Saurabh Pant

Carre attributed the D&E decline to drilling fluids/rig moves and end of programs and the C&P decline to the chemical business sale plus seasonality, offset by margin mix improvement.

Slocum identified Asia Pac and West Africa as markets likely to pick up. Noted net oil importers reevaluating capital budgets. Collaborative model supporting early engagement and winning work.

Slocum described pricing conversations underway for existing fleets. Miller added that premium dual-fuel fleets are within a handful of being industry-wide sold out. Early innings but constructive signposts on pricing power.

Miller described rapid mobilization capability (weeks), existing footprint in Venezuela. Historical market was $500M/year. Phone ringing off the hook with interest. Clear and enthusiastic response.

Miller characterized H2 as stronger than H1 with stable international market. Carre provided SAP detail: $40-45M/quarter through 2026, project completing Q4, $100M/year savings post-completion.

Carre clearly separated VoltaGrid project investments from the $1B oil and gas CapEx budget. Funding will be incremental, project-by-project, sharing total project economics.

Miller confirmed deliberate customer targeting around technology-focused operators. Stacking diesel/dual-fuel fleets, not competing in spot market. Over half of active fleet now Zeus electric.

Miller confirmed LSTK and collaborative work already exceeds 20% of international business. Positioned as advantageous for HAL. Emphasized discipline on returns even in LSTK arrangements.

Miller provided rough quantification of structural cost cuts at ~1% range over a couple of quarters. Variable costs tied to activity reduction, fixed costs via efficiency. Dynamic market makes precise targeting challenging.

Carre provided 60/40 C&P/D&E split and named affected product lines but deferred full year impact assessment. Emphasized well-diversified supply chain and mitigation levers but lacked specifics.

Miller mapped out H2 regional trajectory: Europe/Africa in Q3, Middle East growth engines, Latin America step-up in Q4. Brazil, Argentina, North Sea growth highlighted. Comprehensive regional picture.

Miller did not validate the 25% decline math directly. Described Pemex reset and expressed confidence HAL will execute well. Timing of recovery unclear.

Miller provided detailed breakdown of all four growth engines, unconventionals, intervention, lift, and drilling technology, with specific examples for each. Thorough response.

Lorenzo confirmed NovaLTs sold out through 2028. Evaluating expansion beyond current doubling plan with disciplined return thresholds. Frame 5 gas turbines have available capacity in 2027-2028. Added capacity to BRUSH product lines. Inaugurated aftermarket NovaLT facility in Italy.

Ahmed detailed IET 20% margin via GTE backlog conversion, GTS outgrowth, Cordant operating leverage, and cost optimization. OFSE organic margins flat despite annualized tariffs, SSPS mix shift, and pricing variability, offset by productivity and rightsizing.

Ahmed explained Q2 impact was $15M, predominantly IET from U.S.-China and Europe exposure. H2 will exceed $100M due to inventory roll-through and supplier surcharges. Positive U.S.-China easing offset by new steel/aluminum/copper tariff increases.

Lorenzo detailed Mexico activity collapse (rig count down 72% from peak), NA spending down low-double digits, international down mid-to-high single digits. Ahmed confirmed 20% margin target remains, expects sequential improvement to 18.6% in Q2.

Lorenzo identified mix as the most important driver, LNG installed base growing 50%+ by 2030 with highest attachment rates. Upgrades also gaining momentum with Q4 seeing highest order intake since 2020.

CEO explicitly declined to size the addressable market and redirected to the exit run rate ambition.

CEO said logistics cost impacts will fade and expects pricing pressure to ease into 2027, without quantifying current pricing headwinds.

Olivier stated the international market remains stretched on capacity and capital disciplined, supporting constructive pricing despite competitive pressure.

Stephane confirmed the mid-2024 cost-out program is almost complete and will support margins. Additional adjustments possible using digital tools in back office.