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FY2026 Q2
Improving
Halliburton Company earnings call
Buzzberg read
International revenue highest in decade despite Middle East disruption
Halliburton reported solid Q2 2026 with total revenue of $5.7B, international up 6% YoY and North America flat sequentially. Management struck a bullish tone on international growth driven by multi-year contract wins (YPF, TotalEnergies, Iraq) and steady recovery in North America. Guidance pointed to sequential margin expansion in both segments, while Middle East dynamics remain fluid. International revenue reached $3.4B, highest second quarter in a decade, despite Middle East disruption.
Buzzberg read International revenue highest in decade despite Middle East disruption Halliburton reported solid Q2 2026 with total revenue of $5.7B, international up 6% YoY and North America flat sequentially. Management struck a bullish tone on international growth driven by multi-year contract wins (YPF, TotalEnergies, Iraq) and steady recovery in North America. Guidance pointed to sequential margin expansion in both segments, while Middle East dynamics remain fluid. International revenue reached $3.4B, highest second quarter in a decade, despite Middle East disruption. Read full analysisCollapse analysis
Halliburton reported solid Q2 2026 with total revenue of $5.7B, international up 6% YoY and North America flat sequentially. Management struck a bullish tone on international growth driven by multi-year contract wins (YPF, TotalEnergies, Iraq) and steady recovery in North America. Guidance pointed to sequential margin expansion in both segments, while Middle East dynamics remain fluid. International revenue reached $3.4B, highest second quarter in a decade, despite Middle East disruption.
- North America revenue $2.3B, flat YoY but improving with white space filled and 30+ rigs added.
- Key contract wins: YPF multi-year Zeus fleet, TotalEnergies Suriname, integrated field management award in Iraq.
- Q3 guidance: C&P revenue flat/down 2% with margin up 125-175 bps; D&E revenue down 3-5% with margin up 25-75 bps.
Revenue$5.714B+6% QoQ
EPS$0.55+0% QoQ
Gross margin14.07%Reported
Operating margin13.62%Reported
6 grounded callouts
What matters now
The highest-signal changes from the call.
Guidance
Expect international outside Middle East to grow low double digits
Demand
North America white space filled, positive Q3 trajectory
Show 3 more callouts
Guidance
International growth engines $2.5-3B target ahead of schedule
Risk
Middle East activity steady in guidance, no recovery assumed
Capex
Full year 2026 capex expected about $1.1 billion
Reported period
Actuals
| Metric | Reported | Change |
|---|---|---|
| Revenue | $5.714B | +6% QoQ |
| EPS | $0.55 | +0% QoQ |
| Gross margin | 14.07% | Reported |
| Operating margin | 13.62% | Reported |
| Free cash flow | $0.589B | Reported |
| Capex | $0.235B | Reported |
Forward-looking
Forward guidance
| Metric | Period | Range | Midpoint | Status |
|---|---|---|---|---|
| Capex | FY2026 | $1.1B | $1.1B | Guided |
AI, capex & demand read
Management read
confident
Management expressed strong optimism about international growth opportunities and North America recovery, while acknowledging the fluid situation in the Middle East, maintaining a confident overall tone.
Management AI read
Management noted AI is part of their strategic focus in open architecture and deep data management, but no specific demand, adoption, or monetization details were discussed.
Investment and capacity
Management expects full year 2026 capital expenditures to be about $1.1 billion, with no shift towards data centers or fabs.
all 5 named companies below
Companiesreturns since call
Customers
Customers
Shannon Slocum
Halliburton secured a large multi-year unconventional contract with YPF in Argentina, deploying its Zeus electric frac fleet, signaling strong demand and long-term commitment from YPF.
Evidence
“Argentina with YPF, Bigwin multi-year, multi-billion with Zeus. Going back to Aramco and Jafura, and if you kind of look at the big markets out there, Argentina”
Customers
Shannon Slocum
Halliburton won a significant offshore contract with TotalEnergies in Suriname, adding to its deepwater footprint in the region.
Evidence
“Just announced a really sizable win with Total Energies in Suriname. We still have a great footprint with Guyana there.”
Supply chain
Supply chain
Shannon Slocum
Very little capacity at all in the market on gas substitution, zero at all on electric for North America frac fleets, giving pricing power to operators of electric spreads like Halliburton's Zeus. — Tight supply of electric frac equipment supports pricing and utilization for Halliburton and may pressure competitors lacking such technology.
Evidence
“Very little capacity at all in the market on gas substitution, zero at all on electric.”
Supply chain
Shannon Slocum
Over 30 rigs being added in North America, supporting drilling activity and D&E segment growth. — Rig additions signal a sustained recovery in North America drilling that benefits equipment and service providers.
Evidence
“We're also seeing pretty significant rig ads here. Over 30 plus rigs being added to North America.”
External signals
Supply-chain alpha · 2returns since call
Very little capacity at all in the market on gas substitution, zero at all on electric for North America frac fleets, giving pricing power to operators of electric spreads like Halliburton's Zeus.
Over 30 rigs being added in North America, supporting drilling activity and D&E segment growth.
Methodology & coverage
Management-only analysis. All 5 validated company mentions are shown. Reported actuals and forward guidance are kept separate. Public evidence is limited to eight short attributed quotes. AI-generated analysis can be incomplete or wrong; verify important claims against the original source.