(Reuters) – Halliburton Co reported a 10% more than expected increase in Monday's quarterly income, because oilfield services provider tackled lower demand from shale oil producers in North America, the largest market. .
PHOTO FILE: Halliburton yard in Williston, North Dakota, U., 30 April, 2016 features oil production equipment. REUTERS / Andrew Cullen / Photo File
Revenues fell from North America, accounting for more than half the total of the company, 21% in the third quarter, mainly due to lower pressure activity and pumping pricing.
Halliburton, the largest supplier of hydraulic fracking fleet, said that finished and production income fell by 16% in the three months ended September 30.
Schlumberger said more competition on Friday, he had recorded a $ 1.58 billion goodwill impairment charge relating to his pressure pumping business in North America.
“These results from Halliburton provide a crystal-clear focus on the speed of construction and completion of land in North America (NAM) during a Q3 course,” Tudor analysts Pickering, Holt & Co wrote in a note.
Oilfield service providers are struggling with reduced expenditure by oil and gas producers as investors push more benefits and dividends rather than growth in a weak price oil environment.
Halliburton was forced to charge 650 jobs across Colorado, Wyoming, New Mexico and North Dakota among the declining oil and gas activity, and cut about 150 workers at ProPetro Holding Corp. less, said sources with Reuters.
Net profit attributable to Halliburton fell to $ 295 million, or 34 cents per share, in the third quarter ended September 30, from $ 435 million, or 50 cents per share, a year earlier.
On average, analysts estimated that 34 cents per share, according to IBES Refinitiv data.
Revenue fell to $ 5.55 billion, below the analysts estimate of $ 5.81 billion.
There was no change in the company's shares in the pre-market trade, having fallen by around 31% to date this year by Friday closing. The S&P Energy sector sectoral index fell by only 0.8% during the same time period.
Reporting by Shariq Khan and Taru Jain in Bengaluru; Edited by Sriraj Kalluvila
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