Q: What is Halliburton (HAL) Q1 2024 Earnings Call Transcript Summary?
Here are the specific viewpoints from earnings call
Bullish Points:
1. Total company revenue of $5.8 billion, and operating margin of 17%.
2. International revenue grew 12% year over year, led by Latin America with a 21% increase.
3. North America revenue increased by 5% over the previous quarter.
4. Generated $487 million of cash flow from operations and $206 million of free cash flow.
5. Repurchased $250 million of common stock.
6. Expectation of full-year revenue growth in the low double-digits internationally.
7. Margin expansion expected over last year internationally.
8. Strong adoption and increasing demand for leading formation evaluation tools and Artificial Lift technology.
9. Captured nearly 20% market share in Kuwait with over 700 ESP installs.
10. Strong outlook for long-term growth in oilfield services.
Bearish Points:
1. Completion and Production division revenue slightly down from Q1 2023.
2. North America revenue decreased by 8% year over year.
3. Results primarily driven by reduced pressure pumping services in U.S. land.
4. Full-year North America revenue and margins expected to be flattish compared with 2023 levels.
5. Other net expense for Q1 was $108 million, higher than expected due to impairment of an investment in Argentina and currency devaluation in Egypt.
6. Effective tax rate expected to increase approximately 75 basis points in the second quarter 2024.
7. North America not built into expectations for recovery in gas this year, indicating potential underperformance if no improvement is seen.
8. Some pressure on pricing in North America, although the company's strategy remains unchanged.
9. Softening in pricing for North America, with a competitor aiming to gain market share at the expense of price.
10. D&E margins were softer than expected in Q1 due to significant weather issues.
For more information about Halliburton(HAL)'s earnings call, you can read the relevant news: Halliburton (HAL) Q1 2024 Earnings Call Transcript.
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