Halliburton (NYSE: HAL) booked a 41-percent surge in its second-quarter adjusted net income amid growing drilling activity both in North America and in international markets, the oilfield services provider said on Tuesday, adding it expects international markets to see “multiple years of growth.”
Halliburton, a major provider of fracking services in the United States, posted an adjusted net income of $442 million for the second quarter of 2022, or $0.49 per diluted share. This was up from an adjusted income of $314 million, or $0.35 per diluted share, for the first quarter this year, and ahead of the analyst consensus of $0.45 per share earnings compiled by The Wall Street Journal.
Revenues at Halliburton also rose—to $5.1 billion for the second quarter of 2022, up from $4.3 billion for the first quarter of 2022.
The company’s North America revenue rose by 26% quarter-on-quarter to $2.4 billion, on the back of increased pressure pumping services and artificial lift activity in North America land, increased fluid services, wireline activity, well intervention services, and higher completion tool sales across the region, and increased cementing activity in the Gulf of Mexico. International revenue also increased, by 12% sequentially to $2.6 billion, driven by increased activity across multiple product service lines in the Middle East, Argentina, Colombia, Australia, the Eastern Mediterranean, the UK, and Brunei.
“Total company revenue grew 18% sequentially, as activity increased simultaneously in North America and international markets, and adjusted operating income grew 35% with strong margin performance in both divisions,” said Jeff Miller, Halliburton’s chairman, president, and CEO.
“I expect the international markets will experience multiple years of growth,” Miller added.
“In North America, I expect Halliburton to uniquely maximize value in this strong, steadily growing, and all but sold-out market. Pricing gains across all product service lines supported significant sequential margin expansion in the second quarter,” Halliburton’s top executive said.
Following the results release, shares in the company were up 1.56% in pre-market trade in New York.
By Charles Kennedy for Oilprice.com
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