Halliburton’s outlook in North America
Halliburton’s (HAL) management expects its upstream activities in North America to remain strong. Robust hydraulic fracturing activity is expected to support its pressure pumping operations throughout 2018.
As Jeff Miller, HAL’s president and CEO, observed in the company’s first-quarter earnings conference call, “We expect our customers to remain busy through the rest of 2018 creating significant demand for our services. The combination of steady rig count growth and completions intensity is improving demand across all of our product service lines.
“In addition, we believe the pressure pumping market is undersupplied today and will remain tight for the rest of 2018. Despite the incremental horsepower coming into the market, I believe this undersupply will persist as wear and tear continues to degrade existing equipment.”
Halliburton’s outlook for Q2 2018
In its Drilling and Evaluation division, Halliburton (HAL) expects its second-quarter revenues and margins to be similar to the first quarter. Gains from its increased international upstream activity may be offset by ongoing pricing pressure in the international market.
HAL’s management expects robust revenue and margin growth in its Completion and Production division in the second quarter. This trend is expected to be driven by a strengthening North America market.
You can read more about Halliburton in Could Moderation in US Markets Affect Halliburton in the second quarter?
Next, we’ll discuss Halliburton’s first-quarter revenues and earnings.