Halliburton posts strong Q4 results, increases dividend
US oil services company Halliburton’s Q4 results exceeded analysts’ expectations with double-digit growth on nearly all items in the accounts.
Nevertheless, the share price is on a downward trajectory in early trading Tuesday.
Halliburton posted a 31% revenue increase to USD 5.58bn in the fourth quarter, entirely in line with analysts’ expectations, according to consensus estimates compiled by Bloomberg News.
The North American business saw highest revenue growth at 46% to USD USD 2.61bn against expectations of USD 2.69bn. Meanwhile, European, African and other territories slid by 10% from USD 730m to USD 657m.
Net income per diluted share came to USD 0.72 against analysts’ forecast of USD 0.67, though nearly twice that of last year’s result of USD 0.36.
Operating income shot by 77% to USD 976m in Q4 2022 against an expected USD 929.4m.
”Both operating divisions delivered strong margins in the international and North America markets,” states Chief Executive Officer Jeff Miller in a statement on the fourth quarter financials.
The drilling division generated USD 387m, an increase of 44%, against expectations of USD 361.2m. Meanwhile the Completion & Production division, which collects data from oil drillings and assists customers during production, saw a 90% increase in operating income to USD against analysts’ estimates of USD 629m.
As a result of the positive results, Halliburton has decided to increase dividends by 33% and launch a USD 250m stock repurchase program.
Nevertheless, Halliburton’s share price depreciates by 1.7% to USD 39.89 during early trading on the New York Stock Exchange.