Executive Summary
Halliburton’s QQ3 2024 results show a modest revenue decline against a backdrop of margin resilience and positive cash generation. Reported revenue of $5.697 billion declined 1.8% year over year and 2.3% quarter over quarter, reflecting softer activity levels in a seasonally weaker quarter. Despite the top-line pressure, Halliburton delivered a solid operating margin around 15.3% and an EBITDA margin near 19.6%, underscoring ongoing cost discipline and a favorable mix of services that helped sustain profitability. Net income was $571 million, with earnings per share of $0.65, representing a meaningful YoY and QoQ deterioration that aligns with the revenue trajectory, yet cash flow remained robust with operating cash flow of $841 million and free cash flow of $502 million. The company continued substantial capital allocation through share repurchases ($196 million) and dividends ($150 million), while maintaining a strong balance sheet with total assets of approximately $25.33 billion and total debt of about $8.70 billion. The balance sheet shows a healthy current position (current ratio ~2.21, quick ratio ~1.62) and meaningful liquidity, but leverage remains elevated (long-term debt to capitalization ~0.426; debt to capitalization ~0.458). Overall, the QQ3 print signals a durable earnings framework underpinned by resilient margins and constructive cash generation, even as revenue faces cyclicality tied to the oilfield services cycle and macro demand dynamics.
Key Performance Indicators
QoQ: -15.60% | YoY:-16.01%
QoQ: -19.46% | YoY:-20.25%
QoQ: -18.75% | YoY:-18.75%
Key Insights
Revenue: $5.697B (-YoY -1.84%, QoQ -2.33%)
Gross Profit: $1.070B (-YoY -4.29%, QoQ -4.72%)
Operating Income: $0.871B (-YoY -16.01%, QoQ -15.60%)
Net Income: $0.571B (-YoY -20.25%, QoQ -19.46%)
EPS: $0.65 (-YoY -18.75%, QoQ -18.75%)
EBITDA: $1.117B (margin ~19.6%)
Gross Margin: 18.78%
Operating Margin: 15.29%
Net Margin: 10.02%
Cash Flow from Operations: $0.841B
Free Cash Flow: $0.502B
Dividends Paid: $0.150B
Share Repurchases: $0.196B
Capital Expenditures: $0.339B
Cash at End of Period: $2.178B
...
Financial Highlights
Revenue: $5.697B (-YoY -1.84%, QoQ -2.33%)
Gross Profit: $1.070B (-YoY -4.29%, QoQ -4.72%)
Operating Income: $0.871B (-YoY -16.01%, QoQ -15.60%)
Net Income: $0.571B (-YoY -20.25%, QoQ -19.46%)
EPS: $0.65 (-YoY -18.75%, QoQ -18.75%)
EBITDA: $1.117B (margin ~19.6%)
Gross Margin: 18.78%
Operating Margin: 15.29%
Net Margin: 10.02%
Cash Flow from Operations: $0.841B
Free Cash Flow: $0.502B
Dividends Paid: $0.150B
Share Repurchases: $0.196B
Capital Expenditures: $0.339B
Cash at End of Period: $2.178B
Total Assets: ~$25.331B
Total Liabilities: ~$14.979B
Total Debt: ~$8.695B
Net Debt: ~$6.517B
Current Ratio: 2.21; Quick Ratio: 1.62
P/E: 11.21; P/B: 2.49; P/S: 4.50; EV/EBITDA: 28.76
Dividend Yield: ~0.59%; Dividend Payout: ~26.3%
Free Cash Flow per Share: $0.57
Cash Flow per Share: $0.96
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
5.70B |
-1.84% |
-2.33% |
| Gross Profit |
1.07B |
-4.29% |
-4.72% |
| Operating Income |
871.00M |
-16.01% |
-15.60% |
| Net Income |
571.00M |
-20.25% |
-19.46% |
| EPS |
0.65 |
-18.75% |
-18.75% |
Key Financial Ratios
operatingProfitMargin
16.5%
operatingCashFlowPerShare
$0.96
freeCashFlowPerShare
$0.57
dividendPayoutRatio
26.3%
Management Commentary
Note: The earnings transcript / management call content is not provided in the dataset. Consequently, there are no direct management quotes or thematic quotes to extract from the QQ3 2024 call within this report. The analysis below reflects the disclosed financials and typical industry- and sector-wide themes rather than verbatim call statements.
Forward Guidance
No explicit forward guidance or numeric targets were provided in the supplied data. Given the cyclicality of oilfield services, investors should monitor: (1) the upstream capex cycle and rig count trends, particularly in North America; (2) service mix and efficiency initiatives that can sustain margins amid cost inflation; (3) sustaining free cash flow generation to support debt repayment and capital returns; (4) commodity price volatility and its impact on drilling activity and pricing. Qualitatively, Halliburton’s margin resilience amid modest revenue declines suggests potential for earnings stability if activity recovers in 4Q24 and into 2025, aided by AI-enabled subsurface analytics and digital services that may drive higher-value work and efficiency.