SLB

SLB opened 2025 on a soft note, <a href="https://247wallst.com/investing/2025/07/18/live-schlumberger-earnings-coverage/">missing on both top and bottom lines</a> as first-quarter revenue fell 2.5% year over year to $8.49 billion, coming in 1.19% below the $8.59 billion consensus, while adjusted EPS of $0.72 trailed the $0.73 estimate by 1.22%. The primary culprit was a deteriorating international activity environment, with sharp drilling slowdowns in Mexico, Saudi Arabia, offshore Africa, and Russia overwhelming pockets of strength elsewhere. North America bucked the trend, rising 8% year over year to $1.72 billion, and the Production Systems division delivered a 4% revenue gain alongside meaningful margin expansion, offering evidence that SLB's diversified portfolio can absorb upstream cycle pressure. The softer macro picture aligns with broader oilfield services sector anxiety over tariffs, OPEC supply increases, and weakening commodity prices weighing on operator spending plans. Looking ahead, management plans to reduce capital investment to approximately $2.30 billion in 2025 and remains committed to returning at least $4.00 billion to shareholders, with the pending ChampionX acquisition expected to close by early Q3.