Halliburton Company (NYSE:HAL) Q2 2024 Earnings Call Transcript July 19, 2024 8:30 AM ET

Company Participants

David Coleman - Senior Director, IR
Jeff Miller - Chairman, President, and CEO
Eric Carre - EVP and CFO

Conference Call Participants

Dave Anderson - Barclays
Arun Jayaram - JPMorgan
Neil Mehta - Goldman Sachs
James West - Evercore ISI
Luke Lemoine - Piper Sandler
Saurabh Pant - Bank of America
Scott Gruber - Citi
Doug Becker - Capital One
Marc Bianchi - TD Cowen

Operator

Good day and thank you for standing by. Welcome to the Second Quarter 2024 Halliburton Earnings Call. At this time, all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to David Coleman, Senior Director, Investor Relations. Please go ahead.

David Coleman

Hello, and thank you for joining the Halliburton second quarter 2024 conference call. We will make the recording of today's webcast available for seven days on Halliburton's website after this call. Joining me today are Jeff Miller, Chairman, President, and CEO; and Eric Carre, Executive Vice President and CFO.

Some of today's comments may include forward-looking statements reflecting Halliburton's views about future events. These matters involve risks and uncertainties that could cause our actual results to materially differ from our forward-looking statements. These risks are discussed in Halliburton's Form 10-K for the year ended December 31, 2023, Form 10-Q for the quarter ended March 31, 2024, recent current reports on Form 8-K, and other Securities and Exchange Commission filings. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.

Our comments today also include non-GAAP financial measures. Additional details and reconciliation to the most directly comparable GAAP financial measures are included in our second quarter earnings release and in the quarterly results and presentation section of our website.

Now, I'll turn the call over to Jeff.

Jeff Miller

Thank you, David, and good morning, everyone. Halliburton delivered solid second quarter results that demonstrated the strength of our international business and the differentiation of our North America service offerings. Here are the quarter highlights. We delivered total company revenue of $5.8 billion and operating margin of 18%. International revenue was $3.4 billion and grew 8% year-over-year, led by Latin America, which delivered a 10% increase. North America revenue was $2.5 billion, an 8% decrease year-over-year compared to a 12% decline in rig count over the same period. Our Drilling and Evaluation division and our Completion and Production division both demonstrated margin improvement year-over-year. Finally, during the second quarter we generated $1.1 billion of cash flow from operations and about $800 million of free cash flow and repurchased $250 million of our common stock.