Halliburton Co. (NYSE:HAL) shares soared Tuesday after the company reported stronger-than-expected third-quarter 2025 results, delivering a solid performance despite a mixed oilfield services backdrop.
The Houston-based company reported revenue of $5.6 billion, beating analyst estimates of $5.39 billion, and adjusted earnings of 58 cents per diluted share, topping the 50-cent estimate. GAAP earnings were 2 cents per share.
Operating margin was 6%, while the adjusted operating margin reached 13%.
"I am pleased with Halliburton's third-quarter performance. We delivered total company revenue of $5.6 billion dollars and adjusted operating margin of 13%. We also took steps that will deliver estimated savings of $100 million dollars per quarter, reset our 2026 capital budget and idled equipment that no longer meets our return expectations," said Jeff Miller, chairman, president, and CEO.
Also Read: A Look Ahead: Halliburton’s Earnings Forecast
Completion and Production revenue was $3.223 billion, up 2% sequentially, with operating income of $514 million, flat quarter-over-quarter. Drilling and Evaluation revenue rose 2% to $2.377 billion, and operating income climbed 12% sequentially to $348 million.
North America revenue increased 5% to $2.364 billion, driven by higher stimulation and wireline activity, while international revenue remained flat at $3.236 billion. Regionally, Latin America grew by 2% to $996 million, while Europe/Africa/CIS remained steady at $828 million. The Middle East/Asia fell 3% to $1.412 billion.
Cash flow from operations totaled $488 million, and free cash flow was $276 million. The company repurchased approximately $250 million of shares and paid a $0.17 per-share dividend during the quarter.
Halliburton incurred total charges of $540 million related to impairments and other items and spent $50 million on its SAP S4 migration. It ended the quarter with $2.026 billion in cash and equivalents and $7.157 billion in long-term debt.
Other financial items included a $23 million impairment of an investment in Argentina and a $125 million tax expense tied to a valuation allowance recorded against U.S. foreign tax credits under Donald Trump’s "One Big Beautiful Bill Act."
Miller added, "We are committed to returning cash to shareholders, maintaining cost and capital discipline, and investing in differentiated technologies that drive long-term performance."
Additionally, VoltaGrid and Halliburton announced a strategic partnership to provide distributed power generation solutions for data centers worldwide, beginning with the Middle East. The collaboration combines VoltaGrid's proprietary QPac platform and advanced engineering with Halliburton's global infrastructure and operational expertise to deliver efficient, lower-emission energy systems.
Price Action: HAL shares are trading 6.68% higher at $24.13 premarket at the last check on Tuesday.
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