* Second-quarter earnings per share $1.15 vs estimate $1.10
* Revenue up 8 percent to $11.18 bln vs estimate $11.11 bln
* Shares up 2 pct in premarket trading
July 19 Schlumberger Ltd, the world's
largest oilfield services company, posted a better-than-expected
profit for the seventh quarter as drilling activity outside
North America touched a 30-year high.
Schlumberger shares rose 2 percent to $80 in trading before
the bell on Friday.
The company's exposure to the global offshore drilling boom
has helped it offset a volatile North American market, where
natural gas prices have remained weak due to excess supply from
Exploration and drilling activity rebounded in China and
Australia and growth continued in the key markets of Saudi
Arabia and Iraq, Chief Executive Paal Kibsgaard said.
The company derives nearly 70 percent of its revenue from
international operations, unlike rivals Halliburton Co
and Baker Hughes Inc, which are more dependant on North
"The soft global economic picture has changed little since
the first quarter. The U.S. has shown virtually no impact from
the financial sequester, the Eurozone remains in recession, and
data from China continue to be mixed," Kibsgaard said.
Baker Hughes, the world's third-largest oilfield services
provider, reported a 45 percent fall in second-quarter profit on
Friday, mainly due to weak margins in North America.
Total rig count in North America increased marginally in the
second quarter due to growth in oil-focused drilling. Natural
gas drilling, however, remains depressed, hurting demand and
prices for services such as pressure pumping.
U.S. gas-directed rig count fell to an 18-year low of 353 in
June, while rig count outside North America climbed to 1,333,
the highest level in 30 years, according to data compiled by
Schlumberger's net income rose 49 percent to $2.10 billion,
or 1.57 per share, in the second quarter, from $1.40 billion, or
$1.05 per share, a year earlier. Excluding certain items, profit
was $1.15 per share.
Revenue rose 8 percent to $11.18 billion.
Analysts had expected earnings of $1.10 per share on revenue
of $11.11 billion, according to Thomson Reuters I/B/E/S.
Shares of Schlumberger and Baker Hughes have risen about 10
percent in the past three months. Halliburton shares have risen
19 percent on news that the company might settle its liability
related to the 2010 Gulf of Mexico oil spill.