Halliburton Company (NYSE: HAL) topped market expectations for earnings in the second quarter of 2019 but revenues came in shy. Shares were up 1.6% in premarket hours on Monday.
Total revenues fell 3% year-over-year to $5.93 billion, falling short of estimates of $5.97 billion.
Net income attributable to company was $75 million, or $0.09 per share, compared to $511 million, or $0.58 per share, in the year-ago period. The results were impacted by higher impairment charges and interest expense. Adjusted net income totaled $303 million, or $0.35 per share, beating forecasts of $0.30 per share.
CEO Jeff Miller said, “Momentum is building internationally and activity improvement should continue into 2020. Halliburton has the footprint and the expanded technology portfolio to capitalize on this international growth.”
Revenues in the Completion and Production segment dropped 7% to $3.8 billion in the second quarter compared to the year-ago period. Revenues in Drilling and Evaluation increased 10% year-over-year to $2.1 billion.
On a sequential basis, both segments saw single-digit revenue increases helped by factors such as higher artificial lift activity in North America, increased pipeline services in Europe/Africa/CIS and increased wireline activity globally.
In North America, revenues fell 13% year-over-year to $3.3 billion. In Latin America, revenues increased 19% to $571 million. Revenues in the Europe/Africa/CIS region rose 13% to $823 million while in the Middle East/Asia region, revenues rose 9% to $1.2 billion.
Revenues increased 2% sequentially in North America, driven mainly by higher stimulation, artificial lift and wireline activity in North America land, and higher drilling activity in the Gulf of Mexico. International revenue grew 6% sequentially due mainly to higher completion tool sales and increased cementing, project management and fluids activity in the Eastern Hemisphere.
During the quarter, Halliburton repurchased approx. 4.5 million shares of common stock for $100 million.