Schlumberger Limited (NYSE:SLB) posted revenues of $8.5 billion for the third quarter of 2019, flat year-over year, as strength in international activity was offset by pricing weakness in North America. The Q3 revenue was in line with the street estimate.
During the third quarter, revenue from international markets increased 8% to $5.6 billion, while that from North America slid 11% to $2.85 billion.
Meanwhile, adjusted income for the quarter fell to 43 cents per share, from 46 cents per share last year, hurt by higher expenses. This was three cents higher than what the market anticipated.
Schlumberger CEO Olivier Le Peuch said in a statement, “Our year-to-date high single-digit international revenue growth continues to be underpinned by international investment levels. Market uncertainty, however, is weighing on future oil demand outlook in a climate where trade concerns are seen as challenging global economic growth.”
SLB shares were trading 1.7% higher immediately following the announcement. The stock has declined over 13% so far this year.
The company continues to get hurt by the negative sentiments on the oil & gas industry, which is particularly sensitive to the global economic slowdown. The oilfield services industry continues to face low capacity utilization and depressed margins due to lower exploration and production capital expenditure.