Schlumberger saw its net income decline significantly by nearly 20% in the first quarter of 2019 from the same period last year, according to its financial statement released Thursday.
The world's largest oilfield services company saw its net income decline to $421 million in the first three months of this year, from $525 million during the same period of 2018.
In a statement, Chairman and CEO Paal Kibsgaard said the decline was a result of "the expected reduction in North America land activity and seasonally lower international activity in the Northern Hemisphere."
Schlumberger, however, saw its revenue rise by 0.6 percent to $7.88 billion in the January-March period of this year, from $7.83 billion for the same period of the 2018.
With the decline in net income, Schlumberger's stock price fell 3.9% in the New York Stock Exchange to end Thursday at $45.56 per share, from the previous close of $47.41 a share.
Nonetheless, Kibsgaard remained positive and said oil prices would continue to recover throughout this year to support good business dynamics.
“From a macro perspective, we expect the oil market sentiments to steadily improve over the course of 2019, supported by a solid demand outlook combined with the OPEC and Russia production cuts taking full effect, slowing shale oil production growth in North America," he said in the statement.
By Ovunc Kutlu