Halliburton Company announced today net income of $709 million, or $0.80 per diluted share, for the second quarter of 2024.
Q2 2024 Earnings Release - view the complete report (pdf)
HOUSTON - July 19, 2024 - Halliburton Company (NYSE: HAL) announced today net income of $709 million, or $0.80 per diluted share, for the second quarter of 2024. This compares to net income for the first quarter of 2024 of $606 million, or $0.68 per diluted share and first quarter of 2024 adjusted net income2 of $679 million, or $0.76 per diluted share. Halliburton's total revenue for the second quarter of 2024 was $5.8 billion, sequentially flat. Operating income was $1.0 billion in the second quarter of 2024, an increase of 5% sequentially.
“Halliburton's returns and cash flow are strong and I am pleased with our performance this quarter. The quality of our people, the clarity of our strategy, our leading technologies, the depth of our pipeline of opportunities, and the competitiveness of our business segments all give me confidence in Halliburton's future,” commented Jeff Miller, Chairman, President and CEO.
“In our international markets we see strong demand for Halliburton's services, high activity levels, and equipment tightness across all major basins.
“In North America, our strategy to maximize value in North America delivers shareholder value, and I expect that we will continue to deliver strong returns through this cycle,” concluded Miller.
Completion and Production revenue in the second quarter of 2024 was $3.4 billion, sequentially flat, while operating income was $723 million, an increase of $35 million, or 5%, compared to the first quarter of 2024. Revenue improvements driven by increased completion tool sales in the Eastern Hemisphere, higher stimulation activity in Latin America, increased cementing activity in the Western Hemisphere, and improved well intervention services internationally were offset by decreased stimulation activity in U.S. land, lower completion tool sales in the Western Hemisphere, and decreased artificial lift services in North America. Operating income increased due to activity mix improvements from completion tool sales in the Eastern Hemisphere, stimulation activity and well intervention services internationally, and cementing services in North America.
Drilling and Evaluation revenue in the second quarter of 2024 was $2.4 billion, while operating income was $403 million, both flat sequentially. These results were driven by higher drilling-related services in Europe, North America and Asia, improved wireline activity in the Western Hemisphere and Europe, and increased testing services internationally. Offsetting these improvements were lower software sales globally, decreased drilling-related services in Latin America and Africa, and lower wireline activity in Middle East/Asia and Africa.
North America revenue in the second quarter of 2024 was $2.5 billion, a 3% decrease sequentially. This decline was primarily driven by decreased pressure pumping services in U.S. land and lower activity across multiple product service lines in the Gulf of Mexico. Partially offsetting these declines were increased drilling-related services in Canada and U.S. land, higher wireline activity in U.S. land and the Gulf of Mexico, improved pressure pumping services in Canada, and increased cementing activity in the Gulf of Mexico.
International revenue in the second quarter of 2024 was $3.4 billion, an increase of 3% sequentially.
Latin America revenue in the second quarter of 2024 was $1.1 billion, sequentially flat. Improved activity across multiple product service lines in Argentina and the Caribbean, higher pressure pumping services in Mexico, and increased drilling-related services in Brazil were offset by lower drilling-related services, decreased project management activity, and decreased software sales in Mexico and lower completion tool sales in the Caribbean.
Europe/Africa revenue in the second quarter of 2024 was $757 million, an increase of 4% sequentially. This increase was primarily driven by higher well construction activity and improved wireline activity in Norway along with increased completion tool sales and higher stimulation activity in Angola. Partially offsetting these improvements were lower software sales in the region along with decreased fluid services and lower wireline activity in Africa.
Middle East/Asia revenue in the second quarter of 2024 was $1.5 billion, an increase of 5% sequentially. This increase was primarily due to higher well construction activity in United Arab Emirates, improved completion tool sales in Saudi Arabia, increased stimulation activity and improved project management activity in Kuwait, and increased fluid services in Asia. Partially offsetting these improvements were lower well construction activity in Oman, lower wireline activity in the region, and decreased fluid services in Saudi Arabia.
During the second quarter of 2024, Halliburton:
(1) Free cash flow is a non-GAAP financial measure; please see reconciliation of Cash Flows from Operating Activities to Free Cash Flow in Footnote Table 3.
(2) Adjusted net income is a non-GAAP financial measure; please see reconciliation of Net Income to Adjusted Net Income in Footnote Table 1.
About Halliburton
Halliburton is one of the world's leading providers of products and services to the energy industry. Founded in 1919, we create innovative technologies, products, and services that help our customers maximize their value throughout the life cycle of an asset and advance a sustainable energy future. Visit us at www.halliburton.com; connect with us on LinkedIn, YouTube, Instagram, and Facebook.
The statements in this press release that are not historical statements are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control, which could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: changes in the demand for or price of oil and/or natural gas, including as a result of development of alternative energy sources, general economic conditions such as inflation and recession, the ability of the OPEC+ countries to agree on and comply with production quotas, and other causes; changes in capital spending by our customers; the modification, continuation or suspension of our shareholder return framework, including the payment of dividends and purchases of our stock, which will be subject to the discretion of our Board of Directors and may depend on a variety of factors, including our results of operations and financial condition, growth plans, capital requirements and other conditions existing when any payment or purchase decision is made; potential catastrophic events related to our operations, and related indemnification and insurance; protection of intellectual property rights; cyber-attacks and data security; compliance with environmental laws; changes in government regulations and regulatory requirements, particularly those related to oil and natural gas exploration, the environment, radioactive sources, explosives, chemicals, hydraulic fracturing services, and climate-related initiatives; assumptions regarding the generation of future taxable income, and compliance with laws related to and disputes with taxing authorities regarding income taxes; risks of international operations, including risks relating to unsettled political conditions, war, including the ongoing Russia and Ukraine conflict and any expansion of that conflict, the effects of terrorism, foreign exchange rates and controls, international trade and regulatory controls and sanctions, and doing business with national oil companies; weather-related issues, including the effects of hurricanes and tropical storms; delays or failures by customers to make payments owed to us; infrastructure issues in the oil and natural gas industry; availability and cost of highly skilled labor and raw materials; completion of potential dispositions, and acquisitions, and integration and success of acquired businesses and joint ventures. Halliburton's Form 10-K for the year ended December 31, 2023, Form 10-Q for the quarter ended March 31, 2024, recent Current Reports on Form 8-K and other Securities and Exchange Commission filings discuss some of the important risk factors identified that may affect Halliburton's business, results of operations, and financial condition. Halliburton undertakes no obligation to revise or update publicly any forward-looking statements for any reason.
Halliburton Company (NYSE: HAL) will host a conference call on Friday, July 19, 2024, to discuss its second quarter 2024 financial results. The call will begin at 7:30 a.m. CT (8:30 a.m. ET).
Please visit the Halliburton website to listen to the call via live webcast. A recorded version will be available for seven days under the same link immediately following the conclusion of the conference call. You can also pre-register for the conference call and obtain your dial in number and passcode by clicking here.
CONTACTS
Investor Relations Contact
David Coleman
Investors@halliburton.com
281-871-2688
Media Relations
Victoria Ingalls
PR@halliburton.com
281-871-2601
