Weatherford International reported a net loss before charges of $102 million, $0.13 net loss per share before charges. Revenues were $2.01 billion for the fourth quarter of 2015.
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GAAP net loss for the fourth quarter of 2015 was $1.21 billion, or a net loss of $1.54 per share. Full year revenue was down $5.5 billion and operating income declined $1.5 billion primarily due to lower activity, pricing weakness and customer budget reductions in oil and gas markets across the world.
Weatherford revenue for the fourth quarter of 2015 was $2.01 billion compared with $2.24 billion in the third quarter of 2015 and $3.73 billion in the fourth quarter of 2014.
Fourth quarter revenues declined 10% sequentially and 46% from the prior year. Sequentially, North America and Land Drilling Rigs contributed to a majority of the decline. The sequential percentage decrease in international revenues was better than our peers.
Net loss on a non-GAAP basis for the fourth quarter of 2015 was $102 million, net loss of $0.13 per share, compared to a net loss of $42 million in the third quarter of 2015, net loss of $0.05 per share, and a net income of $252 million in the fourth quarter of the prior year, net income of $0.32 per share.
GAAP net loss for the fourth quarter of 2015 was $1.21 billion, or a net loss of $1.54 per share.
Operating income margin of 2.8% for the fourth quarter decreased by 255 basis points sequentially, and declined 1,199 basis points from the fourth quarter of 2014.
Sequentially, there was an overall 10% reduction in revenue resulting in decrementals of 28%. Excluding Land Drilling Rigs, our core business recorded excellent sequential decrementals of 17%.
Weatherford plans to reduce its cost structure by effecting a further headcount reduction of 6,000 which we expect to have completed during the first half of 2016. The company will also close another 9 manufacturing and services facilities.
Weatherford will also continue to rationalize its operating facility footprint. In line with these cost reduction measures, the full year forecast for capital expenditures will be $300 million, 56% lower than its 2015 spending. ■