Photo: Lorenzo Simonelli, Baker Hughes CEO source Baker Hughes

Baker Hughes sees 49 pct jump in adjusted profit

Oilfield services provider Baker Hughes saw its fourth quarter 2019 net income drop 63 percent and adjusted net income increase 49% when compared to the same period in 2018 while its revenues saw a small increase of 1 percent.

Lorenzo Simonelli, Baker Hughes CEO; Source: Baker Hughes

According to its quarterly report on Wednesday, during the fourth quarter of 2019, Baker Hughes’ orders increased 1% to $6.9 billion compared to the same period in 2018, but decreased 11% sequentially.

The company posted revenues of $6.35 billion for 4Q 2019, up 8% sequentially, and up 1% year-over-year when the company’s revenues were $6.26 billion.

Net income attributable to Baker Hughes for 4Q 2019 was $48 million, a 63% decrease compared to net income of $131 million in 4Q 2018.

Adjusted net income increased 49% year-over-year to $179 million from $120 million in the same period of 2018.

Lorenzo Simonelli, Baker Hughes Chairman, President, and Chief Executive Officer, said: “As we look ahead to 2020, we see a macro environment that is slowly improving, as well as a range of opportunities to further strengthen Baker Hughes on both a near-term and long-term basis.

“In the near-term, we continue to identify and execute on opportunities to improve our day-to-day operations and cash flow efficiency. On a longer-term basis, we see several attractive growth opportunities for our company, and we remain focused on positioning Baker Hughes for the upcoming energy transition and the digital transformation of the industry.

Simonelli concluded: “Overall, I am pleased with our fourth quarter results which closed out a solid 2019. As we look forward to 2020, we are clearly focused on executing our strategy and generating strong free cash flow, improving margins, and driving returns.”

Offshore Energy Today Staff

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