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 Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

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!