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Schlumberger quarterly profits surge on activity gains, higher oil prices

Pubdate:2018-04-23 11:18 Source:liyanping Click:
PARIS – Schlumberger reported an 88% increase in quarterly profit as rising crude oil prices encouraged North American operators to ramp up drilling. The company's revenue from North America increased nearly 52% to $2.84 billion.

Chairman and CEO Paal Kibsgaard commented, “As forecast, our results in the first quarter of 2018 largely reflected transitory factors, with seasonal reductions in activity in the Northern Hemisphere and planned project startup costs including the equipment mobilization, reactivation, and redeployment associated with recent contract wins.

“On land in North America, our drilling services business continued to grow, driven by strong demand for horizontal drilling technologies. Revenue also increased due to the ramp-up of activity in Canada. The U.S. land pressure pumping business, however, was impacted by weaker than expected activity as well as by softer pricing, inefficiency, rising supply chain costs, and rail logistical challenges.”

“In spite of this, we continued to deploy available 
fracturing assets, including equipment from our newly acquired capacity. We expect the U.S. land hydraulic fracturing market to improve during the second quarter, in terms of pricing and in operational efficiency and we are continuing with our aggressive fleet reactivation and recommissioning program.”

“We are ready to deliver superior growth, financial returns, and free cash flow in the coming years by building on the broadest technology offering and expertise in the industry, our unmatched scale and operational efficiency, strong capital discipline, and a clear desire to provide industry-leading cash returns to our shareholders."
 

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