- Weatherford (NASDAQ: WFRD) reported a 12% decline in revenue to $1,193 million for Q1 2025.
- Operating income fell by 39% to $142 million, impacting net income which decreased by 32% to $76 million.
- The company returned $71 million to shareholders and secured new contracts amidst market challenges.
Weatherford International plc (WFRD, Financial), a leader in energy services, announced its financial results for the first quarter of 2025, revealing a significant downturn in key financial metrics. Revenue for the quarter fell by 12% year-over-year to $1,193 million, with operating income plunging by 39% to $142 million. The net income experienced a decline of 32%, landing at $76 million with a margin of 6.4%.
Despite these challenges, Weatherford maintained a positive adjusted EBITDA of $253 million, representing a 21.2% margin, although this was a 25% decrease from the previous year. Adjusted free cash flow stood at $66 million. The company prioritized returning value to its shareholders, distributing $71 million through $18 million in dividends and $53 million in share repurchases.
The quarter was marked by considerable market softening, particularly in regions like Mexico, the United Kingdom, and North America. However, Weatherford successfully executed the sale of its Pressure Pumping business in Argentina and continued its strategic pivot toward capital efficiency. Additionally, the company secured several long-term contracts, including an eight-year extension in Kazakhstan and a five-year integrated completions deal with PDO Oman.
Weatherford's strategic focus on leveraging AI technology was highlighted by a new agreement with Abu Dhabi-based AIQ, aimed at enhancing production efficiency. This move aligns with Weatherford's broader strategy to navigate current market conditions and increase its adjusted free cash flow over 2025.
