Baker Hughes Q1 Net Income Surges 131% to $930 Million; OFSE Revenue Down 7%
Baker Hughes logged Q1 2026 net income of $930 million (up 131%) and revenue of $6.5 billion (+1.6%), with adjusted EBITDA rising to $1.1 billion. OFSE revenue fell 7% to $3.2 billion and operating cash flow dropped 29% to $500 million, even as it secured major Petrobras flexible pipe and QatarEnergy LNG contracts.
1. Strong Quarterly Earnings
Baker Hughes reported Q1 2026 net income of $930 million, up 131% from $402 million in Q1 2025, and diluted EPS rose to $0.93 from $0.40. Revenue increased 1.6% to $6.5 billion and adjusted EBITDA climbed 11.7% to $1.1 billion, while adjusted net income reached $573 million, a 12% gain.
2. Cash Flow and Segment Performance
Operating cash flow declined 29% to $500 million from $709 million a year earlier. The oilfield services and equipment (OFSE) segment saw revenue fall 7% to $3.2 billion due to SPC disposals and Middle East disruptions, though segment orders remained flat at $3.2 billion.
3. Major International Contracts
During the quarter, Baker Hughes secured a 91 km flexible pipe supply deal with Petrobras for Brazil’s pre-salt and post-salt fields, a three-year well construction contract with YPF Argentina for Vaca Muerta, subsea systems work for Turkish Petroleum in the Black Sea, and a 43-well drilling project in Kenya with Gulf Energy E&P.
4. Asset Disposals and Joint Venture
Baker Hughes completed a joint venture with a Cactus subsidiary for its SPC product line, netting $344.5 million while retaining a 35% stake. It also sold its Precision Sensors & Instrumentation business to Crane Company for $1.15 billion, bolstering its liquidity.