Upstream capital spending cyclicality
Customer activity depends on oil and gas prices, budgets, and rig counts.
- Scope
- Core drilling and completion demand
- Materiality
- high
Halliburton Company
Halliburton is a U.S.-based oilfield services company that provides products and technical services used across the full well lifecycle, from locating hydrocarbons and drilling to completion and production optimization. Its business is organized around two operating segments, Completion and Production and Drilling and Evaluation, and it serves major, national, and independent oil and gas producers in more than 70 countries.
15,3 %
5,8 %
−3,3 %
2.04
1.51
| % | |
|---|---|
| Completion and Production | 58% Services and equipment used to complete wells, stimulate reservoirs, lift fluids, and optimize production. |
| Drilling and Evaluation | 42% Drilling, formation evaluation, testing, wireline, and digital workflow services for well construction. |
Halliburton sells primarily to oil and natural gas producers, including major integrated companies, national oil...
- Major integrated oil and gas companiesprimary
Buy broad drilling, completion, and production services for large multi-basin projects and long-cycle developments.
- National oil companiesprimary
Buy localized field services and project execution capabilities for domestic resource development.
- Independent oil and gas producersprimary
Buy completion, drilling, and digital services to improve well productivity and lower lifting costs.
- Pipeline and process operatorssecondary
Buy pre-commissioning, commissioning, maintenance, and decommissioning services for pipeline and plant assets.
- Energy transition and adjacent marketsemerging
Buy carbon capture, geothermal, and clean-tech support services through newer initiatives and Labs.
Halliburton operates in more than 70 countries, with business organized around North America, Latin America,...
- •United States was 39% of 2025 consolidated revenue
- •No other country exceeded 10% of revenue in 2025
- •Operations span more than 70 countries worldwide
- •Primary regions: North America, Latin America, Europe/Africa/CIS, Middle East/Asia
- •Manufacturing is concentrated in the U.S., Malaysia, Singapore, and the U.K.
Halliburton is focused on improving cash generation, capital efficiency, and returns while defending share in core...
01
Maintain capital efficiency and strong cash conversionshort-term
The business is cyclical and capital intensive, so disciplined capex supports returns and resilience.
02
Defend and expand core oilfield services technologymedium-term
Differentiated execution in completion and drilling services supports pricing and customer retention.
03
Build optionality in energy transition marketslong-term
Adjacent markets can diversify growth away from traditional upstream spending cycles.
Halliburton’s results depend heavily on upstream spending, oil and gas prices, and customer capital discipline, so...
Competitive pricing pressure
Services are sold in highly competitive markets with many substantial competitors.
- Scope
- Margins in both operating segments
- Materiality
- high
Commodity-price-driven impairment risk
Lower oil and gas prices can reduce expected cash flows and asset values.
- Scope
- Goodwill and long-lived assets
- Materiality
- high
Customer receivable delays
The company bills in arrears and can face delayed or failed collections.
- Scope
- Mexico customer receivable concentration
- Materiality
- medium
Allowance for credit losses
Can change receivable carrying value and earnings
Goodwill impairment
Could create large non-cash charges in weak cycles
Long-lived asset impairment
Affects operating income and asset base
Income tax estimates
Can materially affect tax expense and effective tax rate
: 11/08/2026