Schlumberger Earnings Fall by Half

Schlumberger Earnings Fall by Half

Schlumberger ltd, the world’s largest oil services company, said that its Q3 earnings have fallen by 49%, reported the Wall Street Journal.

The French multi-national firm has struggled in the low-price environment for the energy sector. Prices have persistently remained low for over a year, resulting in many firms shedding Schlumberger’s efficiency and production services.

“The business environment deteriorated further in the third quarter” CEO Paal Kibsgaard stated.

Much of the drop in revenue came from Schlumberger’s North American operations, a drop of 47%. North American producers, shale operators in particular, are paring down their footprint amid the supply glut.

Revenue from business outside the continent fell 27%.

While revenues are down, the company is still highly profitable. Profits were posted at just under $1b, down from approximately $2b a year before, noted Reuters.

The profits just beat analysts predictions. The company will be issuing a dividend of $.78 per share for its stock, ahead of the expectations of $.77.

Industry rivals Halliburton and Baker Hughes are set to release their earning reports within a week.

Login

Welcome! Login in to your account

Remember me Lost your password?

Lost Password