- Halliburton Company (NYSE:HAL) reported Q1 revenue growth of 33% Y/Y to $5.68 billion Tuesday, beating the consensus estimate of $5.5 billion.
- Adjusted EPS of 72 cents beat the consensus of 67 cents.
- Operating income increased to $977 million in Q1 from $511 million a year ago, and the margin expanded by 530 bps to 17.2%.
- Completion and Production revenue increased 45% Y/Y to $3.4 billion, and the corresponding operating income increased by 125% Y/Y to $666 million. This was led by improved pressure pumping services, completion tool sales and enhanced artificial lift services in North America and and Kuwait.
- Drilling and Evaluation revenue increased by 17% Y/Y to $2.3 billion, and operating income in the segment increased by 26% Y/Y to $369 million.
- Halliburton’s cash flows provided by operating activities were $122 million. The company held cash and equivalents of $1.9 billion.
- Halliburton’s Share Buyback: In Q1, Halliburton repurchased shares worth $100 million.
- Jeff Miller, chair and CEO, said: “My Halliburton outlook — for both the current year and the long-term — is strong. We hear it from our customers, and we see it in our first quarter results. Our customers are clearly motivated to produce more oil and gas and service capacity is tight.
- “Our strong execution culture, differentiated technology portfolio, and collaborative approach with customers – drive margin improvements and growth across our business. I am confident that we will execute our strategic priorities and deliver shareholder returns. I expect the execution of our strategy will deliver significant and growing free cash flow generation for Halliburton.”
- HAL Price Action: HAL shares are trading lower by 3.54% at $33.23 Tuesday morning.
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