Halliburton's shares fell 5.9% as investors reacted negatively to softer-than-expected guidance and signs of margin pressure, especially given ongoing geopolitical uncertainties in key regions and a cautious outlook on recovery speed.
- Total revenue was $5.7 billion with adjusted operating margin at 12%, indicating margin compression concerns despite solid top-line.
- International revenue grew 6% year over year to $3.4 billion, reaching the highest second quarter figure in over a decade amid mixed recovery conditions in The Middle East.
- North America revenue remained flat at $2.3 billion, reflecting only modest sequential improvement but no meaningful growth.
- Generated $824 million operating cash flow and $668 million free cash flow; repurchased approximately $200 million in stock, showing balance sheet strength despite operational headwinds.
- Management highlighted ongoing disruption in The Middle East and a cautious pace of recovery offshore, emphasizing geopolitical risks limiting near-term upside.
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