Financial Highlights
Despite the global pandemic and an unprecedented downturn in oil demand in 2020, we responded and adapted to the challenges, while continuing to execute for our customers. Halliburton redesigned and refocused our business to successfully navigate the downturn, delivering better margin performance compared to any prior downturn and generating strong free cash flow. We built onto our strong international business, which generated more than half of our 2020 revenue and income.
CHAPTER SECTIONs
$14.4B+
Total Revenue (USD) in 2020
$1.1B+
Free cash flow (USD) in 2020
52% Reduction
in capital expenditures from 2019
Geographic Diversity
In 2020, Halliburton earned the majority of our revenue internationally. We reset our earnings power and improved margins in several key end markets, despite the activity slowdowns.
Stable Free Cash Flow
Halliburton generated over $1.1 billion of free cash flow* in 2020, demonstrating our ability to generate consistent free cash flow in different business environments.
*Management believes that free cash flow, defined as “operating cash flows” less “capital expenditures,” is an important liquidity measure that is useful to investors and management for assessing the Company’s ability to generate cash.
Capex Reduction
Leveraging new materials and design approaches, as well as digital innovation, Halliburton has significantly reduced our CAPEX requirements and extended the life of our equipment.
Financial Highlights
Topic (Millions of U.S. dollars (USD) and shares, except per share data) | 20181 | 20191 | 20201 |
|---|---|---|---|
| Revenue | $23,995 | $22,408 | $14,445 |
| Total Operating Expenses | $(21,528) | $(22,856) | $(16,881) |
Operating Income (Loss) | $2,467 | $(448) | $(2,436) |
| Income (Loss) Before Taxes | $1,814 | $(1,122) | $(3,220) |
Amounts Attributable to Company Shareholders: | |||
Net Income (Loss) from Continuing Operations | $1,656 | $(1,131) | $(2,945) |
Diluted Income (Loss) Per Share from Continuing Operations | $1.89 | $(1.29) | $(3.34) |
| Cash Dividends Per Share | $0.72 | $0.72 | $0.32 |
| Diluted Common Shares Outstanding | 877 | 875 | 881 |
Net Working Capital2 | $6,349 | $6,334 | $5,054 |
| Total Assets | $25,982 | $25,377 | $20,680 |
| Total Debt | $10,344 | $10,327 | $9,827 |
| Total Shareholders' Equity | $9,544 | $8,025 | $4,983 |
| Cash Flows from Operating Activities | $3,157 | $2,445 | $1,881 |
| Capital Expenditures | $2,026 | $1,530 | $728 |
| Depreciation, Depletion and Amortization | $1,606 | $1,625 | $1,058 |
Total Capitalization3 | $19,888 | $18,352 | $14,810 |
Debt to Total Capitalization4 | 52% | 56% | 66% |
1 – Reported results during these periods include impairments and other charges of USD 3.8 billion for the year ended December 31, 2020; USD 2.5 billion for the year ended December 31, 2019; and USD 265 million for the year ended December 31, 2018.
2 – Working capital is defined as total current assets less total current liabilities.
3 – Total capitalization is defined as total debt plus total shareholders’ equity.
4 – Debt to total capitalization is defined as the total debt divided by the sum of total debt plus total shareholders’ equity.