- Revenue of $6.8 billion increased 14% sequentially and 20% year on year
- GAAP EPS of $0.67 increased 86% sequentially and 123% year on year
- EPS, excluding charges and credits, of $0.50 increased 47% sequentially and 67% year on year
- Cash flow from operations was $408 million
- Board approved quarterly cash dividend of $0.175 per share
- Full-year revenue outlook revised upward to at least $27 billion
(BUSINESS WIRE)--Schlumberger Limited (NYSE: SLB) today announced results for the second-quarter 2022.
| Second-Quarter Results | (Stated in millions, except per share amounts) |
| | Three Months Ended | | Change |
| | Jun. 30, 2022 | | Mar. 31, 2022 | | Jun. 30, 2021 | | Sequential | | Year-on-year |
| Revenue | $6,773 | | $5,962 | | $5,634 | | 14% | | 20% |
| Income before taxes - GAAP basis | $1,152 | | $638 | | $542 | | 81% | | 113% |
| Net income - GAAP basis | $959 | | $510 | | $431 | | 88% | | 123% |
| Diluted EPS - GAAP basis | $0.67 | | $0.36 | | $0.30 | | 86% | | 123% |
| | | | | | | | | | |
| Adjusted EBITDA* | $1,530 | | $1,254 | | $1,198 | | 22% | | 28% |
| Adjusted EBITDA margin* | 22.6% | | 21.0% | | 21.3% | | 157 bps | | 132 bps |
| Pretax segment operating income* | $1,159 | | $894 | | $807 | | 30% | | 44% |
| Pretax segment operating margin* | 17.1% | | 15.0% | | 14.3% | | 212 bps | | 279 bps |
| Net income, excluding charges & credits* | $715 | | $488 | | $431 | | 47% | | 66% |
| Diluted EPS, excluding charges & credits* | $0.50 | | $0.34 | | $0.30 | | 47% | | 67% |
| | | | | | | | | | |
| Revenue by Geography | | | | | | | | | |
| International | $5,188 | | $4,632 | | $4,511 | | 12% | | 15% |
| North America | 1,537 | | 1,282 | | 1,083 | | 20% | | 42% |
| Other | 48 | | 48 | | 40 | | n/m | | n/m |
| | $6,773 | | $5,962 | | $5,634 | | 14% | | 20% |
| *These are non-GAAP financial measures. See sections titled "Charges & Credits", "Divisions", and "Supplemental Information" for details. |
| n/m = not meaningful |
| | (Stated in millions) |
| | Three Months Ended | | Change |
| | Jun. 30, 2022 | | Mar. 31, 2022 | | Jun. 30, 2021 | | Sequential | | Year-on-year |
| Revenue by Division | | | | | | | | | |
| Digital & Integration | $955 | | $857 | | $817 | | 11% | | 17% |
| Reservoir Performance | 1,333 | | 1,210 | | 1,117 | | 10% | | 19% |
| Well Construction | 2,686 | | 2,398 | | 2,110 | | 12% | | 27% |
| Production Systems | 1,893 | | 1,604 | | 1,681 | | 18% | | 13% |
| Other | (94) | | (107) | | (91) | | n/m | | n/m |
| | $6,773 | | $5,962 | | $5,634 | | 14% | | 20% |
| | | | | | | | | | |
| Pretax Operating Income by Division | | | | | | | | | |
| Digital & Integration | $379 | | $292 | | $274 | | 30% | | 39% |
| Reservoir Performance | 195 | | 160 | | 156 | | 22% | | 25% |
| Well Construction | 470 | | 388 | | 272 | | 21% | | 73% |
| Production Systems | 171 | | 114 | | 171 | | 50% | | 0% |
| Other | (56) | | (60) | | (66) | | n/m | | n/m |
| | $1,159 | | $894 | | $807 | | 30% | | 44% |
| | | | | | | | | | |
| Pretax Operating Margin by Division | | | | | | | | | |
| Digital & Integration | 39.7% | | 34.0% | | 33.5% | | 570 bps | | 621 bps |
| Reservoir Performance | 14.6% | | 13.2% | | 13.9% | | 143 bps | | 69 bps |
| Well Construction | 17.5% | | 16.2% | | 12.9% | | 134 bps | | 462 bps |
| Production Systems | 9.0% | | 7.1% | | 10.2% | | 190 bps | | -114 bps |
| Other | n/m | | n/m | | n/m | | n/m | | n/m |
| | 17.1% | | 15.0% | | 14.3% | | 212 bps | | 279 bps |
| | | | | | | | | | |
| n/m = not meaningful |
Schlumberger CEO Olivier Le Peuch commented, “The second quarter marked a significant inflection point for Schlumberger with a strong acceleration of revenue and earnings growth. Sequentially, revenue grew 14%, by more than $800 million; EPS—excluding charges and credits—increased 47%; and pretax segment operating margin expanded 212 basis points (bps). Growth was broad-based, driven by an increase in activity internationally, in North America, and across all Divisions. The quarter was also characterized by a favorable mix of exploration and offshore activity and the increasing impact of improved pricing, resulting in the largest sequential quarterly growth since 2010.
“On a year-over-year basis, revenue grew 20%; EPS—excluding charges and credits—increased 67%; and pretax segment operating margin expanded 279 bps.
Raising Full-Year Outlook
“The strength of our second-quarter outperformance highlights a firmly established growth inflection and our ability to comprehensively participate in drilling and completion activity growth globally. The multiyear upcycle continues to gain momentum with upstream activity and service pricing steadily increasing both internationally and in North America, resulting in a strengthened outlook for Schlumberger.