Halliburton Company (HAL) Q4 2025 earnings summary

Executive summary

• Q4 2025 performance exceeded expectations with strong execution in North America and international completion and production businesses, focusing on profitable international growth, capital efficiency, digital transformation, and sustainability.

• Operates in over 70 countries with 46,000 employees and a broad technology portfolio across the oilfield lifecycle.

• Returned 85% of free cash flow to shareholders, reducing share count to a 10-year low.

• Leadership update: Shannon Slocum promoted to COO effective January 1st.

Financial highlights

• Q4 2025 revenue was $5.7 billion, with 61% generated internationally; full-year revenue reached $22.2 billion.

• Q4 adjusted net income per diluted share was $0.69; adjusted operating income was $829 million with a 15% margin.

• Full-year 2025 net income was $1.3 billion ($1.50 per share), with adjusted net income of $2.1 billion ($2.42 per share).

• Free cash flow for 2025 was $1.86 billion; Q4 cash flow from operations was $1.2 billion.

• Dividend of $0.17 per share in Q4 2025; 838 million shares outstanding as of January 2026.

Outlook and guidance

• 2026 expected to be a year of rebalancing with abundant supply and moderate demand growth; commodity prices unlikely to rise near-term.

• International revenue for 2026 expected to be flat to up modestly; North America revenue projected to decline high single digits year-over-year.

• At least 50% of annual free cash flow to be returned to shareholders going forward.

• Q1 2026 guidance: Completion & Production revenue to decrease 7%-9% sequentially, margins down ~300 bps; Drilling & Evaluation revenue to decline 2%-4%, margins down 25-75 bps.

• Full-year 2026 capital expenditures expected at $1.1 billion, excluding Venezuela re-entry.