SerpApi.Org
Halliburton on Tuesday surpassed second-quarter earnings expectations but shares slid as the oil field services giant posted a substantial decline in Middle East sales as the U.S. war with Iran took its toll on business.
Halliburton posted adjusted earnings of 55 cents a share, from 55 cents a year ago and slightly above Wall Street’s expectation of 54 cents. Revenue grew around 4% to $5.71 billion, beating the analyst consensus call for $5.49 billion, according to FactSet.
The company reported that sales in the Middle East and Asia declined 10% year-over-year to $1.3 billion, primarily driven by lower activity in Kuwait, Iraq, and Qatar due to the ongoing war between the U.S and Iran.
Oil price volatility was at play in the second quarter with West Texas Intermediate prices falling from around $100 per barrel to about $70 as Strait of Hormuz flows resumed. U.S. oil prices on Tuesday were rising, trading above $82 per barrel on continued concerns around U.S. and Iran.
Halliburton stock fell 5.7% to $33.10 on Tuesday after ending Monday down 0.3%. Shares have risen 17% this year but have declined 23% since hitting a recent closing high in May, retreating below its 200-day moving average at the $33.30 level.
Write to Kit Norton at [email protected]
