Schlumberger’s 4Q profits jump 71%

01/19/07 - newratings.com

NEW YORK, January 19 (newratings.com) – Schlumberger Ltd (SLB), the world's largest oilfield services company, announced a 71% jump in its fourth-quarter earnings partly helped by significant price increases.

The Houston-based company said its net income in the three months surged to $1.13 billion, or 92¢ per share, from $660.6 million, or 54¢ per share, in the year-ago quarter. Schlumberger’s quarterly revenues climbed 33% to $5.35 billion in the fourth quarter, from $4.02 billion in the same period a year earlier. The company achieved 30% y/y revenue growth in oilfield services to $4.63 billion. Schlumberger’s seismic division, WesternGeco, also posted a 55% rise in revenues to $721 million. Despite seasonal weather-related setbacks in the North Sea and parts of Russia and weaker activity in Canada, Schlumberger reported record revenues and net income for the fourth quarter, the company added. Schlumberger expects to deliver significant growth in 2007 and beyond. The oilfield-services giant’s share price rose sharply on the NYSE on Friday.