Halliburton Co. (NYSE: HAL) reported a smaller-than-expected quarterly loss and said it expects to see a "modest uptick" in North American rig count in the second half of the year.
Shale oil companies have started putting rigs back to work, encouraged by a near 70% jump in U.S. benchmark oil prices since hitting a 12 year-low of $26 in February.
The rig count in North America has improved by 26 over the last several weeks, Halliburton said on July 20.
"We believe the North America market has turned," David Lesar, CEO of the second largest oilfield services provider, said in a statement.
"With our growth in market share during the downturn, we believe we are best-positioned to benefit from any recovery, including a modest one," Lesar added.
Halliburton, which derives about 40% of its revenue from North America, is more exposed to the region than rivals Schlumberger (NYSE: SLB) and Baker Hughes Inc. (NYSE: BHI).
Halliburton and Baker Hughes scrapped their deal—valued at about $35 billion when it was announced in November 2014—in May after opposition from U.S. and European antitrust regulators.
Excluding a $3.5 billion fee Halliburton paid Baker Hughes for terminating the deal and other items, loss from continuing operations was 14 cents per share in the second quarter ended June 30.
Analysts on average had expected a loss of 19 cents per share, according to Thomson Reuters.
Net loss attributable to Halliburton was $3.21 billion, or $3.73 per share, in the quarter, compared with a profit of $54 million, or 6 cents per share, a year earlier.
Revenue fell 35% to $3.84 billion, but beat analysts' average estimate of $3.75 billion.
Recommended Reading
Stonepeak, Dominion Energy to Partner on Virginia Offshore Wind Project
2024-02-22 - Stonepeak will acquire a 50% interest in Dominion Energy’s offshore wind project, which is expected to be the largest offshore wind farm in the U.S.
SCF Acquires Flowchem, Val-Tex and Sealweld
2024-03-04 - Flowchem, Val-Tex and Sealweld were formerly part of Entegris Inc.
ConocoPhillips CEO Ryan Lance: Upstream M&A Wave ‘Not Done’ Yet
2024-03-19 - Dealmaking in the upstream oil and gas industry totaled $234 billion in 2023. The trend shows no signs of slowing, ConocoPhillips CEO Ryan Lance said at the CERAWeek by S&P Global conference.
The JF Petroleum Group Acquires General Contractor GE Goodson Service
2024-04-15 - Following the transaction, GE Goodson will operate as The JF Petroleum Group’s Midland branch on a go-forward basis.
Excelerate Energy, Qatar Sign 15-year LNG Agreement
2024-01-29 - Excelerate agreed to purchase up to 1 million tonnes per anumm of LNG in Bangladesh from QatarEnergy.