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Baker Hughes beats profit estimates on robust international demand

US oilfield technology firm Baker Hughes joined rivals SLB and Halliburton in posting upbeat quarterly profit on Wednesday, driven by strong demand for its services and equipment in international markets.

Shares of the company rose 2 per cent in extended trade.

Energy firms booked record profits last year following a spike in commodity prices and have looked to invest those gains to boost production and find new deposits.

The move has benefited companies such as Baker Hughes, which provides services including drilling, well construction and completion.

“We continue to see positive momentum across our portfolio despite persisting global economic uncertainty,” CEO Lorenzo Simonelli said in a statement.

Its international revenue from the oilfield services and equipment segment rose about 19 per cent year-over-year to US$2.89 billion for the quarter ended Sep 30, while North America revenue grew 8 per cent.

US oil and natural gas prices have scaled back from the year-ago quarter’s peak and dented some demand in North America.

Baker Hughes also received contracts from several liquefied natural gas projects, as energy firms rush to build new LNG-producing facilities.

Revenue in its Industrial & Energy Technology unit grew 37 per cent to US$2.69 billion, benefiting from high demand for hydrogen and other low carbon solutions as countries move forward with their net-zero goals.

On an adjusted basis, the company posted net income of 42 cents per share, compared with analysts’ estimate of 40 cents, according to LSEG data.

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