Halliburton on Monday reported its fourth-quarter profit tumbled 48 percent to end a volatile year and the oilfield services company said that it expects 2010 to be a transitional year for the industry.
Oil services companies, which assist producers with drilling, reservoir management and other services, struggled in 2009 as consumers burned less fuel.
Crude collapsed to less than half of its current price as millions of American workers received pink slips and left their cars at home.
As a result, major oil producers pressured companies like Halliburton Co., and rivals like Schlumberger Ltd., to cut their fees.
Energy prices have roared back and the number of operating rigs in the U.S. is on the rise, which could give Halliburton more leverage on prices in coming months.
"Many operators have announced potential increases in upstream spending for 2010 targeted for new frontier developments and ultra-deepwater where we are well positioned," said CEO Dave Lesar.
Still, Lesar said, substantial spending may not be seen until the latter half of 2010.
The Houston company on Monday reported net income of $243 million, or 27 cents per share, for the fourth quarter. That compares with income of $468 million, or 52 cents per share, for the final three months of 2008. Revenue fell 25 percent, to $3.69 billion.
Analysts polled by Thomson Reuters expected earnings of 27 cents per share on revenue of $3.63 billion.
For the full year, Halliburton Co. posted net income of $1.15 billion, or $1.27 per share, compared with $2.22 billion, or $2.45 per share for 2008.
Shares fell 50 cents to $30.65 in premarket trading.
© Copyright 2017 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.