Benzinga | Jan 20, 2022 11:21AM EST

Baker Hughes Tops Q4 Revenue Estimates, Clocks Order Growth Of 28%

* Baker Hughes Co (NASDAQ:BKR) reported fourth-quarter revenue growth of 8% sequentially and flat year-over-year to $5.52 billion, beating the consensus of $5.49 billion.

* Orders grew by 28% Y/Y to $6.7 billion and were up 24% sequentially.

* Adjusted EPS improved to $0.25 compared to $(0.07) in 4Q20, missing the consensus of $0.28.

* GAAP operating income increased 52% Q/Q to $574 million. Adjusted operating income of $571 million improved 42% Q/Q and 23% Y/Y. Adjusted operating margin expanded by 195 bps Y/Y to 10.3%.

* Revenues by segments: Oilfield Services $2.57 billion (+12% Y/Y), Oilfield Equipment $619 million (-13% Y/Y); Turbomachinery & Process Solutions $1.78 billion (-9% Y/Y), and Digital Solutions $558 million (flat).

* Adjusted EBITDA was $844 million (+10% Y/Y), and margin improved by 130 bps to 15.3%.

* Baker Hughes generated cash from operating activities for FY21 of $2.37 billion, compared to $1.3 billion a year ago. Free cash flow was $1.83 billion.

* The company held cash and equivalents of $3.85 billion as of December 31, 2021.

* "As we look ahead to 2022, we expect the pace of global economic growth to remain strong although slightly moderate compared to 2021," said Lorenzo Simonelli, Baker Hughes chairman, and CEO.

* Price Action: BKR shares are trading higher by 5.10% at $27.62 on the last check Thursday.