Earlier this year, Halliburton
For the quarter, the company reported income from continuing operations of $595 million, up 19.5% from the $498 million in the second quarter of 2006. Including a $933 million gain from the separation of KBR
According to Lesar, Halliburton posted a 14% revenue increase and a 21% growth in operating income in the Eastern Hemisphere. The CEO also pointed out that the company's commitment to invest in high-growth markets in that hemisphere is evident in the results for the quarter. At the same time, the company experienced a meaningful recovery in the previously soft U.S. well stimulation market. Indeed, in June, Halliburton recorded the highest domestic well stimulation revenue of any month in its history.
But as with other big service companies Schlumberger
Halliburton, with its new United Arab Emirates headquarters, constitutes the most tangible example of the tectonic change occurring in the location and production of oil and gas, functions that are moving steadily toward concentrations in the Eastern Hemisphere. That change, and the challenges inherent in operating a world away from headquarters, clearly had an effect in the planned merger of offshore drilling contractors Transocean
Halliburton, for its part, has taken a giant step toward dealing with this major geographic reorientation. I fully expect the company to continue to benefit from this bold step, and urge Fools with an appetite for oilfield service investments to monitor the company's performance carefully.
For related Foolishness:
- Offshore Drilling's Massive New Marriage
- Halliburton's North American Blip
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Fool contributor David Lee Smith does own shares in Halliburton and Baker Hughes, but not in the other named companies. He welcomes your questions or comments. The Motley Fool has a disclosure policy.