Weatherford International(US:WFRD)2024-10-22 20:32Financial Performance - Revenues for Q3 2024 were $1,409 million, a 7% increase year-over-year and a 0.3% increase sequentially[1][3] - Operating income was $243 million, an 11% increase year-over-year, while net income rose to $157 million, reflecting a 28% year-over-year increase with a net income margin of 11.1%[1][3] - Adjusted EBITDA for the quarter was $355 million, a 16% increase year-over-year, with an adjusted EBITDA margin of 25.2%, up 197 basis points year-over-year[1][3] - Net income for the three months ended September 30, 2024, was $166 million, compared to $131 million for the same period in 2023, representing a 26.7% year-over-year increase[38] - Revenues for Q3 2024 reached $1,409 million, a 7.3% increase from $1,313 million in Q3 2023[47] - Net income attributable to Weatherford was $157 million, up from $123 million in Q3 2023, reflecting a net income margin of 11.1%[47] - Adjusted EBITDA for Q3 2024 was $355 million, with an adjusted EBITDA margin of 25.2%, compared to $305 million and 23.2% in Q3 2023[47] - Net cash provided by operating activities was $262 million, significantly higher than $172 million in Q3 2023[47] - Adjusted free cash flow for Q3 2024 was $184 million, an increase from $137 million in Q3 2023[47] Cash Flow and Debt Management - Cash provided by operating activities was $262 million, an increase of $112 million sequentially and $90 million year-over-year; adjusted free cash flow was $184 million, up $88 million sequentially and $47 million year-over-year[1][4] - Total debt decreased to $1,648 million from $1,955 million in September 2023, while cash and cash equivalents increased to $920 million[48] - Net debt as of September 30, 2024, was $670 million, down from $1,009 million in September 2023[48] - Net cash provided by operating activities for the nine months ended September 30, 2024, was $543 million, up from $457 million in the same period of 2023, indicating an 18.8% increase[38] - The long-term debt decreased to $1,627 million as of September 30, 2024, from $1,715 million at the end of 2023, a decline of 5.1%[36] - Net debt as of September 30, 2024, was $1,678 million, down from $1,825 million on December 31, 2023, indicating a reduction of 8.1%[36] Shareholder Returns - Weatherford repurchased $50 million of ordinary shares and paid $18 million in dividends, totaling $68 million in shareholder returns for the quarter[1][14] Strategic Initiatives and Acquisitions - Weatherford acquired Datagration, enhancing its digital offerings for production and asset optimization, demonstrating a commitment to innovation[1][6] - A three-year Corporate Procurement Agreement was awarded by Aramco, including various products and services to enhance operational efficiency[1][8] - Deployment of Victus™ Managed Pressure Drilling systems in geothermal exploration wells marks a significant technological advancement for the company[1][11] - The company engaged in business acquisitions totaling $15 million during the three months ended September 30, 2024[38] Regional Revenue Performance - North America revenue for Q3 2024 was $266 million, a sequential increase of $14 million or 6%, but a year-over-year decrease of $3 million or 1%[23] - International revenue for Q3 2024 was $1,143 million, a sequential decrease of 1% but an increase of 9% year-over-year[25] - Latin America revenue for Q3 2024 was $358 million, a sequential increase of $5 million or 1%, with a year-over-year increase of $1 million[25] - Middle East/North Africa/Asia revenue for Q3 2024 was $542 million, flat sequentially, but up $71 million or 15% year-over-year[25] - Europe/Sub-Sahara Africa/Russia revenue for Q3 2024 was $243 million, a sequential decrease of $15 million or 6%, but an increase of $27 million or 13% year-over-year[26] Future Outlook - The company plans to host a conference call on October 23, 2024, to discuss the Q3 results[29]