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Key Takeaways
- Halliburton shares fell Friday morning after the company reported revenue that missed estimates as its U.S. operations lost ground.
- North American revenue slumped 8% amid a decline in U.S. pressure pumping services and a drop in Gulf of Mexico activity.
- The company’s international revenue rose on high demand and activity levels, as well as “equipment tightness” in key drilling areas.
Halliburton (HAL) shares slumped Friday as the big oilfield services provider’s U.S. business declined.
The company reported second-quarter adjusted earnings per share (EPS) of $0.80, in line with forecasts. Revenue rose less than 1% to $5.83 billon, missing estimates.
Revenue in North America was down 8% to $2.48 billion, which Halliburton said was primarily caused by “decreased pressure pumping services in U.S. land and lower activity across multiple product service lines in the Gulf of Mexico.” It was higher in all other regions, with total international revenue jumping 8% to $3.35 billion.
By segment, Completion and Production revenue fell 2.2% to $3.40 billion, while it increased 4.7% to $2.43 billion for Drilling and Evaluation.
Christopher Pike / Bloomberg / Getty Images
CEO Jeff Miller said that, in international markets, “we see strong demand for Halliburton’s services, high activity levels, and equipment tightness across all major basins.”
He said that that the company’s strategy to maximize value in North America “delivers shareholder value,” and the company expects to “continue to deliver strong returns through this cycle.”
Halliburton shares were down 4.9% at $34.65 in recent trading, putting the stock into negative territory for 2024.
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