Baker Hughes Incorporated (BHI) Earnings Beat Analysts’ Expectations

Fox Business News’s Lori Rothman reported about Baker Hughes Incorporated (NYSE:BHI) in her earnings alert on Thursday. The mention has been made on how the oil field services company reported earnings per share that beat analysts’ expectations. As she said, Baker Hughes Incorporated (NYSE:BHI) has “reported an adjusted profit of $0.92 per share, better than the $0.9 a share estimate. Revenue $5.94 better than the $5.86 billion,” concluding “so the bottom line, Baker Hughes Incorporated (NYSE:BHI) beats expectations.”

Baker Hughes Incorporated (NYSE:BHI)

The adjusted income per diluted share of $0.92 is under non-GAAP, whereas the GAAP net income per diluted share is $0.80, because of charges relating to litigation settlements for labour claims ($0.09 per diluted share) and costs associated with a foreign exchange loss related to the Venezuela currency devaluation ($0.03 per diluted share), according to the Baker Hughes Incorporated (NYSE:BHI)’s press release.

Revenue of $5.94 billion is 8.2% higher compared to the same period in last year and a record revenue for the company at the same time. Earnings were however up much more dramatically, from $240 million or 54 cents in the second quarter of the last year, to $353 million or 80 cents, or by noticeable 47%. The disproportionally strong rise in profits relative to the rise in revenues is explained by its turn to new technologies which reduce drilling time and reduce costs.

According to Reuters, Baker Hughes Incorporated (NYSE:BHI) Chief Executive Martin Craighead said that the technologies developed in the last year or two contribute between 35-50% to the company’s revenue, and added that “We predict strong growth in this area for the foreseeable future.” Only in the second quarter, the company launched 47 new products and services. Baker Hughes Incorporated (NYSE:BHI) said it expects profits from operations to rise by 15% in the third quarter, as both revenues and margins rise in its key North American market.

Baker Hughes Incorporated (NYSE:BHI) share price slid down by about 2.5%, as the share price stays at the highest levels for the past three years, up by a third year to date.

Disclosure: none

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!