NBR up premarket but HAL is getting spanked.
marketwatch.com
Halliburton's energy, KBR profits rise
By August Cole, MarketWatch
Last Update: 7:57 PM ET Oct. 24, 2005
SAN FRANCISCO (MarketWatch) -- Halliburton Co. said Tuesday that third-quarter earnings at its energy-services group and KBR unit increased over last year, while sales at KBR slipped but were offset by higher revenue from the energy businesses.
The Houston-based company's earnings totaled $499 million, or 95 cents a share. Last year, the company lost $44 million or 9 cents a share, which included a $230 million, or 51 cent a share, charge for an asbestos and silica settlement.
Revenue in the quarter rose to $5.1 billion, up 6% from $4.79 billion last year. Analysts, according to Thomson First Call, forecast a profit of 82 cents a share and revenue of $5.23 billion.
The impact of Hurricanes Katrina and Rita was tallied up at $33 million, or 5 cents a share, the company said.
By region, overall North America business accounted for the largest revenue at $1.27 billion with operating income at $347 million.
Benefiting from higher prices and more rig activity, the energy services group's sales rose 23% to $2.6 billion, while earnings increased 37% to $566 million.
KBR, which supplies U.S. military forces in the Mideast and in Europe and also does work in the energy and chemicals industries, reported that revenue slipped almost 7% to $2.5 billion, though the unit posted a $150 million profit -- reversing a year-ago loss of $50 million.
Sales were lower at KBR, mostly because of less military work in Iraq, Halliburton said, but income from its Iraq operations was higher in the wake of settlements of government-contract audits.
So far this year, Halliburton (HAL:
Halliburton Company stock is up almost 50%.
Last week, Fitch Ratings said that it is considering raising Halliburton's debt ratings because of higher cash flow and reduced debt, as well as on the potential sale of KBR. |
