Financial Data and Key Metrics Changes - Halliburton reported total revenue of $15.3 billion for 2021, with an operating income of $1.8 billion, reflecting growth in both revenue and margins across divisions [8][30] - In Q4 2021, total company revenue was $4.3 billion, an 11% increase sequentially, while operating income grew by 20% to $550 million [30][10] - The Completion and Production division achieved a 15% operating margin for the year, while the Drilling and Evaluation division reached 12% margins for the first time since 2014 [8][30] Business Line Data and Key Metrics Changes - The Completion and Production division's revenue in Q4 was $2.4 billion, up 10% sequentially, with operating income increasing by 8% to $347 million [31] - The Drilling and Evaluation division saw revenue rise to $1.9 billion, an 11% increase, with operating income surging 45% to $269 million [32] - Completion tool sales showed significant growth, with the current order book more than doubling from the previous year, indicating strong future profitability [10][48] Market Data and Key Metrics Changes - North America experienced a 10% revenue increase in Q4, driven by higher pressure pumping activity and drilling-related services [33] - Latin America revenue increased by 7%, attributed to higher project management activity and increased drilling services [34] - The Middle East/Asia region saw a 16% revenue increase, driven by higher completion tool sales and wireline activity [35] Company Strategy and Development Direction - Halliburton aims to maximize cash flow in North America while pursuing profitable growth internationally, focusing on high-return opportunities [12][15] - The company is investing in technology and digitalization to enhance asset value and operational efficiency, with over 50 new technologies launched in 2021 [13][18] - Halliburton is committed to advancing a sustainable energy future through initiatives like Halliburton Labs, which supports clean energy startups [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for 2022, anticipating strong growth driven by increasing customer urgency and a favorable macro environment [7][22] - The company expects international customer spending to increase by mid-teens in 2022, with significant investment opportunities in the Middle East, Russia, and Latin America [22] - Management highlighted the importance of short-cycle production opportunities to meet rising oil demand, which aligns with Halliburton's service offerings [28] Other Important Information - Halliburton generated $1.4 billion in free cash flow for the full year and ended 2021 with $3 billion in cash, even after retiring $685 million of long-term debt [9][37] - The company announced a quarterly dividend increase to $0.12 per share, reflecting confidence in cash generation capacity [11] Q&A Session Summary Question: Can you discuss the cadence of this cycle and customer urgency? - Management noted the fragility of supply and returning demand, indicating a longer upcycle with increasing activity and pricing [42] Question: How do you view shareholder returns going forward? - Management expects to continue finding opportunities to return cash to shareholders while paying down debt, with a focus on growing shareholder distributions [45] Question: What are the expectations for C&P margins and completion tool orders? - Management expressed satisfaction with 15% margins and highlighted the doubling of completion tool orders as a positive indicator for 2022 [46][48] Question: How do you see e-frac deployment developing? - Management views e-frac as a replacement for current equipment, contingent on favorable terms and conditions [49] Question: What risks do you see for achieving the 400 basis-point margin increase target for 2023? - Management is optimistic about simultaneous growth in North America and international markets, viewing risks as manageable [52] Question: How do you see frac fleet utilization and pricing in the back half of '22? - Management indicated that the market is close to 90% utilized, with expectations for tightening and increased pricing as activity grows [56]

Halliburton Company (NYSE:HAL) Q3 2021 Earnings Conference Call October 19, 2021 9:00 AM ET Company Participants Jeff Miller – Chairman, President and CEO David Coleman – Head of Investor Relations Lance Loeffler – CFO Conference Call Participants James West – Evercore ISI Neil Mehta – Goldman Sachs David Anderson – Barclays Chase Mulvehill – Bank of America Scott Gruber – Citigroup Arun Jayaram – JPMorgan Ian Macpherson – Piper Sandler Marci Bianci – Cowen (ph) Operator Ladies and gentlemen, thank you for ...

Financial Data and Key Metrics Changes - Total company revenue increased by 7% sequentially to $3.7 billion, while operating income grew by 17% to $434 million, supported by higher equipment utilization and significant operating leverage [5][25]. - Completion and Production division revenue rose by 10% to $2 billion, with operating income increasing by 26% to $317 million [26]. - Drilling and Evaluation division revenue grew by 5% to $1.7 billion, with operating income increasing by 2% to $175 million [27]. Business Line Data and Key Metrics Changes - Completion and Production division saw improvements driven by higher activity across multiple product service lines in North America, improved cementing activity, and increased completion tool sales [26]. - Drilling and Evaluation division benefited from improved drilling-related services and wireline activity across all regions, although software sales decreased globally [27]. Market Data and Key Metrics Changes - North America revenue increased by 12%, primarily due to higher pressure pumping services and drilling-related activities [27]. - International revenue grew by 4%, with activity increasing in key producing regions despite COVID-19 disruptions [6]. Company Strategy and Development Direction - The company anticipates a multi-year upcycle with simultaneous growth in both international and North American markets, driven by supportive commodity prices and increased demand [7][24]. - Halliburton is focused on technology differentiation, digital adoption, and capital efficiency to maximize value and drive profitable growth [24][33]. - The company is expanding into new market segments, including specialty chemicals and artificial lift businesses, which are expected to provide unique growth opportunities [17][18]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in a constructive macro environment for oil demand, expecting continued activity momentum in the second half of 2021 [6][7]. - The company anticipates double-digit annual spending growth in international markets and North America over the next couple of years, despite some ongoing COVID-related disruptions [8][9]. - Management highlighted the importance of maintaining a focus on profitable growth and the need for careful capital deployment in the current market [39][40]. Other Important Information - The company generated strong free cash flow of $265 million in the second quarter, bringing year-to-date free cash flow to almost $425 million [6][31]. - Capital expenditures for the quarter were approximately $190 million, with expectations to remain within the full-year target of 5% to 6% of revenue [30]. Q&A Session Summary Question: Customer alignment with market expansion - Management noted that public customers are following through on their plans to increase supply, with a steady increase in activity expected internationally [36][37]. Question: Pricing and returns on assets - Management indicated that pricing is gradually improving, with expectations for further acceleration into 2022, while emphasizing the importance of profitable growth [38][39]. Question: International market activity and growth trajectory - Management expects mid double-digit growth in the Middle East and other regions, with signs of increasing demand and activity [42][44]. Question: Inflation impact on margins - Management acknowledged inflation in various areas, with expectations to recover costs and improve margins as activity increases [46][47]. Question: Digital contract wins and margin impact - Management stated that digital capabilities positively impact margins across the business, with benefits expected to ramp up in 2022 and beyond [55][57]. Question: Attracting generalist investors - Management emphasized the need for clarity in sustainable growth trajectories, returns on capital, and returning excess capital to shareholders to attract generalist investors [63][66].

Halliburton Company (NYSE:HAL) Q1 2021 Earnings Conference Call April 21, 2021 9:00 AM ET Company Participants Abu Zeya - Head, Investor Relations Jeff Miller - Chairman, President and Chief Executive Officer Lance Loeffler - Chief Financial Officer Conference Call Participants James West - Evercore ISI Scott Gruber - Citigroup David Anderson - Barclays Sean Meakim - JPMorgan Ian Macpherson - Simmons Chase Mulvehill - Bank of America Marc Bianchi - Cowen Connor Lynagh - Morgan Stanley Chris Voie - Wells F ...