Earnings Preview: Schlumberger to Report Modest Increase in Q4 Revenue
By:NewsyStocks   Wednesday, January 18, 2022 1:48 PM



Schlumberger is expected to report its fourth quarter revenue at $10.61 billion, marginally up from $10.24 billion in revenue it had reported for the third quarter of the financial year 2011. The company results are likely to suffer from slow margin growth rate in Asia. Schlumberger is also expected to perform modestly in Latin America. The company is also struggling with lower mobilization rate.

Expectations

Schlumberger is expected to announce its adjusted earnings for the fourth quarter of the year at $1.06 per share. The company's net interest expenditure is likely to stand at $70 million, whereas its other expenditures are likely to be reported at $27 million. Schlumberger is also expected to report its selling and allied expenses at $145 million. The company's adjusted operating income is likely to stand at $2.096 billion and its earnings before interest, taxes, depreciation and amortization is likely to stand at $2.781 billion.

Third Quarter Results

Schlumberger had reported is earnings for the third quarter of the year at $0.98 per share. The company had reported its quarterly revenue at $10.24 billion, whereas its adjusted operating income stood at $1.9 billion. Schlumberger's selling costs were reported at $158 million and its earnings before interest and taxes stood at $1.804 billion. The company had reported its net interest expenses at $60 million and its other expenditures were at $27 million. Schlumberger had reported its earnings before interest, tax, depreciation and amortization at $2.6 billion.

Punch Line

Schlumberger is currently in the process of consolidating its position in the market and is fast emerging as the market leader. The company performance will depend on several factors including general economic conditions and internal factors such as project cancellations and project delays. The company is also expected to face pricing pressure due to increased competition and suppressed market growth.


 

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