Financial Data and Key Metrics Changes - Consolidated revenues for Q2 2021 were $903 million, representing a 9% sequential increase and a 10% year-on-year increase, driven primarily by a 12% sequential increase in service revenues [21][20] - Adjusted EBITDA for the quarter was $136 million, equating to an adjusted EBITDA margin of 15%, an improvement of 280 basis points sequentially and 544 basis points year-on-year [22][20] - Free cash flow was $48 million, improving by $50 million year-on-year, despite a larger portion of interest obligations [25][22] Business Line Data and Key Metrics Changes - Managed Pressure Drilling (MPD) technology continued to gain traction, with significant contract wins in Brazil and Asia, showcasing the company's leadership in this area [10][11] - In North America, revenues increased by 3% sequentially, primarily due to increased activity in the United States, despite a seasonal decline in Canada [23][20] - The Eastern Hemisphere revenues were $478 million, an 8% sequential increase, with notable growth in the Middle East and North Africa [24][20] Market Data and Key Metrics Changes - The company observed an increase in tendering activity, particularly in the Middle East, North Africa, and Latin America, with over 75% of its business coming from international markets [18][17] - North America experienced a rebound in activity, although growth was tempered by seasonal factors in Canada [17][20] Company Strategy and Development Direction - The company aims to maintain a focus on profitable growth in North America while improving margins, having exited the drilling services and wellhead product lines in the U.S. [17][20] - There is a strong emphasis on digitalization and energy transition, with ongoing projects in data management and production automation solutions [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth scenario for 2022, anticipating continued moderate increases in activity in the second half of 2021 [17][29] - The company expects second half revenues to increase by mid to high single digits from the first half of 2021 results, with adjusted EBITDA margins improving further [29][30] Other Important Information - The company completed its listing on the NASDAQ under the ticker symbol WFRD, which is expected to enhance long-term shareholder value [28][27] - The S&P credit ratings on the company's senior secured notes were upgraded, reflecting improvements in the macro backdrop for oilfield services [27][20] Q&A Session Summary Question: Clarity on beneficial one-offs affecting margins and areas of business that exceeded guidance - Management clarified that the $10 million of one-time credits included a workers' comp settlement and settlements related to lost in hole disputes, which were excluded from the baseline moving forward [40][39] Question: Expectations for margins in the back half of the year - Management indicated that they are targeting to exit the year with margins around 14.5%, with a modest step-up expected for 2022 [44][45] Question: North America's sequential growth compared to competitors - Management explained that the company's focus on profitable growth and the exit from certain product lines contributed to the differences in growth rates compared to competitors [50][49] Question: Details on capital expenditures and expected increases - Management noted that the first half focused on asset redeployment and utilization, with plans to increase capital expenditures in the second half to support market-leading product lines [54][53] Question: Update on capital structure and ABL discussions - Management reported improved market conditions and constructive dialogues with banks regarding potential refinancing and addressing capital structure challenges [56][55]

[PART I – FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements.) The unaudited statements for Q1 2025 show decreased revenue and net income, with key details on assets, liabilities, cash flow, and segment performance Condensed Consolidated Statements of Operations (Unaudited) | (In millions, except per share) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | **Total Revenue** | $1,193 | $1,358 | | **Operating Income** | $142 | $233 | | **Net Income Attributable to Weatherford** | $76 | $112 | | **Diluted Income per Share** | $1.03 | $1.50 | Condensed Consolidated Balance Sheets (Unaudited) | (In millions) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and Cash Equivalents | $873 | $916 | | Total Current Assets | $3,264 | $3,402 | | **Total Assets** | **$5,054** | **$5,159** | | Total Current Liabilities | $1,567 | $1,696 | | Long-term Debt | $1,583 | $1,617 | | **Total Liabilities** | **$3,694** | **$3,876** | | **Total Shareholders' Equity** | **$1,360** | **$1,283** | Condensed Consolidated Statements of Cash Flows (Unaudited) | (In millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $142 | $131 | | Net Cash Used in Investing Activities | $(79) | $(54) | | Net Cash Used in Financing Activities | $(133) | $(187) | - In Q1 2025, the company repurchased **$34 million in principal** of its 2030 Senior Notes[40](index=40&type=chunk) - During Q1 2025, the company repurchased **0.8 million ordinary shares for $53 million** and paid **$18 million in dividends**[48](index=48&type=chunk)[49](index=49&type=chunk) - Subsequent to the quarter end, the company sold its Pressure Pumping business in Argentina for approximately **$104 million in cash** and declared a **$0.25 per share dividend**[60](index=60&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=19&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations.) Management discusses a 12% revenue decline due to reduced activity, segment performance, capital returns, and customer concentration risk in Mexico [Business and Industry Trends](index=19&type=section&id=Business%20and%20Industry%20Trends) The company's performance is tied to energy sector trends, with lower Q1 2025 commodity prices and rig counts impacting activity levels Average Commodity Prices & Rig Counts | Indicator | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Oil price - WTI ($/bbl) | $71.84 | $77.56 | | Oil price - Brent ($/bbl) | $75.81 | $83.00 | | Worldwide Rig Count (Avg) | 1,706 | 1,796 | - Revenues from Russia were approximately **6% of total revenues** for Q1 2025, and the company is actively evaluating strategic options for this business[74](index=74&type=chunk)[75](index=75&type=chunk) [Consolidated Results of Operations](index=21&type=section&id=Consolidated%20Results%20of%20Operations) Total revenue decreased 12% year-over-year to $1.2 billion, causing a 39% drop in operating income despite reduced operating expenses Consolidated Operating Summary (Q1 2025 vs Q1 2024) | (In millions) | Q1 2025 | Q1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | **Total Revenue** | $1,193 | $1,358 | -12% | | **Operating Income** | $142 | $233 | -39% | | Cost of Products and Services | $819 | $884 | -7% | | SG&A and R&D | $190 | $236 | -20% | | Restructuring Charges | $29 | $3 | +867% | - The year-over-year revenue decrease was primarily driven by a decline in activity, with the **Latin America region accounting for 78% of the drop**[76](index=76&type=chunk) [Results of Operations by Segment](index=22&type=section&id=Results%20of%20Operations%20by%20Segment) All three operating segments experienced revenue declines, with varied impacts on adjusted EBITDA margins due to activity mix and cost factors DRE Segment Results (Q1 2025 vs Q1 2024) | ($ in Millions) | Q1 2025 | Q1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | $350 | $422 | -17% | | Segment Adjusted EBITDA | $74 | $130 | -43% | | Segment Adj. EBITDA Margin | 21.1% | 30.8% | -966 bps | WCC Segment Results (Q1 2025 vs Q1 2024) | ($ in Millions) | Q1 2025 | Q1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | $441 | $458 | -4% | | Segment Adjusted EBITDA | $128 | $120 | +7% | | Segment Adj. EBITDA Margin | 29.0% | 26.2% | +282 bps | PRI Segment Results (Q1 2025 vs Q1 2024) | ($ in Millions) | Q1 2025 | Q1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | $334 | $348 | -4% | | Segment Adjusted EBITDA | $62 | $73 | -15% | | Segment Adj. EBITDA Margin | 18.6% | 21.0% | -241 bps | [Liquidity and Capital Resources](index=26&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintained solid liquidity with $142 million in operating cash flow while managing debt, share repurchases, and customer credit risk Cash Flow Summary (Q1 2025 vs Q1 2024) | (In millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $142 | $131 | | Net Cash Used in Investing Activities | $(79) | $(54) | | Net Cash Used in Financing Activities | $(133) | $(187) | - Primary uses of cash in financing activities for Q1 2025 were **$53 million for share repurchases**, **$39 million for debt repayments**, and **$18 million for dividends**[113](index=113&type=chunk) - As of March 31, 2025, the company's largest customer in Mexico accounted for **25% of total net accounts receivables** and has a history of late payments[120](index=120&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=30&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk.) The company's market risk exposure has not materially changed from the prior fiscal year-end - The company's exposure to market risk has **not changed materially** since December 31, 2024[136](index=136&type=chunk) [Controls and Procedures](index=31&type=section&id=Item%204.%20Controls%20and%20Procedures.) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls during the quarter - Management, including the CEO and CFO, concluded that **disclosure controls and procedures were effective** as of March 31, 2025[139](index=139&type=chunk) - **No material change** in internal control over financial reporting occurred during Q1 2025[140](index=140&type=chunk) [PART II – OTHER INFORMATION](index=31&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) [Legal Proceedings](index=31&type=section&id=Item%201.%20Legal%20Proceedings.) Information regarding the company's disputes and litigation is detailed in the financial statement notes - For details regarding ongoing disputes and litigation, refer to **"Note 8 – Disputes, Litigation and Legal Contingencies"** in the financial statements[142](index=142&type=chunk) [Risk Factors](index=31&type=section&id=Item%201A.%20Risk%20Factors.) There have been no material changes to the company's risk factors since the last annual report - As of March 31, 2025, there have been **no material changes** in the company's risk factors from the 2024 Form 10-K[143](index=143&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=31&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds.) The company repurchased $53.3 million of its ordinary shares in Q1 2025, with $348 million remaining authorized for future buybacks - There were **no unregistered sales** of equity securities in Q1 2025[144](index=144&type=chunk) Issuer Repurchases of Equity Securities (Q1 2025) | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | January 1 - 31 | 250,328 | $70.79 | | February 1 - 28 | 249,603 | $66.99 | | March 1 - 31 | 347,031 | $54.52 | | **Total** | **846,962** | **$63.00** | [Defaults Upon Senior Securities](index=31&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities.) No defaults upon senior securities occurred during the reporting period - None[147](index=147&type=chunk) [Mine Safety Disclosures](index=32&type=section&id=Item%204.%20Mine%20Safety%20Disclosures.) This disclosure requirement is not applicable to the company's operations - Not applicable[148](index=148&type=chunk) [Other Information](index=32&type=section&id=Item%205.%20Other%20Information.) No directors or executive officers adopted or terminated Rule 10b5-1 trading arrangements during the quarter - No director or executive officer adopted or terminated a **Rule 10b5-1 trading arrangement** during Q1 2025[149](index=149&type=chunk) [Exhibits](index=33&type=section&id=Item%206.%20Exhibits.) The filing includes required CEO/CFO certifications and interactive data files as exhibits - Exhibits filed include **CEO and CFO certifications** under Sections 302 and 906 of the Sarbanes-Oxley Act, and XBRL interactive data files[151](index=151&type=chunk) [Signatures](index=34&type=section&id=SIGNATURES) The report is duly authorized and signed by the company's executive officers on behalf of the registrant - The report was duly signed and authorized by the company's **Chief Financial Officer and Chief Accounting Officer** on April 23, 2025[154](index=154&type=chunk)[155](index=155&type=chunk)

Financial Data and Key Metrics Changes - The first quarter results were in line with earlier expectations, but activity levels softened further in key segments and geographies, with adjusted free cash flow of $66 million and adjusted EBITDA margins at 21.2% [11][13] - Revenue expectations for 2025 have been adjusted to $4.6 billion to $5 billion, with adjusted EBITDA of $975 million to $1.1 billion, reflecting a conservative outlook due to market conditions [36][37] - The company has maintained a net leverage ratio of 0.5 times trailing 12 months adjusted EBITDA and liquidity of approximately $1.3 billion [41][34] Business Line Data and Key Metrics Changes - North America saw a sequential decline of 4%, while Mexico experienced a year-over-year decline of around 60% [12][70] - The Middle East and Asia regions showed year-on-year growth, demonstrating resilience and stability amidst overall market softness [12][18] - The company has divested its Argentina Pressure Pumping and Wireline businesses, which will impact revenue and EBITDA but allow for a focus on more profitable areas [25][27] Market Data and Key Metrics Changes - The overall international market has softened, particularly in Mexico and U.S. land activity levels, with lower commodity prices leading to cautious customer spending [18][20] - The company anticipates a broad-based slowdown in the second half of the year, influenced by global trade reductions and increased supply [22][24] - Despite the downturn, the company expects to maintain EBITDA margins in the low-20s, better than two years ago [24] Company Strategy and Development Direction - The company is focused on maintaining a sustainable dividend and share repurchase program while adapting its cost structure to current market conditions [41][42] - A multi-year cost optimization program is in place to achieve sustainable productivity gains through technology and lean processes [43] - The company aims to position its portfolio for the future with lower capital intensity and has identified growth opportunities in the Vaca Muerta region [25][120] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's future but acknowledged the need to pivot due to changing market conditions [39] - The outlook is characterized by uncertainty, with management preparing for a range of outcomes while remaining hopeful for stability in key markets [51][56] - The company is focused on improving working capital efficiency to drive free cash flow conversion to a sustainable 50% [44][90] Other Important Information - The company has reduced its headcount by over 1,000 and annualized personnel expenses by over $100 million [23][99] - Recent U.S. tariffs and retaliatory tariffs have added uncertainty to the market, potentially impacting demand and pricing [20][130] - The company is exploring smaller tuck-in acquisitions while maintaining a flexible approach to capital allocation [122][124] Q&A Session Summary Question: How are key countries in MENA trending? - Management noted continued stability in MENA, with robust spending patterns in Kuwait, UAE, and Oman, while acknowledging potential challenges in Saudi Arabia due to rig count reductions [50][52][54] Question: What is the expected duration or severity of the downturn? - Management indicated that the downturn may be milder than previous cycles, with different causes in different regions, and expressed hope for a short-lived impact [58][60][62] Question: What is the magnitude of the impact from divestitures? - The divestitures are expected to reduce revenue by approximately 100 to 300 basis points, with additional adjustments made for market reductions in various regions [71][72] Question: How will the proceeds from divestitures be utilized? - Proceeds will enhance overall liquidity, support dividends, and facilitate opportunistic share repurchases or small acquisitions [76][77] Question: What is the potential impact of tariffs? - Management stated that quantifying the impact of tariffs is difficult at this stage, but they expect a reduction in activity levels due to uncertainty [128][134] Question: How is the digital strategy viewed in the current environment? - Management believes there is significant opportunity in production optimization and data utilization, which could lead to increased demand for digital solutions [138]

Financial Data and Key Metrics Changes - The first quarter results were in line with earlier expectations, but activity levels softened further in key segments and geographies [9] - Adjusted free cash flow for the quarter was $66 million, with a free cash flow conversion rate of 26.1% compared to 24.4% in Q1 2024 [10][23] - Adjusted EBITDA margins for Q1 were 21.2%, impacted by lower revenues and project startup costs [11] Business Line Data and Key Metrics Changes - North America saw a sequential decline of 4%, while Europe softened due to operator cutbacks in the UK [10] - The Middle East and Asia regions experienced year-on-year growth, demonstrating resilience [10] - The company successfully delivered advanced services in the UK North Sea and deepwater Brazil, showcasing technology adoption [12] Market Data and Key Metrics Changes - Activity in Mexico is expected to decline around 60% year-on-year, worse than the previously anticipated 30% to 50% [10] - The overall international market has softened, with significant drops in Mexico and continued reductions in U.S. land activity levels [14] - The company anticipates a broad-based slowdown in the second half of the year due to global trade reductions and increased supply [18] Company Strategy and Development Direction - The company is focused on maintaining margins and not chasing market share without value [29] - A significant reduction in gross debt by approximately $1 billion has strengthened the balance sheet [30] - The company is adapting its cost structure and has reduced headcount by over 1,000, with annualized personnel expenses down by over $100 million [16][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's future but acknowledged the changed market conditions and uncertainty [29] - The outlook for 2025 includes expected revenue declines of high single to mid double digits in North America and low double to mid double digits internationally [20] - Management remains hopeful for a milder spending reduction compared to previous cycles due to industry discipline [16] Other Important Information - The company has divested its Argentina pressure pumping and wireline businesses to focus on the Vaca Muerta region [19] - The proceeds from divestitures will be used to enhance the portfolio and return cash to shareholders [19] - The company plans to maintain its quarterly dividend of $0.25 per share and continue its share repurchase program [11][30] Q&A Session Summary Question: Insights on international markets and MENA trends - Management noted that international markets, particularly MENA, tend to be more stable, with ongoing robust spending patterns in regions like Kuwait and the UAE [37][40] Question: Duration and severity of the downturn - Management indicated that the current downturn is expected to be milder and not universal, with different causes in different regions [43][44] Question: Impact of divestitures on guidance - The divestitures are expected to impact revenue by approximately 100 to 300 basis points, with adjustments made for North America and other regions [55][56] Question: Use of proceeds from divestitures - Proceeds will enhance overall liquidity, support dividends, and allow for opportunistic debt reduction and potential acquisitions [61][62] Question: Potential tariff impacts - Management stated that quantifying tariff impacts is difficult at this stage, but they expect a degree of uncertainty leading to reduced activity levels [106][107] Question: Digital spending outlook - Management believes that digital products focused on production optimization will remain a significant opportunity, despite potential reductions in discretionary spending [110]

Weatherford (WFRD) came out with quarterly earnings of $1.03 per share, beating the Zacks Consensus Estimate of $0.89 per share. This compares to earnings of $1.50 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 15.73%. A quarter ago, it was expected that this oilfield service company would post earnings of $1.34 per share when it actually produced earnings of $1.50, delivering a surprise of 11.94%.Over the last four quarters, ...

Core Viewpoint - Weatherford International plc has appointed Anuj Dhruv as Executive Vice President and Chief Financial Officer, aiming to enhance leadership and drive shareholder returns [1][2]. Group 1: Leadership Changes - Anuj Dhruv brings over two decades of experience in global finance, strategy, and transformation across various industries, including technology, energy, and chemicals [3]. - Girish Saligram, President and CEO of Weatherford, expressed confidence that Dhruv's expertise will help position the company for future growth [2]. Group 2: Anuj Dhruv's Background - Prior to joining Weatherford, Dhruv served as Vice President of Finance and Strategy for LyondellBasell's Global Olefins and Polyolefins segment, overseeing a $29 billion revenue segment [3]. - Dhruv has held strategic leadership roles at Schlumberger and Microsoft, focusing on optimizing financial performance and leading complex M&A transactions [3]. Group 3: Company Overview - Weatherford provides innovative energy services that combine proven technologies with advanced digitalization to maximize value and return on investment [4]. - The company operates in approximately 75 countries with around 18,000 team members from over 110 nationalities [4].

Financial Performance - First quarter 2025 revenue was $1,193 million, a decrease of 12% year-over-year and 11% sequentially[2]. - First quarter operating income was $142 million, down 39% year-over-year, and net income was $76 million with a 6.4% margin, a decrease of 32% year-over-year[2][4]. - Adjusted EBITDA for the first quarter was $253 million, a 21.2% margin, reflecting a 25% decrease year-over-year[2][4]. - Total revenues for the first quarter 2025 were $1,193 million, down from $1,341 million in the previous quarter and $1,358 million in the same quarter last year[35]. - Net income for the first quarter 2025 was $86 million, compared to $124 million in the previous quarter and $123 million in the same quarter last year[40]. - Basic income per share for the first quarter 2025 was $1.04, down from $1.54 in the previous quarter and the same quarter last year[35]. - Adjusted EBITDA for the DRE segment was $74 million, down from $96 million in the previous quarter and $130 million year-over-year[35]. - Adjusted free cash flow for Q1 2025 was $66 million, a decrease from $162 million in Q4 2024 and an increase from $82 million in Q1 2024[49]. Cash Flow and Debt - Cash provided by operating activities was $142 million, and adjusted free cash flow was $66 million, down $16 million year-over-year[5]. - Cash flows from operating activities for the first quarter 2025 were $142 million, compared to $249 million in the previous quarter[40]. - Net cash provided by operating activities for Q1 2025 was $142 million, down from $249 million in Q4 2024 but up from $131 million in Q1 2024[49]. - Long-term debt as of March 31, 2025, was $1,583 million, a slight decrease from $1,617 million at the end of the previous year[38]. - Total debt as of March 31, 2025, was $1,605 million, a slight decrease from $1,634 million in Q4 2024 and a decrease from $1,730 million in Q1 2024[51]. - Net debt as of March 31, 2025, was $675 million, an increase from $659 million in Q4 2024 and a decrease from $793 million in Q1 2024[51]. - Net leverage ratio for the trailing 12 months was 0.52x as of March 31, 2025, compared to 0.48x in Q4 2024 and 0.63x in Q1 2024[51]. Shareholder Returns and Equity - The company repurchased $34 million of Senior Notes and returned $71 million to shareholders, including $18 million in dividends and $53 million in share repurchases[2][13]. - Total shareholders' equity increased to $1,360 million as of March 31, 2025, up from $1,283 million at the end of the previous year[38]. Business Operations and Strategy - The sale of the Pressure Pumping business in Argentina was completed as part of the portfolio optimization strategy[2][8]. - The company signed a strategic agreement with AIQ to enhance energy production efficiency using advanced automation and AI technology[2]. - The company expects to scale back activity level expectations for the remainder of the year while focusing on increasing adjusted free cash flow conversion[7]. - The company plans to continue focusing on strategic solutions that enhance efficiency and flexibility in energy operations[26]. - Weatherford operates in approximately 75 countries with around 18,000 team members, indicating a strong global presence[26]. Regional Performance - North America revenue decreased by 6% year-over-year to $250 million, primarily due to lower activity in DRE and WCC segments[22]. - International revenue was $943 million, a decrease of 14% year-over-year, with Latin America revenue down 35% to $241 million[23]. - First quarter 2025 revenue for Europe/Sub-Sahara Africa/Russia was $199 million, a decrease of $25 million or 11% year-over-year, primarily due to lower activity across all segments[25]. - Revenues for Q1 2025 were $1,193 million, a decrease of 11% from $1,341 million in Q4 2024 and a decrease of 12% from $1,358 million in Q1 2024[49].

Core Insights - Weatherford International plc reported a revenue of $1,193 million for Q1 2025, reflecting a 12% decrease year-over-year and an 11% decrease sequentially [2][6] - The company experienced a significant decline in operating income, which was $142 million, down 39% from $233 million in Q1 2024 [2][6] - Net income for Q1 2025 was $76 million, representing a 32% decrease year-over-year, with a net income margin of 6.4% [2][6] - Adjusted EBITDA was reported at $253 million, a decrease of 25% year-over-year, with an adjusted EBITDA margin of 21.2% [2][6] - The company faced market softening in key regions, particularly in Mexico, the UK, and North America, impacting activity levels [4][5] Financial Performance - Q1 2025 cash flows from operating activities were $142 million, an increase from $131 million in Q1 2024 but down from $249 million in Q4 2024 [3][6] - Adjusted free cash flow for Q1 2025 was $66 million, a decrease of $16 million year-over-year and $96 million sequentially [3][6] - Capital expenditures in Q1 2025 were $77 million, compared to $59 million in Q1 2024 and $100 million in Q4 2024 [3][6] Shareholder Returns - The company returned $71 million to shareholders in Q1 2025, which included $18 million in dividends and $53 million in share repurchases [11][6] - A quarterly cash dividend of $0.25 per share was declared, payable on June 5, 2025, to shareholders of record as of May 6, 2025 [11][6] Operational Highlights - Weatherford secured several significant contracts, including an eight-year contract extension with an International Oil Company in Kazakhstan and a five-year Integrated Completions contract with PDO Oman [9][6] - The company completed the sale of its Pressure Pumping business in Argentina as part of its portfolio optimization strategy [6][6] Revenue by Geography - North America revenue for Q1 2025 was $250 million, down 6% year-over-year, primarily due to lower activity in DRE and WCC segments [20][21] - International revenue was $943 million, a decrease of 14% year-over-year, with Latin America revenue down 35% year-over-year to $241 million [21][22] - Middle East/North Africa/Asia revenue increased by 1% year-over-year to $503 million, while Europe/Sub-Sahara Africa/Russia revenue decreased by 11% year-over-year to $199 million [22][23]

Core Insights - Weatherford International plc has signed a strategic Memorandum of Understanding (MOU) with AIQ to enhance efficiency in energy production through advanced automation and AI technology [1][2] Group 1: Partnership Objectives - The collaboration aims to integrate Weatherford's software and hardware solutions with AIQ's AI-driven systems to optimize production workflows and enhance operational efficiency in global oil and gas facilities [2][5] - This partnership is expected to unlock unprecedented efficiencies, boost productivity, and reduce operational costs in the energy sector [5] Group 2: Key Technologies Involved - The integration will feature Weatherford's Modern Edge suite, which will allow operators to scale work processes efficiently while ensuring economic returns [7] - The Unified Data Model will harmonize multi-asset data, combining operational and financial analysis into a unified, API-supported data model for smarter decision-making [7] - The WFRD Software Launchpad will provide a comprehensive industrial SaaS platform for customers to manage their software needs, simplifying vendor management and ensuring data security [7] Group 3: Leadership Perspectives - The President and CEO of Weatherford expressed excitement about the partnership, emphasizing the delivery of innovative, AI-driven solutions to maximize operational efficiency and reduce costs [3] - The Acting Managing Director of AIQ highlighted the partnership's role in accelerating the deployment of impactful AI systems across the energy value chain [3]

Group 1 - Weatherford International (NASDAQ: WFRD) has significantly improved since emerging from bankruptcy at the end of 2019 and is well-positioned to handle a potential economic slowdown [1] - The company's balance sheet is solid, indicating financial stability [1] Group 2 - Sunshine Kapital, led by Stefan, focuses on distressed situations and value opportunities, bringing twenty years of institutional experience in Research and Portfolio Management [1]