Middle East Turmoil to Cost SLB 6-9 Cents Per Share in Q1
Summary
SLB has provided an update on its Middle East operations, indicating that it expects first-quarter revenue to be lower than anticipated and will incur additional costs. These costs are projected to impact Q1 earnings per share by approximately 6-9 cents. The company has begun demobilizing operations in some countries and activated crisis response teams. This follows an earlier report today warning of lower Q1 revenue, with this update providing specific financial quantification of the impact. The quantified EPS hit is a material negative revision to the company's short-term financial outlook, stemming from geopolitical instability in a critical operating region. Investors will closely monitor the ongoing situation in the Middle East and any further updates on SLB's operational and financial performance.
At the time of this announcement, SLB was trading at $47.13 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $71.9B. The 52-week trading range was $31.11 to $52.45. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: dpa-AFX.