HALLIBURTON CO

We operate inmore than 70 countries throughout the world to provide a comprehensive range of services and products

to the energy industry. Our revenue is generated from the sale of services and products to major, national, and independent oil

and natural gas companies worldwide. The industry we serve is highly competitive with many substantial competitors in each

segment of our business. Based on the location of the services provided and products sold,37% and 39% of our consolidated

revenue was from the United States for thethree months ended March 31, 2026 and 2025, respectively. No other country

accounted for more than 10% of our revenue for those periods.

Activity within our business segments is significantly impacted by spending on upstream exploration, development,

and production programs by our customers. Also impacting our activity is the status of the global economy, which impacts oil

and natural gas consumption.

Some of the more significant determinants of current and future spending levels of our customers are oil and natural

gas prices, our customers’ expectations about future prices, global oil supply and demand, the impact on natural gas supply and

demand in North America of electrification and data centers power requirements, completions intensity, the world economy, the

availability of capital, government regulation, and global stability, which together drive worldwide drilling and completions

activity. Lower oil and natural gas prices usually translate into lower exploration and production budgets and lower rig count,

while the opposite is usually true for higher oil and natural gas prices. Our financial performance is therefore significantly

affected by oil and natural gas prices and worldwide rig activity, which are summarized in the tables below.

The table below shows the average prices for West Texas Intermediate (WTI) crude oil, United Kingdom Brent crude

oil, and Henry Hub natural gas.

The historical average rig counts based on the weekly Baker Hughes rig count data were as follows:

Business outlook

We expect oilfield services activity to be supported by continued customer focus on capital discipline, production

optimization, and efficiency‑driven investment across both international and North America markets. While we continue to

experience operational disruptions in the Middle East, including work cancellations, force‑majeure declarations, reduced

offshore activity, and higher logistics costs, the majority of our operations remain active.

Outside the Middle East, our outlook remains positive. International activity is expected to grow in the mid‑to‑high

single digits for the full year 2026, led by strong customer engagement and investment in Latin America and continued

momentum in offshore markets.

In North America, we see early signs of a services‑market recovery as customers accelerate development within

existing budgets and reduce calendar white‑space. Depleted drilled‑but‑uncompleted well inventories are expected to support

additional drilling activity, and demand for differentiated technologies, including electric fracturing and automated

well‑construction solutions, continues to increase.

We expect broader market fundamentals to remain supportive, although customer spending and activity levels may be

influenced by volatility in oil and natural gas prices, changes in global supply‑and‑demand dynamics, inflationary cost

pressures, and geopolitical developments. These factors, including regional conflicts, sanctions, and regulatory or trade

changes, may affect project timing, supply chains, and access to certain markets.