Baker Hughes Inc. (NYSE: BHGE), the oilfield services company controlled by General Electric (NYSE: GE), posted a quarterly profit that beat Wall Street estimates on April 20 as improving oil prices prompted companies to ramp up production.
The cost of a barrel of U.S. crude rose 7.5% in the first quarter, energizing oil producers to step up investments after holding back over the past few years to counter a steep drop in prices.
Baker Hughes said oilfield services revenue, which accounted for half of overall sales, rose 10.1% to $2.64 billion in the quarter, with the company winning major contracts in the Permian Basin and the Gulf of Mexico.
Net income attributable to the company was $70 million, or 17 cents per share, in the three months ended March 31.
The company, formed following the merger of GE's oil and gas equipment and services business with Baker Hughes in July 2017, did not provide earnings for the combined entity in the same quarter a year ago.
Excluding items, Baker Hughes earned 9 cents per share, beating analysts' estimate by 3 cents, according to Thomson Reuters I/B/E/S.
Revenue rose to $5.4 billion from $5.32 billion on a combined basis a year earlier. Orders rose 8.7% in the latest quarter.
Recommended Reading
Hess Midstream Announces 10 Million Share Secondary Offering
2024-02-07 - Global Infrastructure Partners, a Hess Midstream affiliate, will act as the selling shareholder and Hess Midstream will not receive proceeds from the public offering of shares.
Hess Midstream Subsidiary to Buy Back $100MM of Class B Units
2024-03-13 - Hess Midstream subsidiary Hess Midstream Operations will repurchase approximately 2 million Class B units equal to 1.2% of the company.
Plains All American Names Michelle Podavin Midstream Canada President
2024-03-05 - Michelle Podavin, who currently serves as senior vice president of NGL commercial assets for Plains Midstream Canada, will become president of the business unit in June.
Matador Completes NatGas Connections in Delaware Basin
2024-03-25 - Matador Resources completed natural gas pipeline connections between Pronto Midstream to San Mateo Midstream and to Matador’s acreage in the Delaware Basin.
Targa Resources Ups Quarterly Dividend by 50% YoY
2024-04-12 - Targa Resource’s board of directors increased the first-quarter 2024 dividend by 50% compared to the same quarter a year ago.