Business

Halliburton warns of slower growth as US rig count drops

Oil-well giant’s current-quarter might not be as strong as its latest quarter

Halliburton is the market leader in the fracking industry. Photograph: Richard Carson

Mon Oct 23 2017 - 20:41

Oilfield services giant Halliburton on Monday warned of slower growth at its oil-well drilling and evaluation business, reflecting a steady drop in rig counts in the United States.

The outlook suggests Halliburton’s current-quarter might not be as strong as its latest quarter, echoing warnings on Friday from its two bigger rivals, Schlumberger and Baker Hughes.

Halliburton’s shares fell about 1.5 per cent. Schlumberger was down 1.5 per cent, while Baker Hughes fell 4 per cent.

Halliburton, the market leader in the fracking industry, also reported lower-than-expected margins for the third quarter in its completion and production business, its biggest.

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Excluding one-time items, Halliburton’s worldwide third-quarter profit of 42 US cents a share exceeded analysts’ estimates.

The company earned $365 million during the period, compared with $6 million, or one cent, a year earlier, according to the statement.

Total sales of $5.4 billion were $101 million higher than the average estimate from analysts. – Reuters/Boomberg

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