How did Halliburton perform in the third quarter of 2026?

Halliburton reported net income attributable to company of $417 million, or $0.50 per diluted share, and adjusted net income of $501 million, or $0.60 per diluted share. Total revenue was $5.7 billion, flat sequentially, and operating income was $624 million.

What drove the change in segment performance?

Completion and Production revenue declined $113 million sequentially to $3.1 billion, primarily due to lower stimulation activity in the Western Hemisphere, partly offset by activity gains in the Middle East. Drilling and Evaluation revenue increased $102 million to $2.6 billion, driven by activity in the Middle East and Latin America and increased drilling-related services in the Western Hemisphere.

What is management's outlook for 2027?

Management expects mid-single-digit revenue growth and operating margins of about 15%, an approximately 200 basis point improvement. The outlook assumes a flat North America market and does not require any recovery in North America hydraulic fracturing, which management described as purely upside.

How did Halliburton return capital to shareholders and manage cash in the quarter?

During the third quarter, Halliburton repurchased approximately $250 million of common stock and paid dividends of $0.17 per share. Cash flow from operations was $368 million, capital expenditures were $266 million, and free cash flow was $156 million.

What non-recurring items affected third-quarter results?

Halliburton recognized a pre-tax charge of $107 million for impairments and other charges, primarily $107 million of severance costs tied to rationalizing global headcount and $25 million of inventory costs and write-downs, partially offset by a $36 million gain on the sale of a portion of its shares in an equity investment.

HAL 8-K: Earnings & Results & Regulation FD

01—Abstract

Summary

Summary of the 8-K filed October 20, 2026. Cited figures are marked; the original filing is the authoritative source.

Halliburton Company (NYSE: HAL) furnished an 8-K on October 20, 2026 reporting its results for the quarter ended September 30, 2026 via Exhibit 99.1 press release.

Third-quarter net income attributable to company was $417 million^a, or $0.50 per diluted share, compared with $534 million, or $0.64 per diluted share, in the second quarter of 2026. Excluding impairments, other charges and tax adjustments, adjusted net income attributable to company was $501 million, or $0.60 per diluted share. Total revenue was $5.7 billion, flat sequentially, with operating income of $624 million and adjusted operating income of $731 million, giving an operating margin of 10.9% and an adjusted operating margin of 12.8%.

By segment, Completion and Production revenue was $3.1 billion^b, down $113 million sequentially on lower stimulation activity in the Western Hemisphere, while Drilling and Evaluation revenue rose $102 million to $2.6 billion, led by the Middle East and Latin America. Cash flow from operations was $368 million and free cash flow was $156 million. The company repurchased approximately $250 million of stock and paid dividends of $0.17 per share during the quarter, and recorded a pre-tax charge of $107 million for impairments and other charges, primarily $107 million of severance costs tied to rationalizing global headcount.

Management stated an early outlook for 2027 of mid-single-digit revenue growth and operating margins of about 15%^c, an improvement of approximately 200 basis points, assuming a flat North America market and no recovery in North America hydraulic fracturing. The release also highlighted new contract awards, including work for Eni in Cyprus and bp in Brazil, and a multiyear agreement with Kuwait Oil Company.

02—Key points

Key Highlights

Third-quarter net income attributable to company of $417 million, or $0.50 per diluted share, versus $534 million, or $0.64 per diluted share, in Q2 2026.
Adjusted net income attributable to company of $501 million, or $0.60 per diluted share, excluding impairments, other charges and tax adjustments.
Total revenue of $5.7 billion, flat sequentially; operating margin of 10.9% and adjusted operating margin of 12.8%.
Completion and Production revenue fell 4% sequentially to $3.1 billion, while Drilling and Evaluation revenue rose 4% to $2.6 billion with operating income up 16%.
Cash flow from operations of $368 million and free cash flow of $156 million; approximately $250 million of share repurchases in the quarter.
Pre-tax charge of $107 million for impairments and other charges, primarily $107 million of severance costs associated with rationalizing global headcount.
Early 2027 outlook of mid-single-digit revenue growth and operating margins of about 15%, an approximately 200 basis point improvement, assuming a flat North America market.

03—Questions

Frequently Asked Questions

How did Halliburton perform in the third quarter of 2026?
Halliburton reported net income attributable to company of $417 million, or $0.50 per diluted share, and adjusted net income of $501 million, or $0.60 per diluted share. Total revenue was $5.7 billion, flat sequentially, and operating income was $624 million.
What drove the change in segment performance?
Completion and Production revenue declined $113 million sequentially to $3.1 billion, primarily due to lower stimulation activity in the Western Hemisphere, partly offset by activity gains in the Middle East. Drilling and Evaluation revenue increased $102 million to $2.6 billion, driven by activity in the Middle East and Latin America and increased drilling-related services in the Western Hemisphere.
What is management's outlook for 2027?
Management expects mid-single-digit revenue growth and operating margins of about 15%, an approximately 200 basis point improvement. The outlook assumes a flat North America market and does not require any recovery in North America hydraulic fracturing, which management described as purely upside.
How did Halliburton return capital to shareholders and manage cash in the quarter?
During the third quarter, Halliburton repurchased approximately $250 million of common stock and paid dividends of $0.17 per share. Cash flow from operations was $368 million, capital expenditures were $266 million, and free cash flow was $156 million.
What non-recurring items affected third-quarter results?
Halliburton recognized a pre-tax charge of $107 million for impairments and other charges, primarily $107 million of severance costs tied to rationalizing global headcount and $25 million of inventory costs and write-downs, partially offset by a $36 million gain on the sale of a portion of its shares in an equity investment.

04—Continue

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