Baker Hughes on July 28, 2016, reported a loss of $911 million in its second quarter, even though the oilfield services firm received a $3.5 billion payment from Halliburton as a result of its failed merger.
Baker Hughes' net loss was significantly worse than the $188 million loss in the second quarter of 2015. Revenue plunged 40 % to $2.4 billion from $4 billion, the company said.
Baker Hughes cut about 3,000 jobs in the second quarter, bringing its 18-month tally to 26,000 positions, including 23,000 terminations and 3,000 via attrition.
The company previously eliminated 2,000 jobs in the 1st quarter 2016 and 18,000 last year.
Baker Hughes, however, said it expected margins to improve across segments due to recent restructuring actions, including job cuts.
Chairman and CEO Martin Craighead said the company is moving through structural changes to adapt to what he described as a tough market environment.
«I am encouraged to see that our second quarter revenue declined only 10 % sequentially despite a 19 % drop in the global rig count.», he said in a statement. «Although we expect the market dynamics to remain challenging near term, the structural changes we implemented this quarter have created a stronger foundation for delivering on our strategy.»