Halliburton Company (HAL) Q4 2024 earnings summary

Executive summary

• Full-year 2024 revenue was $22.94 billion, with international revenue up 6% and North America down 8% year-over-year, reflecting a strategic focus on global growth and capital efficiency.

• Q4 2024 revenue was $5.61 billion, with 60% generated internationally and 40% from North America.

• Net income for 2024 was $2.5 billion, with Q4 net income at $615 million ($0.70 per diluted share).

• Generated $3.9 billion in cash from operations and $2.65 billion in free cash flow, returning over $1.6 billion to shareholders via buybacks and dividends.

• Maintains a strong balance sheet and expects to strengthen its competitive advantage through technology, customer alignment, and focus on growth engines.

Financial highlights

• Q4 2024 operating income was $932 million with a 17% margin; full-year operating income was $3.8 billion.

• Q4 free cash flow was $1.1 billion; full-year free cash flow reached $2.65 billion.

• Q4 dividend was $0.17 per share; $1 billion in share repurchases completed in 2024.

• Full-year capital expenditures totaled $1.4 billion (5-6% of revenue).

• Adjusted ROCE was 17% for 2024.

Outlook and guidance

• Expects 2025 international revenue to be flat, with growth in most markets offset by a significant activity reduction in Mexico.

• North America revenue expected to decrease low to mid-single digits in 2025, or remain flat with the second half of 2024.

• At least 50% of annual free cash flow to be returned to shareholders via dividends and buybacks.

• Q1 2025 guidance: C&P revenue to decline 3%-5% sequentially, D&E revenue to decline 8%-10%.

• Full-year 2025 effective tax rate expected at 25.5%, up 300 bps from 2024.