Summary
Baker Hughes Company reported total revenue of $6.43 billion for the first quarter of 2025, a slight increase of $9 million compared to the same period last year. Net income, however, saw a decline of $53 million to $402 million, largely due to a $140 million loss from the change in fair value of equity securities in Q1 2025 compared to a gain in Q1 2024. The Oilfield Services & Equipment (OFSE) segment experienced a revenue decrease of $285 million, primarily driven by lower international and domestic rig counts. Conversely, the Industrial & Energy Technology (IET) segment showed robust growth, with revenue increasing by $294 million, boosted by strong performance in Gas Technology Equipment and Climate Technology Solutions. Despite the year-over-year dip in net income, the company's financial health remains solid. Baker Hughes maintained a strong liquidity position with $3.3 billion in cash and cash equivalents and an undrawn $3.0 billion revolving credit facility. The company also demonstrated commitment to shareholder returns by increasing its quarterly dividend to $0.23 per share and returning a total of $417 million to shareholders through dividends and share repurchases in the quarter. Management expressed optimism about the long-term natural gas outlook while anticipating a softening in the global oil market for the remainder of 2025, with expectations for lower upstream spending globally.
Financial Highlights
40 data pointsKey Highlights
- 1Total revenue for Q1 2025 was $6.43 billion, nearly flat year-over-year.
- 2Net income decreased by 12% to $402 million, primarily impacted by mark-to-market losses on equity securities.
- 3OFSE segment revenue declined 7.5% to $3.50 billion due to lower activity in international and North American markets.
- 4IET segment revenue increased 11% to $2.93 billion, driven by growth in Gas Technology Equipment and Climate Technology Solutions.
- 5The company maintained a strong liquidity position with $3.3 billion in cash and cash equivalents and an undrawn credit facility.
- 6Shareholder returns included a dividend increase to $0.23 per share and $417 million returned via dividends and share repurchases.
- 7Baker Hughes anticipates a softening global oil market and lower upstream spending in 2025, while remaining optimistic about the natural gas outlook.