April 24 (Reuters) – SLB reported a fall in first-quarter profit on Friday, as disruptions from the war in Iran hit demand for oilfield services in a key oil-producing region.
Shares of the company fell 3% before the bell.
“It was a challenging start to the year as widespread disruptions in the Middle East impacted our business,” said CEO Olivier Le Peuch.
“The impact was most pronounced in Well Construction and Reservoir Performance,” he added.
Revenue from Middle East and Asia dropped 10% to $2.69 billion during the quarter, while total revenue came in at $8.72 billion.
The Middle East is SLB’s biggest market and accounted for about 34% of its annual revenue in 2025.
The top oilfield services provider had said it demobilized operations in a few countries in response to customer actions to safeguard personnel and facilities.
The attacks on energy infrastructure in the region and Iran’s effective closure of the Strait of Hormuz have fueled a surge in oil prices but that has not translated into higher demand for SLB and rivals as oil producers took a more cautious stance instead of increasing drilling activity.
The Houston-based company said net income attributable to the company was $752 million, or 50 cents per share, for the three months ended March 31, compared with $797 million, or 58 cents per share, a year earlier.
(Reporting by Vallari Srivastava in Bengaluru; Editing by Sriraj Kalluvila)
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