[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]  LongYield [@LongYield](/creator/twitter/LongYield) on x 4477 followers Created: 2025-07-20 16:27:37 UTC $SLB Schlumberger Limited Earnings Call Key Highlights: (2/2) 📈 Second Half 2025 Outlook H2 revenue projected between $XXXX billion and $XXXX billion, reflecting X months of ChampionX contribution and stable legacy SLB revenue. Growth to be back-end loaded, with Q4 revenues expected to be high single digits above Q3 due to full quarter of ChampionX and seasonal digital/product sales. Adjusted EBITDA margins forecasted to remain flat relative to Q2, reflecting tariff impacts of 20–40 basis points; margins would otherwise have expanded by that amount. On a like-for-like basis (including full 6-month ChampionX and excluding divested Palliser), H2 revenue will grow flat to low-single digits over H1. 💼 M&A and Portfolio Optimization SLB completed the divestiture of its Palliser APS asset in Canada, receiving $XXX million in proceeds; Palliser contributed $XXX million in H1 revenue at ~50% EBITDA margin. ChampionX integration will align with SLB’s margin structure and capital efficiency, enhancing Production Systems and providing cross-selling opportunities internationally. Digital activities from ChampionX will be consolidated under SLB’s new Digital segment; reported digital revenue will align with SLB's definitions and may appear lower than prior ChampionX disclosures. 📉 Macroeconomic Commentary and Market Dynamics Global oil demand absorbing OPEC+ supply increases due to seasonal demand, Chinese restocking, and low global inventory levels. While volatility remains, the broader upstream spending environment remains resilient; long-cycle offshore and production recovery-focused projects are prioritized. Deepwater white space persists from project delays in Namibia and other regions, though SLB sees strong potential in Suriname, Brazil, East Med, and Sub-Saharan Africa by mid-2026. Short-cycle markets (e.g., U.S. land) have reacted more sharply to commodity price pressure; however, large advantaged offshore and Middle Eastern projects remain intact. 🌡️ Tariff and Cost Impact Tariffs expected to impact EBITDA margins by 20–40 basis points in H2, with the most notable effect in Production Systems and digital hardware/software shipments. Despite tariffs, SLB reiterated margin accretion from ChampionX over the medium term, with H2 Production Systems margins expected to expand modestly. 💬 Customer Behavior and Activity Trends Customer behavior reflects a pivot toward maximizing asset recovery and productivity over new field development, supporting demand for integrated production solutions. Customers increasingly focus on digital operations, AI deployment, and sustainable production practices—areas where SLB’s portfolio and ChampionX alignment adds value. Strong customer feedback supports expectation of accelerated adoption of integrated production chemistry, lift systems, and digital AI-enabled monitoring solutions. 🧾 Capital Efficiency and Free Cash Flow Outlook Capital investments expected at $XXX billion in FY25, inclusive of ChampionX; reflects low end of historical 5%–7% revenue capex range. Free cash flow in H2 to be materially higher than H1, aided by higher earnings, better working capital dynamics, and continued cost discipline. Long-term target remains >10% free cash flow margin over a full cycle; ChampionX is expected to further enhance SLB’s capital efficiency profile. XXX engagements  **Related Topics** [digits](/topic/digits) [h2](/topic/h2) [quarterly earnings](/topic/quarterly-earnings) [$slb](/topic/$slb) [stocks energy](/topic/stocks-energy) [$chx](/topic/$chx) [Post Link](https://x.com/LongYield/status/1946970258432209225)
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LongYield @LongYield on x 4477 followers
Created: 2025-07-20 16:27:37 UTC
$SLB Schlumberger Limited Earnings Call Key Highlights: (2/2)
📈 Second Half 2025 Outlook
H2 revenue projected between $XXXX billion and $XXXX billion, reflecting X months of ChampionX contribution and stable legacy SLB revenue.
Growth to be back-end loaded, with Q4 revenues expected to be high single digits above Q3 due to full quarter of ChampionX and seasonal digital/product sales.
Adjusted EBITDA margins forecasted to remain flat relative to Q2, reflecting tariff impacts of 20–40 basis points; margins would otherwise have expanded by that amount.
On a like-for-like basis (including full 6-month ChampionX and excluding divested Palliser), H2 revenue will grow flat to low-single digits over H1.
💼 M&A and Portfolio Optimization
SLB completed the divestiture of its Palliser APS asset in Canada, receiving $XXX million in proceeds; Palliser contributed $XXX million in H1 revenue at ~50% EBITDA margin.
ChampionX integration will align with SLB’s margin structure and capital efficiency, enhancing Production Systems and providing cross-selling opportunities internationally.
Digital activities from ChampionX will be consolidated under SLB’s new Digital segment; reported digital revenue will align with SLB's definitions and may appear lower than prior ChampionX disclosures.
📉 Macroeconomic Commentary and Market Dynamics
Global oil demand absorbing OPEC+ supply increases due to seasonal demand, Chinese restocking, and low global inventory levels.
While volatility remains, the broader upstream spending environment remains resilient; long-cycle offshore and production recovery-focused projects are prioritized.
Deepwater white space persists from project delays in Namibia and other regions, though SLB sees strong potential in Suriname, Brazil, East Med, and Sub-Saharan Africa by mid-2026.
Short-cycle markets (e.g., U.S. land) have reacted more sharply to commodity price pressure; however, large advantaged offshore and Middle Eastern projects remain intact.
🌡️ Tariff and Cost Impact
Tariffs expected to impact EBITDA margins by 20–40 basis points in H2, with the most notable effect in Production Systems and digital hardware/software shipments.
Despite tariffs, SLB reiterated margin accretion from ChampionX over the medium term, with H2 Production Systems margins expected to expand modestly.
💬 Customer Behavior and Activity Trends
Customer behavior reflects a pivot toward maximizing asset recovery and productivity over new field development, supporting demand for integrated production solutions.
Customers increasingly focus on digital operations, AI deployment, and sustainable production practices—areas where SLB’s portfolio and ChampionX alignment adds value.
Strong customer feedback supports expectation of accelerated adoption of integrated production chemistry, lift systems, and digital AI-enabled monitoring solutions.
🧾 Capital Efficiency and Free Cash Flow Outlook
Capital investments expected at $XXX billion in FY25, inclusive of ChampionX; reflects low end of historical 5%–7% revenue capex range.
Free cash flow in H2 to be materially higher than H1, aided by higher earnings, better working capital dynamics, and continued cost discipline.
Long-term target remains >10% free cash flow margin over a full cycle; ChampionX is expected to further enhance SLB’s capital efficiency profile.
XXX engagements
Related Topics digits h2 quarterly earnings $slb stocks energy $chx