Halliburton Company · NYSE:HAL

Halliburton — Q1 2024 Earnings Presentation

32 slides from Halliburton's earnings presentation, Apr 23, 2024

Slide 1: First Quarter 2024 Update
First Quarter 2024 Update NYSE Stock Symbol: HAL Common Dividend: $0.17 in the first quarter 2024 Shares Outstanding: 885 million as of 4/17/2024 Investor Relations Contacts David Coleman, Sr. Director Lyn Labahn, Director (281) 871-2688 investors@halliburton.com © 2024 Halliburton. All rights reser
Slide 2: Safe Harbor
Safe Harbor The statements in this presentation that are not historical statements are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control, which could cause act
Slide 3: Agenda
Agenda Company Overview 4 Strategic Priorities 8  Deliver Profitable International Growth  Maximize Value in North America  Improve Capital Efficiency  Accelerate Digital and Automation  Advance Sustainable Energy Future Financial Results 23 3 © 2024 Halliburton. All rights reserved.
Slide 5: Halliburton Global Footprint
Halliburton Global Footprint Founded 1919 Employees of over 130 Nationalities 49,000* TC TC TC TC Operational Countries TC TC TC TC 70+ Research Centers TC TC TC 12 Locations TC Technology Centers Corporate Headquarters Houston TC Corporate Headquarters *approximately 5 © 2024 Halliburton. All right
Slide 6: Halliburton Participates in Every Stage of Oilfield Life Cycle
Halliburton Participates in Every Stage of Oilfield Life Cycle Exploration Well Construction Completions Production Abandonment 6 © 2024 Halliburton. All rights reserved.
Slide 7: Halliburton Product Service Lines
Halliburton Product Service Lines Drilling and Integrating All Completion and Evaluation (D&E) Product Service Lines* Production (C&P) Sperry Drill Bits Wireline Project Landmark Cementing Completion Production Drilling & Services & Perforating Management & Consulting Tools Enhancement Testing Baroi
Slide 8: Halliburton Has Set its Key Strategic Priorities
Halliburton Has Set its Key Strategic Priorities We have a clear sense of purpose – to help our customers satisfy the world’s need for the affordable and reliable energy provided by oil and gas – in a more effective, efficient, safe, and ethical manner – while minimizing environmental impact. We ach
Slide 10: Profitable International Growth
Profitable International Growth Portfolio Strength Drives Market Outperformance 1Q 2024 Revenue International Revenue Performance 140 126 130 44% North 120 America 110 1Q 2020 = 100 100 90 90 80 70 60 56% International 50 40 HAL Int'l Revenue Index Int'l Rig Index >55% of Halliburton’s revenue was g
Slide 11: Competitive Drilling Technology Platforms
Competitive Drilling Technology Platforms iCruise® iStar LOGIX® Intelligent Rotary Steerable System Intelligent Drilling & Logging Platform Autonomous Drilling Platform  High mechanical specifications  Industry leading subsurface  Fully autonomous closed loop enable faster drilling insights for b
Slide 13: Zeus Electric Fracturing System
Zeus Electric Fracturing System Power System • Grid Power Solutions • Reciprocating Engines – VoltaGrid® Patent Portfolio • 50+ patents and applications Performance • Q10 pump • Over 4 years operating at scale • Proven Service Quality • All-Electric Location • Robust Supply Chain Hybrid Electric Sol
Slide 14: SmartFleet Intelligent Fracturing System
SmartFleet Intelligent Fracturing System See and measure fracture performance in real time Connected to the Subsurface  Deploy fiber optics to see, measure, and act on real- time downhole measurements Live 3D Visualization  Real-time direct measurement for evaluating fracture performance and makin
Slide 16: Capital Efficiency
Capital Efficiency Lower Capital Intensity CAPEX at 5-6% of revenue Strengthen FCF Profile  Equipment design  Higher asset velocity ~$1.5B average annual FCF* enhancements  Digital technologies (2019-2023)  New materials  Changing portfolio mix CAPEX as % of Revenue 11.4% 7.2% 5-6% * See slide
Slide 18: Halliburton 4.0
Halliburton 4.0 Subsurface 4.0 Well Construction 4.0 Reservoir Recovery 4.0 Evergreen subsurface at planet scale Optimize well program Optimize capacity Adaptive risk and uncertainty Automate drilling Maximize uptime Agile field development Lean supply chain Increase recovery Enterprise 4.0 Process
Slide 19: DecisionSpace 365 powered by iEnergy
DecisionSpace®365 powered by iEnergy® Subscription based suite of E&P cloud services Well Construction Subsurface  Plan, design and construct  Gain invaluable insights to safe, cost effective, and reduce subsurface risk and productive wells. uncertainty. Reservoir and Production Agile Field Manage
Slide 21: Commitments
Commitments Environmental Social Governance  Engage customers on the  Provide a diverse and inclusive  Streamline our risk management emissions reduction journey environment for our employees  Cultivate a sustainable supply  Develop low environmental  Target to outperform our sector chain impa
Slide 22: Environmental Focus
Environmental Focus Emissions Reduction Target: reduce Scope 1 and Scope 2 emissions by 40% by 2035 from our baseline year of 2018  Standardize and operationalize GHG data capture  Process and governance of emissions sources and GHG Inventory System calculation 00  Emissions data quality assuranc
Slide 24: 1Q24 Revenue Breakdown
1Q24 Revenue Breakdown Middle East/Asia North America  1Q24 revenue of $1.4 billion, an increase of 6%  1Q24 revenue of $2.5 billion, an 8% decrease year over year. year over year.  Primarily driven by improved activity in multiple 24%  Primarily driven by lower pressure pumping product service
Slide 25: Segment and Geographic Results
Segment and Geographic Results Millions of dollars Revenue Q122 Q222 Q322 Q422 Q123 Q223 Q323 Q423 Q124 2022 2023 YTD 2024 By segment results: Completion and Production $ 2,353 $ 2,911 $ 3,136 $ 3,182 $ 3,409 $ 3,476 $ 3,487 $ 3,317 $ 3,373 $ 11,582 $ 13,689 $ 3,373 Drilling and Evaluation 1,931 2,1
Slide 26: Financial Metrics
Financial Metrics Total Revenue(a) Adjusted Return on Capital Employed(d) 130 19% 19% 120 110 15% 1Q20 = 100 12% 12% 100 90 9% 8% 80 6% 5% 70 2% 60 50 2020 2021 2022 2023 Q1 2024 TTM Peer Group(b) HAL HAL Peer Group (b) Debt Maturity Profile(c) ($M) Cash Flow Performance(e) ($M) 1,000 $3,823 $3,458
Slide 27: Reconciliation of Cash Flows from Operating Activities to Free Cash Flow
Reconciliation of Cash Flows from Operating Activities to Free Cash Flow ($millions) 2020 2021 2022 2023 Q1 2024 TTM Total cash flows provided by operating activities $1,881 $1,911 $2,242 $3,458 $3,823 Capital expenditures (728) (799) (1,011) (1,379) (1,441) Proceeds from sales of property, plant, a
Slide 28: Reconciliation of ROCE to Adjusted ROCE
Reconciliation of ROCE to Adjusted ROCE ($millions) 2020 2021 2022 2023 Q1 2024 TTM Net income (loss) attributable to company ($2,945) $1,457 $1,572 $2,638 $2,593 Interest expense, net of taxes 650 407 404 378 373 Operating profit (loss), net of taxes (b) $1,864 $1,976 $3,016 $2,966 ($2,295) Adjustm
Slide 30: Shareholder Returns
Shareholder Returns Announced Capital Return Framework Form of Distribution Dividends • Increased dividend to $0.17 / share in Q1 At Least 2024 50% of Annual Free Cash Flowa Returned to • • Share Repurchases Repurchased ~$800M of securities in 2023b Repurchased ~$250M of securities in Q1 2024c Share
Slide 31: Why Halliburton
Why Halliburton Only integrated services company with a strong presence in both North America and International markets Strong culture of execution Differentiated technology to drive efficiency Financial outperformance Advancing a sustainable energy future 31 © 2024 Halliburton. All rights reserved.

Halliburton Company — Q1 2024 Earnings Presentation on 6ix

Halliburton — Q1 2024 Earnings Presentation

Slide 1: First Quarter 2024 Update

Slide 2: Safe Harbor

Slide 3: Agenda

Slide 4: Company Overview

Slide 5: Halliburton Global Footprint

Slide 6: Halliburton Participates in Every Stage of Oilfield Life Cycle

Slide 7: Halliburton Product Service Lines

Slide 8: Halliburton Has Set its Key Strategic Priorities

Slide 9: Deliver Profitable International Growth

Slide 10: Profitable International Growth

Slide 11: Competitive Drilling Technology Platforms

Slide 12: Maximize Value in North America

Slide 13: Zeus Electric Fracturing System

Slide 14: SmartFleet Intelligent Fracturing System

Slide 15: Improve Capital Efficiency

Slide 16: Capital Efficiency

Slide 17: Accelerate Digital and Automation

Slide 18: Halliburton 4.0

Slide 19: DecisionSpace 365 powered by iEnergy

Slide 20: Advance Sustainable Energy Future

Slide 21: Commitments

Slide 22: Environmental Focus

Slide 23: Financial Results First Quarter 2024

Slide 24: 1Q24 Revenue Breakdown

Slide 25: Segment and Geographic Results

Slide 26: Financial Metrics

Slide 27: Reconciliation of Cash Flows from Operating Activities to Free Cash Flow

Slide 28: Reconciliation of ROCE to Adjusted ROCE

Slide 29: Capital Returns

Slide 30: Shareholder Returns

Slide 31: Why Halliburton

Slide 32: Thank You