Halliburton Company (NYSE: HAL) on Monday reported mixed quarterly results, sending its share price up 5% on the opening bell. The 100-year-old energy company said adjusted earnings came in at USD 0.35 per share, topping estimates of USD 0.30. Revenue fell short, however. Halliburton posted sales of USD 5.93 Billion, just 0.62% shy of expectations.
The Company is divided into two segments, Completion and Production, and Drilling and Evaluation. Halliburton’s Completion and Production business, which includes cementing and sand control plumbing, delivered Q2 revenue of USD 3.8 Billion. This represents a 4% increase compared to the first quarter of 2019. The Drilling and Evaluation segment brought in USD 2.1 Billion, up 2% from last quarter.
“Halliburton’s execution in the second quarter was outstanding and I am pleased with our results,” said Jeff Miller, Chairman, President and CEO. “We continue to build on the growth momentum internationally and successfully manage the market dynamics in North America.
Compared to Q1 of 2019, sales rose 2% in North America to USD 3.3 Billion partly due to higher drilling activity in the Gulf of Mexico. International revenue increased 6% to USD 2.6 Billion. Halliburton said the growth was mainly attributable to increased cementing and project management in the Eastern Hemisphere.
The Company has made a few notable moves in the first half of the year. Most recently, Halliburton secured an offshore drilling contract with Kuwait Oil Company. The contract includes a 3-year term with a 6-month extension option. Work will begin in July 2020.
Halliburton shares have lost about 13% since the beginning of the year versus the S&P 500's gain of nearly 19%.