Halliburton (HAL) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached $5.7 billion, up 4% year-over-year and 6% sequentially, with operating income of $778 million and adjusted operating margin of 12%; international revenue hit a decade high despite Middle East disruptions.

• Net income for Q2 2026 was $534 million ($0.64 per diluted share), up from $472 million in Q2 2025; adjusted net income was $461 million ($0.55 per diluted share).

• Generated $824 million in operating cash flow and $668 million in free cash flow; $200 million in share repurchases completed in Q2.

• Secured major international contract awards, including foundational Integrated Field Management in Iraq, and significant wins in Argentina, Algeria, Suriname, and offshore markets.

• Technology and automation, such as ZEUS IQ, LOGIX, and digital collaborations, are driving contract wins and operational efficiency globally.

Financial highlights

• Q2 2026 revenue: $5.7B (+4% YoY, +6% sequentially); operating income: $778M (+7% YoY); net income: $534M (+13% YoY); adjusted operating income: $683M.

• Q2 net income per diluted share: $0.64; adjusted net income per diluted share: $0.55.

• International revenue grew 6% YoY to $3.4B; North America revenue was $2.3B, flat YoY but up 7% sequentially.

• Q2 cash flow from operations: $824M; free cash flow: $668M; cash and equivalents at quarter-end: $2.0B.

• Repurchased $200M in common stock in Q2; $308M spent on share repurchases in H1 2026.

Outlook and guidance

• International business (excluding Middle East) expected to grow low double digits in 2026; Middle East activity assumed steady with no major recovery or new disruptions.

• Q3 guidance: Completion & Production revenue flat to down 2%, margins up 125–175 bps; Drilling & Evaluation revenue down 3–5%, margins up 25–75 bps.

• Full-year 2026 capital expenditures expected to be about $1.1 billion.

• Customer spending remains focused on capital discipline, production optimization, and efficiency.