Weatherford Q1 profit soars

Weatherford_Q1Weatherford International has reported that first quarter profit for 2012 more than tripled compared to the same period in 2011 to hit US$190 million

The jump in profit was helped by higher revenues in North America and the expectation is of strong results from the Middle East later in the year.

Its Q1 2012 revenue increased to $3.6 billion, up by 26 per cent from $2.86 billion during the first quarter of 2011, the company said in a statement.

North America revenue for Q1 was up by 29 per cent compared to the first quarter of 2011 and international revenue increased by 23 per cent over the same period.

Middle East and North Africa (MENA) revenue for Q1 declined by $70mn, but its operating income for the quarter was $14mn, an increase of 39 per cent on the same period in 2011.

Weatherford president and CEO, Bernard Duroc-Danner, said he expected "MENA to improve in the second half of 2012, from both a top line and margin standpoint. We believe most startups in Saudi, Kuwait and Iraq will be successfully initiated."

He added that Iraq "will evolve into an operation of improving profits as the year unfolds."

Duroc-Danner was less hopeful about a return to profitability in North Africa.

"We do not anticipate an improvement in North Africa, Libya, Algeria until late in the year or perhaps 2013,” he said.

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