Stronger market conditions in North America fueled the oilfield services giant's quarterly results. As Fred Katayama reports, its international revenues grew unlike its rival Schlumberger.
Halliburton's quarterly earnings spurted higher. Profit jumped to $361 million from just $7 million last year. The oilfield services giant said stronger market conditions in North America and improved profitability in its drilling and evaluation product lines boosted its bottom line. Its revenue nearly doubled in North America where it charged higher prices for fracking, and worldwide revenue rose. Halliburton's rig count also nearly doubled as activity increased in anticipation of higher crude oil prices. Rig counts are early indicators of future output. The results were a sharp contrast with the 2 percent drop in international revenue that rival Schlumberger reported last week. Halliburton's profit and revenue results topped analysts estimates. Evercore ISI analyst James West said, "We believe Halliburton's third quarter earnings release has positive implications for the stock." But its shares opened lower Monday, adding to their nearly 20 percent decline this year. On a conference call, CEO Jeff Miller said the the improving outlook for oil prices allows the company leeway to boost its pricing.