Offshore Boom Drives SLB’s International Growth Despite Middle East Disruptions

**SLB Reports Strong Q2 Revenue Growth Fueled by Offshore Activity and Digital Expansion**

SLB delivered a robust second-quarter performance, driven by widespread international growth and strong offshore activity that successfully offset ongoing operational disruptions in the Middle East.

**Financial Highlights**
* **Revenue:** Reached $8.97 billion, representing a 5% year-over-year increase.
* **Net Income:** Attributable net income totaled $786 million.
* **Adjusted EBITDA:** Rose to $1.90 billion, bolstered by robust offshore operations, increased demand for production systems, and digital expansion.

**Key Growth Drivers**
According to SLB CEO Olivier Le Peuch, sequential growth outside the Middle East was propelled by offshore developments across Latin America, Europe, Africa, and Asia. This was further supported by a recovery in U.S. unconventional plays and a rising demand for production and recovery technologies.

“Our second-quarter performance demonstrates that growth is broadening across geographies outside the Middle East,” Le Peuch stated. “The regional conflict has heightened the industry’s focus on supply diversification, which is reinforcing the strategic importance of deepwater, exploration, and production and recovery activities.”

**Segment Performance**
* **Production Systems:** Revenue climbed 7% sequentially, driven by heightened activity in subsea systems, artificial lift, surface production, and production chemicals as operators focused on offshore projects and mature asset recovery.
* **Digital:** Revenue grew by 9% sequentially, fueled by rising adoption of exploration software, digital operations, and AI-enabled workflows.

**Regional Dynamics**
SLB achieved solid sequential revenue growth in North America, Latin America, Europe, Africa, and Asia. Increased offshore drilling in key basins—including Brazil, Guyana, Mexico, Nigeria, and the North Sea—helped counteract a 13% revenue decline in the Middle East resulting from conflict-related disruptions.

**Outlook**
Looking toward 2027, SLB maintains a positive long-term outlook. The company expects sustained momentum driven by stabilizing activity in the Middle East, ongoing deepwater and offshore exploration, rising demand for production technologies, and the continued scaling of its digital portfolio.