Shares of Schlumberger Ltd. (SLB) dropped by 1.2% in premarket trading on Friday following the release of its second-quarter financial results. The oil driller reported a net income of $1.03 billion, or 72 cents per share, which exceeded expectations. In comparison, the company had a net income of $959 million, or 67 cents per share, during the same period last year.
Adjusting for nonrecurring items, Schlumberger’s adjusted earnings per share were also 72 cents, surpassing the FactSet consensus of 71 cents. However, the company fell slightly short of revenue expectations with $8.099 billion, compared to the FactSet consensus of $8.204 billion. Despite this, there was significant growth of over 20% in international markets, while North America saw a 14% increase in revenue.
According to Chief Executive Olivier Le Peuch, Schlumberger remains optimistic about the international and offshore markets. He highlighted the positive momentum in upstream investment, driven by long-cycle offshore developments, production capacity expansions, and the global recognition of gas as an essential fuel source for energy security and the energy transition.
Schlumberger’s stock has experienced a 15.0% rally over the past three months through Thursday, outperforming the S&P 500’s 9.7% gain.