Schlumberger

SLB Q1 2025 Earnings

Reported Apr 25, 2025 at 3:09 AM ET · SEC Source

Q1 25 EPS

$0.72

MISS 1.22%

Est. $0.73

Q1 25 Revenue

$8.49B

MISS 1.19%

Est. $8.59B

vs S&P Since Q1 25

+40.2%

BEATING MARKET

SLB +71.0% vs S&P +30.9%

Market Reaction

Did SLB Beat Earnings? Q1 2025 Results

SLB opened 2025 on a soft note, missing on both top and bottom lines as first-quarter revenue fell 2.5% year over year to $8.49 billion, coming in 1.19% below the $8.59 billion consensus, while adjusted EPS of $0.72 trailed the $0.73 estimate by 1.22… Read more SLB opened 2025 on a soft note, missing on both top and bottom lines as first-quarter revenue fell 2.5% year over year to $8.49 billion, coming in 1.19% below the $8.59 billion consensus, while adjusted EPS of $0.72 trailed the $0.73 estimate by 1.22%. The primary culprit was a deteriorating international activity environment, with sharp drilling slowdowns in Mexico, Saudi Arabia, offshore Africa, and Russia overwhelming pockets of strength elsewhere. North America bucked the trend, rising 8% year over year to $1.72 billion, and the Production Systems division delivered a 4% revenue gain alongside meaningful margin expansion, offering evidence that SLB's diversified portfolio can absorb upstream cycle pressure. The softer macro picture aligns with broader oilfield services sector anxiety over tariffs, OPEC supply increases, and weakening commodity prices weighing on operator spending plans. Looking ahead, management plans to reduce capital investment to approximately $2.30 billion in 2025 and remains committed to returning at least $4.00 billion to shareholders, with the pending ChampionX acquisition expected to close by early Q3.

Key Takeaways

  • 17% year-on-year digital revenue growth within Digital & Integration
  • Strong demand for surface production systems, completions, and artificial lift in Production Systems
  • Growth in data center infrastructure solutions in North America
  • Cost discipline and resource alignment drove year-on-year adjusted EBITDA margin expansion despite lower revenue
  • Higher activity in UAE, Kuwait, Argentina, and offshore U.S.
  • Conversion of improved-price backlog in Production Systems
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SLB YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

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SLB Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26
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SLB Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“First-quarter adjusted EBITDA margin was slightly up year on year despite softer revenue as we continued to navigate the evolving market dynamics.”

— Olivier Le Peuch, Q1 2025 Earnings Press Release