Baker Hughes misses consensus mark in Q2; Order down 14% sequentially
Baker Hughes press release (NASDAQ:BKR): Q2 Non-GAAP EPS of $0.11  misses by $0.11.
Revenue of $5.05B (+4.3% Y/Y)  misses by $290M.
Shares -2.3% PM.
Orders of $5.9 billion for the quarter, down 14% sequentially and up 15% year-over-year.
CEO comment: âAs we look to the second half of 2022 and into 2023, the oil markets face an unusual set of circumstances and challenges. On one hand, the demand outlook for the next 12 to 18 months is deteriorating, as inflation erodes consumer purchasing power and central banks aggressively raise interest rates to combat inflation. On the other hand, due to years of underinvestment globally and the potential need to replace Russian barrels, broader supply constraints can realistically keep commodity prices at elevated levels even in a scenario of moderate demand destruction. As a result, we believe the outlook for oil prices remains volatile, but still supportive of strong activity levels as higher spending is required to re-order the global energy map and likely offsets demand destruction in most recessionary scenarios. Baker Hughes is preparing for all of these scenarios and will continue to execute on our long-term strategy. If commodity prices remain resilient as we expect, our portfolio is well positioned to benefit from a strong LNG cycle and a multi-year upstream spending cycle. We will also continue to invest in our energy transition and industrial initiatives, while also returning 60 to 80% of free cash flow to shareholders."