Halliburton Recorded Strong Revenue Growth in 2017


Nov. 20 2020, Updated 3:53 p.m. ET

Comparing revenue growth

In this part, we’ll discuss how the four OFS (oilfield equipment and services) companies fared in terms of revenue growth in fiscal 2017—compared to fiscal 2016.

Article continues below advertisement

Halliburton’s strong revenue growth

Halliburton (HAL) registered the highest revenue growth in our group. Halliburton’s 2017 revenues increased 29.8% to $20.62 billion from $15.88 billion a year ago. Halliburton’s revenues mainly increased due to strong revenue growth in Latin America and the Completion and Production segment’s higher revenues in 2017.

Baker Hughes’s revenue change

Baker Hughes, a GE company (BHGE), on a combined and consolidated basis after Baker Hughes’s merger with GE’s oil and gas business, recorded 30% higher revenues in 2017—compared to 2016. On a pro forma basis, assuming the merger transaction occurred on January 1, 2016, Baker Hughes’s revenues decreased 5% in 2017—compared to 2016.

Most of Baker Hughes’s pre-merger revenues were consolidated in its Oilfield Services segment. Baker Hughes’s Oilfield Equipment segment saw its revenues fall 25.7% due to continued volume pressures and negative pricing. Baker Hughes’s Turbomachinery and Process Solutions segment’s revenues fell 5.5% in 2017 due to lower prices for the offerings.

Article continues below advertisement

The followers

Schlumberger (SLB) recorded 9.5% revenue growth in 2017 to $30.44 billion—compared to ~$27.81 billion in 2016. Increased revenues in the Production and Cameron segments lifted Schlumberger’s revenues in 2017—compared to 2016. Schlumberger accounts for 6.3% of the Vanguard Energy ETF (VDE). VDE decreased 7% in the past year—compared to an 18% fall in Schlumberger’s stock price during the same period. To learn more, read Schlumberger: What to Expect after Strong 4Q17 Earnings.

National Oilwell Varco (NOV) saw a muted revenue rise in 2017—compared to 2016. In 2017, National Oilwell Varco’s revenues were $7.30 billion—compared to $7.25 billion in 2016. Higher revenues in the Completion and Production Solutions and Wellbore Technologies segments offset lower revenues in the Rig Technologies segment in 2017.

Next, we’ll discuss the companies’ earnings growth figures.


More From Market Realist

    • CONNECT with Market Realist
    • Link to Facebook
    • Link to Twitter
    • Link to Instagram
    • Link to Email Subscribe
    Market Realist Logo
    Do Not Sell My Personal Information

    © Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.