDA was $108 million compared to $115 million in the second quarter of 2024, primarily due<br>to lower activity impacting revenue offset in part by lower share-based compensation expense, which was $4 million versus $10 million<br>in the same period last year. For additional information on share-based compensation please refer to "Other Items" later in<br>the this report.
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·	Adjusted EBITDA as a percentage of revenue^(1)^ was 27%, consistent with the second quarter of<br>2024.
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·	Net earnings attributable to shareholders was $16 million or $1.21 per share compared to $21 million or<br>$1.44 per share for the same period last year. On a diluted basis, net earnings attributable to shareholders was $1.07 versus $1.44 in<br>2024. Precision has consistently delivered positive quarterly net earnings for the past three years.
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·	Cash provided by operations was $147 million and the Company repurchased 237,085 shares for $14 million,<br>and redeemed US$60 million of its 2026 unsecured senior notes, ending the quarter with $47 million of cash and almost $530 million of<br>available liquidity.
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·	In Canada, revenue per utilization day was $37,725 compared to $36,075<br>in the same period last year. The increase related to $7 million of revenue earned for customer funded rig upgrades, amounting to $1,440<br>on a daily basis.
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·	Canadian operating costs per utilization day increased 4% to $22,419, mainly due to labor costs related<br>to rig mix and recoverable expenses offset in revenue.
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·	In the U.S., revenue per utilization day was US$31,113 compared<br>to US$33,227 in the same period last year, as lower industry activity caused downward pressure on rates. In the previous quarter, U.S.<br>revenue per utilization day was US$33,157 but included US$1,263 of idle but contracted rig revenue.
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·	U.S. operating costs per utilization day remained consistent at US$22,087 versus US$22,427 in the second<br>quarter of 2024. With an increasing rig count, our operating costs per utilization day included US$648 of rig reactivation charges compared<br>to US$242 in the same period last year. In the previous quarter, U.S. operating costs per utilization day were US$23,568 and included<br>charges for mobilization costs and rig reactivations.
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·	Internationally, we realized revenue of US$36 million compared to US$40 million primarily due to our average<br>active rig count, which decreased from eight to seven in the second quarter of 2025 as one rig was temporarily suspended in Saudi Arabia.<br>We expect to have seven rigs active for the rest of the year.
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·	Completion and Production Services revenue was $54 million, a decrease of $12 million from 2024, as service<br>rig operating hours declined 23%. This reduction was the result of customer driven project deferrals, the impact of weather, and lower<br>U.S. activity as we wound down our U.S. well servicing operations, selling certain assets and mobilizing others into Canada. Adjusted<br>EBITDA was $10 million, representing 18% of revenue and comparable to 19% in 2024.
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·	General and administrative expenses were $25 million versus $29 million in the second quarter of 2024,<br>primarily due to lower share-based compensation expense.
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| --- | | · | Capital expenditures were $53 million compared to $38 million in the second quarter of 2024 and included<br>$26 million for the maintenance of existing assets, infrastructure, and intangible assets and $27 million for expansion and upgrades. | | --- | --- | | (1) | See “FINANCIAL<br> MEASURES AND RATIOS.” | | --- | --- |

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Summary for the six months ended June 30, 2025:

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·	Revenue for the first six months of 2025 was $903 million, a decrease of 6% from 2024. The majority of<br>this decrease related to lower activity in U.S. drilling and our Canadian well service business.
·	Adjusted EBITDA decreased 5% to $246 million from $258 million and included $7 million of share-based<br>compensation expense compared to $33 million in 2024. Please refer to “Other Items” later in this report for additional information<br>on share-based compensation.
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·	Adjusted EBITDA as a percentage of revenue was unchanged at 27%.
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·	Net earnings attributable to shareholders was $51 million or $3.75 per share and comparable with $57 million<br>or $3.97 per share. On a diluted basis, net earnings attributable to shareholders was $3.22 per share versus $3.97 in 2024.
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·	General and administrative costs were $55 million and $19 million lower than the first six months of 2024,<br>primarily due to lower share-based compensation expense.
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·	Net finance charges were $31 million, a decrease of $6 million from 2024 due to lower outstanding debt<br>balance, partially offset by the impact of the weakening Canadian dollar on our U.S. dollar-denominated interest expense.
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·	Cash provided by operations was $211 million and the Company repurchased 646,058 shares for $45 million<br>and reduced debt by $91 million by redeeming US$60 million of 2026 unsecured senior notes and repaying $7 million on the Senior Credit<br>Facility. We ended the quarter with $47 million of cash and almost $530 million of available liquidity.
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·	Capital expenditures were $113 million for the first six months of 2025 and included $66 million for maintenance,<br>infrastructure, and intangible assets, and $46 million for expansion and upgrades. By comparison, for the first six months of 2024, capital<br>expenditures were $94 million and included $71 million for maintenance, infrastructure, and intangible assets, and $23 million for expansion<br>and upgrades.
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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 second quarter:

1.	Maximize free cash flow through disciplined capital deployment and strict cost management.
·	Generated cash from operations of $147 million, allowing the Precision to reduce debt and buy back shares.
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·	On track to realize approximately $10 million in annual savings following fixed cost reductions in the<br>first quarter to address market uncertainty.
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2.	Enhance shareholder returns through debt reduction and share repurchases.  Plan to reduce debtby at least $100 million and allocate 35% to 45% of free cash flow before debt repayments for share repurchases.
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·	Returned $14 million of capital to shareholders by repurchasing 237,085 shares during the quarter. Year<br>to date, we have repurchased $45 million shares and are well on track to meet our annual guidance.
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·	Reduced debt by $74 million and ended the quarter with almost $530 million of available liquidity. Year<br>to date, we have reduced debt by $91 million, which is well beyond the mid point of our guidance.
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·	Well positioned to meet our long-term debt reduction target of $700 million between 2022 and 2027. As<br>of June 30, 2025, we have reduced our debt by $525 million since the beginning of 2022.
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·	Increased Canadian drilling rig utilization, averaging 50 active rigs versus 49 in the second quarter<br>of 2024.
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·	Grew US rig utilization in a declining market, averaging 33 active rigs versus 30 in the previous quarter.
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·	Maintained strong pricing in Canada with revenue per utilization per day of $36,285, after excluding revenue<br>related to customer-funded upgrades, which was consistent with $36,075 in the second quarter of 2024.
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·	Increased 2025 capital budget to $240 million from $200 million to provide for 22 upgrades to our SuperSeries rigs and drive drilling revenue growth.
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·	Current market conditions and commodity price volatility make acquisitions less likely in the near term.
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OUTLOOK

Near-term expectations for global energy demand growth have been 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 is positive, driven by economic growth, increasing demand from emerging economies, and new demand for power.

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 we expect demand for our Super Triple drilling rigs could exceed current supply once the facility achieves its run rate capacity. The Trans Mountain pipeline expansion continues to support heavy oil production, driving our Super Single rig utilization near full capacity. While Canadian drilling fundamentals are strong, tariff and commodity price uncertainty have caused some producers to defer some work until later this year. We currently have 63 rigs operating and as these uncertainties resolve, we expect Canadian customer demand for oil targeted drilling to further strengthen.

In the U.S., while the oil rig count continues to decline, we are beginning to see natural gas drilling increase as customers are becoming more constructive on LNG off-take and AI demand. We currently have 36 rigs active in the U.S. and expect to increase our activity for the remainder of the year as we capitalize on emerging opportunities in natural gas basins such as the Haynesville and Marcellus.

Internationally, we have seven active rigs with five in Kuwait and two in the Kingdom of Saudi Arabia and expect this same level of activity for the remainder of the year. The majority of these rigs are under five-year term contracts that extend into 2027 and 2028. We continue to look for opportunities to leverage our international expertise.

As the premier well service provider in Canada, the outlook for this business remains strong, driven by increased takeaway capacity from the Trans Mountain pipeline expansion and LNG Canada, and our High Performance,High Value service offering. We expect activity to improve in the second half of the year as customers move ahead with projects previously deferred.

Contracts

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The following chart outlines the average number of drilling rigs under term contract by quarter as at July 29, 2025. For those quarters ending after June 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 July 29, 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		17		16		18
U.S.		20		17		17		16		18		16		16		14		9		14
International		8		8		8		8		8		8		7		7		7		7
Total		52		47		48		47		49		44		41		38		32		39

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Seasonality

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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 in the first and third quarters and releases of working capital in the second and fourth quarters.

Capital Spending and Free Cash Flow Allocation

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Capital spending in 2025 is expected to be $240 million, an increase of $40 million from our previously announced plan as we expect to upgrade 22 of our Super Series rigs. Capital spending by spend category is expected to include $154 million for maintenance, infrastructure, and intangibles and $86 million for expansion and upgrades. We expect to spend $218 million in the Contract Drilling Services segment, $19 million in the Completion and Production Services segment and $3 million in the Corporate segment. At June 30, 2025, Precision had capital commitments of $131 million with payments expected through 2027. We remain committed to our debt reduction plans and in 2025 expect to reduce debt by at least $100 million and allocate 35% to 45% of free cash flow before debt repayments for share repurchases, while remaining committed to achieving a sustained Net Debt to Adjusted EBITDA ratio^(1)^ of below 1.0 times.

(1)	See “FINANCIAL<br> MEASURES AND RATIOS.”

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Commodity Prices

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Second quarter average West Texas Intermediate and Western Canadian Select decreased 21% and 19%, respectively, compared with the same period last year, as U.S. tariffs concerns and OPEC+ production increases weighed on oil prices. The average Henry Hub natural gas price and AECO increased 50% and 47%, respectively due to optimism from LNG off-take and AI data centers.

				Year ended December 31,
		2024		2024
Average oil and natural gas prices
Oil
West Texas Intermediate (per barrel) (US)	63.71		80.55		75.73
Western Canadian Select (per barrel) (US)	54.12		66.89		61.24
Natural gas
United States
Henry Hub (per MMBtu) (US)	3.51		2.34		2.41
Canada
AECO (per MMBtu) (CDN)	1.74		1.18		1.39

All values are in US Dollars.

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SEGMENTED FINANCIAL RESULTS

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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 June 30,									For the six months ended June 30,
(Stated in thousands of Canadian dollars)	2025			2024			% Change			2025			2024			% Change
Revenue:
Contract Drilling Services		355,352			365,603			(2.8	)		774,809			808,970			(4.2	)
Completion and Production Services		53,936			65,826			(18.1	)		133,266			152,913			(12.8	)
Inter-segment eliminations		(2,673	)		(2,215	)		20.7			(5,129	)		(4,881	)		5.1
		406,615			429,214			(5.3	)		902,946			957,002			(5.6	)
Adjusted EBITDA:^(1)^
Contract Drilling Services		111,422			119,754			(7.0	)		247,438			273,427			(9.5	)
Completion and Production Services		9,876			12,440			(20.6	)		27,422			31,045			(11.7	)
Corporate and Other		(13,198	)		(17,073	)		(22.7	)		(29,263	)		(46,202	)		(36.7	)
		108,100			115,121			(6.1	)		245,597			258,270			(4.9	)
Depreciation and amortization		74,858			73,818			1.4			149,894			152,031			(1.4	)
Gain on asset disposals		(6,425	)		(7,675	)		(16.3	)		(9,297	)		(10,912	)		(14.8	)
Foreign exchange		(1,617	)		(471	)		243.3			(1,250	)		(77	)		1,523.4
Finance charges		14,857			18,189			(18.3	)		30,617			36,558			(16.3	)
Loss (gain) on investments and other assets		1,674			48			3,387.5			1,625			(180	)		(1,002.8	)
Net earnings before income tax		24,753			31,212			(20.7	)		74,008			80,850			(8.5	)
Income taxes		8,266			10,511			(21.4	)		22,574			23,633			(4.5	)
Net earnings		16,487			20,701			(20.4	)		51,434			57,217			(10.1	)
Non-controlling interest		220			—			100.0			656			—			100.0
Net earnings attributable to shareholders		16,267			20,701			(21.4	)		50,778			57,217			(11.3	)
(1)	See “FINANCIAL<br> MEASURES AND RATIOS.”
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SEGMENT REVIEW OF CONTRACT DRILLING SERVICES

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	For the three months ended June 30,									For the six months ended June 30,
(Stated in thousands of Canadian dollars, except where noted)	2025			2024			% Change			2025			2024			% Change
Revenue		355,352			365,603			(2.8	)		774,809			808,970			(4.2	)
Expenses:
Operating		234,448			236,585			(0.9	)		506,860			513,277			(1.3	)
General and administrative		9,482			9,264			2.4			20,511			22,266			(7.9	)
Adjusted EBITDA^(1)^		111,422			119,754			(7.0	)		247,438			273,427			(9.5	)
Adjusted EBITDA as a percentage of revenue^(1)^		31.4	%		32.8	%					31.9	%		33.8	%
(1)	See “FINANCIAL<br> MEASURES AND RATIOS.”
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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
Year to date average		62		171		61		171
(1)	Canadian operations<br> only.
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(2)	Baker<br> Hughes rig counts.
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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
Year to date average		32		564		37		593
(1)	United States<br> lower 48 operations only.
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(2)	Baker<br> Hughes rig counts.
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Revenue from Contract Drilling Services was $355 million compared to $366 million in the second quarter of 2024, primarily due to U.S. and international drilling activity declining 6% and 7%, respectively. In the U.S., the decrease in activity has been similar to the lower industry activity. Internationally, our active rig count went from eight to seven in the second quarter as one rig was temporarily suspended in Saudi Arabia by the customer. The lower activity in the U.S. and internationally was in part offset by stronger activity in Canada and $7 million in revenue from customer-funded upgrades.

Adjusted EBITDA was $111 million for the quarter and represented 31% of revenue compared to 33% realized in the second quarter of 2024. The percentage decrease was mainly driven by lower day rates in the U.S. and internationally that declined 6% and 4%, respectively, plus higher rig reactivations costs in the U.S.

In Canada, 36% of our utilization days were generated from rigs under term contract in second quarter of 2025 compared to 42% in 2024. In the U.S., 46% of utilization days were generated from rigs under term contract versus 55% in 2024.

SEGMENT REVIEW OF COMPLETION AND PRODUCTION SERVICES

	For the three months ended June 30,									For the six months ended June 30,
(Stated in thousands of Canadian dollars, except where noted)	2025			2024			% Change			2025			2024
Revenue		53,936			65,826			(18.1	)		133,266			152,913		(12.8	)
Expenses:
Operating		41,970			51,040			(17.8	)		101,082			116,520		(13.2	)
General and administrative		2,090			2,346			(10.9	)		4,762			5,348		(11.0	)
Adjusted EBITDA^(1)^		9,876			12,440			(20.6	)		27,422			31,045		(11.7	)
Adjusted EBITDA as a percentage of revenue^(1)^		18.3	%		18.9	%					20.6	%		20.3	%
Well servicing statistics:
Number of service rigs (end of period)		144			165			(12.7	)		144			165		(12.7	)
Service rig operating hours		43,837			57,051			(23.2	)		110,823			131,555		(15.8	)
(1)	See “FINANCIAL<br> MEASURES AND RATIOS.”
---	---

Completion and Production Services revenue was $54 million, a decrease of $12 million from 2024 as well service rig operating hours decreased 23% due to customer driven project deferrals, driven by market and commodity price volatility, and the impact of weather, including wet conditions and wildfires. In addition, our U.S. activity was lower as we wound down our U.S.well servicing operations into our Canadian business, selling certain assets and mobilizing others into Canada.

Adjusted EBITDA was $10 million, representing 18% of revenue and comparable to 19% in the second quarter of 2024.

SEGMENT REVIEW OF CORPORATE AND OTHER

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Our Corporate and Other segment provides support functions to our operating segments. The Corporate and Other segment had negative Adjusted EBITDA of $13 million for the second quarter as compared with negative Adjusted EBITDA of $17 million in the same period last year. Our improved current quarter Adjusted EBITDA was due to lower share-based compensation expense. The year-to-date improvement is also primarily due to 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 June 30,				For the six months ended June 30,
(Stated in thousands of Canadian dollars)	2025		2024		2025		2024
Cash settled share-based incentive plans		2,662		8,677		3,065		30,436
Equity settled share-based incentive plans		1,551		1,202		3,978		2,077
Total share-based incentive compensation plan expense		4,213		9,879		7,043		32,513
Allocated:
Operating		1,254		2,686		2,382		7,938
General and Administrative		2,959		7,193		4,661		24,575
		4,213		9,879		7,043		32,513

Cash settled share-based compensation expense for the quarter was $3 million as compared with $9 million in 2024. The lower expense in 2025 was primarily due to our lower share price performance as compared with 2024. The year-to-date decrease is also attributable 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, resulting in an equity-settled share-based compensation expense of $2 million for the quarter and $4 million year to date. These issuances were aligned with our annual compensation framework.

As at June 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.

LIQUIDITY AND CAPITAL RESOURCES

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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.

Liquidity

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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)	$10 million drawn and US$51 million in outstanding letters of credit	General corporate purposes	June 28, 2027
Operating facilities (secured)
$40 million	Undrawn, except $8 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$100 million – 7.125%	Fully drawn	Debt redemption and repurchases	January 15, 2026
US$400 million – 6.875%	Fully drawn	Debt redemption and repurchases	January 15, 2029

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In the second quarter of 2025, we reduced long-term debt by $74 million, redeeming $84 million (US$60 million) of our 2026 unsecured senior notes while drawing $10 million from our Senior Credit Facility. As at June 30, 2025, we had a total of $691 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 6.9%.

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.

The Senior Credit Facility matures on June 28, 2027. The Senior Credit Facility contains a springing maturity date provision such that if any specified unsecured debt, including our 2026 unsecured senior notes, remains outstanding 90 days prior to their maturity date, then the Senior Credit Facility shall mature. We intend to use available operating cash flows and/or proceeds from the Senior Credit Facility to redeem the 2026 unsecured senior notes prior to the springing maturity date of October 14, 2025.

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.

On March 31, 2025, the 2026 unsecured senior notes were reclassified from long-term to current, as they are due on January 15, 2026. For further information, please see the unsecured senior note indentures which are available on SEDAR+ and EDGAR.

Covenants

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

	Covenant		At June 30, 2025
Senior Credit Facility
Consolidated senior debt to consolidated covenant EBITDA^(1)^		<2.50		0.03
Consolidated covenant EBITDA to consolidated interest expense		>2.50		8.21
(1)	For purposes of calculating the leverage<br> ratio consolidated senior debt only includes secured indebtedness.
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Impact of foreign exchange rates

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

	For the three months ended June 30,				For the six months ended June 30,				At December 31,
	2025		2024		2025		2024		2024
Canada-U.S. foreign exchange rates
Average		1.38		1.37		1.41		1.36		—
Closing		1.36		1.37		1.36		1.37		1.44

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Hedge of investments in foreign operations

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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.

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QUARTERLY FINANCIAL SUMMARY

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(Stated in thousands of Canadian dollars, except per share amounts)	2024				2025
Quarters ended	September 30		December 31		March 31		June 30
Revenue		477,155		468,171		496,331		406,615
Adjusted EBITDA^(1)^		142,425		120,526		137,497		108,100
Net earnings		39,183		14,930		34,947		16,487
Net earnings attributable to shareholders		39,183		14,795		34,511		16,267
Net earnings  attributable to shareholders per basic share		2.77		1.06		2.52		1.21
Net earnings attributable to shareholders per diluted share		2.31		1.06		2.20		1.07
Funds provided by operations^(1)^		113,322		120,535		109,842		104,290
Cash provided by operations		79,674		162,791		63,419		147,495
(Stated in thousands of Canadian dollars, except per share amounts)	2023				2024
---	---	---	---	---	---	---	---	---
Quarters ended	September 30		December 31		March 31		June 30
Revenue		446,754		506,871		527,788		429,214
Adjusted EBITDA^(1)^		114,575		151,231		143,149		115,121
Net earnings		19,792		146,722		36,516		20,701
Net earnings attributable to shareholders		19,792		146,722		36,516		20,701
Net earnings  attributable to shareholders per basic share		1.45		10.42		2.53		1.44
Net earnings attributable to shareholders per diluted share		1.45		9.81		2.53		1.44
Funds provided by operations^(1)^		91,608		145,189		117,765		111,750
Cash provided by operations		88,500		170,255		65,543		174,075
(1)	See “FINANCIAL<br> MEASURES AND RATIOS.”
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CRITICAL ACCOUNTING JUDGEMENTS AND ESTIMATES

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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

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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 June 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 June 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

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

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	For the three months ended June 30,						For the six months ended June 30,
(Stated in thousands of Canadian dollars)	2025			2024			2025			2024
Adjusted EBITDA by segment:
Contract Drilling Services		111,422			119,754			247,438			273,427
Completion and Production Services		9,876			12,440			27,422			31,045
Corporate and Other		(13,198	)		(17,073	)		(29,263	)		(46,202	)
Adjusted EBITDA		108,100			115,121			245,597			258,270
Depreciation and amortization		74,858			73,818			149,894			152,031
Gain on asset disposals		(6,425	)		(7,675	)		(9,297	)		(10,912	)
Foreign exchange		(1,617	)		(471	)		(1,250	)		(77	)
Finance charges		14,857			18,189			30,617			36,558
Loss (gain) on investments and other assets		1,674			48			1,625			(180	)
Income taxes		8,266			10,511			22,574			23,633
Net earnings		16,487			20,701			51,434			57,217
Non-controlling interests		220			—			656			—
Net earnings attributable to shareholders		16,267			20,701			50,778			57,217

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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><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><br><br> <br>The most directly comparable financial measure is cash provided by (used<br> in) investing activities.<br><br> <br><br><br> <br>Net capital spending is calculated as follows:
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	For the three months ended June 30,						For the six months ended June 30,
(Stated in thousands of Canadian dollars)	2025			2024			2025			2024
Capital spending by spend category
Expansion and upgrade		26,757			8,422			46,303			22,792
Maintenance, infrastructure and intangibles		26,016			30,001			66,435			71,158
		52,773			38,423			112,738			93,950
Proceeds on sale of property, plant and equipment		(11,829	)		(10,992	)		(15,594	)		(16,178	)
Net capital spending		40,944			27,431			97,144			77,772
Proceeds from sale of investments and other assets		—			(3,623	)		—			(3,623	)
Purchase of investments and other assets		—			—			11			—
Receipt of finance lease payments		(209	)		(193	)		(417	)		(384	)
Changes in non-cash working capital balances		(4,686	)		3,328			(3,487	)		28,415
Cash used in investing activities		36,049			26,943			93,251			102,180

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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><br><br> <br>Working capital is calculated as follows:

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	June 30,			December 31,
(Stated in thousands of Canadian dollars)	2025			2024
Current assets		411,030			501,284
Current liabilities		(407,349	)		(338,692	)
Working capital		3,681			162,592

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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><br><br> <br>Total long-term financial liabilities is calculated as follows:

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	June 30,			December 31,
(Stated in thousands of Canadian dollars)	2025			2024
Total non-current liabilities		670,288			935,624
Deferred tax liabilities		(60,989	)		(47,451	)
Total long-term financial liabilities		609,299			888,173

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Non-GAAP Ratios
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, 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. For the period ended June 30, 2025 long-term debt includes long-term debt plus current portion of long-term debt as reported in our Consolidated Interim Consolidated Statements of Financial Position.
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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. For the period ended June 30, 2025 long-term debt includes long-term debt plus current portion of long-term debt as reported in our Consolidated Interim Consolidated Statements of Financial Position.
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Supplementary Financial Measures

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.

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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION AND STATEMENTS

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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;
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·	anticipated activity levels, demand for our drilling rigs, day rates and daily operating margins in 2025;
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·	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.
---	---

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.

14

Exhibit 99.2

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (UNAUDITED)

(Stated in thousands of Canadian dollars)	June 30, 2025			December 31, 2024
ASSETS
Current assets:
Cash	$	46,698		$	73,771
Accounts receivable		318,610			378,712
Inventory		45,722			43,300
Assets held for sale		—			5,501
Total current assets		411,030			501,284
Non-current assets:
Deferred tax assets		2,114			6,559
Property, plant and equipment		2,245,696			2,356,173
Intangibles		11,241			12,997
Right-of-use assets		60,006			66,032
Finance lease receivables		4,533			4,806
Investments and other assets		8,217			8,464
Total non-current assets		2,331,807			2,455,031
Total assets	$	2,742,837		$	2,956,315
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable and accrued liabilities	$	250,900		$	314,355
Income taxes payable		1,880			3,778
Current portion of lease obligations		18,388			20,559
Current portion of long-term debt (Note 5)		136,181			—
Total current liabilities		407,349			338,692
Non-current liabilities:
Share-based compensation (Note 7)		7,214			13,666
Provisions and other		7,057			7,472
Lease obligations		48,599			54,566
Long-term debt (Note 5)		546,429			812,469
Deferred tax liabilities		60,989			47,451
Total non-current liabilities		670,288			935,624
Equity:
Shareholders’ capital (Note 8)		2,272,820			2,301,729
Contributed surplus		78,383			77,557
Accumulated other comprehensive income		159,389			199,020
Deficit		(850,056	)		(900,834	)
Total equity attributable to shareholders		1,660,536			1,677,472
Non-controlling interest		4,664			4,527
Total equity		1,665,200			1,681,999
Total liabilities and equity	$	2,742,837		$	2,956,315

See accompanying notes to condensed interim consolidated financial statements.

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CONDENSED INTERIM CONSOLIDATED STATEMENTS OF NET EARNINGS (UNAUDITED)

	Three Months Ended June 30,						Six Months Ended June 30,
(Stated in thousands of Canadian dollars, except per share amounts)	2025			2024			2025			2024
Revenue (Note 3)	$	406,615		$	429,214		$	902,946		$	957,002
Expenses:
Operating		273,745			285,410			602,813			624,916
General and administrative		24,770			28,683			54,536			73,816
Earnings before income taxes, loss (gain) on<br>    investments and other assets, finance <br>    charges, foreign exchange, gain on asset<br>    disposals, and depreciation and amortization		108,100			115,121			245,597			258,270
Depreciation and amortization		74,858			73,818			149,894			152,031
Gain on asset disposals		(6,425	)		(7,675	)		(9,297	)		(10,912	)
Foreign exchange		(1,617	)		(471	)		(1,250	)		(77	)
Finance charges (Note 6)		14,857			18,189			30,617			36,558
Loss (gain) on investments and other assets		1,674			48			1,625			(180	)
Earnings before income taxes		24,753			31,212			74,008			80,850
Income taxes:
Current		1,068			1,345			2,174			2,362
Deferred		7,198			9,166			20,400			21,271
		8,266			10,511			22,574			23,633
Net earnings	$	16,487		$	20,701		$	51,434		$	57,217
Attributable to:
Shareholders of Precision Drilling Corporation	$	16,267		$	20,701		$	50,778		$	57,217
Non-controlling interests	$	220		$	—		$	656		$	—
Net earnings per share attributable to shareholders<br>    of Precision Drilling Corporation: (Note 9)
Basic	$	1.21		$	1.44		$	3.75		$	3.97
Diluted	$	1.07		$	1.44		$	3.28		$	3.97

See accompanying notes to condensed interim consolidated financial statements.

| 2 |

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CONDENSED INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

	Three Months Ended June 30,						Six Months Ended June 30,
(Stated in thousands of Canadian dollars)	2025			2024			2025			2024
Net earnings	$	16,487		$	20,701		$	51,434		$	57,217
Unrealized gain (loss) on translation of assets <br>    and liabilities of operations denominated in <br>    foreign currency		(79,446	)		14,260			(80,104	)		46,513
Foreign exchange gain (loss) on net investment hedge<br>    with U.S. denominated debt		41,008			(8,660	)		40,473			(28,819	)
Comprehensive income (loss)	$	(21,951	)	$	26,301		$	11,803		$	74,911
Attributable to:
Shareholders of Precision Drilling Corporation	$	(22,171	)	$	26,301		$	11,147		$	74,911
Non-controlling interests	$	220		$	—		$	656		$	—

See accompanying notes to condensed interim consolidated financial statements.

| 3 |

| --- |

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

	Three Months Ended June 30,						Six Months Ended June 30,
(Stated in thousands of Canadian dollars)	2025			2024			2025			2024
Cash provided by (used in):
Operations:
Net earnings	$	16,487		$	20,701		$	51,434		$	57,217
Adjustments for:
Long-term compensation plans		3,374			4,419			6,390			11,870
Depreciation and amortization		74,858			73,818			149,894			152,031
Gain on asset disposals		(6,425	)		(7,675	)		(9,297	)		(10,912	)
Unrealized foreign exchange		(1,631	)		(578	)		(2,414	)		150
Finance charges		14,857			18,189			30,617			36,558
Income taxes		8,266			10,511			22,574			23,633
Other		(21	)		93			(21	)		93
Loss (gain) on investments and other assets		1,674			48			1,625			(180	)
Income taxes paid		(3,846	)		(4,100	)		(4,167	)		(4,334	)
Interest paid		(3,621	)		(4,313	)		(33,258	)		(37,743	)
Interest received		318			637			755			1,132
Funds provided by operations		104,290			111,750			214,132			229,515
Changes in non-cash working capital balances		43,205			62,325			(3,218	)		10,103
Cash provided by operations		147,495			174,075			210,914			239,618
Investments:
Purchase of property, plant and equipment		(52,773	)		(38,423	)		(112,738	)		(93,950	)
Proceeds on sale of property, plant and equipment		11,829			10,992			15,594			16,178
Proceeds from sale of investments and other assets		—			3,623			—			3,623
Purchase of investments and other assets		—			—			(11	)		—
Receipt of finance lease payments		209			193			417			384
Changes in non-cash working capital balances		4,686			(3,328	)		3,487			(28,415	)
Cash used in investing activities		(36,049	)		(26,943	)		(93,251	)		(102,180	)
Financing:
Issuance of long-term debt		10,000			—			10,000			—
Repayment of long-term debt		(83,854	)		(102,132	)		(100,964	)		(102,848	)
Repurchase of share capital (Note 8)		(14,490	)		(23,493	)		(45,256	)		(33,574	)
Issuance of common shares from the exercise<br>       of options		—			191			—			191
Debt amendment fees		—			(1,317	)		—			(1,317	)
Lease payments		(3,922	)		(3,219	)		(7,509	)		(6,419	)
Cash used in financing activities		(92,266	)		(129,970	)		(143,729	)		(143,967	)
Effect of exchange rate changes on cash		(727	)		123			(1,007	)		580
Increase (decrease) in cash		18,453			17,285			(27,073	)		(5,949	)
Cash, beginning of period		28,245			30,948			73,771			54,182
Cash, end of period	$	46,698		$	48,233		$	46,698		$	48,233

See accompanying notes to condensed interim consolidated financial statements.

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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		—			—			—			50,778			50,778			656			51,434
Other comprehensive income <br>    for the period		—			—			(39,631	)		—			(39,631	)		—			(39,631	)
Settlement of Executive <br>    Performance and Restricted <br>    Share Units		11,651			(2,790	)		—			—			8,861			—			8,861
Distributions to non-controlling <br>    interest		—			—			—			—			—			(519	)		(519	)
Share repurchases (Note 8)		(40,921	)		—			—			—			(40,921	)		—			(40,921	)
Redemption of non-management <br>    directors share units		361			(361	)		—			—			—			—			—
Share-based compensation <br>    expense		—			3,977			—			—			3,977			—			3,977
Balance at June 30, 2025	$	2,272,820		$	78,383		$	159,389		$	(850,056	)	$	1,660,536		$	4,664		$	1,665,200
	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		—			—			—		57,217			57,217			—		57,217
Other comprehensive income<br>    for the period		—			—			17,694		—			17,694			—		17,694
Settlement of Executive <br>    Performance and Restricted <br>    Share Units		21,846			(1,479	)		—		—			20,367			—		20,367
Share options exercised		271			(80	)		—		—			191			—		191
Share repurchases		(40,423	)		—			—		—			(40,423	)		—		(40,423	)
Share-based compensation<br>    expense		—			2,077			—		—			2,077			—		2,077
Balance at June 30, 2024	$	2,346,823		$	75,604		$	165,170	$	(954,812	)	$	1,632,785		$	—	$	1,632,785

See accompanying notes to condensed interim consolidated financial statements.

| 5 |

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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 July 29, 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.

| 6 |

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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 June 30, 2025	Contract<br> Drilling<br> Services		Completion<br> and<br> Production<br> Services		Corporate<br> and Other		Inter-<br> Segment<br> Eliminations			Total
Canada	$	175,028	$	53,863	$	—	$	(2,673	)	$	226,218
United States		130,494		73		—		—			130,567
International		49,830		—		—		—			49,830
	$	355,352	$	53,936	$	—	$	(2,673	)	$	406,615
Day rate/hourly services	$	353,032	$	53,936	$	—	$	(824	)	$	406,144
Shortfall payments/idle but contracted		79		—		—		—			79
Other		2,241		—		—		(1,849	)		392
	$	355,352	$	53,936	$	—	$	(2,673	)	$	406,615

---

Three Months Ended June 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	$	163,429	$	61,956	$	—	$	(2,215	)	$	223,170
United States		147,089		3,870		—		—			150,959
International		55,085		—		—		—			55,085
	$	365,603	$	65,826	$	—	$	(2,215	)	$	429,214
Day rate/hourly services	$	363,202	$	65,826	$	—	$	(178	)	$	428,850
Other		2,401		—		—		(2,037	)		364
	$	365,603	$	65,826	$	—	$	(2,215	)	$	429,214

---

Six Months Ended June 30, 2025	Contract<br> Drilling<br> Services		Completion<br> and<br> Production<br> Services		Corporate<br> and Other		Inter-<br> Segment<br> Eliminations			Total
Canada	$	415,465	$	131,544	$	—	$	(5,129	)	$	541,880
United States		258,427		1,722		—		—			260,149
International		100,917		—		—		—			100,917
	$	774,809	$	133,266	$	—	$	(5,129	)	$	902,946
Day rate/hourly services	$	764,967	$	133,266	$	—	$	(1,452	)	$	896,781
Shortfall payments/idle but contracted		4,975		—		—		—			4,975
Other		4,867		—		—		(3,677	)		1,190
	$	774,809	$	133,266	$	—	$	(5,129	)	$	902,946

---

| 7 |

| --- |

---

Six Months Ended June 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	$	402,006	$	144,902	$	—	$	(4,881	)	$	542,027
United States		300,032		8,011		—		—			308,043
International		106,932		—		—		—			106,932
	$	808,970	$	152,913	$	—	$	(4,881	)	$	957,002
Day rate/hourly services	$	803,536	$	152,913	$	—	$	(355	)	$	956,094
Other		5,434		—		—		(4,526	)		908
	$	808,970	$	152,913	$	—	$	(4,881	)	$	957,002

---

(b)	Seasonality

Precision has operations that are carried on in Canada which represent approximately 60% (2024 – 57%) of consolidated revenue for the six months ended June 30, 2025 and 42% (2024 – 39%) of consolidated total assets as at June 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 June 30, 2025	Contract<br> Drilling<br> Services			Completion<br> and<br> Production<br> Services			Corporate<br> and Other			Inter-<br> Segment<br> Eliminations			Total
Revenue	$	355,352		$	53,936		$	—		$	(2,673	)	$	406,615
Earnings (loss) 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		111,422			9,876			(13,198	)		—			108,100
Depreciation and amortization		66,733			5,658			2,467			—			74,858
Gain on asset disposals		(4,150	)		(2,230	)		(45	)		—			(6,425	)
Foreign exchange		(196	)		(16	)		(1,405	)		—			(1,617	)
Finance charges		289			104			14,464			—			14,857
Loss on investments and other assets		1,368			—			306			—			1,674
Income taxes		(2,691	)		(196	)		11,153			—			8,266
Net earnings (loss) for reportable segments		50,069			6,556			(40,138	)		—			16,487
Total assets		2,391,737			231,625			119,475			—			2,742,837
Capital expenditures		49,460			3,246			67			—			52,773

| 8 |

| --- | | Three Months Ended June 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 | $ | 365,603 | | $ | 65,826 | | $ | — | | $ | (2,215 | ) | $ | 429,214 | | | Earnings (loss) 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 | | 119,754 | | | 12,440 | | | (17,073 | ) | | — | | | 115,121 | | | Depreciation and amortization | | 68,732 | | | 3,058 | | | 2,028 | | | — | | | 73,818 | | | Gain on asset disposals | | (3,887 | ) | | (975 | ) | | (2,813 | ) | | — | | | (7,675 | ) | | Foreign exchange | | 148 | | | — | | | (619 | ) | | — | | | (471 | ) | | Finance charges | | 446 | | | 98 | | | 17,645 | | | — | | | 18,189 | | | Loss on investments and other assets | | — | | | — | | | 48 | | | — | | | 48 | | | Income taxes | | (8,097 | ) | | (806 | ) | | 19,414 | | | — | | | 10,511 | | | Net earnings (loss) for reportable segments | | 62,412 | | | 11,065 | | | (52,776 | ) | | — | | | 20,701 | | | Total assets | | 2,479,410 | | | 244,705 | | | 190,418 | | | — | | | 2,914,533 | | | Capital expenditures | | 32,868 | | | 4,927 | | | 628 | | | — | | | 38,423 | | | Six Months Ended June 30, 2025 | Contract<br> Drilling<br> Services | | | Completion<br> and<br> Production<br> Services | | | Corporate<br> and Other | | | Inter-<br> Segment<br> Eliminations | | | Total | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Revenue | $ | 774,809 | | $ | 133,266 | | $ | — | | $ | (5,129 | ) | $ | 902,946 | | | Earnings (loss) 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 | | 247,438 | | | 27,422 | | | (29,263 | ) | | — | | | 245,597 | | | Depreciation and amortization | | 133,754 | | | 11,223 | | | 4,917 | | | — | | | 149,894 | | | Gain on asset disposals | | (5,439 | ) | | (3,813 | ) | | (45 | ) | | — | | | (9,297 | ) | | Foreign exchange | | (41 | ) | | 18 | | | (1,227 | ) | | — | | | (1,250 | ) | | Finance charges | | 389 | | | 205 | | | 30,023 | | | — | | | 30,617 | | | Loss on investments and other assets | | 1,368 | | | — | | | 257 | | | — | | | 1,625 | | | Income taxes | | (8,050 | ) | | (355 | ) | | 30,979 | | | — | | | 22,574 | | | Net earnings (loss) for reportable segments | | 125,457 | | | 20,144 | | | (94,167 | ) | | — | | | 51,434 | | | Total assets | | 2,391,737 | | | 231,625 | | | 119,475 | | | — | | | 2,742,837 | | | Capital expenditures | | 106,323 | | | 6,232 | | | 183 | | | — | | | 112,738 | |

| 9 |

| --- | | Six Months Ended June 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 | $ | 808,970 | | $ | 152,913 | | $ | — | | $ | (4,881 | ) | $ | 957,002 | | | Earnings (loss) 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 | | 273,427 | | | 31,045 | | | (46,202 | ) | | — | | | 258,270 | | | Depreciation and amortization | | 137,784 | | | 9,878 | | | 4,369 | | | — | | | 152,031 | | | Gain on asset disposals | | (6,554 | ) | | (1,517 | ) | | (2,841 | ) | | — | | | (10,912 | ) | | Foreign exchange | | 246 | | | 3 | | | (326 | ) | | — | | | (77 | ) | | Finance charges | | 957 | | | 201 | | | 35,400 | | | — | | | 36,558 | | | Gain on investments and other assets | | — | | | — | | | (180 | ) | | — | | | (180 | ) | | Income taxes | | (18,568 | ) | | (323 | ) | | 42,524 | | | — | | | 23,633 | | | Net earnings for reportable segments | | 159,562 | | | 22,803 | | | (125,148 | ) | | — | | | 57,217 | | | Total assets | | 2,479,410 | | | 244,705 | | | 190,418 | | | — | | | 2,914,533 | | | Capital expenditures | | 85,253 | | | 7,847 | | | 850 | | | — | | | 93,950 | |

NOTE 5. LONG-TERM DEBT

	U.S. Denominated Facilities					Translated U.S. Facilities
		June 30,			December 31,		June 30,			December 31,
		2025			2024		2025			2024
Current Portion of Long-Term Debt
Unsecured Senior Notes:
7.125% senior notes due 2026	US$	100,000	US	$	—	$	136,181		$	—
	$	100,000	US	$	—	$	136,181		$	—
Long-Term Debt
Senior Credit Facility	US$	—	US	$	12,000	$	10,000		$	17,252
Unsecured Senior Notes:
7.125% senior notes due 2026		—			160,000		—			230,026
6.875% senior notes due 2029		400,000			400,000		544,724			575,064
	US$	400,000	US	$	572,000		554,724			822,342
Less net unamortized debt issue costs<br>    and original issue discount							(8,295	)		(9,873	)
						$	546,429		$	812,469

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| --- | | | 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 | | 10,000 | | | — | | | — | | | 10,000 | | | Repayment of unsecured senior notes | | — | | | (83,854 | ) | | — | | | (83,854 | ) | | Repayment of Senior Credit Facility | | (17,110 | ) | | — | | | — | | | (17,110 | ) | | | | 10,142 | | | 721,236 | | | (9,873 | ) | | 721,505 | | | Amortization of debt issue costs | | — | | | — | | | 1,240 | | | 1,240 | | | Reclassification of loan commitment fees | | — | | | — | | | 338 | | | 338 | | | Foreign exchange adjustment | | (142 | ) | | (40,331 | ) | | — | | | (40,473 | ) | | June 30, 2025 | $ | 10,000 | | $ | 680,905 | | $ | (8,295 | ) | $ | 682,610 | | | Current | $ | — | | $ | 136,181 | | $ | — | | $ | 136,181 | | | Long-term | | 10,000 | | | 544,724 | | | (8,295 | ) | | 546,429 | | | June 30, 2025 | $ | 10,000 | | $ | 680,905 | | $ | (8,295 | ) | $ | 682,610 | |

The 2026 Unsecured Senior Notes (2026 Notes) are due on January 15, 2026, and have been reclassified from long-term to current. The Senior Credit Facility matures on June 28, 2027. The Senior Credit Facility contains a springing maturity date provision such that if any specified unsecured debt, including the 2026 Notes, remains outstanding 90 days prior to their maturity date, then the Senior Credit Facility shall mature. Precision intends to use available operating cash flows and/or proceeds from the Senior Credit Facility to redeem the 2026 Notes prior to the springing maturity date of October 14, 2025.

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

	Covenant		As of June<br> 30, 2025
Senior Credit Facility
Consolidated senior debt to consolidated covenant EBITDA^(1)^		<2.50		0.03
Consolidated covenant EBITDA to consolidated interest expense		>2.50		8.21
(1)	For purposes of calculating the leverage ratio consolidated senior debt only includes secured indebtedness.
---	---

NOTE 6. FINANCE CHARGES

	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024
Interest:
Long-term debt	$	13,222		$	16,639		$	27,712		$	33,667
Lease obligations		1,107			1,043			2,138			2,082
Other		103			158			120			249
Income		(412	)		(777	)		(911	)		(1,345	)
Amortization of debt issue costs, loan commitment fees<br>    and original issue discount		837			1,126			1,558			1,905
Finance charges	$	14,857		$	18,189		$	30,617		$	36,558

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| --- |

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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		1,074			4,797			(2,807	)		3,064
Settlement in shares		(1,920	)		(6,941	)		—			(8,861	)
Payments and redemptions		(6,772	)		(21,582	)		—			(28,354	)
Foreign exchange		47			(44	)		—			3
June 30, 2025	$	3,989		$	11,673		$	8,048		$	23,710
Current	$	2,710		$	5,738		$	8,048		$	16,496
Long-term		1,279			5,935			—			7,214
	$	3,989		$	11,673		$	8,048		$	23,710

(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		65,694			155,437
Redeemed		(102,849	)		(230,252	)
Forfeited		(7,292	)		(8,270	)
June 30, 2025		135,313			413,968

(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		1,335
June 30, 2025		124,808

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
June 30, 2025		141,390		$	81.93

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| --- |

Included in net earnings for the three and six months ended June 30, 2025 were expenses of $2 million (2024 – $1 million) and $3 million (2024 – $2 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
June 30, 2025		—		$	—	—	—	$	—		—
U.S. share options	Outstanding			Range of  Exercise Price (US)			Weighted Average Exercise Price  (US)	Exercisable
---	---	---	---	---	---	---	---	---	---
December 31, 2024		60,052			—	72.46			60,052
Forfeited		(48,790	)		—	68.80
June 30, 2025		11,262			—	72.46			11,262

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		—		8,956
Redeemed		—		(5,340	)
June 30, 2025		1,470		6,369

Included in net earnings for the three and six months ended June 30, 2025 were expenses of nil (2024 – nil) and $1 million (2024 – nil) 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 — June 30, 2025		—			(5,000	)
Settlement of PSUs and RSUs		150,068			11,651
Share repurchases		(646,058	)		(45,921	)
Redemption of non-management directors share units		5,340			361
June 30, 2025		13,288,852		$	2,272,820

For the period ended June 30, 2025, Precision repurchased and cancelled a total of 646,058 (2024 – 366,214) common shares for $45 million (2024 – $34 million) and recorded $0.7 million (2024 – nil) of Canadian share buy back tax.

Prior to June 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 Normal Course Issuer Bid (NCIB) and the ASPP. As at June 30, 2025, Precision recorded a liability in accounts payable with a corresponding decrease to share capital of $5 million.

| 13 |

| --- |

NOTE 9. PER SHARE AMOUNTS

---

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

---

	Three Months Ended June 30,					Six Months Ended June 30,
	2025			2024		2025			2024
Net earnings attributable to shareholders – basic	$	16,267		$	20,701	$	50,778		$	57,217
Effect of share options and other equity<br>    compensation plans		(1,271	)		—		(4,309	)		—
Net earnings attributable to shareholders – diluted	$	14,996		$	20,701	$	46,469		$	57,217

---

---

	Three Months Ended June 30,				Six Months Ended June 30,
(Stated in thousands)	2025		2024		2025		2024
Weighted average shares outstanding – basic		13,401		14,389		13,541		14,398
Effect of share options and other equity<br>    compensation plans		586		6		617		4
Weighted average shares outstanding – diluted		13,987		14,395		14,158		14,402

---

NOTE 10. FAIR VALUES OF FINANCIAL INSTRUMENTS

The carrying value of cash, accounts receivable, accounts payable and accrued liabilities, and current portion of long-term debt 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. The fair value of the unsecured senior notes at June 30, 2025 was approximately $674 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 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.

| 14 |

| --- | | SHAREHOLDER INFORMATION<br><br> <br><br><br> <br>STOCK EXCHANGE LISTINGS<br><br> <br>Shares of Precision Drilling Corporation are listed on the Toronto Stock<br> Exchange under the trading symbol PD and on the New York Stock Exchange under the trading symbol PDS.<br><br> <br><br><br> <br>TRANSFER AGENT AND REGISTRAR<br><br> <br>Computershare Trust Company of Canada<br><br> <br>Calgary, Alberta<br><br> <br><br><br> <br>TRANSFER POINT<br><br> <br>Computershare Trust Company NA<br><br> <br>Canton, Massachusetts<br><br> <br><br><br> <br>Q2 2025 TRADING PROFILE<br><br> <br>Toronto (TSX: PD)<br><br> <br>High: $71.14<br><br> <br>Low: $51.58<br><br> <br>Close: $64.49<br><br> <br>Volume Traded: 7,905,658<br><br> <br><br><br> <br>New York (NYSE: PDS)<br><br> <br>High: US$52.07<br><br> <br>Low: US$36.20<br><br> <br>Close: US$47.24<br><br> <br>Volume Traded: 8,400,055<br><br> <br><br><br> <br>ACCOUNT QUESTIONS<br><br> <br>Precision’s Transfer Agent can help you with a variety of shareholder<br> related services, including:<br><br> <br>• change of address<br><br> <br>• lost unit certificates<br><br> <br>• transfer of shares to another person<br><br> <br>• estate settlement<br><br> <br><br><br> <br>Computershare Trust Company of Canada<br><br> <br>100 University Avenue<br><br> <br>9th Floor, North Tower<br><br> <br>Toronto, Ontario M5J 2Y1<br><br> <br>Canada<br><br> <br><br><br> <br>1-800-564-6253 (toll free in Canada and the United States)<br><br> <br>1-514-982-7555 (international direct dialing)<br><br> <br>Email: service@computershare.com<br><br> <br><br><br> <br>ONLINE INFORMATION<br><br> <br>To receive news releases by email, or to view this interim report<br>online, please visit Precision’s website at www.precisiondrilling.com and refer to the Investor Relations section. Additional information<br>relating to Precision, including the Annual Information Form, Annual Report and Management Information Circular has been filed with SEDAR+<br>and is available at www.sedarplus.ca and on the EDGAR website www.sec.gov | CORPORATE INFORMATION<br><br> <br><br><br> <br>DIRECTORS<br><br> <br>William T. Donovan<br><br> <br>Steven W. Krablin<br><br> <br>Susan M. MacKenzie<br><br> <br>Lori A. Lancaster<br><br> <br>Kevin O. Meyers<br><br> <br>Kevin A. Neveu<br><br> <br>David W. Williams<br><br> <br>Alice L. Wong<br><br> <br><br><br> <br>OFFICERS<br><br> <br>Kevin A. Neveu<br><br> <br>President and Chief Executive Officer<br><br> <br><br><br> <br>Veronica H. Foley<br><br> <br>Chief Legal & Compliance Officer<br><br> <br><br><br> <br>Carey T. Ford<br><br> <br>Chief Financial Officer<br><br> <br><br><br> <br>Shuja U. Goraya<br><br> <br>Chief Technology Officer<br><br> <br><br><br> <br>Darren J. Ruhr<br><br> <br>Chief Administrative Officer<br><br> <br><br><br> <br>Gene C. Stahl<br><br> <br>President, North American Drilling<br><br> <br><br><br> <br>AUDITORS<br><br> <br>KPMG LLP<br><br> <br>Calgary, Alberta<br><br> <br><br><br> <br>HEAD OFFICE<br><br> <br>Suite 800, 525 8th Avenue SW<br><br> <br>Calgary, Alberta, T2P 1G1<br><br> <br>Canada<br><br> <br>Telephone: 403-716-4500<br><br> <br>Facsimile: 403-264-0251<br><br> <br>Email: info@precisiondrilling.com<br><br> <br>www.precisiondrilling.com | | --- | --- |

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