SLB, Announces

SLB Announces Second-Quarter 2025 Results

18.07.2025 - 13:40:14

Business Wire India

 

  • Revenue of $8.55 billion increased 1% sequentially and decreased 6% year on year
  • GAAP EPS of $0.74 increased 28% sequentially and decreased 4% year on year
  • EPS, excluding charges and credits, of $0.74 increased 3% sequentially and decreased 13% year on year
  • Net income attributable to SLB of $1.01 billion increased 27% sequentially and decreased 9% year on year
  • Adjusted EBITDA of $2.05 billion increased 2% sequentially and decreased 10% year on year
  • Cash flow from operations was $1.14 billion and free cash flow was $622 million
  • Board approved quarterly cash dividend of $0.285 per share

 

SLB (NYSE: SLB) today announced results for the second-quarter 2025.

 

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250716727689/en/

 

 

The exterior of the SLB headquarters in Houston, Texas.

The exterior of the SLB headquarters in Houston, Texas.

 

Second-Quarter Results

 

  (Stated in millions, except per share amounts)
  Three Months Ended   Change
  Jun. 30,
2025		   Mar. 31,
2025		   Jun. 30,
2024		   Sequential   Year-on-year
Revenue

$8,546

  

$8,490

  

$9,139

  

1%

  

-6%
Income before taxes - GAAP basis

$1,285

  

$1,063

  

$1,421

  

21%

  

-10%
Income before taxes margin - GAAP basis

15.0%

  

12.5%

  

15.5%

  

251 bps

  

-52 bps
Net income attributable to SLB - GAAP basis

$1,014

  

$797

  

$1,112

  

27%

  

-9%
Diluted EPS - GAAP basis

$0.74

  

$0.58

  

$0.77

  

28%

  

-4%
             

 

  

 
Adjusted EBITDA*

$2,051

  

$2,020

  

$2,288

  

2%

  

-10%
Adjusted EBITDA margin*

24.0%

  

23.8%

  

25.0%

  

21 bps

  

-103 bps
Pretax segment operating income*

$1,584

  

$1,556

  

$1,854

  

2%

  

-15%
Pretax segment operating margin*

18.5%

  

18.3%

  

20.3%

  

20 bps

  

-175 bps
Net income attributable to SLB, excluding charges & credits*

$1,016

  

$988

  

$1,224

  

3%

  

-17%
Diluted EPS, excluding charges & credits*

$0.74

  

$0.72

  

$0.85

  

3%

  

-13%
             

 

  

 
Revenue by Geography            

 

  

 
International

$6,847

  

$6,727

  

$7,452

  

2%

  

-8%
North America

1,655

  

1,719

  

1,644

  

-4%

  

1%
Other

44

  

44

  

43

  

n/m

  

n/m
 

$8,546

  

$8,490

  

$9,139

  

1%

  

-6%
             

 

  

 

 

 

(Stated in millions)
  Three Months Ended  

Change
  Jun. 30,
2025		   Mar. 31,
2025		   Jun. 30,
2024		  

Sequential

  

Year-on-year
Revenue by Division            

 

  

 
Digital & Integration

$995

  

$1,006

  

$1,050

  

-1%

  

-5%
Reservoir Performance

1,691

  

1,700

  

1,819

  

-1%

  

-7%
Well Construction

2,963

  

2,977

  

3,411

  

-

  

-13%
Production Systems

3,036

  

2,938

  

3,025

  

3%

  

-
Other

(139)

  

(131)

  

(166)

  

n/m

  

n/m
 

$8,546

  

$8,490

  

$9,139

  

1%

  

-6%
             

 

  

 
Pretax Operating Income by Division            

 

  

 
Digital & Integration

$327

  

$306

  

$325

  

7%

  

-
Reservoir Performance

314

  

282

  

376

  

12%

  

-16%
Well Construction

551

  

589

  

742

  

-6%

  

-26%
Production Systems

499

  

475

  

473

  

5%

  

5%
Other

(107)

  

(96)

  

(62)

  

n/m

  

n/m
 

$1,584

  

$1,556

  

$1,854

  

2%

  

-15%
             

 

  

 
Pretax Operating Margin by Division            

 

  

 
Digital & Integration

32.8%

  

30.4%

  

31.0%

  

240 bps

  

186 bps
Reservoir Performance

18.6%

  

16.6%

  

20.6%

  

203 bps

  

-205 bps
Well Construction

18.6%

  

19.8%

  

21.7%

  

-119 bps

  

-315 bps
Production Systems

16.4%

  

16.2%

  

15.6%

  

28 bps

  

79 bps
Other

n/m

  

n/m

  

n/m

  

n/m

  

n/m
 

18.5%

  

18.3%

  

20.3%

  

20 bps

  

-175 bps
             

 

  

 
*These are non-GAAP financial measures. See sections titled "Charges & Credits", "Divisions" and "Supplementary Information" for details.
n/m = not meaningful            

 

  

 

 

Oil and Gas Markets Hold Steady Amid Global Uncertainty

 

“SLB reported solid second-quarter results, leveraging our diversified portfolio and broad market exposure to deliver steady revenue and slightly higher adjusted EBITDA and margins sequentially. This demonstrates our resilience amidst softer upstream spending and macroeconomic uncertainty," said SLB Chief Executive Officer Olivier Le Peuch.

 

 

"The market is navigating several dynamics — including fully supplied oil markets, OPEC+ supply releases, ongoing trade negotiations and geopolitical conflicts. Despite this, commodity prices have remained range bound. Meanwhile, customers have selectively adjusted activity, prioritizing key projects and planning cautiously, particularly in offshore deepwater markets.

 

 

“In this context, the upstream market has remained relatively resilient, underscoring the enduring strength of our industry,“ Le Peuch said.

 

 

SLB’s Broad Market Exposure Helps to Overcome Regional Headwinds

 

 

“Our broad exposure across geographies and business lines enabled us to effectively overcome the impact of certain regional activity slowdowns. As a result, we achieved a 2% sequential increase in international revenue, driven by robust growth in some parts of the Middle East, Asia, Europe and North Africa, which more than offset declines in select key markets.

 

 

“Our performance was supported by steady results in digital, with double-digit sequential revenue growth from our platforms, applications and digital operations largely offset by lower sales of exploration data following a strong first quarter. Additionally, we continue to benefit from strategically diversifying the portfolio outside of oil and gas businesses,” Le Peuch said.

 

 

Customers Increasing Focus on Production and Recovery Efforts

 

 

“Production Systems revenue climbed 3% sequentially and marked the 17th consecutive quarter of year-on-year growth. The sequential growth was driven by strong sales of artificial lift and midstream production systems.

 

 

“In today’s capital-disciplined environment, customers are focused on maximizing the value of their assets while improving efficiency in the production phase of their operations. SLB’s technology portfolio and domain expertise across reservoir, wellbore and surface systems are aligned with these efforts. As a result, demand for production and recovery solutions has risen, particularly in the U.S. and mature basins.

 

 

“Moving forward, we will increase our exposure to the less cyclical and growing production and recovery space with the recent closing of our acquisition of ChampionX. Our combined portfolio, technology capabilities and digital leadership will position SLB to create value for our customers and stakeholders while delivering best-in-class workflow integration across production chemicals and artificial lift,” Le Peuch said.

 

 

SLB Sees Industry Demonstrating Resilience

 

 

“Despite pockets of activity adjustments in key markets, the industry has shown that it can operate through uncertainty without a significant drop in upstream spending. This has been driven by the combination of capital discipline and the need for energy security.

 

 

“Looking ahead, assuming commodity prices stay range bound, we remain constructive for the second half of the year. This is supported by our position in key markets, the depth of our diversified portfolio, and our increased exposure to the growing production and recovery market through the acquisition of ChampionX. We will also continue to manage costs in line with market conditions as we remain focused on delivering peer-leading adjusted EBITDA margins.

 

 

“Overall, I am confident that SLB's differentiated technology and global footprint will continue to deliver positive results for our customers and shareholders," Le Peuch concluded.

 

 

Other Events

 

 

On June 26, 2025, SLB completed its sale of its working interests in the Palliser Block located in Alberta, Canada.

 

 

On July 16, 2025, SLB completed its acquisition of ChampionX. The combined portfolio, technology capabilities and digital leadership will position SLB to create value for its customers and stakeholders by increasing its exposure to the growing production and recovery market while delivering best-in-class workflow integration across production chemicals and artificial lift.

 

 

On July 17, 2025, SLB’s Board of Directors approved a quarterly cash dividend of $0.285 per share of outstanding common stock, payable on October 9, 2025, to stockholders of record on September 3, 2025.

 

 

Second-Quarter Revenue by Geographical Area

 

 

  (Stated in millions)
  Three Months Ended  

Change
  Jun. 30,
2025		   Mar. 31,
2025		   Jun. 30,
2024		   Sequential  

Year-on-year
North America

$1,655

  

$1,719

  

$1,644

  

-4%

  

1%
Latin America

1,492

  

1,495

  

1,742

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