HALLIBURTON CO

We operate in more than 70 countries throughout the world and provide a broad 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 numerous competitors across each of our

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

was attributable to the United States during thesix months ended June 30, 2026 and 2025, respectively. No other country

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

Demand for our services and products is largely dependent on our customers' spending for the exploration,

development, and production of oil and natural gas reserves. Customer spending is influenced by a variety of factors, including

commodity prices and expectations regarding future prices, global oil and natural gas supply and demand fundamentals, the

availability of capital, government policies and regulations, geopolitical developments, and overall economic conditions.

Activity levels in certain markets may also be influenced by longer-term trends affecting energy demand, including

increasing electricity consumption associated with digital infrastructure and data center growth. These factors collectively

influence global drilling, completions, intervention, and production-related activity levels.

Because a significant portion of our business supports our customers' capital spending programs, our financial

performance is closely tied to oil and natural gas prices and worldwide drilling and completions activity. Lower commodity

prices generally result in reduced customer spending and lower activity levels, while higher commodity prices typically support

increased investment and activity. Accordingly, our operating results are significantly affected by changes in commodity prices

and global 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 customer spending to remain focused on capital discipline, production optimization, and operational

efficiency across both international and North America markets.

Operationsin certain Middle East markets continue to be affected by ongoing geopolitical developments, including

periodic operational disruptions, reduced activity in some areas, and higher logistics and supply chain costs. Activity in the

region is recovering from conflict-related lows; however, the pace of recovery remains dependent on day-to-day developments

in the region.

Outside of the Middle East, we expect acti vity growth to be led by prod uction services, drilling, unconventionals, and

lift. These markets continue to be supported by customer investment in development projects, production capacity maintenance,

and selected offshore and strategic energy projects. In North America, customer activity remains focused on maximizing returns

and improving operating efficiency within existing capital budgets. Over the long term, we expect North America to remain

critical for global energy security, which will require advanced technology and greater service intensity.

While current industry fundamentals remain generally supportive of customer activity, the outlook for our business

remains subject to uncertainty. Customer spending and activity levels may be affected by volatility in oil and natural gas prices,

changes in global supply and demand balances, inflationary pressures, supply chain constraints, the availability of capital,

geopolitical developments, trade policies, sanctions, and regulatory actions. These factors may impact the timing and scope of

customer projects and demand for our services and products.