Baker Hughes on January 26, 2017, reported it lost $417 million during the final quarter of 2016 as it preps for its merger with General Electric this coming spring.
The Houston-based oilfield services giant’s quarter compares to a larger loss of more than $1 billion during the 4th quarter of 2015.
Baker Hughes’ quarterly revenues fell nearly 30 % down to $2.41 billion from $3.39 billion a year ago.
However, the quarterly revenues did grow 2 % from the 3rd quarter of 2016, driven by the beginnings of a rebound in U.S. shale.
For the full year, Baker’s $2.74 billion annual loss comes in bigger than a $1.97 billion loss in 2015.
The company’s revenues fell 37 % on the year as the 2-year oil bust came to a seeming end.
Baker Hughes reported another 1,000 job reductions in the 4th quarter.
The company still employs about 33,000 people, down from a headcount of more than 62,000 employees before the oil bust began in late 2014.
The Tomball-based BJ Services is now operating independently after Baker Hughes sold stakes to Houston-based CSL Capital Management private equity firm and Goldman Sach’s merchant banking fund, called West Street Energy Partners.
Baker Hughes kept a 46.7 % ownership stake in BJ Services.
The BJ deal comes less than a month after it was announced that Baker Hughes is combining with a unit of General Electric in a $32 billion merger that would create an expanded Baker Hughes.
GE, based in Boston, would own 62.5 % of the combined company, which will continue to trade under Baker Hughes’ BHI stock ticker.
«GE Oil & Gas and Baker Hughes are an exceptional fit, with highly talented teams, similar cultures of innovation, and industry-leading capabilities,» said Baker Chairman and CEO Martin Craighead. «The integration planning teams are making good progress, the regulatory review process is proceeding as planned, and we continue to expect a mid-2017 close.»