Oilfield services provider Schlumberger Limited (SLB) Thursday reported a higher first-quarter profit, reflecting growth in revenues. The company said its solid year-on-year growth rates were led by the Middle East & Asia and North America areas.
CEO Paal Kibsgaard stated, "Growing new technology sales and expanding integration activity drove our first-quarter results despite the severe winter weather that impacted operations in Russia, China and North America."
Schlumberger noted that its international performance was led by further growth in key markets in Saudi Arabia, the United Arab Emirates and the deepwaters of Australia. The company's performance was also driven by strength in sub-Saharan Africa, project work in Ecuador and shale-related activity in Argentina.
For the first quarter, net income attributable to the company increased to $1.59 billion or $1.21 per share from $1.26 billion or $0.94 per share in the previous year.
The company had recorded charges of $0.09 per share in the fourth quarter of 2013 and of $0.07 per share in the 2013 first quarter, while it did not incur any charges or credits in the latest quarter.
Earnings per share from continuing operations, excluding charges and credits, were $0.97 per share in the first quarter of 2013.
On average, 33 analysts polled by Thomson Reuters expected earnings per share of $1.20 for the quarter. Analysts' estimates typically exclude one-time items.
Quarterly revenues grew to $11.24 billion from $10.57 billion a year ago, while 24 analysts estimated revenues of $11.49 billion.
Oilfield Services revenue increased 6 percent, and Oilfield Services pretax operating income was up 21 percent from last year.
International Area revenue rose 5 percent year-on-year, while North America Area revenue increased 12 percent from last year.
During the quarter, Schlumberger repurchased 9.96 million shares of its common stock at an average price of $90.31 per share, for a total purchase price of $899 million.
The board has also declared a quarterly dividend of $0.40 per share, to stockholders of record on June 4, 2014, payable on July 11.
SLB closed Wednesday's regular trading at $100.94 on the NYSE.
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