20 apr: Nasdaq OMX vil købe Oslos børs
23 apr: Selskabernes forventninger - mandag den 23 april
20-04-2012 18:41:00

UPDATE:Schlumberger 1Q Net Up 38% On Solid North America Revenue

Relateret indhold

--Prices for pressure-pumping services in North America continuing to weaken

--Pressure-pumping services hurt by drilling rigs moving from natural-gas to oil areas

--Company's optimistic outlook for international, Gulf of Mexico markets helped shares

(Adds executive comments from conference call, analyst comments, updated share price, other information throughout.)

DOW JONES NEWSWIRES

HOUSTON -(Dow Jones)- Schlumberger Ltd.'s (SLB) earnings rose 38% as a result of strong oil-drilling activity in the U.S. and abroad, but the company warned that its booming North American profits are likely to cool amid changes in the industry.

Schlumberger on Friday posted a profit of $1.3 billion, or 97 cents a share, up from $944 million, or 69 cents a share, a year earlier. Excluding items such as merger and acquisitions, earnings rose to 98 cents from 71 cents, on revenue of $10.61 billion. Analysts polled by Thomson Reuters had forecast earnings of 97 cents a share on revenue of $10.55 billion.

The better-than-expected results were driven by higher-than-forecast revenue in the eastern hemisphere, and more profit than anticipated in all international regions, James Crandell, an analyst at Dahlman Rose & Co. said in a research note. Schlumberger shares soared, trading up 4.53% at $72.96.

Schlumberger executives, however, warned that the profit margins for the company's North American business, which was a major engine of the company's growth during the recent shale-oil boom, are beginning to decline. Decade-low prices for natural gas are pushing companies to abandon natural-gas drilling for more-profitable oil areas. This has created transportation and transition costs, as well as causing lost working time, for oilfield-service companies such as Schlumberger which have to move crews of workers around. Rival Halliburton Co. (HAL), the second-largest oilfield company after Schlumberger, made a similar warning during its earnings report Wednesday.

Prices for pressure-pumping services, a key component of hydraulic-fracturing operations in shale fields, are continuing to weaken amid this transition, Schlumberger Chief Executive Paal Kibsgaard said during a conference call to discuss the earnings. Kibsgaard added that the oil-rich basins toward which producers are flocking require more work than do natural-gas fields, but at lower pressures and with less horsepower. That dynamic is "going to contribute to oversupply of horsepower," and the reduction of pressure-pumping prices in the second quarter "is a given," he said.

But the effect of the drop in North America margins is being offset by higher margins in the U.S. Gulf of Mexico, which has returned to pre-drilling-moratorium levels, Kibsgaard said. On Wednesday, Halliburton also said it was optimistic about the deep-water oil-services business, which is expected to grow 20% by 2015.

Schlumberger's oilfield-services revenue from North America was off 3.2% from the fourth quarter, reflecting the seasonal slowdown in product, software and multiclient sales. The company said North America revenue was flat sequentially, excluding seasonal sales effects.

Schlumberger has predicted oil consumption and oilfield activity will continue to grow through 2012, driven by relatively high energy prices and large oil companies expanding their reserves. The company's international performance has also been improving as political tensions eased in key geographies, such as Libya, where Schlumberger resumed activity during the fourth quarter.

In Argentina, where the government has moved to seize YPF S.A. (YPF, YPFD.BA), Schlumberger hasn't seen any effect on its operations, although there is "short-term uncertainty," Kibsgaard said. "We are still positive in the medium [and] long term in Argentina," he said. "There's going to be a strong need for our expertise."

Some analysts have said they expect international oilfield-service companies such as Schlumberger and Halliburton to benefit from the Argentine government's move, as it may need help from them to be able to develop the seized fields.

-By Angel Gonzalez, Dow Jones Newswires; 713-547-9214;angel.gonzalez@dowjones.com

--Isabel Ordonez and Melodie Warner contributed to this article.

(END) Dow Jones Newswires

April 20, 2012 12:41 ET (16:41 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

Opret kommentar

Relateret debat

  • 1 uge
  • 1 måned
  • 1 År
Ingen indlæg

Fondsbørsmeddelelser

Mærsk: Fragtrater tager stort hop mellem Asien og Europa -citat

29-04-2016 14:40:33
I den seneste uge er priserne for at fragte en container fra Asien til Europa i gennemsnit steget med hele 62 pct. Det skriver branchemediet Journal of Commerce..

Aktier/åbning: Tretrinsraket skyder Vestas i top - Novo daler

29-04-2016 09:20:42
Morgenstundens regnskaber fredag faldt mest positivt ud for Vestas, der efter få minutters handel ligger i spidsen af eliteindekset C20 Cap.Også Danske Bank og ..

Aktier/tendens: Novo, Vestas og Danske kan afgøre vejen

29-04-2016 08:21:04
Det peger umiddelbart i retning af, at det danske aktiemarked skal en smule ned i fredagens handel. Wall Street lukkede torsdag i minus, og fredag morgen har de..

Mest læste nyheder

  • 24 timer
  • 48 timer
  • 1 uge
1
Vestas: Stærk ordreindgang blæser forventningerne omkuld
2
Aktier/tendens: Novo, Vestas og Danske kan afgøre vejen
3
Aktier/middag: Vestas og Danske Bank belønnes, Novo straffes
4
Torsdagens aktier: Novo og Vestas reducerede fald i C20 Cap
5
KORR: Vestas: Stærk ordreindgang blæser forventningerne omkuld

Relaterede aktiekurser

Halliburton Company 41,80 1,9% Stigning i aktiekurs
YPF SA 20,18 0,3% Stigning i aktiekurs
Schlumberger Ltd 80,82 1,3% Stigning i aktiekurs
Schlumberger 69,80 -2,6% Fald i aktiekurs
Schlumberger 77,40 0,0% Aktiekurs uændret
Schlumberger COM STK US$.. 80,71 0,0% Aktiekurs uændret

Køb- og salgsanbefalinger

  • Trend
  • Pengemaskinen

Copyright Euroinvestor A/S 2016  Disclaimer Privatlivspolitik
Aktieinformation leveres af Interactive Data.
Data er forsinket 15-20 minutter iht. de enkelte børsers regler om videredistribution.
 
29. april 2016 15:58:22
(UTC+01:00) Brussels, Copenhagen, Madrid, Paris
Version: ReleaseBuild_20160421.1 - EUROWEB6 - 2016-04-29 15:58:22 - 2016-04-29 15:58:22 - 1 - Website: OKAY

Når du besøger Euroinvestor.dk accepterer du, at der anvendes cookies, som vi og vores samarbejdspartnere benytter til funktionalitet, statistik og markedsføring. Læs mere om cookies på Euroinvestor.dk her

x