synopsis

Net income declined over 66% YoY to $204 million during the quarter, impacted by a $356 million charge as a result of severance costs, an impairment of assets held for sale, an impairment on real estate facilities, and other items.

Shares of Halliburton Company (HAL) fell over 6% on Tuesday morning after the company’s first-quarter earnings and revenue declined.

Total revenue declined 7% year-over-year (YoY) to $5.42 billion, but it remained ahead of the Street estimate of $5.28 billion. Adjusted earnings per share (EPS) came in at $0.60, aligning with an analyst estimate.

However, net income declined by over 66% YoY to $204 million during the quarter. A $356 million charge impacted this due to severance costs, an impairment of assets held for sale, an impairment of real estate facilities, and other items.

CEO Jeff Miller highlighted that the company’s Q1 international tender activity was strong, and it won meaningful integrated offshore work that extends through 2026 and beyond.

Miller also expressed optimism about the firm’s adoption of groundbreaking technologies.

“We achieved the world’s first closed-loop, autonomous fracturing operation. I believe this unlocks the next big step in unconventionals,” he said.

Segment-wise, Completion and Production revenue declined 8% YoY to $3.1 billion while operating income slid 23% to $531 million.

Halliburton said that the decline was primarily driven by decreased pressure pumping services and lower sales of its completion tools in the Western Hemisphere. However, this was partially offset by increased sales of completion tools and improved stimulation activity in the Middle East.

Drilling and Evaluation revenue fell 6% YoY to $2.3 billion, with operating income sliding by 12% to $352 million.

Geographically, North American revenue decreased 12% year-over-year (YoY) to $2.2 billion, while International revenue fell 2% to $3.2 billion. Latin America revenue dipped by 19% YoY to $896 million.

Meanwhile, the company’s revenue from the Europe and Africa region grew 6% YoY to $775 million during the quarter.

The quarter also saw the company repurchasing approximately $250 million of its common stock and paying dividends of $0.17 per share.

Halliburton stock has declined by over 26% in 2025 and over 47% in the past 12 months.

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