There was an expectation that Halliburton (NYSE:HAL) would surpass earnings expectations for the quarter, as they had done it the last four quarters, but it seems the strong performance surprised even the most optimistic analysts, as the company soared past estimates by 15 cents a share.
For the second quarter, Halliburton's earnings surged by 83 percent to 52 cents a share, with consensus being at 37 cents a share. Earnings were $480 million for the quarter, up from $262 million last year in the same quarter.
Much of the performance of Halliburton was based on an increase in gas production.
Revenue increased to $4.39 billion for the period ending June 30, also beating expectations of $4.07 billion.
Dave Lesar, chairman, president and chief executive officer, gave this guidance, "Going forward, we believe North America land rig count growth may moderate as activity in the dry gas basins may slow due to weak natural gas fundamentals, which should be partially offset by the continued growth of oil- and liquids- rich reservoirs."
In reference to the Gulf oil spill and the resultant moratorium, Halliburton said they expect the earnings for the entire year to be cut by five cents to eight cents a share as a result.
With expectations the oil spill will reduce production and results in the region, the company added they're taking measures to send workers to growing and more stable areas of the world.
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