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Investing.com -- Baker Hughes Company (NASDAQ:BKR) reported third-quarter earnings that exceeded analyst expectations, with adjusted earnings per share of $0.68, beating the consensus estimate of $0.62. Revenue reached $7 billion, surpassing the $6.82 billion analyst forecast and increasing 1% YoY.
The oil services company delivered strong results driven by its Industrial & Energy Technology (IET) segment, which secured over $4 billion in orders during the quarter. This represents only the third time in company history that IET orders have reached this level. The company’s revenue performance was supported by positive trends in Gas Technology and strong U.S. land operations, where Baker Hughes’ focus on production-related activity provided a competitive advantage.
Baker Hughes shares remained flat in after-hours trading on Thursday following the earnings release.
"Our strong third quarter performance represents clear evidence of the consistent execution and operational discipline embedded across the organization," said Lorenzo Simonelli, Baker Hughes Chairman and Chief Executive Officer.
The company reported adjusted EBITDA of $1.24 billion, up 2% YoY, while operating cash flow reached $929 million. Baker Hughes achieved a book-to-bill ratio of 1.2 for the quarter, indicating strong future revenue potential from current orders. The company’s remaining performance obligations (RPO) reached $35.3 billion, including a record $32.1 billion in IET RPO.
During the quarter, Baker Hughes announced its intent to acquire Chart Industries for approximately $13.6 billion, a significant portfolio expansion move. The company also secured major contracts, including equipment orders for NextDecade’s Rio Grande LNG Facility and Sempra Infrastructure’s Port Arthur project.
Based on strong order momentum in the first three quarters and visibility on expected fourth-quarter awards, Baker Hughes now expects full-year orders to exceed its prior midpoint guidance.
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