Halliburton(US:HAL)2026-01-21 11:49Financial Performance - Halliburton reported net income of $589 million, or $0.70 per diluted share, for Q4 2025, a significant increase from $18 million, or $0.02 per diluted share, in Q3 2025[4]. - Total revenue for Q4 2025 was $5.7 billion, up from $5.6 billion in Q3 2025, with an operating income of $746 million compared to $356 million in the previous quarter[4]. - For the full year 2025, total revenue was $22.2 billion, a decrease from $22.9 billion in 2024, and operating income was $2.3 billion, down from $3.8 billion in 2024[5]. - Halliburton's adjusted operating income for Q4 2025 was $829 million, compared to $748 million in Q3 2025, reflecting improved operational efficiency[4]. - Net income for 2025 was $1,292 million, down 48.7% from $2,516 million in 2024, resulting in a basic net income per share of $1.50 compared to $2.84 in the previous year[45]. - Total operating income decreased to $2,260 million in 2025 from $3,822 million in 2024, reflecting a decline of 40.7%[46]. - Adjusted operating income for 2025 was $3,091 million, down from $3,938 million in 2024, reflecting a decline of 21.5%[51]. - Net income attributable to the company for 2025 was $1,283 million, a decrease of 48.7% compared to $2,501 million in 2024[59]. - Adjusted net income attributable to the company for 2025 was $2,061 million, down from $2,644 million in 2024, representing a decline of 21.9%[59]. - Net income per diluted share for 2025 was $1.50, down from $2.83 in 2024, a decline of 47.0%[59]. - Adjusted net income per diluted share for 2025 was $2.42, compared to $2.99 in 2024, reflecting a decrease of 19.0%[59]. Cash Flow and Expenditures - Cash flow from operations in Q4 2025 was $1.2 billion, with free cash flow of $875 million, representing an 85% return of free cash flow to shareholders for the full year[9]. - Cash flows from operating activities for 2025 were $2,926 million, down from $3,865 million in 2024[40]. - Free cash flow for the year ended December 31, 2025, was $1,857 million, compared to $2,646 million in 2024, a decrease of 29.8%[61]. - Capital expenditures for 2025 were $1,254 million, a decrease from $1,442 million in 2024[40]. Revenue Breakdown - North America revenue in Q4 2025 was $2.2 billion, a 7% decrease sequentially, primarily due to lower stimulation activity[12]. - International revenue increased by 7% to $3.5 billion in Q4 2025, driven by higher completion tool sales and improved well intervention services[13]. - Revenue from North America for 2025 was $9,066 million, down from $9,626 million in 2024, representing a decline of 5.8%[45]. Impairments and Charges - Impairments and other charges for 2025 amounted to $831 million, significantly higher than $116 million in 2024[45]. - The company incurred a charge of $23 million due to the impairment of an investment in Argentina during 2025[31]. - Halliburton incurred a charge of $23 million due to the impairment of an investment in Argentina during the three months ended September 30, 2025[56]. Strategic Initiatives - Halliburton announced a strategic collaboration with VoltaGrid to deliver distributed power generation solutions, targeting an initial rollout in the Middle East with 400 megawatts of modular natural gas power systems by 2028[18]. - The company launched the StreamStar™ wired drill pipe interface system, enhancing real-time data delivery and downhole power, aimed at reducing well construction time[18]. - Halliburton repurchased $250 million of its common stock and paid dividends of $0.17 per share during the fourth quarter[19]. Future Outlook - The company plans to host a conference call on January 21, 2026, to discuss its fourth quarter 2025 financial results[63].