HALLIBURTON CO

Organization

We are one of the world’s largest providers of products and services to the energy industry. We help our customers

maximize asset value throughout the lifecycle of the reservoir from locating hydrocarbons and managing geological data, to

drilling and formation evaluation, well construction and completion, and optimizing production throughout the life of the asset.

Activity levels within our operations are significantly impacted by spending on upstream exploration, development, and

production programs by major, national, and independent oil and natural gas companies. We report our results under two

segments, the Completion and Production segment and the Drilling and Evaluation segment.

•Completion and Production delivers cementing, stimulation, specialty chemicals, intervention, pressure control,

artificial lift, and completion products and services. The segment consists of Artificial Lift, Cementing, Completion

Tools, Pipeline and Process Services, Production Enhancement, and Production Solutions. We completed the sale

of a portion of our chemical business in the second quarter of 2026.

•Drilling and Evaluation provides field and reservoir modeling, drilling, fluids, evaluation, and precise wellbore

placement solutions that enable customers to model, measure, drill, and optimize their well construction activities.

The segment consists of Baroid, Drill Bits and Services, Halliburton Project Management, Landmark Software and

Services, Sperry Drilling, Testing and Subsea, and Wireline and Perforating.

The business operations of our segments are organized around four primary geographic regions: North America, Latin

America, Europe/Africa/CIS, and Middle East/Asia. We have manufacturing operations in various locations, the most

significant of which are in the United States, Malaysia, Singapore, and the United Kingdom. With approximately 46,000

employees, weoperate inmore than 70 countries around the world, and our corporate headquarters is in Houston, Texas.

Our value proposition is to collaborate and engineer solutions to maximize asset value for our customers. We strive to

achieve strong cash flows and returns for our shareholders by delivering technology and services that improve efficiency,

increase recovery, and maximize production for our customers. Our strategic priorities are to:

• International: Consistently increase international growth in our directional drilling, unconventionals, well

intervention, and artificial lift businesses. Develop behind-the-meter power generation, independently or through

collaboration with VoltaGrid.

-North America: Maximize value by, among other things, utilizing our Zeus IQ electric fracturing platform, our

iCruise rotary steerable systems and LOGIX automation.

-Digital: Continue to drive differentiation and efficiencies through the deployment of digital and automation

technologies, both internally and for our customers.

-Capital efficiency: Maintain our capital expenditures at about $1.1 billion, while leveraging technology and targeted

process improvements to enhance utilization of existing capital.

-Shareholder returns: Return over 50% of annual free cash flow to shareholders through dividends and share

repurchases.

-Advance a Sustainable Energy Future: Continue to develop technologies and solutions to help lower our customers’

and our emissions intensity, grow our low carbon energy business, and support Halliburton Labs early-stage

company participants.

Market conditions

During thethird quarter of 2026, oil and natural gas markets remained volatile due to geopolitical developments and

global economic uncertainty. These factors continued to disrupt global oil supply and contribute to supply constraints.

Oil prices decreased in thethird quarter of 2026 compared to the second quarterof 2026. The West Texas Intermediate

(WTI) crude oil price averaged approximately$87 per barrel during the third quarter of 2026, compared to approximately$96

per barrel during the second quarter of 2026, or a 9% decrease. The Brent crude oil price averaged approximately$96 per barrel

during the third quarter of 2026, compared to approximately$103 per barrel during the second quarter, or a 7% decrease.

Higher commodity prices generally support customer activity and capital spending in the markets we serve, as operator

investment decisions are often influenced by expectations regarding future commodity prices.

Trade tensions and tariffs continue to influence the global demand outlook, with varying impacts across end markets.

We continue to monitor and evaluate the effects of these on goods imported into the United States, developments related to

trade policy and the potential effects of future tariff actions on our business, financial position, results of operations, and cash

flows.

Globally, we continue to be impacted by inflationary cost increases, primarily related to logistics, chemicals, and

cement, which we expect to persist for sometime. We manage these pressures through global procurement strategies,

technology modifications, and sourcing efficiencies. As a standard practice, we generally seek to pass a portion of these cost

increases on to our customers and believe we have effective solutions in place to minimize their operational impact.

Customers remained focused on capital discipline, production optimization, operating efficiency, and expected returns

on investment. Customer activity and spending decisions were influenced by the geopolitical conflict in the Middle East, higher

commodity prices, uncertainty related to global trade policies and tariffs, and inflationary cost pressures. As a result, customers

continued to evaluate investment opportunities while balancing growth objectives, operating priorities, and return expectations.

Financial results

The following graph illustrates our revenue and operating margins for each operating segmentfor thethird quarter of

2025 and 2026.

The following charts depict the revenue split between our two operating segments and our four primary geographic

regions for thethree months ended September 30, 2026.

During thethird quarter of 2026, we generated total company revenueof$5.7 billion, an increase of 2% as compared

to thethird quarter of 2025. We reported operating income of $624 million, including a pre-tax chargefor impairments and

other charges of$107 million, in thethird quarter of 2026, as compared to operating income of$356 million in thethird quarter

of 2025, including impairments and other charges of$392 million.

Our Completion and Production segment revenue decreased 4% in thethird quarter of 2026 as compared to thethird

quarter of 2025. This decrease was primarily drivenby decreased stimulation activity in North America and lower completion

tool sales in Middle East/Asia.

Our Drilling and Evaluation segment revenue increased 10% in thethird quarter of 2026 as compared to thethird

quarter of 2025. This increase was primarily driven by improved drilling related services in North America and Europe and

higher activity across multiple product service lines in Latin America.

Our North America revenue decreased 9% in thethird quarter of 2026 as compared to thethird quarter of 2025. This

decrease was primarily driven by lower stimulation activity in the region and reduced specialty chemicals in U.S. Land as a

result of the sale of a portion of our chemical business.

Internationally, revenue increased 9% in thethird quarter of 2026 as compared to thethird quarter of 2025, largely

driven by multiple product service lines in Europe/Africa/CIS and Latin America.

Our operating performance and liquidity are described in more detail in “Liquidity and Capital Resources” and

“Business Environment and Results of Operations.”