Halliburton profit falls 32% on weak North America drilling

Earnings

Various Halliburton equipment being stored at the equipment yard in Alvarado, Texas.

Cooper Neill | Reuters

Halliburton reported a 32% slump in quarterly profit on Monday, hit by weak demand for its services and equipment from oil and gas producers in North America, its biggest market.

Revenue from North America fell 21% in the third quarter, primarily due to lower activity and pricing in pressure pumping.

Halliburton and its rivals are battling reduced spending by oil and gas producers as investors push for higher returns rather than growth in a weak oil price environment.

Larger rival Schlumberger said on Friday it had recorded a $1.58 billion goodwill impairment charge related to its pressure pumping business in North America.

Net profit attributable to Halliburton fell to $295 million, or 34 cents per share, in the third quarter ended Sept. 30, from $435 million, or 50 cents per share, a year earlier.

Analysts had on average estimated 34 cents per share, according to Refinitiv IBES data.

Revenue fell 10% to $5.55 billion, below analysts’ average estimate of $5.80 billion.

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