Earnings and Revenue Performance - Schlumberger exceeded Q4 2024 earnings and revenue estimates with non-GAAP EPS of $0.92, beating the projected $0.90, and revenue of $9.28 billion, surpassing the $9.18 billion estimate [1] - Adjusted EBITDA grew by 5.1% year over year to $2.38 billion, while free cash flow increased by 1.9% to $1.63 billion [3] Business Overview and Growth Engines - Schlumberger is a global leader in oilfield services, focusing on Core, Digital, and New Energy growth engines, with an emphasis on energy transition, decarbonization, and technology innovation [4] - The company aims to enhance operational efficiency through digital integration and advancements in new energy areas like carbon capture and renewable technologies [5] Segment Performance and Geographic Trends - Digital & Integration division revenue grew 6% sequentially and 10% year over year, driven by demand for digital products and AI-driven solutions like the Lumi platform [6] - Well Construction segment revenue declined 5% year over year due to reduced drilling in regions like Mexico and Saudi Arabia [6] - North America showed strong growth with a 4% sequential and 7% year-over-year increase, while Latin America revenue declined 3% due to reduced drilling in Mexico [7] Operational Highlights and Financial Strategy - Adjusted EBITDA margin expanded, supported by digital integration, though some areas faced margin pressures from lower profitability in subsea production systems [8] - The company raised its quarterly dividend by 3.6% to $0.285 per share and increased its share buyback authorization to a minimum of $4 billion for the year [8] Future Outlook and Strategic Focus - Schlumberger expects continued momentum driven by digital growth and energy transition efforts, aiming to maintain strong EBITDA margins [9] - The company projects low to mid-single-digit international spending growth in 2025 and remains optimistic about steady market conditions [9] - Future earnings will be shaped by alignment with sustainable energy practices and ongoing technological evolution [10]

Earnings Performance - Schlumberger reported quarterly earnings of $0 92 per share, beating the Zacks Consensus Estimate of $0 90 per share, representing a 2 22% earnings surprise [1] - The company's earnings per share (EPS) increased from $0 86 per share a year ago [1] - Over the last four quarters, Schlumberger has surpassed consensus EPS estimates four times [2] Revenue Performance - Schlumberger posted revenues of $9 28 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 1 17% [2] - This compares to year-ago revenues of $8 99 billion [2] - The company has topped consensus revenue estimates three times over the last four quarters [2] Stock Performance - Schlumberger shares have added about 7 2% since the beginning of the year, outperforming the S&P 500's gain of 1% [3] - The stock's immediate price movement will depend on management's commentary on the earnings call [3] Earnings Outlook - The current consensus EPS estimate is $0 72 on $8 83 billion in revenues for the coming quarter and $3 31 on $39 21 billion in revenues for the current fiscal year [7] - The estimate revisions trend for Schlumberger is currently unfavorable, translating into a Zacks Rank 5 (Strong Sell) [6] Industry Outlook - The Zacks Industry Rank for Oil and Gas - Field Services is currently in the bottom 16% of the 250 plus Zacks industries [8] - The top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8] Peer Comparison - Liberty Oilfield Services (LBRT) is expected to report quarterly earnings of $0 10 per share, representing a year-over-year change of -81 5% [9] - The consensus EPS estimate for Liberty Oilfield Services has been revised 23 7% lower over the last 30 days [9] - Liberty Oilfield Services' revenues are expected to be $980 77 million, down 8 8% from the year-ago quarter [10]

Financial Performance - Fourth-quarter revenue of $9.28 billion increased 1% sequentially and 3% year on year[4] - Fourth-quarter GAAP EPS of $0.77 decreased 7% sequentially but was flat year on year[4] - Fourth-quarter adjusted EBITDA of $2.38 billion increased 2% sequentially and 5% year on year[4] - Full-year revenue of $36.29 billion increased 10% year on year[4] - Full-year GAAP EPS of $3.11 increased 7% year on year[4] - Full-year adjusted EBITDA of $9.07 billion increased 12% year on year[4] - Revenue increased by 10% year-on-year to $36.289 billion, with international revenue growing by 12% to $29.415 billion[12][14] - Adjusted EBITDA grew by 12% to $9.070 billion, with international adjusted EBITDA increasing by 13% to $7.900 billion[12][14] - SLB's revenue for Q4 2024 was $9.284 billion, up from $8.990 billion in Q4 2023, with full-year revenue reaching $36.289 billion, compared to $33.135 billion in 2023[48] - Net income attributable to SLB for Q4 2024 was $1.095 billion, slightly down from $1.113 billion in Q4 2023, while full-year net income rose to $4.461 billion from $4.203 billion in 2023[48] - SLB's Q4 2024 net income (GAAP basis) was $1,095 million, with diluted EPS of $0.77[53] - SLB's full-year 2024 net income (GAAP basis) was $4,461 million, with diluted EPS of $3.11[54] - SLB's Q4 2024 revenue was $9,284 million, with pretax segment operating income of $1,918 million[57] - SLB's full-year 2024 revenue was $36,289 million, with adjusted EBITDA of $9,070 million[57] - SLB's international revenue for full-year 2024 was $29,415 million, with adjusted EBITDA of $7,900 million[60] - SLB's North America revenue for full-year 2024 was $6,680 million, with adjusted EBITDA of $1,592 million[60] - SLB's adjusted EBITDA was $2.382 billion in the fourth quarter of 2024, with an adjusted EBITDA margin of 25.7%[74][75] - SLB's adjusted EBITDA for the full year of 2024 was $9.070 billion, with an adjusted EBITDA margin of 25.0%, representing a 12% increase from 2023[77][78] - SLB's Core business revenue for the full year of 2024 was $32.677 million, a 9% increase from 2023, with Pretax operating income of $6.176 million, a 14% increase[80] Regional Performance - Middle East & Asia revenue grew by 18% to $13.026 billion, while Europe & Africa revenue increased by 13% to $9.671 billion[12][15] - Latin America revenue declined 3% sequentially to $1.63 billion, driven by reduced drilling activity in Mexico, partially offset by increased production system sales in Brazil[29] - Europe & Africa revenue increased 2% sequentially to $2.47 billion, supported by higher activity in Europe and North Africa, despite lower subsea production system sales in Scandinavia[30] - Middle East & Asia revenue grew 2% sequentially to $3.38 billion, driven by strong activity in the UAE, Egypt, and Qatar, offsetting weaker performance in Saudi Arabia and Australia[31] - North America revenue rose 4% sequentially to $1.75 billion, driven by higher digital sales and increased production system sales in the U.S. Gulf of Mexico[32] Division Performance - Digital & Integration division revenue increased 6% sequentially and 10% year on year to $1.16 billion in Q4[5] - Production Systems division revenue increased 3% sequentially and 9% year on year to $3.20 billion in Q4[5] - Production Systems revenue grew by 24% to $2.44 billion, driven by the subsea acquisition and organic growth in surface systems, completions, and artificial lift[17] - Digital & Integration revenue increased by 10% year-on-year, with digital revenue growing by 20% to $2.44 billion[20] - Digital & Integration revenue increased 6% sequentially to $1.16 billion, with digital revenue up 10% and pretax operating margin expanding 274 bps to 38.3%[33][34][35] - Reservoir Performance revenue declined 1% sequentially to $1.81 billion, with pretax operating margin expanding 35 bps to 20.5%[36][37][38] - Well Construction revenue decreased 1% sequentially to $3.27 billion, with pretax operating margin declining 70 bps to 20.8%[39][40][41] - Production Systems revenue increased 3% sequentially to $3.20 billion, with pretax operating margin decreasing 93 bps to 15.8%[42][43] - SLB's Digital & Integration division revenue for Q4 2024 was $1,156 million, with income before taxes of $442 million[57] - SLB's Well Construction division revenue for Q4 2024 was $3,267 million, with income before taxes of $681 million[57] Acquisitions and Contracts - SLB acquired the Aker subsea business, which generated $1.93 billion in revenue during the full year of 2024[10] - SLB secured major contracts with Shell, bp, and Petrobras, focusing on digital drilling, subsea integration, and deepwater well construction[44] - SLB secured a four-year contract with Staatsolie Maatschappij Suriname N.V. for the Delfi™ digital platform to enhance offshore team efficiency[46] - SLB signed a memorandum of understanding with PETRONAS to enhance AI, machine learning, and generative AI technologies for subsurface data management[46] Shareholder Returns and Cash Flow - Board approved a 3.6% increase in quarterly cash dividend to $0.285 per share[4] - Free cash flow for the year was $3.99 billion, enabling the company to return $3.27 billion to shareholders and reduce net debt by $571 million[14] - The company repurchased 38.4 million shares for $1.74 billion in 2024 and plans to increase total shareholder returns to $4 billion in 2025[24][25] - The company announced a 3.6% increase in its quarterly dividend to $0.285 per share, effective April 2025[27] - SLB's free cash flow for Q4 2024 was $1.631 billion, contributing to a full-year free cash flow of $3.990 billion, compared to $4.038 billion in 2023[51] - SLB's net debt decreased to $7.405 billion at the end of 2024, down from $7.976 billion at the end of 2023[51] - Cash flow from operations for the full year of 2024 was $6.60 billion and free cash flow was $3.99 billion[65] - SLB's Q4 2024 cash flow from operations was $2.39 billion, with free cash flow of $1.63 billion[64] Technology and Innovation - AI and autonomous operations gained traction, with the launch of the Lumi™ data and AI platform and the achievement of fully autonomous drilling operations[20] - SLB introduced Neuro™ autonomous geosteering and Stream™ high-speed intelligent telemetry, enhancing drilling efficiency and performance[45] - SLB's digital technology deployment in the US with Equinor and Sensia reduced subsurface model update times from months to weeks and days, and simulation runtimes from nine hours to 36 minutes[46] Carbon Capture and Sustainability - SLB's carbon capture and storage (CCS) hub in Jubail, Saudi Arabia, is expected to capture and store up to nine million metric tons of CO2 annually in its first phase, with construction completion by the end of 2027[47] - SLB Capturi™ achieved mechanical completion of a carbon capture plant at Heidelberg Materials' cement facility in Norway, designed to capture up to 400,000 metric tons of CO2 annually[47] - SLB Capturi completed a successful test campaign at WACKER's silicon production site in Norway, achieving CO2 capture rates of over 95%[47] Tax and Interest - "Interest & other income" for the fourth quarter of 2024 was $115 million, including $24 million from gain on sale of investment, $46 million from interest income, and $45 million from earnings of equity method investments[66] - Interest income decreased by $6 million sequentially to $46 million, while interest expense decreased by $5 million sequentially to $131 million in the fourth quarter of 2024[67] - The effective tax rate (ETR) for the fourth quarter of 2024 was 19.4%, compared to 19.2% in the third quarter of 2024[69] - The ETR for the full year of 2024 was 19.3%, compared to 19.1% for the full year of 2023[70] Capital Allocation and Guidance - SLB's capital investment guidance for full-year 2025 is approximately $2.3 billion[63] - Depreciation and amortization expense for the full year of 2024 was $2.519 million, including $1.551 million from depreciation of fixed assets and $481 million from amortization of APS investments[79] - SLB's forward-looking statements include financial and performance targets, growth forecasts for divisions, and expectations for oil and gas demand and production growth[84] - SLB anticipates improvements in operating procedures and technology, as well as capital expenditures in the oil and gas industry[84] - SLB's business strategies include digital initiatives and "fit for basin" approaches, alongside customer strategies[84] - SLB's capital allocation plans involve dividends and share repurchase programs, with a focus on APS projects and joint ventures[84] ChampionX Transaction - The acquisition of ChampionX is expected to strengthen production and recovery capabilities, enhancing the resilience of the SLB portfolio[19] - The proposed transaction between SLB and ChampionX is expected to bring benefits, with risks including business disruptions and challenges in retaining key personnel[85] - SLB and ChampionX face risks related to the integration of businesses and achieving anticipated synergies from the proposed transaction[85] - The transaction with ChampionX requires regulatory approvals, with potential delays or unfavorable terms impacting the deal[85] - SLB filed a Form S-4 with the SEC on April 29, 2024, which includes a proxy statement/prospectus for the ChampionX transaction[87] - The definitive proxy statement/prospectus for the ChampionX transaction was filed with the SEC on May 15, 2024, and mailed to ChampionX stockholders[87] - Investors are urged to review the Form S-4 and proxy statement/prospectus for important information about the proposed transaction[87]

In its upcoming report, Schlumberger (SLB) is predicted by Wall Street analysts to post quarterly earnings of $0.90 per share, reflecting an increase of 4.7% compared to the same period last year. Revenues are forecasted to be $9.18 billion, representing a year-over-year increase of 2.1%.The current level reflects a downward revision of 12.8% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial ...

Earnings and Financial Performance - SLB is set to report Q4 2024 results on Jan 17, 2025, with an Earnings ESP of -1.39% and a Zacks Rank 5 (Strong Sell) [1][2] - The Zacks Consensus Estimate for Q4 earnings is 90 cents per share, implying 5% growth YoY, while revenues are estimated at $9.2 billion, up 2.1% YoY [7] - SLB has beaten consensus earnings estimates in the trailing four quarters with an average surprise of 1.8% [8] - The company's Well Construction business unit, a major earnings contributor, is expected to report operating earnings before tax of $683.5 million, down from $770 million YoY [10] Industry and Market Trends - Average WTI crude prices were favorable in Q4 2024 at $71.99 (Oct), $69.95 (Nov), and $70.12 (Dec) per barrel, but drilling activities declined in both domestic and international markets [3] - International rig count decreased to 926 in Q4 from 937 in Q3 and 965 YoY, while North American rig count fell to 782 from 796 in Q3 and 803 YoY [4][9] - The slowdown in drilling activity is reducing demand for SLB's services as upstream companies focus more on stockholder returns than production expansion [16] Valuation and Stock Performance - SLB's stock has lost 18.7% in the past year, underperforming the industry's 4.8% gain and Halliburton's 17.6% decline [14] - The company appears overvalued with a trailing 12-month EV/EBITDA ratio of 7.44, above the industry average of 6.89 [15] Business Risks and Dependencies - SLB's heavy reliance on international markets, particularly the Middle East, exposes it to significant geopolitical and operational risks [12] - The company's future growth is highly dependent on customer capital expenditures, which tend to decline during economic downturns [16]

SLB (SLB) , a leading energy technology company worldwide, has signed a string of deals with the British energy giant Shell plc (SHEL) to support its deepwater and ultra-deepwater assets. The energy technology firm has won major drilling contracts from Shell in the U.K. North Sea, the U.S. Gulf of Mexico and Trinidad and Tobago, among other regions.These projects will leverage SLB’s AI-enabled digital drilling tools and technology and its extensive knowledge and experience of working in ultra-deepwater envi ...

Investment Strategy - The investment strategy focuses on value stocks with growth potential, utilizing a 3-part approach that includes recognizing macro trends, seeking innovation, and capitalizing on event overreactions [1] - The selection process involves running filters with 32 key criteria and considering over 70 data points for each investment [1] - Fundamental Analysis is used for stock selection, while Technical Analysis and Artificial Intelligence are employed to identify entry, trend, and exit points [1] - Quarterly earnings reports and 10Q reports are reviewed as part of the analysis process [1] Company Overview - Schlumberger (NYSE: SLB) is the largest oilfield services company, providing technology for reservoir characterization, drilling, production, and processing to the oil and gas industry [3] - The company operates through four divisions: Digital & Integration, Reservoir Performance, Well Construction, and Production Systems [3] - Over three-fourths of Schlumberger's revenue base is tied to its core operations in the oil and gas industry [3]

iREIT+HOYA Capital is the premier income-focused investing service on Seeking Alpha. Our focus is on income-producing asset classes that offer the opportunity for sustainable portfolio income , diversification , and inflation hedging . Get started with a Free Two-Week Trial and take a look at our top ideas across our exclusive income-focused portfolios.Despite the Santa Claus rally not materializing this year, the market is still up significantly since the start of the year, with the S&P 500 ( SPY ) being u ...

Schlumberger (SLB) closed the most recent trading day at $37.26, moving +1.17% from the previous trading session. The stock's change was more than the S&P 500's daily gain of 0.73%. At the same time, the Dow added 0.16%, and the tech-heavy Nasdaq gained 0.98%.Shares of the world's largest oilfield services company have depreciated by 16.73% over the course of the past month, underperforming the Oils-Energy sector's loss of 9.2% and the S&P 500's gain of 0.34%.Investors will be eagerly watching for the perfo ...

The year is winding down, and I am considering what investments will work well in 2025. I think 2025 will be similar to 2024 in that technology will drive the market higher, but there are some themes and investments that the investment communityI am focused on growth and dividend income. My personal strategy revolves around setting myself up for an easy retirement by creating a portfolio which focuses on compounding dividend income and growth. Dividends are an intricate part of my strategy as I have structu ...