SLB Beats Q4 EPS Estimates, Reports $9.75B Revenue and Raises Dividend
SLB reported Q4 EPS of $0.78, beating estimates of $0.74 but down from $0.92 year-ago, and revenue rose 5% year-over-year to $9.75 billion, surpassing forecasts. Income before taxes fell 32% YoY to $943 million, while SLB raised its dividend and plans to return over $4 billion to shareholders in 2026.
1. Q4 2025 Earnings Exceed Expectations
SLB reported fourth-quarter earnings per share of $0.78, topping consensus estimates of $0.74 despite a year-over-year EPS decline from $0.92. Revenue reached $9.75 billion, up 5% compared with Q4 2024 and surpassing the $9.55 billion forecast. Strong activity in North America production systems and robust digital solutions adoption drove the quarterly top-line growth.
2. Profitability Trends and Segment Highlights
Income before taxes on a GAAP basis fell 32% from the prior year to $943 million, with a margin contraction to 9.7% from 14.9% a year earlier. Offsetting softer results in wireline and completion tools, the digital segment delivered double-digit growth and higher software subscription revenues, while production systems volumes in North America rose by 12%, supporting overall operational resilience.
3. Balance Sheet Strength and Shareholder Returns
Net income attributable to the company climbed sequentially to $824 million, up from $739 million in Q3. SLB’s debt-to-equity ratio stands at approximately 0.50 and its price-to-earnings ratio near 19.9, reflecting a balanced capital structure. Management announced a dividend increase and plans to return over $4 billion to shareholders in 2026, underlining confidence in cash flow generation and long-term growth prospects.