Baker Hughes Releases Third Quarter Report

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According to Baker Hughes’ report of third quarter results, the company experienced orders of $5.4 billion for the quarter, up 6% sequentially and up 5% year-over-year. Revenue was $5.1 billion for the quarter, down 1% sequentially and up 1% year-over-year.

GAAP (generally accepted accounting principles) operating income was $378 million for the quarter, up 95% sequentially and favorable year-over-year. In addition, adjusted operating income (non-GAAP) of $402 million for the quarter was up 21% sequentially and up 72% year-over-year. Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) was $664 million for the quarter, up 9% sequentially and up 21% year-over-year.

The report says cash flows generated from operating activities were $416 million for the quarter, and free cash flow for the quarter was $305 million.

“As we look ahead to the rest of 2021 and into 2022, we see continued signs of global economic recovery that should drive further demand growth for oil and natural gas.” says Lorenzo Simonelli, Baker Hughes chairman and CEO. “However, the pace of growth is being hampered by the COVID-19 Delta variant, global chip shortages, supply chain issues and energy supply constraints. Despite these headwinds, global growth appears to be on relatively solid footing, underpinning a favorable outlook for the oil market, aided by continued spending discipline by the world’s largest producers. Natural gas and LNG fundamentals remain strong, with a combination of solid demand growth and extremely tight supply in many regions.”

See the full quarterly report for more information.