Halliburton faces risks from fluctuating oil and gas prices, impacting customer spending and potentially leading to lower revenue. Decreased rig counts, especially in North America, are a concern. Supply chain delays for raw materials and inflationary pressures (chemicals, cement, logistics) pose cost challenges. Payment delays from a key Mexican customer and potential customer liquidity issues are also noted. A significant unresolved tax dispute with the IRS could result in substantial additional tax liabilities. Cybersecurity incidents and related litigation are also potential risks.

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Halliburton anticipates international revenue growth in the mid to high single digits for 2024. The company expects long-term demand growth driven by economic expansion, energy security concerns, and population growth. Capital discipline by major oil and gas producers suggests a more stable upstream spending cycle. The company is investing in digital technologies (SAP S4 migration) and automation to improve efficiency and potentially increase margins.

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