Close-up of logo for petroleum service company Schlumberger on equipment, August 16, 2019. (Photo by … [+] Smith Collection/Gado/Getty Images)
With Saudi-UAE agreeing on easing of production cuts in the coming months, benchmark oil prices have trended downward. Notably, upstream oil & gas companies in the U.S.
have rejoiced high benchmark prices as production curtailments remained limited to OPEC+ nations. However, oil field service firms including Schlumberger (NYSE: SLB) are likely to observe a slow top line recovery due to an uncertain demand-supply environment. As upstream companies remain committed to cash preservation and capex curtailment measures, rig count figures are expected to remain subdued in the near-term. Moreover, the company has suspended dividends and share repurchases which limits economic returns to investors apart from capital gains. We highlight Schlumberger’s quarterly revenue and earnings trends along with the expectations for Q2 2021 in an interactive dashboard analysis, Schlumberger’s Earnings Preview.
How did Schlumberger perform in the past quarter?