Halliburton Nets $1.2 Bln in Q3

Halliburton has recorded $1.2 billion in net earnings or $1.41 net income per share. This compares to income from continuing operations for the second quarter of 2014 of $776 million, or $0.91 per diluted share and $706 million or $0.79 per share a year earlier.

Halliburton-Completes-Acquisition-of-Multi-Chem-Group-USA

Halliburton’s total revenue in the third quarter of 2014 was a record $8.7 billion, an 8% improvement compared to $8.1 billion in the second quarter of 2014, and a 16% improvement compared to $7.5 billion in the third quarter of 2013. Adjusted operating income was $1.4 billion in the third quarter of 2014, a 21% improvement compared to operating income of $1.2 billion in the second quarter of 2014 and a 24% improvement compared to adjusted operating income of $1.2 billion in the third quarter of 2013. Reported operating income was $1.6 billion in the third quarter of 2014 and $1.1 billion in the third quarter of 2013.

During the third quarter of 2014, Halliburton reduced its existing loss contingency for the Macondo well incident by $100 million and recorded $95 million for an expected insurance recovery related to the settlement, for a total $195 million positive adjustment to operating income.

“I am pleased with Halliburton’s third quarter results. Once again, we delivered industry-leading revenue and operating income growth, both sequentially and year over year, compared to our primary peers,” commented Dave Lesar, chairman, president and chief executive officer.

“In North America, third quarter revenue increased 9% and operating income was up 15% compared to the second quarter of 2014, outperforming a 3% increase in the United States land rig count. Service intensity levels surged to unprecedented levels, as completion volumes per well were up more than 50% compared to the third quarter of last year, and we expect this level of activity to continue. More importantly, our exit rate margins for North America were in excess of 20%.

“In the Eastern Hemisphere, activity continues to steadily expand. Sequentially, Eastern Hemisphere revenue grew 4% and operating income grew 6%, leading our peer group. This growth was driven by activity improvements in Saudi Arabia, Oman, Angola and Continental Europe, as well as seasonal increases in Russia and the Caspian. Despite geopolitical headwinds in Russia and the Middle East, we continue to forecast full-year Eastern Hemisphere revenue expansion in the low double-digits.

“In Latin America, revenue increased 16% sequentially, while operating income more than doubled compared to the second quarter, primarily as a result of increased project management, consulting and software revenue in Mexico. We also experienced higher testing and directional drilling activity in Brazil, as well as increased workover and stimulation activity in Venezuela,” concluded Lesar.

Additionally, Halliburton’s board of directors has approved a 20 percent increase in its quarterly dividend.

Press Release

 

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