Halliburton Faces Revenue Decline Amid Mixed Performance

Halliburton Company reported its third-quarter results for 2024, revealing a revenue decline of 1.8% year-over-year, totaling $5.697 billion, which was below market expectations. The decline was primarily attributed to decreased activity in North America, particularly in pressure pumping, disrupted by Gulf hurricanes, though some gains were observed in international markets, especially the Middle East. Completion and Production revenue fell by 5% year-over-year to $3.299 billion, while Drilling and Evaluation revenue rose by 3.5% to $2.398 billion. The company's North America revenue dropped 8.5% to $2.386 billion, influenced by lower pressure pumping and other operational disruptions. In contrast, international revenues remained steady at $3.3 billion. Despite the downturn, Halliburton's adjusted EPS stood at $0.73, slightly under the consensus of $0.75, and the company repurchased about $200 million of its common stock in this period. Chairman and CEO Jeff Miller addressed the results, noting a $0.02 per share impact due to delays from a cybersecurity event and Gulf storms. He expressed confidence in recovery for Q4, emphasizing continued focus on free cash flow generation and shareholder returns. Overall, while Halliburton faces challenges, particularly in its North American operations, the management remains optimistic about future growth opportunities globally and plans to allocate capital to areas promising higher returns.