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 DALLAS, April 30 /PRNewswire/ -- Halliburton Company today reported

that its first quarter 1992 net income was $9.4 million or nine cents per share, compared to $27.4 million or 26 cents per share earned in the first quarter of 1991. The reduced earnings are principally related to weak markets in the United States which sharply reduced operating income of the company's Energy Services Group during the first quarter of 1992.
 The Energy Services Group's 1992 first quarter revenues were $648.0 million, a decline of eight percent compared to the 1991 first quarter. The group's lower revenues were due to a 33 percent decline of revenues in the United States, where a 32 percent decline of rotary rig count activity was experienced during this time period. However, revenues generated by international business increased by 15 percent during the 1992 first quarter, compared to the year earlier period, and the group devoted a larger share of its resources to support such activities.
 Operating income for the Energy Services Group declined to $22.5 million in the 1992 first quarter as a result of the sharp reduction of business activity in the United States. While international business operations experienced improved profitability and margins, business conducted in the United States incurred an operating loss during the 1992 first quarter.
 The Engineering and Construction Group's revenues were $950.0 million in the first quarter of 1992, an increase of three percent from the year ago quarter. Operating income was $16.5 million, a decline of 15 percent compared to last year's first quarter. Both revenues and operating income increased in international markets, while declines were recorded in the United States. The group's marine business unit and its Brown & Root Services Corporation business unit that provides operations and maintenance services for government facilities recorded increased revenues and operating income for the quarter. The petroleum and chemical business unit reported declines in the first quarter of 1991 and the group's environmental business unit recorded an operating loss for the quarter.
 The Insurance Services Group's operating income improved to $5.3 million in the first quarter of 1992.
 Thomas H. Cruikshank, chairman of the board and chief executive officer of Halliburton Company, said, "Customers are continuing to reduce spending plans and downsize their organizations in the United States. These actions are largely in response to inadequate market prices for natural gas, uncertainties about the future price of crude oil, moratoriums on promising areas for exploration and development, unfavorable tax laws and burdensome government regulations. As a result, many customers are changing their business focus to emphasize international opportunities which promise better returns on their investments. We now are experiencing improved business in international markets but such improvements are not completely offsetting declines experienced in the United States by our Energy Services Group.
 In the second half of 1991 the Energy Services Group initiated actions, including organizational streamlining and employment reductions, to reduce costs and lower its breakeven point. Employment in North America was reduced by 2,400 during 1991 to better size the Group to available business opportunities. As market conditions have continued to weaken, management has further reduced employment by about 800 persons during the 1992 first quarter. We will continue to monitor business conditions and take actions to enhance the group's ability to be profitable. Such actions should contribute to improved profitability of the group, particularly in the second half of 1992.
 The Engineering and Construction Group also continues to shift its sights to international markets that offer increased business opportunities. About 33 percent of the group's revenues were derived from international business during the first quarter of 1992, compared to 28 percent in the year ago quarter. The group's backlog of firm orders was $3.5 billion at March 31, 1992."
 Halliburton Company is one of the world's largest diversified energy services, engineering, maintenance, and construction companies. Founded in 1919, Halliburton provides a broad range of energy services and products, industrial and marine engineering and construction services, and property and casualty insurance services.
 (In millions, except per share data)
 Quarter Ended March 31 1992 1991
 Energy services $ 648.0 $ 707.0
 Engineering and construction
 services 950.0 924.1
 Insurance services 76.8 101.3
 Total revenues $1,674.8 $1,732.4
 Operating income:
 Energy services $ 22.5 $ 37.4
 Engineering and construction
 services 16.5 19.5
 Insurance services 5.3 4.0
 General corporate expenses (5.3) (5.2)
 Total operating income 39.0 55.7
 Interest expense (15.1) (9.9)
 Interest income 7.4 7.8
 Foreign currency losses (7.3) (4.7)
 Other nonoperating, net .5 .1
 Income before income taxes and
 minority interest 24.5 49.0
 Provision for income taxes (12.7) (21.0)
 Minority interest (2.4) (.6)
 Net income $ 9.4 $ 27.4
 Net income per share (A) $ 0.09 $ 0.26
 Average number of shares
 outstanding 107.1 106.9
 (A) Per share amounts are based upon average shares outstanding.
 -0- 4/30/92
 /CONTACT: Guy T. Marcus, vice president-investor relations of Halliburton Company, 214-978-2691/ CO: Halliburton Company ST: Texas IN: SU: ERN

LR -- NY119 -- 5237 04/30/92 18:36 EDT
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Date:Apr 30, 1992

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