US oilfield services company Weatherford has seen first quarter profits surge to $190 million after recording a revenue hike of 20% year on year.
On a GAAP basis, net income for the first quarter was $123 million, excluding sundry after tax losses, up from up from $37 million in Q1 2011.
Segment operating income margins of 15% improved three percent over the same period last year and declined one percent sequentially.
The jump in profits flowed from an increase in revenue to $3.6 billion, up from nearly $2.9 billion during the first quarter of 2011 but down $100 million from Weatherford’s all-time high of $3.7 billion last quarter.
Revenue in the MENA and Asia decreased 10% ($70 million) quarter on quarter, with declines in completions and wireline as well as expected seasonality in China responsible for the fall. Despite the decline in revenue, operating income improved 39% ($14 million) sequentially.
Iraq, Saudi and Oman business growth is hampered in the results by continued shortfalls in Libya, Algeria, and Egypt, which were due to ongoing political unrest.
Around half of the group’s $3.6 billion revenue came from North American operations.
The company struck a cautious note for the current quarter, prompting the company’s shares to trade broadly flat on the New York Stock Exchange at $13.69.
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