Parker Drilling (PKDC) 8-K Parker Drilling Reports Strong Second Quarter Earnings

Exhibit 99

Investor Contact:     David Tucker
Media Contact:     Marianne Gooch 281-406-2370
281-406-2212

Parker Drilling Reports Strong Second Quarter Earnings

HOUSTON, Aug. 4, 2005 — Parker Drilling Company (NYSE: PKD) today reported net income of $20.2 million, or $0.21 per diluted share, on revenues of $134.0 million for the second quarter ended June 30, 2005, compared to a net loss of $13.5 million or $0.14 per share on revenues of $87.9 million for the second quarter of 2004. The current quarter includes $7.6 million of net income or $0.08 per diluted share for the following non-routine items:

• $8.2 million gain relating to the well-control incident and total loss of Rig 255 in Bangladesh,

• $4.2 million after-tax gain on the sale of four South America land rigs,

• ($3.3) million call premium expense paid on debt extinguishment, and,

• ($1.5) million expense relating to the change in fair value of interest derivatives.

     For the first six months of 2005, Parker Drilling reported revenues of $254.2 million and net income of $24.1 million or $0.25 per diluted share compared to revenues of $178.8 million and a net loss of $18.4 million or $0.20 per share for the first six months of 2004.

     The average utilization of international land rigs for the second quarter of 2005 was 71 percent, which is significantly higher than the 48 percent reported for the second quarter of 2004. Current utilization is 79 percent for international land rigs. Average utilization for the Gulf of Mexico barge rigs for the second quarter of 2005 was 79 percent, which is an increase from the 67 percent reported for the second quarter of 2004. Current utilization remains at 79 percent for Gulf of Mexico barge rigs. Dayrates on Gulf of Mexico barges averaged approximately $4,500 per day higher in the second quarter of 2005 when compared to the second quarter of 2004.

     Capital expenditures for the six months ended June 30, 2005, were $32.6 million. Total debt was $446.1 million at June 30, 2005 and the Company’s cash balance was $71.0 million.

     “The significant improvement in earnings for the quarter was driven by record dayrates for our barge rigs in the Gulf of Mexico and record gross margins for our Quail Tools’ rental divisions. Our international operations also continue to improve. In addition, we have now

achieved 90% of our debt reduction goal of $200 million with the redemption of $30 million of our outstanding debt on July 18,” said Robert L. Parker Jr., president and chief executive officer.

     Parker has scheduled a conference call at 10 a.m. CDT (11 a.m. EDT) Aug. 4 to discuss second quarter 2005 results. Those interested in participating in the call may dial in at (303) 262-2190. The conference call replay can be accessed from Aug. 4, 2005 through Aug. 16, 2005, by dialing (303) 590-3000 and using the access code 11034269#. Alternatively, the call can be accessed live through the Company’s Web site at http://www.parkerdrilling.com. The archived call will be available on the Web for 12 months.

     Parker Drilling is a Houston-based, global energy company specializing in offshore drilling and workover services in the Gulf of Mexico and international land and offshore markets. Parker also owns Quail Tools, a provider of premium industry rental tools. Parker Drilling employs approximately 3,000 people worldwide, and has 51 marketed rigs.

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This release contains certain statements that may be deemed to be “forward-looking statements" within the meaning of the Securities Acts. All statements, other than statements of historical facts, that address activities, events or developments that the Company expects, projects, believes or anticipates will or may occur in the future, the outlook for rig utilization and dayrates, general industry conditions including bidding activity, future operating results of the Company’s rigs and rental tool operations, capital expenditures, expansion and growth opportunities, asset sales and other such matters, are forward-looking statements. Although the Company believes that its expectations stated in this release are based on reasonable assumptions, actual results may differ from those expressed or implied in the forward-looking statements. For a more detailed discussion of risk factors, please refer to the Company’s reports filed with the SEC, and in particular, the report on Form 10-K for the year ended December 31, 2004. Each forward-looking statement speaks only as of the date of this release, and the Company undertakes no obligation to publicly update or revise any forward-looking statement.

PARKER DRILLING COMPANY AND SUBSIDIARIES
Consolidated Condensed Statements of Operations
(Unaudited)

	Three Months Ended June 30,						Six Months Ended June 30,
	2005			2004			2005			2004
				(Dollars in Thousands)
DRILLING AND RENTAL REVENUES
U.S. Drilling	$	31,110		$	20,662		$	58,227		$	40,421
International Drilling		78,301			50,515			150,473			106,552
Rental Tools		24,543			16,704			45,497			31,807
TOTAL DRILLING AND RENTAL REVENUES		133,954			87,881			254,197			178,780
DRILLING AND RENTAL OPERATING EXPENSES
U.S. Drilling		18,838			12,506			33,226			25,197
International Drilling		59,697			38,503			115,500			78,394
Rental Tools		8,951			6,712			17,136			13,325
Depreciation and Amortization		17,146			16,544			34,022			32,793
TOTAL DRILLING AND RENTAL OPERATING EXPENSES		104,632			74,265			199,884			149,709
DRILLING AND RENTAL OPERATING INCOME		29,322			13,616			54,313			29,071
General and Administrative Expense		(6,400	)		(6,992	)		(13,376	)		(13,034	)
Gain on Disposition of Assets, Net		15,898			346			16,450			1,069
Provision for Reduction in Carrying Value of Certain Assets		—			(6,558	)		—			(6,558	)
TOTAL OPERATING INCOME		38,820			412			57,387			10,548
OTHER INCOME AND (EXPENSE)
Interest Expense		(10,759	)		(13,468	)		(21,815	)		(26,875	)
Change in Fair Value of Derivative Position		(1,538	)		—			69			—
Loss on Extinguishment of Debt		(3,298	)		(262	)		(4,727	)		(578	)
Other Income (Expense) — Net		455			713			1,456			755
TOTAL OTHER INCOME AND (EXPENSE)		(15,140	)		(13,017	)		(25,017	)		(26,698	)
INCOME (LOSS) BEFORE INCOME TAXES		23,680			(12,605	)		32,370			(16,150	)
INCOME TAX EXPENSE		3,486			3,417			8,338			7,466
INCOME (LOSS) FROM CONTINUING OPERATIONS		20,194			(16,022	)		24,032			(23,616	)
Discontinued Operations, Net of Taxes		(14	)		2,497			77			5,227
NET INCOME (LOSS)	$	20,180		$	(13,525	)	$	24,109		$	(18,389	)
EARNINGS (LOSS) PER SHARE — BASIC
Income (Loss) From Continuing Operations	$	0.21		$	(0.17	)	$	0.25		$	(0.25	)
Discontinued Operations, Net of Taxes	$	—		$	0.03		$	—		$	0.05
Net Income (Loss)	$	0.21		$	(0.14	)	$	0.25		$	(0.20	)
EARNINGS (LOSS) PER SHARE — DILUTED
Income (Loss) From Continuing Operations	$	0.21		$	(0.17	)	$	0.25		$	(0.25	)
Discontinued Operations, Net of Taxes	$	—		$	0.03		$	—		$	0.05
Net Income (Loss)	$	0.21		$	(0.14	)	$	0.25		$	(0.20	)
AVERAGE COMMON SHARES OUTSTANDING
Basic		95,691,205			94,029,536			95,321,850			93,812,055
Diluted		96,935,113			94,029,536			96,516,790			93,812,055

PARKER DRILLING COMPANY AND SUBSIDIARIES
Consolidated Condensed Balance Sheets
(Unaudited)

	June 30, 2005			December 31, 2004
ASSETS	(Dollars in Thousands)
CURRENT ASSETS
Cash and Cash Equivalents	$	70,984		$	44,267
Accounts and Notes Receivable, Net		122,077			99,315
Rig Materials and Supplies		17,426			19,206
Deferred Costs		9,388			13,546
Other Current Assets		12,215			9,818
TOTAL CURRENT ASSETS		232,090			186,152
PROPERTY, PLANT AND EQUIPMENT, NET		357,465			382,824
ASSETS HELD FOR SALE		9,050			23,665
OTHER ASSETS
Goodwill		107,606			107,606
Other Assets		22,345			26,343
TOTAL OTHER ASSETS		129,951			133,949
TOTAL ASSETS	$	728,556		$	726,590
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Current Portion of Long-Term Debt	$	—		$	24
Accounts Payable and Accrued Liabilities		96,840			87,329
TOTAL CURRENT LIABILITIES		96,840			87,353
LONG-TERM DEBT		446,107			481,039
OTHER LIABILITIES		8,160			9,281
STOCKHOLDERS’ EQUITY		177,449			148,917
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	728,556		$	726,590
Current Ratio		2.40			2.13
Total Long-Term Debt as a Percent of Capitalization		72	%		76	%
Book Value Per Common Share	$	1.83		$	1.57

PARKER DRILLING COMPANY AND SUBSIDIARIES
Selected Financial Data
(Unaudited)

	Three Months Ended
	June 30,						March 31,
	2005			2004			2005
DRILLING AND RENTAL REVENUES	(Dollars in Thousands)
U.S. Drilling	$	31,110		$	20,662		$	27,117
International Land Drilling		63,158			41,120			56,552
International Offshore Drilling		15,143			9,395			15,620
Rental Tools		24,543			16,704			20,954
Total Drilling and Rental Revenues		133,954			87,881			120,243
DRILLING AND RENTAL OPERATING EXPENSES
U.S. Drilling		18,838			12,506			14,388
International Land Drilling		45,765			26,781			42,322
International Offshore Drilling		13,932			11,722			13,481
Rental Tools		8,951			6,712			8,185
Drilling and Rental Operating Expenses		87,486			57,721			78,376
DRILLING AND RENTAL OPERATING INCOME
U.S. Drilling		12,272			8,156			12,729
International Land Drilling		17,393			14,339			14,230
International Offshore Drilling		1,211			(2,327	)		2,139
Rental Tools		15,592			9,992			12,769
Depreciation and Amortization		(17,146	)		(16,544	)		(16,876	)
Total Drilling and Rental Operating Income		29,322			13,616			24,991
General and Administrative Expense		(6,400	)		(6,992	)		(6,976	)
Provision for Reduction in Carrying Value of Certain Assets		—			(6,558	)		—
Gain on Disposition of Assets, Net		15,898			346			552
TOTAL OPERATING INCOME	$	38,820		$	412		$	18,567

Marketable Rig Count Summary
As of June 30, 2005

	Total
U.S. Gulf of Mexico Barge Rigs
Workover		6
Intermediate		4
Deep		9
Total U.S. Gulf of Mexico Barge Rigs		19
International Land Rigs
Asia Pacific		10
Africa/Middle East		1
Latin America		9
CIS		8
Total International Land Rigs		28
International Barge Rigs
Mexico		1
Nigeria		2
Caspian Sea		1
Total International Barge Rigs		4
Total International Rigs		32
Total Marketable Rigs		51