Baker Hughes: A Mixed Bag of Results

Key Highlights

• Adjusted Profit Up by 11%: Driven by demand for equipment and services like gas turbines and compressors.
• Industrial and Energy Sector Revenue Rises by 9%: Reaches $3.8 billion, contributing over half of the company's revenue.
• Oilfield Services and Equipment Sector Sees 8% Decline: Revenue totals $3.6 billion, but margins improved through cost-saving measures.
• Predicted Mid-Single-Digit Growth: In adjusted earnings before interest, tax, depreciation, and amortization.
• 20% Margin Target for Industrial and Technology Business: While oilfield service margins are expected to remain stable.
• Strong Demand Anticipated: Fueled by LNG development, floating production units, gas infrastructure, and power systems.
• Adjusted Net Income Increases: $772 million (78 cents per share) up from $694 million (70 cents per share) in the same period last year.
• Restructuring Charge of $215 Million: Taken during the quarter.

Looking Ahead

Baker Hughes expects continued growth in its industrial and energy business, supported by ongoing LNG development and high demand for related infrastructure and power systems.