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Halliburton Beats Q3 Targets, Launches Cost Reset as Shares Jump and RBC Upgrades

Investors responded to an adjusted beat despite one-time charges that cut GAAP profit to $18 million.

Overview

  • Revenue reached $5.6 billion versus a $5.39 billion estimate, with adjusted earnings of $0.58 per share and a 13% adjusted operating margin.
  • North America revenue rose about 5% to roughly $2.36–$2.4 billion on stronger stimulation and wireline activity, while international revenue was flat with Latin America up and Middle East/Asia down.
  • Management reset its 2026 capital budget, idled underperforming equipment, and outlined cost actions expected to save about $100 million per quarter.
  • GAAP results reflected approximately $540 million in impairment and restructuring charges plus systems migration costs, resulting in net income of $18 million or $0.02 per share.
  • Halliburton generated $488 million in operating cash flow and $276 million in free cash flow, repurchased about $250 million of stock, paid a $0.17 dividend, announced a VoltaGrid data-center power partnership focused initially on the Middle East, and received an RBC upgrade to Outperform with a $31 price target.