Halliburton(US:HAL)2024-11-07 16:57Revenue Performance - Total company revenue for Q3 2024 was $5.7 billion, a 2% decrease compared to Q3 2023[54]. - Total revenue for Q3 2024 was $5.697 billion, a decrease of $107 million or 2% compared to $5.804 billion in Q3 2023[81]. - Total revenue for the first nine months of 2024 was $17.3 billion, a slight increase of $55 million compared to $17.3 billion in the same period of 2023[96]. - Completion and Production segment revenue decreased by 5% in Q3 2024, primarily due to reduced stimulation activity in the Western Hemisphere[55]. - Completion and Production segment revenue decreased by $299 million, or 3%, to $10.1 billion in the first nine months of 2024[98]. - Drilling and Evaluation segment revenue increased by 3% in Q3 2024, driven by higher drilling services in the Western Hemisphere and Middle East/Asia[56]. - Drilling and Evaluation segment revenue increased by $354 million, or 5%, to $7.3 billion in the first nine months of 2024[99]. - North America revenue decreased by 9% in Q3 2024, mainly due to lower pressure pumping services and decreased well intervention services in U.S. land[57]. - North America revenue decreased by 8% to $7.4 billion, primarily due to lower pressure pumping services and decreased well intervention services[100]. - International revenue increased by 4% in Q3 2024, largely due to increased activity in Kuwait and improved well construction in Mexico and UAE[58]. - Latin America revenue increased by 10% to $3.3 billion, driven by improved activity in Mexico and Argentina[101]. - Europe/Africa/CIS revenue increased by 5% to $2.2 billion, supported by higher project management activity and pressure pumping services[102]. - Middle East/Asia revenue increased by 9% to $1.536 billion in Q3 2024, driven by higher activity in Kuwait and Saudi Arabia[88]. - Middle East/Asia revenue increased by 7% to $4.5 billion, primarily due to increased drilling and pressure pumping services[103]. Operating Income and Expenses - Operating income for Q3 2024 was $871 million, reflecting a 16% decrease from Q3 2023, including impairments and other charges of $116 million[54]. - Operating income for Q3 2024 was $871 million, a decrease of 16% from $1.037 billion in Q3 2023[82]. - Operating income for the first nine months of 2024 was $2.9 billion, a decrease of $135 million, or 4%, compared to $3.0 billion in 2023[97]. - The company recognized a pre-tax charge of $116 million in Q3 2024 related to severance costs and asset impairments[90]. - The company recognized $91 million in SAP S4 upgrade expenses during the first nine months of 2024, up from $36 million in the same period of 2023[104]. Cash Flow and Shareholder Returns - Cash flows from operating activities for the first nine months of 2024 were $2.4 billion, with capital expenditures of $1.0 billion[62]. - The company repurchased 20.1 million shares for $696 million and paid $452 million in dividends to shareholders during the first nine months of 2024[62]. - As of September 30, 2024, the company had $2.2 billion in cash and equivalents, down from $2.3 billion at the end of 2023[61]. - The company aims to maintain capital expenditures at approximately 6% of revenue while focusing on technological advancements and process improvements[63]. Tax and Market Conditions - The effective tax rate for Q3 2024 was 21.0%, consistent with the rate in Q3 2023, with a total income tax provision of $154 million[91]. - The effective tax rate for the nine months ended September 30, 2024, was 22.1%, compared to 21.1% for the same period in 2023[108]. - Average WTI crude oil price for Q3 2024 was $76.24, compared to $82.30 in Q3 2023, reflecting a decrease of 7.6%[77]. - The average worldwide rig count for Q3 2024 was 1,733, down from 1,788 in Q3 2023, indicating a decrease in drilling activity[78]. Future Outlook - The company expects mid to high single-digit revenue growth internationally for the full year of 2024, despite a decline in North America[80]. - Consolidated revenue for the first nine months of 2024 was 41% from the United States, down from 45% in the same period of 2023[73].