(Reuters) -U.S. oilfield technology firm Baker Hughes beat Wall Street estimates for fourth-quarter profit on Thursday, as robust demand for natural gas equipment and services helped offset weak sales of its drilling gear in North America.
Oilfield service companies are grappling with lower demand as extraction technologies get more efficient and higher supplies deter more drilling by energy companies.
Baker Hughes said revenue in its oilfield services segment fell 5% in North America, while it dropped 1% in its international markets unit.
Larger rivals SLB and Halliburton earlier this month flagged a flattish revenue in 2025 as customers limited their activity and spending due to a glut.
However, orders in Baker Hughes’ gas technology equipment business jumped 44%, lifting revenue in its industrial and energy technology (IET) segment to $3.5 billion.
IET booked $3.8 billion of orders in the quarter, supported by strong LNG orders and another gas infrastructure award, CEO Lorenzo Simonelli said.
The Houston-based company provides compressors, turbines, valves and other modular systems to customers for gas processing.
President Donald Trump earlier this month said the United States would guarantee supplies of liquefied natural gas to Europe, even amid worries that the booming export industry could boost prices of gas for U.S. consumers.
Baker Hughes posted an adjusted profit of 70 cents per share for the three months ended Dec. 31, compared with analysts’ average expectation of 63 cents, according to estimates compiled by LSEG.
(Reporting by Seher Dareen and Mrinalika Roy in Bengaluru; Editing by Sriraj Kalluvila)
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