Schlumberger Limited. (NYSE:SLB) stock was down Friday following the release of its earnings report for the third quarter of 2017.
Revenue reported by Schlumberger Limited. in the third quarter of 2017 was $7.905 billion. This is up from its revenue of $7.019 billion in the third quarter of 2016. However, this wasn’t good for SLB stock as it came in just below analysts’ revenue estimate of $7.910 billion for the quarter.
Schlumberger Limited.’s weak revenue for the third quarter of the year was due to decline in its international business. The company saw revenue in Middle East & Asia drop by 1%, revenue in Europe/CIS/Africa decline by 2% and Latin America revenue fall by 4% when compared to the same time last year. North America revenue was up 53% for the quarter.
“In the US Gulf of Mexico, activity continued to weaken in the third quarter, and the outlook remains bleak for this region based on current customer plans,” Paal Kibsgaard, Chairman and CEO of Schlumberger Limited., said in a statement.
While Schlumberger Limited. is warning of slowdown for its North America oil business, it has a positive outlook for its international business. However, the slowdown warnings is still likely helping keep SLB stock down today.
Schlumberger Limited. reported earnings per share of 42 cents in the third quarter of the year. This is an increase over its earnings per share of 35 cents from the same period of the year prior. It also managed to match Wall Street’s earnings per share estimate for the third quarter of 2017.
SLB stock was down 3% as of noon Friday and is down 25% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.
