SLB Announces Fourth-Quarter and Full-Year 2025 Results, Increases Dividend and Commits to Return More Than $4 Billion to Shareholders in 2026

• Fourth-quarter revenue of $9.75 billion increased 9% sequentially and 5% year on year
• Fourth-quarter GAAP EPS of $0.55 increased 10% sequentially and decreased 29% year on year
• Fourth-quarter EPS, excluding charges and credits, of $0.78 increased 13% sequentially and declined 15% year on year
• Fourth-quarter net income attributable to SLB of $824 million increased 12% sequentially and decreased 25% year on year
• Fourth-quarter adjusted EBITDA of $2.33 billion increased 13% sequentially and decreased 2% year on year
• Fourth-quarter cash flow from operations was $3.01 billion and free cash flow was $2.29 billion
• Board approved a 3.5% increase in quarterly cash dividend to $0.295 per share
• Full-year revenue of $35.71 billion decreased 2% year on year
• Full-year GAAP EPS of $2.35 decreased 24% year on year
• Full-year EPS, excluding charges and credits, of $2.93 decreased 14% year on year
• Full-year net income attributable to SLB of $3.37 billion decreased 24% year on year
• Full-year adjusted EBITDA of $8.46 billion decreased 7% year on year
• Full-year cash flow from operations was $6.49 billion and free cash flow was $4.11 billion, including $276 million of acquisition-related payments

SLB (NYSE:SLB) today announced results for the fourth-quarter and full-year 2025.

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The exterior of the SLB headquarters in Houston, Texas.

Fourth-Quarter Results

Full-Year Results

Strong Fourth-Quarter Performance as Global Activity Stabilizes

"SLB concluded the year with very strong fourth-quarter results driven by Production Systems, Digital and Reservoir Performance," said SLB Chief Executive Officer Olivier Le Peuch.

"Fourth-quarter revenue increased sequentially across all four geographies for the first time since the second quarter of 2024, reflecting stabilized global upstream activity. We saw revenue growth both in North America and international markets, further supported by an additional month of ChampionX revenue. Strong year-end product and digital sales in Latin America, the Middle East & Asia, Sub-Saharan Africa and offshore North America also contributed to this performance.

"Although 2025 presented a challenging backdrop for the industry — with lower commodity prices, geopolitical uncertainty and an oversupplied oil market — we continued to build resilience across our portfolio by accelerating our strategy. This included a growing emphasis on production and recovery, increased deployment of AI solutions, and the rapid expansion of our Data Center Solutions business.

"For the full year, lower upstream spending resulted in modest declines in revenue and adjusted EBITDA margin. Nevertheless, we delivered strong cash flow performance, generating $6.5 billion of cash flow from operations and $4.1 billion of free cash flow, enabling us to return $4.0 billion to shareholders. The addition of ChampionX activity and growth in the Digital and Data Center Solutions businesses mostly offset notable revenue declines in Saudi Arabia, Mexico and across Sub-Saharan Africa.

"As we move into 2026, we believe that the headwinds we experienced in key regions in 2025 are behind us. In particular, we expect rig activity in the Middle East to increase compared to today's level, and our footprint in the region puts us in a strong position to benefit from this recovery," Le Peuch said.

Industry is Prioritizing Production and Recovery

"As economics remain challenged, production and recovery activity is becoming a strategic priority for our customers in order to unlock incremental barrels at the lowest cost. This is translating into higher demand particularly for intervention services, artificial lift, production chemicals and SLB OneSubsea™.

"We have already benefited from the strategic addition of ChampionX, which contributed $1.5 billion in revenue with accretive margins for the Production Systems Division and the Core since the closing of the acquisition in July 2025. We expect the positive impact of ChampionX to continue to accelerate in 2026 as we capture further synergies and extend its leading capabilities into additional international markets," Le Peuch said.

Digital and Data Center Solutions Creating Pathways for Growth

"Digital revenue increased 9% on a full-year basis with an adjusted EBITDA margin of 35% driven by significant uptake in Digital Operations as well as steady growth in Platforms & Applications as customers continued to invest in AI and automated solutions to improve performance and efficiency. As these solutions become increasingly intertwined with our customers' operations, we were proud to see our Digital annualized recurring revenue (ARR) exceed $1 billion at the end of the fourth quarter which increased 15% year on year.

"Meanwhile, our Data Center Solutions business grew 121% year on year. This business is expanding rapidly as we strengthen strategic partnerships with hyperscalers to deliver modular data center manufacturing solutions.

"We expect that Data Center Solutions will be our fastest growing business for years to come, and Digital will continue to grow at highly accretive margins. Both present differentiated growth opportunities for SLB in 2026 and beyond," said Le Peuch.

Returns to Shareholders to Exceed $4 Billion in 2026

"SLB has consistently proven that the unique strengths of our portfolio enable us to create differentiated value and generate significant cash flow in varied market conditions.

"As we move through the year, we anticipate that activity will gradually improve in the key markets where we operate, giving us the confidence that we will generate strong cash flows, once again, in 2026.

"Aligned with our clear priority to create value for investors, we are committed to returning more than $4 billion to shareholders in 2026 through dividends and share repurchases, and we are starting the year with an increase of 3.5% to our quarterly dividend as approved by our Board of Directors," Le Peuch concluded.

Other Events

For the full year of 2025, SLB repurchased a total of 60 million shares of its common stock for a total purchase price of $2.41 billion.

On January 22, 2026, SLB's Board of Directors approved a 3.5% increase in quarterly cash dividend from $0.285 per share of outstanding common stock to $0.295 per share, beginning with the dividend payable on April 2, 2026, to stockholders of record on February 11, 2026.

Fourth-Quarter Revenue by Geographical Area

Fourth-quarter revenue of $9.75 billion increased 9% sequentially with international revenue increasing 8% and North America revenue increasing 15%. These results reflect a full quarter of activity from the acquired ChampionX businesses, which contributed $879 million of revenue, consisting of $583 million in North America and $266 million in the international markets. Third-quarter 2025 revenue reflects two months of activity from ChampionX, which contributed revenue of $579 million, consisting of $387 million in North America and $171 million in the international markets.

Excluding the impact of this acquisition, international fourth-quarter 2025 revenue increased 7% and North America fourth-quarter 2025 revenue increased 6% sequentially. Fourth-quarter revenue increased sequentially across all geographical areas for the first time since the second quarter of 2024 as global upstream markets have stabilized. Organic sequential revenue growth both in North America and in the international markets was driven by higher offshore activity and strong year-end product and digital sales, most notably in Latin America, the Middle East & Asia, across Sub-Saharan Africa and in the Gulf of America.

The following table and commentary are presented on a pro forma basis assuming that ChampionX was acquired on January 1, 2024.

International

Latin America

Revenue in Latin America of $1.68 billion increased 12% sequentially, driven by increased sales of completions and subsea production systems in Brazil, as well as the resumption of production in the Asset Peformance Solutions (APS) projects in Ecuador following the prior quarter's pipeline-related disruption.

Year over year, revenue declined 1%, primarily due to a significant reduction in land activity in Mexico, almost fully offset by increased offshore activity in Guyana and robust hydraulic fracturing activity in Argentina.

Europe & Africa

Revenue in Europe & Africa of $2.53 billion increased 3% sequentially, supported by improved activity across deepwater Sub-Saharan Africa and Europe, partially offset by lower activity in North Africa and Scandinavia.

Year over year, revenue declined 1%, as strong activity in Nigeria and Azerbaijan was more than offset by lower activity in North Africa, Europe and Scandinavia.

Middle East & Asia

Revenue in the Middle East & Asia of $3.23 billion increased 7% sequentially, driven by a rebound in Saudi Arabia, along with robust activity in East Asia, Egypt, Australia, United Arab Emirates and Indonesia.

Year over year, revenue decreased 7%, as higher activity in East Asia, Iraq, United Arab Emirates, Oman and India was more than offset by significantly reduced activity in Saudi Arabia.

North America

Revenue in North America of $2.21 billion increased 4% sequentially, due to higher offshore activity driven by increased digital exploration sales, higher drilling activity and increased sales of production systems, while U.S. land revenue remained flat.

Year over year, revenue declined 4%, primarily due to the divestiture of the APS project in Canada in the second quarter of 2025 and a sharp reduction in U.S. land drilling activity, partially offset by growth in Data Center Solutions.

Fourth-Quarter Results by Division

Digital

Digital revenue of $825 million increased 25% sequentially, driven by strong growth in Digital Exploration from year-end sales in the Gulf of America, Brazil and Angola, as well as robust increases in Digital Operations and Platforms & Applications.

Year on year, Digital revenue grew 17%, supported by solid gains in Digital Operations and higher Digital Exploration revenue.

ARR for the Digital Division as of December 31, 2025, was $1.0 billion, compared to $876 million as of December 31, 2024, a 15% increase year over year.

Digital pretax operating margin expanded 557 basis points sequentially to 34%, reflecting improved profitability from strong Digital Exploration activity, robust growth in Digital Operations and higher Platforms & Applications revenue.

Year on year, fourth-quarter pretax operating margin contracted slightly by 39 basis points due to an unfavorable mix in Digital Exploration sales.

Please refer to "Supplementary Information" (Question 11) for a description of the revenue categories comprising the Digital Division. For revenue, pretax operating income and adjusted EBITDA for full-year 2025 and 2024, see Question 12. For the definition of ARR, please refer to Question 13.

Reservoir Performance

Reservoir Performance revenue of $1.75 billion increased 4% sequentially, driven by increased stimulation activity in the Middle East & Asia, higher intervention activity in Europe & Africa and increased evaluation activity in Latin America. Significant growth was recorded in Saudi Arabia, East Asia, Qatar, Indonesia and Guyana.

Year on year, revenue declined 3%, primarily due to reduced activity in Saudi Arabia, Mexico, Qatar, and Europe & Africa. These decreases were partially offset by robust activity in Argentina, Guyana, Kuwait and East Asia.

Reservoir Performance pretax operating margin of 20% expanded by 105 basis points sequentially, reflecting improved profitability in evaluation and intervention services as a result of higher uptake of premium technologies.

Year on year, pretax operating margin contracted by 89 basis points due to an unfavorable activity mix and pricing effects.

Well Construction

Well Construction revenue of $2.95 billion decreased 1% sequentially as higher offshore drilling activity in North America and Europe & Africa was offset by declines in certain land markets.

Year on year, revenue decreased 10%, driven by a broad reduction in drilling activity across Mexico, Saudi Arabia, Sub-Saharan Africa, North America and Asia. These decreases were partially offset by stronger performance in Guyana, Iraq and Kuwait.

Well Construction pretax operating margin of 19% contracted slightly sequentially and 219 basis points year on year. The margin compression was primarily due to widespread drilling activity reductions and pricing headwinds in North America and several international markets.

Production Systems

Production Systems as-reported revenue of $4.08 billion increased 17% sequentially and 30% year on year, reflecting a full quarter of activity from the acquired ChampionX production chemicals and artificial lift businesses. ChampionX contributed $874 million in revenue and $153 million in pretax operating income during the fourth quarter. Third-quarter 2025 results included two months of ChampionX activity, which contributed $575 million in revenue and $106 million in pretax operating income.

Excluding the impact of the acquisition, Production Systems fourth-quarter 2025 revenue increased 11% sequentially and 2% year on year.

Production Systems pretax operating margin of 16% expanded by 20 basis points sequentially. The margin improvement was driven by stronger profitability in completions and production chemicals.

Year on year, margin was unchanged as improved profitability in SLB OneSubsea, valves and completions, along with the accretive contribution from ChampionX production chemicals, was offset by lower margins in artificial lift, process technologies and surface production systems.

The following table and commentary are presented on a pro forma basis assuming that ChampionX was acquired on January 1, 2024.

Production Systems pro forma revenue of $4.08 billion increased 8% sequentially, driven by strong sales of completions, artificial lift and production chemicals.

Year on year, pro forma revenue increased 2%, supported by higher sales of artificial lift, valves, process technologies and production chemicals, partially offset by lower sales of surface production systems.

All Other

All Other is comprised of APS, Data Center Solutions and SLB Capturi™.

Revenue increased $48 million sequentially, reflecting higher APS revenue following the resumption of production at the APS projects in Ecuador. This increase was partially offset by a decline in SLB Capturi revenue, while Data Center Solutions was steady.

Year on year, revenue declined $136 million primarily due to lower APS revenue following the divestiture of the Palliser asset in Canada in the second quarter of 2025. This decline was partially offset by a $58 million year-on-year increase in Data Center Solutions revenue.

Pretax operating income declined by $11 million sequentially, as improved profitability in APS projects in Ecuador was more than offset by a significant loss on a project in SLB Capturi.

Year on year, pretax operating income declined by $102 million as a result of lower APS contribution following the Canadian divestiture and the previously mentioned operating loss in the SLB Capturi project.

Quarterly Highlights

Core

Contract Awards

SLB continues to win new contract awards that align with SLB's strengths in the Core. Notable highlights include the following:

• In the Kingdom of Saudi Arabia, Aramco awarded SLB a five-year contract to provide stimulation services for its unconventional gas fields. This award is part of a broader multi-billion dollar contract, supporting one of the largest unconventional gas development programs globally. The contract encompasses advanced stimulation, well intervention, frac automation and digital solutions, which are important to unlocking the potential of Saudi Arabia's unconventional gas resources — a cornerstone of the Kingdom's strategy to diversify its energy portfolio and support the global energy transition.

• In the Gulf of America, bp awarded the SLB OneSubsea joint venture a contract for a subsea boosting system in the deepwater greenfield development of the Tiber project. This engineering, procurement and construction (EPC) contract for Tiber comes in close succession to the award of a sister subsea boosting system for bp's Kaskida development. Both projects — which target prolific Paleogene reserves — leverage the same supplier-led, standardized high-pressure subsea pump system solution.

• In Ghana, Tullow Ghana Ltd awarded SLB a three-year offshore drilling services contract, which includes an option for a two-year extension. SLB is delivering the full scope of drilling services, with operations underway since the fourth quarter of 2025. This agreement reinforces the companies' collaboration and shared commitment to driving continuous improvements in drilling performance and unlocking greater value from Tullow Ghana Ltd's deepwater assets.

• In Kuwait, Kuwait Oil Company (KOC) awarded SLB its first managed pressure drilling (MPD) contract in the country. SLB was selected for its fit-for-basin MPD solutions, which are tailored to address Kuwait's complex subsurface conditions, and SLB's proven track record of global MPD services.

• Offshore Malaysia, PTT Exploration and Production Public Company Limited (PTTEP) awarded the SLB OneSubsea joint venture two sizeable EPC contracts. The contracts build on a 20-year collaboration between the two companies and cover the expansion of two fields. As part of the EPC contracts, SLB OneSubsea will deliver comprehensive subsea production systems for the Alum, Bemban and Permai deepwater gas fields located in Block H and the Kikeh field, Malaysia's first deepwater oil project. The scope includes horizontal subsea trees, umbilicals, control systems and associated services.

• Offshore East Timor, Finder Energy and SLB entered a strategic alliance to fast-track the development of the Kuda Tasi and Jahal oil fields. With the immediate mobilization of SLB technical and project management teams, integrated front-end engineering and design delivery aims to accelerate project delivery by about 12 months, which is a major milestone toward first oil.

Technology Highlights

Notable technology introductions and deployments in the quarter include the following:

• In Italy, SLB and Eni successfully deployed the OnWave™ autonomous logging platform in a deep horizontal well across a complex carbonate reservoir. The OnWave platform offered efficient and effective data acquisition with the tools' conveyance only taking a few minutes to reach the open-hole interval while enhancing the drillers' well control throughout the operations. It delivered high-quality resistivity borehole images, advanced sonic measurements and 3D far-field measurements for improved fracture characterization up to 40 meters away from the wellbore. The integrated solution empowered Eni's decisions about the well completion to boost recovery and mitigate water production risk.

• In Libya, SLB successfully installed its first Reda Agile™ compact wide-range electric submersible pump system in Sarir Field. Initial flow rate was approximately 2,000 barrels of fluid per day at 135 hertz. This new technology delivers a cost-effective solution and establishes a key performance differentiator in the industry.

• In Nigeria, SLB and FIRST Exploration and Petroleum Development Company (FIRST E&P) deployed SLB Automated Lithology technology to deliver real-time formation evaluation without conventional mud logging. This digital solution reduced both personnel exposure and operational costs, leveraging dual-core acquisition for lag depth tracking and sample timing, alongside cloud-based data transmission and storage. The deployment confirmed reservoir sand lenses critical for net-to-gross estimation and informed completion design. Building on these results, FIRST E&P plans to apply the technology across future wells and to evaluate archived cuttings, extending its utility in improving geological insights and operational efficiency.

• In Oman, SLB and Daleel Petroleum enhanced production from mature wells by carefully selecting and prioritizing the best wells for treatment in a reservoir-centric approach. The large-volume acidizing campaign delivered targeted stimulation using the OpenPath Flex™ customizable acid stimulation service for effective fluid retardation, OpenPath Sequence™ diversion stimulation service and acid live diversion with real-time high-frequency pressure monitoring. As a result of producer and injector well stimulation, cumulative incremental oil recovery has exceeded 580,000 barrels spanning 33 jobs within 7 years. Daleel Petroleum plans to expand the campaign to include marginal reservoirs in the future.

Digital

SLB is deploying digital technology at scale, partnering with customers to migrate their technology and workflows into the cloud, to embrace new AI-enabled capabilities, and to leverage insights to elevate their performance. Notable highlights include the following:

• SLB launched the Tela™ agentic-AI assistant, purpose-built to transform the upstream energy sector. The Tela assistant leverages agentic AI to not only automate processes but transform workflows and drive better business outcomes. Embedded in SLB's portfolio of applications and platforms, users will interact through a simple conversational interface. This approach enables agentic AI to act as a proactive collaborator — augmenting the workforce to achieve greater productivity and efficiency at scale.

• Shell and SLB signed a strategic collaboration agreement to develop digital and AI solutions that drive measurable performance and efficiency gains across upstream operations for the company and the wider industry. The collaboration has the ambition to develop agentic AI-powered solutions that will accelerate and amplify the capabilities of technical experts and decision makers. The aim is to develop and deploy an open data and AI infrastructure that unifies data and workflows across subsurface, well construction and production in a secure digital environment, using the SLB Lumi™ data and AI platform.

• ADNOC and SLB launched the AI-powered production system optimization (AiPSO) platform with initial deployment across eight fields. The launch positions ADNOC as an industry pioneer in implementing AI-driven production system optimization at scale across all fields, enabling the company to take a significant step towards becoming the world's most AI-enabled energy company. Powered by the SLB Lumi data and AI platform and leveraging Cognite Data Fusion, AiPSO uses millions of real-time data points, AI and ADNOC's proprietary machine learning to proactively monitor and optimize the entire production system, comprising thousands of hydrocarbon wells and hundreds of processing facilities. The platform enables smart workflows that connect office and field operations in real time enabling engineers to diagnose issues and optimize wells in minutes instead of days, enhancing the productivity of ADNOC's workforce and increasing production capacity from the company's wells.

• In Azerbaijan, bp partnered with SLB to implement advanced digital solutions on various rigs through the Performance Live™ center, enabling remote operations for its offshore platforms. Supported by DrillOps™ advisory and Neuro™ autonomous directional drilling technologies, the initiative optimized decision making, enhanced performance and minimized drilling dynamics — all while reducing the offshore well placement crew size by 66% and saving over 1,500 personnel-on-board days. By leveraging AI-powered automation, most monitoring was executed remotely, allowing technology to drive faster, more accurate decisions, improving tool life, performance, efficiency and safety.

• In Oman, SLB and OQ Exploration & Production SAOG advanced well construction using Neuro autonomous solutions to boost drilling efficiency and improve well economics. On three wells, the PowerDrive™ rotary steerable system (RSS) increased rate of penetration (ROP) by up to 50% through AI optimization. On another well, the high-powered PowerDrive One™ RSS — integrated with measurement-while-drilling capabilities — improved ROP by 40% and reduced both tripping and casing time. The bottomhole assembly featured the Retina™ at-bit imaging system, which captured high-resolution formation details to inform future well planning. These advancements represent a step toward fully autonomous drilling, integrating rig automation with directional and on-bottom operations.

• In Kuwait, KOC awarded SLB a five-year contract to deliver seismic data processing and reprocessing services. The scope includes a broad range of 2D, 3C, 3D and 4D seismic data types across diverse environments, including offshore, onshore, transition zones and urban areas. The processing services will incorporate AI workflows to accelerate interpretation insights, enabling KOC to make more informed exploration and development decisions.

• PETRONAS SURINAME E&P B.V. (PSEPBV) awarded SLB a contract to deliver marine seismic data processing and reprocessing for offshore Suriname Blocks 63 and 48. The scope includes advanced imaging technologies, such as Q-compensated and elastic full-waveform inversion.

New Horizons of Growth

SLB is participating at scale in high-growth markets, including Data Center Solutions and New Energy through strategic innovative technology and partnerships, including the following:

• In the United States, SLB expanded its operations in Shreveport, Louisiana, to support growing demand for data center infrastructure. The expansion nearly doubled the facility's footprint and increased manufacturing capacity for data center equipment, strengthening SLB's ability to support hyperscalers and data center supply chains as digital and AI workloads continue to scale.

• SLB and leading geothermal and renewable energy company Ormat Technologies announced an agreement to fast-track the development and commercialization of integrated geothermal assets, including enhanced geothermal systems (EGS). EGS is the next generation of geothermal technology, meant to unlock geothermal energy in regions beyond where conventional geothermal resources exist. Together, SLB and Ormat intend to streamline project deployment, from concept to power generation. As part of this effort, they will develop, pilot and scale EGS solutions to enable wide-scale EGS adoption. This collaboration will include the design and construction of an EGS pilot at an Ormat site.

FINANCIAL TABLES

Condensed Consolidated Statement of Income

Condensed Consolidated Balance Sheet

Liquidity

Charges & Credits

In addition to financial results determined in accordance with U.S. generally accepted accounting principles (GAAP), this fourth-quarter 2025 earnings release also includes non-GAAP financial measures (as defined under the SEC's Regulation G). In addition to the non-GAAP financial measures discussed under "Liquidity", SLB net income, excluding charges & credits, as well as measures derived from it (including diluted EPS, excluding charges & credits; effective tax rate, excluding charges & credits; adjusted EBITDA and adjusted EBITDA margin) are non-GAAP financial measures. Management believes that the exclusion of charges & credits from these financial measures provide useful perspective on SLB's underlying business results and operating trends, and a means to evaluate SLB's operations period over period. These measures are also used by management as performance measures in determining certain incentive compensation. The foregoing non-GAAP financial measures should be considered in addition to, not as a substitute for or superior to, other measures of financial performance prepared in accordance with GAAP. The following is a reconciliation of certain of these non-GAAP measures to the comparable GAAP measures. For a reconciliation of adjusted EBITDA to the comparable GAAP measure, please refer to the section titled "Supplementary Information" (Question 9).

Divisions

Geographical

Supplementary Information

Frequently Asked Questions