Baker Hughes has started 2026 with better-than-expected financial results, driven primarily by growth in its technology business and strong global demand for liquefied natural gas (LNG). (LNG).
Specifically, the company reported revenues of US$6.59 billion during the first quarter, an increase of 2.5% over the same period of the previous year. This figure exceeded market expectations by approximately 260 million dollars, consolidating a solid performance in a complex energy environment.
Adjusted earnings per share came in at US$0.58, above analysts’ estimates, while adjusted net income rose 12% year-on-year to US$573 million.
Technology segment drives growth
The main driver of these results was the Industrial and Energy Technology (IET) segment, which continues to gain weight within the Baker Hughes portfolio.
This segment reported revenues of US$3.35 billion, up 14% year-on-year. The advance was supported by a combination of factors, including growing demand for LNG infrastructure, gas compression equipment and power generation solutions.
In addition, orders in the area reached US$4.89 billion, an increase of 54% over the previous year. This growth reflects the dynamism of the gas market and its role in the energy transition.
Among the most relevant contracts are the supply of compressor technology for the North Field West North Field West project QatarEnergy LNG’s North Field West project, as well as a five-year service agreement with Petrobras.
Pressure on oil services due to geopolitical tensions
In contrast, the Oilfield Services & Equipment (OFSE) segment recorded a 7% decline in revenues. This decrease was related to operational interruptions and lower drilling activity, especially in regions affected by geopolitical tensions in the Middle East.
This behavior coincides with the challenges reported by other major companies in the sector, evidencing a more volatile environment for traditional oil and gas services oil and gas.
Strategy towards energy diversification
Baker Hughes is moving forward in its transformation to a more diversified company, combining traditional energy solutions with lower-carbon technologies.
The company is expanding its presence in areas such as LNG, hydrogen and carbon capture, utilization and storage. carbon capture, utilization and storage. These initiatives are part of its goal to achieve EBITDA margins of 20% between 2026 and 2028.
The company also continues to invest in digitalization through platforms such as Cordant and alliances in artificial intelligence, aimed at improving operating efficiency and reducing emissions.
In this context, the EIT segment is positioned as a strategic axis, integrating key technologies for industrial decarbonization and global energy supply.
Source: Oil&Gas
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