Halliburton Stock Slips After Q4 Revenue Miss, Retail Sentiment Dampens
Fourth-quarter revenue in its largest segment, Completion and Production, fell by 4.2% compared to last year. The company also forecast softer 2025 activity in North America.
FollowHalliburton (HAL) shares fell 3.6% on Wednesday morning as the oilfield services firm’s fourth-quarter earnings declined, and it flagged weakness in North American drilling activity.
The company reported fourth-quarter earnings of $615 million, or $0.70 per share, compared to $661 million, or $0.74 per share, last year.
Adjusted earnings of $0.73 per share topped average analysts’ estimate of $0.69 per share, according to FinChat data.
Total revenue of $5.61 billion fell short of Wall Street's estimate of $5.63 billion.
The Houston-based company said its fourth-quarter revenue in its largest segment, Completion and Production, fell by 4.2% compared to last year.
Halliburton attributed the decline to lower stimulation activity in North America and decreased pressure pumping services in Latin America.
Its revenue slumped by 13% in North America, while Europe and Latin America earnings also declined.
The fall was slightly offset by a 16% rise in revenue in the Middle East and Asia, banking on higher stimulation activity and increased fluid services, higher completion tool sales in Kuwait and the United Arab Emirates, and improved drilling services throughout Asia.
"While we expect 2025 to be sequentially softer in North America, we begin the second half of this decade in a great position,” CEO Jeff Miller said in a statement.
Retail sentiment on Stocktwits fell to ‘neutral’ (54/100) territory from ‘extremely bullish’(85/100) a day ago, while retail chatter remained ‘extremely high.’
HAL’s Sentiment Meter and Message Volume as of 10:32 a.m. ET on Jan. 22, 2025 | Source: Stocktwits
At the same time, retail chatter on Stocktwits indicated a divided opinion on the stock.
Last week, larger rival SLB had also topped profit estimates but signaled a decline in oil and gas activity in North America.
The grim outlook from one of the world’s largest oilfield services firms comes as Donald Trump’s new administration declares a national energy emergency to boost energy production in the world’s top crude oil producer.
Over the past year, HAL is down 17.3%.
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