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What changed in Schlumberger's 10-K — 2023 vs 2024

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Paragraph-level year-over-year comparison of Schlumberger's 2023 and 2024 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2024 report.

+171 added−177 removedSource: 10-K (2025-01-22) vs 10-K (2024-01-24)

Top changes in Schlumberger's 2024 10-K

171 paragraphs added · 177 removed · 116 edited across 5 sections

Item 1. Business

Business — how the company describes what it does

41 edited+13 added−12 removed27 unchanged
Biggest changeThe primary offerings comprising this Division are: • Artificial Lift: Provides production equipment and optimization services using electrical submersible pumps, gas lift equipment, progressing cavity pumps, and surface horizontal pumping systems. • Completions Equipment: Supplies well completion services and equipment that include packers, safety valves, and sand control technology, as well as a range of intelligent well completions technology and equipment. • Surface: Designs and manufactures onshore and offshore platform wellhead systems and processing solutions, including valves, chokes, actuators, and surface trees, and provides services to operators. • Valves: Serves portions of the upstream, midstream, and downstream markets and provides valve products that are primarily used to control and direct the flow of hydrocarbons as they are moved from wellheads through flow lines, gathering lines, and transmission systems to refineries, petrochemical plants, and industrial centers for processing. • Processing: Enables efficient monetization of subsurface assets using standard and custom-designed onshore, offshore, and downstream processing and treatment systems, as well as unique, reservoir-driven, fit-for-purpose integrated production systems for accelerating first production and maximizing project economics. • OneSubsea ™ : Provides integrated solutions, products, systems, and services for the subsea market, including integrated subsea production systems involving wellheads, subsea trees, manifolds and flowline connectors, control systems, connectors and services designed to maximize reservoir recovery and extend the life of each field.
Biggest changeThe primary offerings comprising this Division are: • Subsea Production Systems: Through its OneSubsea ™ joint venture, provides integrated solutions, products, systems, and services for the subsea market, including wellheads, subsea trees, manifolds and flowline connectors, control systems, connectors and services designed to maximize reservoir recovery and extend the life of each field. • Artificial Lift: Provides lifting solutions using electrical submersible pumps, gas lift equipment, progressing cavity pumps, and surface horizontal pumping systems. • Completions: Supplies well completion services and equipment that includes packers, safety valves, and sand control technology, as well as a range of intelligent systems that enable real-time visibility and performance monitoring. • Surface Production Systems: Designs and manufactures onshore and offshore systems including wellheads, valves, chokes, actuators, and surface trees, and provides fracturing and flow back services to operators. • Midstream Production Systems: Enables efficient monetization of subsurface assets using standard and custom-designed onshore, offshore, and downstream processing and chemical treatment systems, as well as unique, reservoir-driven, fit-for-purpose integrated production systems for accelerating first production and maximizing project economics. • Valves: Serves the upstream, midstream, and downstream markets with a broad portfolio of valves that are primarily used to control and direct the flow of hydrocarbons as they are moved from wellheads through flow lines, gathering lines, and transmission systems to refineries, petrochemical plants, and industrial centers for processing.
Furthermore, customer spending patterns for exploration 7 data, software, and other products may result in higher activity in the fourth quarter of the year as clients seek to fully utilize their annual budgets. Conversely, customer budget constraints in North America may lead to lower demand for our services and products in the fourth quarter of the year.
Furthermore, customer spending patterns for exploration data, software, and other products may result in higher activity in the fourth quarter of the year as clients seek to fully utilize their annual budgets. Conversely, customer budget constraints in North America may lead to lower demand for our services and products in the fourth quarter of the year.
There are three key components to SLB achieving the 2050 net-zero target: reducing operational emissions, reducing customer emissions that occur while using SLB technology, and taking carbon-negative actions of sufficient scale to offset any residual operating and technology emissions that the Company may have in 2050.
There are three key components to SLB achieving the 2050 net-zero target: reducing operational emissions, reducing customer emissions that occur while using SLB technology, and taking carbon-negative actions of sufficient scale to offset any residual operating and technology emissions that SLB may have in 2050.
While SLB seeks and holds a significant number of patents covering various products and processes, no particular patent or group of patents is material to SLB’s business. Seasonality Seasonal changes in weather and significant weather events can temporarily affect the delivery of SLB’s products and services.
While SLB seeks and holds a significant number of patents covering various products and processes, no particular patent or group of patents is material to SLB’s business. 7 Seasonality Seasonal changes in weather and significant weather events can temporarily affect the delivery of SLB’s products and services.
Customers SLB’s primary customers are national oil companies, large integrated oil companies, and independent operators. No single customer exceeded 10% of SLB’s consolidated revenue during each of 2023, 2022 and 2021. Governmental Regulations SLB is subject to numerous environmental and other governmental and regulatory requirements related to its operations worldwide. For additional details, see “Item 1(a).
Customers SLB’s primary customers are national oil companies, large integrated oil companies, and independent operators. No single customer exceeded 10% of SLB's consolidated revenue during each of 2024, 2023, and 2022. Governmental Regulations SLB is subject to numerous environmental and other governmental and regulatory requirements related to its operations worldwide. For additional details, see “Item 1(a).
SLB has numerous policies and programs to support our inclusive culture, including: • a global Code of Conduct that outlines the standards of behavior and ethics that all employees are expected to follow, and that prohibits any form of discrimination, harassment, or retaliation; • a global diversity, equity, and inclusion (“DEI”) strategy with a network of diversity and inclusion champions that promote DEI awareness and best practices; and • a global mobility program that enables employees to gain international exposure and experience and develop cross-cultural competencies.
SLB has numerous global policies and programs to support our inclusive culture, including: • a Code of Conduct that outlines the standards of behavior and ethics that all employees are expected to follow, and that prohibits any form of discrimination, harassment, or retaliation; • a diversity, equity, and inclusion (“DEI”) strategy supported by a network of inclusion champions that promote DEI awareness and best practices; and • a mobility program that enables employees to gain international exposure and experience and develop cross-cultural competencies.
Combines SLB’s services and products with drilling rig management and specialized engineering and project management expertise, to provide a complete solution from well construction to production improvement. As of December 31, 2023, SLB’s APS portfolio primarily consisted of three field production projects in Ecuador and one in Canada.
Combines SLB’s services and products with drilling rig management and specialized engineering and project management expertise, to provide a complete solution from well construction to production improvement. As of December 31, 2024, SLB’s APS portfolio primarily consisted of three field production projects in Ecuador and one in Canada.
Human Capital As a leading global technology company that operates in more than 100 countries with a workforce of approximately 111,000 people from diverse backgrounds, cultures, and nationalities, one of SLB’s greatest strengths is the diversity of our people.
Human Capital As a leading global technology company that operates in more than 100 countries with a workforce of approximately 110,000 people from diverse backgrounds, cultures, and nationalities, one of SLB’s greatest strengths is the diversity of our people.
This enables customers to evolve from legacy infrastructure and deliver new levels of value creation, with access to key resources such as storage and computing from our cloud partners and access to our industry-leading simulators.
This enables customers to evolve from legacy infrastructure and deliver new levels of value creation, with access to key resources such as storage and increased computing power from our cloud partners and our industry-leading simulators.
Production Systems – Develops technologies and provides expertise that enhance production and recovery from subsurface reservoirs to the surface, into pipelines, and to refineries. Production Systems provides a comprehensive portfolio of equipment and services including subsurface production systems, subsea and surface equipment and services, and midstream production systems.
Production Systems – Develops technologies and provides expertise that enhances production and recovery from subsurface reservoirs to the surface, into pipelines, and to refineries. Production Systems provides a comprehensive portfolio of equipment and services including subsurface production systems, subsea and surface equipment and services, and midstream production systems.
Building on decades of technology advancement, we will continue innovating new products, services and technologies that make the exploration, development and production of oil and gas assets cleaner, more resilient, and more efficient, with lower carbon emissions and less impact on the environment.
Building on decades of technology advancement, we will continue innovating new products, services and technologies that make the exploration, development and production of oil and gas assets cleaner, more cost effective, and more efficient, with lower carbon emissions and less impact on the environment.
Intellectual Property SLB owns or controls the industry’s leading portfolio of intellectual property, including but not limited to patents, proprietary information, trade secrets, and software tools and applications that, in the aggregate, are material to SLB’s business.
Intellectual Property SLB owns or controls one of the industry’s leading portfolios of intellectual property, including but not limited to patents, proprietary information, trade secrets, and software tools and applications that, in the aggregate, are material to SLB’s business.
The primary offerings comprising this Division are: • Drilling & Measurements: Provides mud logging services for geological and drilling surveillance, directional drilling, measurement-while-drilling, and logging-while-drilling services for all well profiles as well as engineering support. • Drilling Fluids: Supplies individually engineered drilling fluid systems that improve drilling performance and maintain well control and wellbore stability throughout drilling operations. • Drill Bits: Designs, manufactures, and markets roller cone and fixed cutter drill bits for all drilling environments. • Drilling Tools : Includes a wide variety of bottomhole assembly and borehole enlargement technologies for drilling operations. • Well Cementing : Provides products and services that secure and protect well casings while isolating fluid zones and maximizing wellbore activity. • Integrated Well Construction: Provides integrated solutions to construct or change the architecture (re-entry) of wells, including well planning, well drilling, engineering, supervision, logistics, procurement and contracting of third parties, and drilling rig management. • Rigs and Equipment : Provides drilling equipment, including pressure control equipment and rotary drilling equipment, and services for shipyards, drilling contractors, operators, and rental tool companies, as well as land drilling rigs and related services.
Well Construction provides operators and drilling rig manufacturers with services and products related to the design and construction of a well. 3 The primary offerings comprising this Division are: • Measurements: Provides services and associated engineering support for mud logging for geological and drilling surveillance, directional drilling, measurement-while-drilling, and logging-while-drilling services for all well profiles. • Drilling Fluids: Supplies individually engineered drilling fluid systems that improve drilling performance and maintain well control and wellbore stability throughout drilling operations as well as products and services that secure and protect well casings while isolating fluid zones and maximizing wellbore activity. • Equipment : Provides drilling equipment, including pressure control equipment and rotary drilling equipment, and services for drilling contractors, operators, and rental tool companies, and shipyards as well as land drilling rigs and related services. • Drilling: Designs, manufactures, and markets roller cone and fixed cutter drill bits for all drilling environments, as well as a wide variety of bottomhole assembly and borehole enlargement technologies for drilling operations. • Integrated Well Construction: Provides integrated solutions to construct or change the architecture of wells, including well planning, well drilling (including autonomous drilling), engineering, supervision, logistics, procurement and contracting of third parties, and drilling rig management.
The four Divisions are: • Digital & Integration • Reservoir Performance • Well Construction • Production Systems Digital & Integration – Combines SLB’s industry-leading digital solutions and data products with its integrated offering of Asset Performance Solutions (“APS”).
The four Divisions are: • Digital & Integration • Reservoir Performance • Well Construction • Production Systems Digital & Integration – Co mbines SLB’s industry-leading digital solutions and data products with its integrated offering of Asset Performance Solutions (“APS”).
This portfolio is supported by an industry-leading impact quantification framework and will continue to grow as sustainability is further embedded in the Company’s research and development process.
This portfolio is supported by an impact quantification framework and will continue to grow as sustainability is further embedded in SLB’s research and development process.
We are committed to leading our industry in this area and, in this regard, a number of years ago we established goals of having women represent 25% of our salaried workforce by 2025 and 30% by 2030. As of December 31, 2023, women represented just under 25% of our salaried workforce.
We are committed to leading our industry in this area and, in this regard, a number of years ago we established goals of having women represent 25% of our salaried workforce by 2025 and 30% by 2030. We reached our first milestone ahead of schedule, as women represented 25% of our salaried workforce as of December 31, 2024.
Through these centers we advance SLB’s technology programs to enhance industry efficiency, lower finding and producing costs, improve productivity, maximize reserve recovery, and increase asset value safely, securely, and sustainably.
Through these centers we advance SLB’s technology programs to enhance industry efficiency, lower finding and producing costs, improve productivity, maximize reserve recovery, and increase asset value safely, securely, and sustainably. These centers also support SLB's investments in lower carbon energy sources and carbon capture technologies.
Rakesh Jaggi 54 President, Digital and Integration, since April 2023; Senior Vice President, Sales & Commercial, May 2019 to March 2023; and President, Completions, March 2017 to May 2019. Gavin Rennick 49 President, New Energy, since April 2022; Vice President, Human Resources, February 2019 to March 2022; and President, Software Integrated Solutions, January 2017 to February 2019.
Rakesh Jaggi 55 President, Digital and Integration, since April 2023; and Senior Vice President, Sales & Commercial, May 2019 to March 2023. 8 Gavin Rennick 50 President, New Energy, since April 2022; and Vice President, Human Resources, February 2019 to March 2022.
Solutions are deployable on traditional on-premise IT infrastructures, the cloud, and the edge, allowing for full market coverage irrespective of customer constraints. • Exploration data and data processing: Provides comprehensive worldwide reservoir interpretation and data processing services, enabled by a scientifically advanced platform and innovative subsurface imaging techniques for exploration data, and includes one of the industry’s most extensive exploration data libraries. • Asset Performance Solutions: Offers an integrated business model for field production projects.
Digital Solutions also provides comprehensive reservoir interpretation and data processing services, enabled by a scientifically advanced platform and innovative subsurface imaging techniques for exploration data, and includes one of the industry’s most extensive exploration data libraries. • Asset Performance Solutions: Offers an integrated business model for field production projects.
SLB’s customers have access to leading digital products and services that help to meet their sustainability goals by driving transparency, better measurement, more effective planning, and more impactful and reliable outcomes. To continue elevating customer offerings, we are accelerating the adoption of our proprietary cloud offering Delfi™, enabling enterprise data management, delivering autonomous operations, and innovating through domain-driven artificial intelligence.
SLB’s customers have access to leading digital products that help to meet their sustainability goals by driving transparency, better measurement, more effective planning, and more impactful and reliable outcomes. To continue elevating customer offerings, we are accelerating the adoption of our proprietary Delfi™ offering, an open, scalable, and secure cloud-based software environment.
With a strong focus on customers, the Basins identify opportunities for growth, and are focused on agility, responsiveness, and competitiveness. Supporting the Divisions is a global network of research and development centers.
The Basins are further organized into GeoUnits, which can be a region, a single country, or comprise several countries. With a strong focus on customers, the Basins identify opportunities for growth, and are focused on agility, responsiveness, and competitiveness. Supporting the Divisions is a global network of research and development centers.
Geoenergy uses the ambient temperatures beneath the earth's surface to act as a thermal battery and dramatically reduce energy consumption from heating and cooling buildings, electrify and, therefore, drive both efficiency and decarbonization. • Stationary Energy Storage: Stationary energy storage is a key enabler to make variable renewable energy sources (such as solar or wind) a larger component of the world’s electricity systems enabling power to be delivered in the right place, at the right time, to meet demand.
Renewables and Energy Efficiency refers to our technology and business solutions designed to enable renewable energy expansion and greater energy efficiency, with a focus on geothermal, geoenergy, and energy storage. • Geothermal power leverages the heat of the earth to generate electricity or provide heat directly, by tapping into subsurface hot water and steam zones. • Geoenergy uses the ambient temperatures beneath the earth's surface to act as a thermal battery and dramatically reduce energy consumption from heating and cooling buildings, driving both efficiency and decarbonization. • Stationary energy storage is a key enabler to make variable renewable energy sources (such as solar or wind) a larger component of the world’s electricity systems enabling power to be delivered in the right place, at the right time, to meet demand.
Competition The principal methods of competition within the energy services industry are technological innovation, quality of service, and price differentiation. These factors vary geographically and are dependent upon the different services and products that SLB offers. SLB has numerous competitors, both large and small.
These factors vary geographically and are dependent upon the different services and products that SLB offers. SLB has numerous competitors, both large and small.
Offerings are founded upon proprietary and open-source data platform technologies, industry-leading simulators and workflow tools, and include domain-specific application of innovative digital capabilities, such as artificial intelligence and machine learning.
Offerings are founded upon proprietary and open-source data platform technologies, industry-leading simulators, and workflow tools, and include domain-specific application of innovative digital capabilities, such as artificial intelligence ("AI") and machine learning. Solutions are deployable on traditional on-premise IT infrastructures, the cloud, and the edge, allowing for full market coverage irrespective of customer constraints.
Kevin Fyfe 50 Vice President and Treasurer, since July 2022; and Vice President and Controller, October 2017 to June 2022. Howard Guild 52 Chief Accounting Officer, since July 2005.
Kevin Fyfe 51 Vice President and Treasurer, since July 2022; and Vice President and Controller, October 2017 to June 2022. Howard Guild 53 Chief Accounting Officer, since July 2005. Ugo Prechner 47 Vice President and Controller, since August 2022; Well Construction Controller, July 2020 to July 2022; and Controller Operations, August 2019 to June 2020.
We are building a broad, diverse portfolio across New Energy sectors, selected for their materiality and adjacency to existing SLB strengths and our ability to offer differentiated technology.
New Energy New Energy offers a significant opportunity to use SLB’s experience and scale to drive innovation for a low-carbon economy spanning industries beyond oil and gas. We are building a broad, diverse portfolio across New Energy sectors, selected for their materiality and adjacency to existing SLB strengths and our ability to offer differentiated technology.
SLB will continue building businesses and forging partnerships across various industries to focus on five key areas: carbon solutions, hydrogen, geothermal and geoenergy, stationary energy storage, and critical minerals.
SLB will continue building businesses and forging partnerships across various industries to focus on three key areas: Industrial Decarbonization, Renewables and Energy Efficiency, and Critical Minerals.
Information About Our Executive Officers The following table sets forth, as of January 24, 2024, the names and ages of SLB’s executive officers, including all offices and positions held by each executive officer during the past five years.
Information About Our Executive Officers The following table sets forth, as of January 22, 2025, the names and ages of SLB’s executive officers, including all offices and positions held by each executive officer during the past five years. Name Age Current Position and Five-Year Business Experience Olivier Le Peuch 61 Chief Executive Officer and Director, since August 2019.
Stephane Biguet 55 Executive Vice President and Chief Financial Officer, since January 2020; and Vice President, Finance, December 2017 to January 2020. Abdellah Merad 50 Executive Vice President, Core Services and Equipment, since April 2022; Executive Vice President, Performance Management, May 2019 to March 2022; and President, Production Group, October 2017 to April 2019.
Khaled Al Mogharbel 54 Executive Vice President, Geographies, since July 2020; and Executive Vice President, Operations, April 2019 to June 2020. Stephane Biguet 56 Executive Vice President and Chief Financial Officer, since January 2020. Abdellah Merad 51 Executive Vice President, Core Services and Equipment, since April 2022; and Executive Vice President, Performance Management, May 2019 to March 2022.
Digital Digital capabilities continue to grow throughout the energy industry as a key element of the complex systems required to meet current energy demand and to harness the promise of a lower-carbon future. SLB is uniquely positioned to support customers on their digital journeys by managing data migration, workflow redesign, and transition to the cloud.
Digital Digital capabilities continue to grow throughout the energy industry as a key element of the complex systems required to meet current energy demand, improve efficiency and to harness the promise of a lower-carbon future.
As renewables become a greater percentage of the energy mix, the need increases for additional long-duration energy storage to ensure the efficiency of renewable assets and the reliability of electricity systems. • Critical Minerals: SLB is applying its knowledge of extraction technologies and processing to the location and sources of critical minerals, such as lithium from brine deposits, that will be required to support the energy transition.
As renewables become a greater percentage of the energy mix, the need increases for additional long-duration energy storage to ensure the efficiency of renewable assets and the reliability of electricity systems.
This allows us to accelerate personal development while maximizing performance, fostering an agile workforce with the skills necessary to lead SLB today and into the future. SLB believes that through diversity, inclusivity, and learning and development, we can support our people to reach their full potential which unlocks value for all of our stakeholders.
Learning and Development SLB invests significantly in the learning and development of our people. We encourage a growth mindset and provide opportunities to our people for continuous learning throughout their career. This investment allows us to accelerate personal development while maximizing performance, fostering an agile workforce with the skills necessary to lead SLB today and into the future.
Genvia aims to deliver the most efficient and cost-effective solid oxide electrolyzer technology for producing clean hydrogen in hard-to-abate industrial settings—a key component of the energy transition. 5 • Geothermal and Geoenergy: Geothermal power leverages the heat of the earth to generate electricity or provide heat directly, by tapping into subsurface hot water and steam zones that are continuously recharged, both naturally and by injection.
Genvia aims to deliver the most efficient and cost-effective solid oxide electrolyzer technology for producing clean hydrogen in hard-to-abate industrial settings—a key component of the energy transition.
Core Consisting of our Reservoir Performance, WeIl Construction and Production Systems Divisions, Core remains SLB’s largest engine of growth.
With a balanced energy transition in mind, our strategy is focused on three engines of growth: Core, Digital, and New Energy. 4 Core Consisting of our Reservoir Performance, WeIl Construction and Production Systems Divisions, Core remains SLB’s largest engine of growth.
Demosthenis Pafitis 56 Chief Technology Officer, since February 2020; and Senior Vice President, SLB 4.0 Platforms, from December 2017 to January 2020.
Demosthenis Pafitis 57 Chief Technology Officer, since February 2020; and Senior Vice President, SLB 4.0 Platforms, December 2017 to January 2020. Dianne Ralston 58 Chief Legal Officer, since December 2020, and Secretary, since April 2021; and Executive Vice President, Chief Legal Officer, and Secretary, TechnipFMC plc (a global oilfield services company), January 2017 to September 2020.
Our evolving offering of on-premises solutions allows us to support the digital transition journey of customers that prefer or are required to maintain data solutions locally. New Energy New Energy offers a significant opportunity to use SLB’s experience and scale to drive innovation for a low-carbon economy spanning industries beyond oil and gas.
Our evolving offering of on-premises solutions allows us to support the digital transition journey of customers that prefer or are required to maintain data solutions locally. Through our Lumi TM data and AI platform, we also enable data-driven decision making for our customers across the energy industry.
The Basins are configured around common regional characteristics that enable us to deploy fit-for-purpose technologies, operating models, and skills to meet the specific customer needs in each Basin. The Basins are further organized into GeoUnits, which can be a region, a single country, or made up of several countries.
SLB's four Divisions operate through a geographical structure of four Basins that are aligned with critical concentrations of activity: Americas Land, Offshore Atlantic, Middle East & North Africa, and Asia. The Basins are configured around common regional characteristics that enable us to deploy fit-for-purpose technologies, operating models, and skills to meet the specific customer needs in each Basin.
In addition, SLB is developing digital platforms to support emissions management for carbon and methane that will allow clients to measure, monitor, and plan abatement strategies. • Hydrogen: SLB is investing in low-carbon hydrogen generation technologies.
In addition, SLB is developing digital platforms to support emissions management for carbon and methane that will allow clients to measure, monitor, and plan abatement strategies. 5 • SLB has also invested in Genvia, a unique private-public partnership that combines SLB’s expertise and experience with that of the French Atomic Energy and Alternative Energies Commission and partners.
These centers also support SLB's New Energy investments in lower carbon energy sources and carbon capture technologies. 4 Corporate Strategy The evolving marketplace will require bold new technologies and ideas, digital transformation and a deep commitment to sustainability. With a balanced energy transition in mind, our strategy is focused on three engines of growth: Core, Digital and New Energy.
Corporate Strategy The evolving marketplace will require bold new technologies and ideas, digital transformation and a deep commitment to sustainability.
Dianne Ralston 57 Chief Legal Officer, since December 2020, and Secretary, since April 2021; and Executive Vice President, Chief Legal Officer, and Secretary, TechnipFMC plc (a global oilfield services company), January 2017 to September 2020. 8 Carmen Rando Bejar 46 Chief People Officer, since April 2022; Vice President, Global Business Services, September 2019 to March 2022; and Operational Planning and Resource Manager, Drilling and Measurements, April 2018 to August 2019.
Carmen Rando Bejar 47 Chief People Officer, since April 2022; and Vice President, Global Business Services, September 2019 to March 2022.
With industry-leading reservoir modeling capabilities, SLB has been in the CCS business for more than three decades. The Company is actively progressing CCS technologies to enable widespread adoption of CCS and is going beyond subsurface characterization and well construction to include capture technology, project economics, technology selection, and permitting.
Industrial Decarbonization focuses on providing technology and business solutions in the field of carbon capture and sequestration (“CCS”) and low-carbon hydrogen for hard-to-abate industries. • SLB has been in the CCS business for more than three decades and is actively progressing technologies to enable widespread adoption of CCS at scale.
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The primary offerings comprising this Division are: • Wireline: Provides the information necessary to evaluate subsurface geology and fluids to plan and monitor well construction and to monitor and evaluate well production through both openhole and cased hole services, including wireline logging and perforating. • Testing: Provides exploration and production pressure and flow-rate measurement services both at the surface and downhole supported by a network of laboratories that facilitate rock and fluid characterization. • Stimulation and Intervention : Provides services used during well completions, as well as those used to maintain optimal production throughout the life of a well, including pressure pumping, well stimulation, and coiled tubing equipment for downhole mechanical well intervention and coiled-tubing drilling, reservoir monitoring, and downhole data acquisition. 3 Well Construction – Combines the full portfolio of products and services to optimize well placement and performance, maximize drilling efficiency, and improve wellbore assurance.
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The primary offerings comprising this Division are: • Evaluation: Provides the measurement, interpretation, and insights necessary to understand the subsurface geology and fluids through wireline logging, downhole testing and rock and fluid analysis services. • Stimulation : Provides services to restore or enhance well productivity through hydraulic fracturing, matrix stimulation, and water treatment. • Intervention : Provides a comprehensive approach to oil and gas operators to increase their intervention success rates and maximize recovery from brownfields through cased hole wireline and perforations, coiled-tubing interventions, slickline, and reservoir monitoring.
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Well Construction provides operators and drilling rig manufacturers with services and products related to designing and constructing a well.
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Well Construction – Combines the full portfolio of products and services to optimize well placement and performance, maximize drilling efficiency, and improve wellbore assurance.
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On October 2, 2023, SLB, Aker Solutions (“Aker”), and Subsea7 closed their previously announced joint venture. The new business, OneSubsea, will drive innovation and efficiency in subsea production by helping customers unlock reserves and reduce cycle time.
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ChampionX Transaction On April 2, 2024, SLB announced a definitive agreement to purchase ChampionX Corporation ("ChampionX") in an all-stock transaction. ChampionX is a global leader in chemistry solutions, artificial lift systems, and highly engineered equipment and technologies that help companies drill for and produce oil and gas safely, efficiently, and sustainably around the world.
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OneSubsea now comprises SLB’s and Aker’s subsea businesses, which include an extensive complementary subsea production and processing technology portfolio, world-class manufacturing scale and capacity, access to industry-leading reservoir and digital domain expertise, unique pore-to-process integration capabilities, and strengthened research and development capabilities. SLB owns 70% of the joint venture, while Aker owns 20% and Subsea7 owns 10%.
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Under the terms of the agreement, ChampionX shareholders will receive 0.735 shares of SLB common stock in exchange for each ChampionX share. At the closing of the transaction ChampionX shareholders will own approximately 9% of SLB's outstanding shares of common stock. ChampionX reported revenue of approximately $2.7 billion for the nine months ended September 30, 2024.
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As the majority owner and controlling entity, SLB is considered the acquirer and reflects OneSubsea as a consolidated subsidiary in its Consolidated Financial Statements . SLB's four Divisions operate through a geographical structure of four Basins that are aligned with critical concentrations of activity: Americas Land, Offshore Atlantic, Middle East & North Africa, and Asia.
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The transaction, which is subject to regulatory approvals and other customary closing conditions, received the approval of the ChampionX stockholders at a special meeting held on June 18, 2024. It is anticipated that the transaction will close in the first quarter of 2025.
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Our ambition is to seed technology capabilities in each of these domains, and then grow throughout the decade, ultimately scaling our New Energy offering into the Company’s fastest growing and largest division. • Carbon Solutions : Carbon capture, and sequestration (“CCS”) is critical to advancing decarbonization and achieving the goals of the Paris Agreement on climate change.
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SLB is uniquely positioned to support customers on their digital journeys by providing an offering which spans planning and operational workflows, underpinned by a data platform which allows customers to realize efficiency gains through AI.
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One such investment is Genvia, a unique private-public partnership that combines SLB’s expertise and experience with that of the French Atomic Energy and Alternative Energies Commission and partners.
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Data from a wide variety of sources across the subsurface and operations value chain can be accessed, facilitating AI-driven decision making at scale. The platform can connect diverse industry data sources, inclusive of on-premises data platforms and customer data infrastructure. We are also focused on using digital technology to enhance operational performance for our customers.
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Learning and Development SLB invests significantly in the learning and development of our people. We strive to identify talent early, and to provide employees who demonstrate exceptional performance with opportunities to progress to higher levels within the organization.
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Our software products sold directly to customers, which are agnostic to equipment provider, enable automation and autonomy to reduce cost and improve performance. However, we also provide digital services to enhance the SLB equipment and service offering in our Core Divisions. Many of these services use embedded AI to automate insights and differentiate our service delivery offering.
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Name Age Current Position and Five-Year Business Experience Olivier Le Peuch 60 Chief Executive Officer and Director, since August 2019; Chief Operating Officer, February 2019 to July 2019; and Executive Vice President, Reservoir and Infrastructure, May 2018 to February 2019.
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Our expertise extends beyond subsurface characterization and well construction to include capture technology, project economics, technology selection, and permitting. This includes the recent establishment of SLB Capturi, offering a modular product platform of industrial-scale carbon capture solutions.
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Khaled Al Mogharbel 53 Executive Vice President, Geographies, since July 2020; Executive Vice President, Operations, April 2019 to June 2020; Executive Vice President, Eastern Hemisphere, February 2019 to March 2019; and President, Eastern Hemisphere, May 2017 to January 2019.
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Critical Minerals is a business area where SLB is applying its knowledge of extraction technologies and processing to the location and sourcing of critical minerals, such as lithium from brine deposits, which will be required to support the energy transition.
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Katharina Beumelburg 47 Chief Strategy and Sustainability Officer, since May 2021; Senior Vice President, Transmission Service, Siemens Energy, Siemens AG (a multinational industrial manufacturing company), April 2020 to May 2021; and Executive Vice President, Strategy, Siemens Gas and Power, Siemens AG, November 2016 to April 2020.
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An example of this is our demonstration plant in Clayton Valley, Nevada, which integrates direct lithium extraction, concentration and conversion technologies to more sustainably produce lithium at scale. This is achieved much faster than conventional methods, while using significantly less land, water and chemical reagents.
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Ugo Prechner 46 Vice President and Controller, since August 2022; Well Construction Controller, July 2020 to July 2022; Controller Operations, August 2019 to June 2020; and M-I SWACO Controller, October 2017 to August 2019. Vijay Kasibhatla 60 Director, Mergers and Acquisitions, since January 2013. 9
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SLB believes that through diversity, inclusivity, and growth mindset, we can support our people to reach their full potential, which unlocks value for all of our stakeholders. Competition The principal methods of competition within the energy services industry are technological innovation, quality of service, and price differentiation.
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Vijay Kasibhatla 61 Director, Mergers and Acquisitions, since January 2013. 9

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

25 edited+6 added−6 removed56 unchanged
Biggest changeGeneral Risk Factors Our aspirations, goals, and initiatives related to sustainability and emissions reduction, and our public statements and disclosures regarding them, expose us to numerous risks. We have developed, and will continue to develop and set, goals, targets, and other objectives related to sustainability matters, including our net-zero emissions target and our energy transition strategy.
Biggest changeWe have developed, and will continue to develop and set, goals, targets, and other objectives related to sustainability matters, including our net-zero emissions target and our energy transition strategy. Statements related to these goals, targets, and objectives reflect our current plans and aspirations and do not constitute a guarantee that they will be achieved.
Historically, oil and gas prices have experienced significant volatility and can be affected by a variety of factors, including: • changes in the supply of and demand for hydrocarbons, which are affected by general economic and business conditions; • the costs of exploring for, producing, and delivering oil and gas; • the ability or willingness of the Organization of Petroleum Exporting Countries and the expanded alliance known as OPEC+ to set and maintain production levels for oil; • the level of oil and gas exploration and production activity; • the level of excess production capacity; • the level of refining and storage capacity; • the level of oil and gas inventories; • access to potential resources; • political and economic uncertainty and geopolitical unrest; • governmental laws, policies, regulations, subsidies, and other actions, including initiatives to promote the use of renewable energy sources; • speculation as to the future price of oil and the speculative trading of oil and gas futures contracts; • technological advances affecting energy consumption; and • extreme weather conditions, natural disasters, and public health or similar issues, such as pandemics and epidemics.
Historically, oil and gas prices have experienced significant volatility and can be affected by a variety of factors, including: • changes in the supply of and demand for hydrocarbons, which are affected by general economic and business conditions; • the costs of exploring for, producing, and delivering oil and gas; • the ability or willingness of the Organization of Petroleum Exporting Countries (OPEC) and the expanded alliance known as OPEC+ to set and maintain production levels for oil; • the level of oil and gas exploration and production activity; • the level of excess production capacity; • the level of refining and storage capacity; • the level of oil and gas inventories; • access to potential resources; • political and economic uncertainty and geopolitical unrest; • governmental laws, policies, regulations, subsidies, and other actions, including initiatives to promote the use of renewable energy sources; • speculation as to the future price of oil and the speculative trading of oil and gas futures contracts; • technological advances affecting energy consumption; and • extreme weather conditions, natural disasters, and public health or similar issues, such as pandemics and epidemics.
Unauthorized access to or modification of, or actions disabling our ability to obtain authorized access to, our customers’ data, other external data, personal data, or our own data, as a result of a cyber incident, attack or exploitation of a security vulnerability, or loss of control of our clients’ operations could result in significant damage to our reputation or disruption of the services we provide to our customers or of our customers’ businesses.
Unauthorized access to or modification of, or actions disabling our ability to obtain authorized access to, our customers’ data, other external data, personal data, or our own data, as a result of a cyber incident, attack or exploitation of a security vulnerability, or loss of 11 control of our clients’ operations could result in significant damage to our reputation or disruption of the services we provide to our customers or of our customers’ businesses.
We are subject to numerous laws and regulations relating to environmental protection, including those governing air and GHG emissions, water discharges and waste management, as well as the importation and use of hazardous materials, radioactive materials, chemicals, and explosives. The technical requirements of these laws and regulations are becoming increasingly complex, stringent, and expensive to implement.
We are subject to numerous laws and regulations relating to environmental protection, including those governing GHG and other air emissions, water discharges and waste management, as well as the importation and use of hazardous materials, radioactive materials, chemicals, and explosives. The technical requirements of these laws and regulations are becoming increasingly complex, stringent, and expensive to implement.
Continuation or escalation of the conflict may also exacerbate this and other risk factors identified in this Form 10-K, including cybersecurity, regulatory, and reputational risks. Failure to effectively and timely address the energy transition could adversely affect our business, results of operations, and cash flows.
Continuation or escalation of the conflict may also exacerbate this and other risk factors identified in this Form 10-K, including cybersecurity, regulatory, and reputational risks. Failure to effectively and timely address the energy transition could adversely affect our reputation, business, results of operations, and cash flows.
In addition, allegations, reports, or concerns regarding vulnerabilities affecting our digital products or services could damage our reputation. This could lead to fewer customers using our digital products and services, which 11 could have a material adverse impact on our financial condition, results of operations, cash flows, and future prospects.
In addition, allegations, reports, or concerns regarding vulnerabilities affecting our digital products or services could damage our reputation. This could lead to fewer customers using our digital products and services, which could have a material adverse impact on our financial condition, results of operations, cash flows, and future prospects.
As a result, we or our customers may become subject to court orders compelling a reduction of GHG emissions or requiring mitigation of the effects of climate change. There is also increased focus by our customers, investors and other stakeholders on climate change, sustainability, and energy transition matters.
As a result, we or our customers may become subject to court orders compelling a reduction of GHG emissions or requiring mitigation of the effects of climate change, or requiring other mitigation actions. There is also increased focus by our customers, investors and other stakeholders on climate change, sustainability, and energy transition matters.
We continue to actively monitor the dynamic situation in Ukraine and applicable laws, sanctions and trade control restrictions resulting from the conflict.
We continue to actively monitor the dynamic situation in Russia and Ukraine and applicable laws, sanctions and trade control restrictions resulting from the conflict.
The extent to which our operations, financial results and cash flows may be affected by the ongoing conflict in Ukraine will depend on various factors, including the extent and duration of the conflict; the effects of the conflict on regional and global economic and geopolitical conditions; the effect of further laws, sanctions and trade control restrictions on our business, the global economy and global supply chains; and the impact of fluctuations in the exchange rate of the ruble.
The extent to which our reputation, operations, financial results and cash flows, including the ability to repatriate cash, may be affected by the ongoing conflict in Ukraine will depend on various factors, including the extent and duration of the conflict; the effects of the conflict on regional and global economic and geopolitical conditions; the effect of further laws, sanctions and trade control restrictions on our business, the global economy and global supply chains; and the impact of fluctuations in the exchange rate of the ruble.
Our digital technologies and services, as well as third-party products, services and technologies that we rely on (including emerging technologies, such as artificial intelligence programs), are subject to the risk of cyberattacks and, given the nature of such attacks, some incidents can remain undetected for a period of time despite efforts to detect and respond to them in a timely manner.
Our digital technologies and services, as well as third-party products, services and technologies that we rely on (including emerging technologies, such as AI programs), are subject to the risk of cyberattacks and, given the nature of such attacks, some incidents can remain undetected for a period of time despite efforts to detect and respond to them in a timely manner.
These factors include, but are not limited to, the following: • uncertain or volatile political, social, and economic conditions; • exposure to expropriation, nationalization, deprivation or confiscation of our assets or the assets of our customers, or other governmental actions; 10 • social unrest, acts of terrorism, war, or other armed conflict; • confiscatory taxation or other adverse tax policies; • theft of, or lack of sufficient legal protection for, proprietary technology and other intellectual property; • deprivation of contract rights; • trade and economic sanctions or other restrictions imposed by the European Union, the United States, the United Kingdom, China, or other regions or countries that could restrict or curtail our ability to operate in certain markets; • public health crises; • unexpected changes in legal and regulatory requirements, including changes in interpretation or enforcement of existing laws; • restrictions on the repatriation of income or capital; • currency exchange controls; • inflation; and • currency exchange rate fluctuations and devaluations.
These factors include, but are not limited to, the following: • uncertain or volatile political, social, and economic conditions; • exposure to expropriation, nationalization, deprivation or confiscation of our assets or the assets of our customers, or other governmental actions; • social unrest, acts of terrorism, war, or other armed conflict; 10 • confiscatory taxation or other adverse tax policies; • theft of, or lack of sufficient legal protection for, proprietary technology and other intellectual property; • deprivation of contract rights; • trade and economic sanctions or other restrictions imposed by the European Union, the United States, the United Kingdom, China, or other regions or countries that could restrict or curtail our ability to operate in certain markets; • public health crises; • local content and other similar regional requirements; • unexpected changes in legal and regulatory requirements, including changes in interpretation or enforcement of existing laws; • restrictions on the repatriation of income or capital; • supply chain disruptions; • currency exchange controls; • currency exchange rate fluctuations and devaluations; and • inflation.
Our operations are subject to cyber incidents that could have a material adverse effect on our business, financial condition, results of operations, and cash flows. Our success depends in part on our ability to provide effective cyber security protection in connection with our digital technologies and services as well as our internal digital infrastructure.
Our operations are subject to cyber incidents that could have a material adverse effect on our reputation, business, financial condition, results of operations, and cash flows. Our success depends in part on our ability to provide effective cybersecurity protection in connection with our digital technologies and services as well as our internal digital infrastructure.
Cyberattacks are expected to accelerate on a global basis in both frequency and magnitude as threat actors are becoming increasingly sophisticated in using techniques and tools (including artificial intelligence) that circumvent controls, evade detection and even remove forensic evidence of the infiltration.
Cyberattacks are expected to accelerate on a global basis in both frequency and magnitude as threat actors are becoming increasingly sophisticated in using techniques and tools (including AI) that circumvent controls, evade detection and even remove forensic evidence of the infiltration.
Accidents or acts of malfeasance involving these services or equipment, or a failure of a product (including as a result of a cyberattack), could cause personal injury, loss of life, damage to or destruction of property, equipment or the environment, or suspension of operations, which could materially adversely affect us.
Accidents or acts of malfeasance involving these services (including remotely operated services) or equipment, or a failure of a product or service (including as a result of a cyberattack), could cause personal injury, loss of life, damage to or destruction of property, equipment or the environment, or suspension of operations, which could materially adversely affect us.
Disruptions in the political, regulatory, economic, and social environments of the countries in which we operate could adversely affect our reputation, financial condition, results of operations and cash flows. We are a global technology company, and our non-US operations accounted for approximately 84% of our consolidated revenue in 2023 and 2022, and 85% in 2021.
Disruptions in the political, regulatory, economic, and social environments of the countries in which we operate or globally could adversely affect our reputation, financial condition, results of operations and cash flows. We are a global technology company, and our non-US operations accounted for approximately 85% of our consolidated revenue in 2024, and 84% in 2023 and 2022.
There can be no assurance that the systems we have designed to prevent or limit the effects of cyber incidents or attacks will be sufficient to prevent or detect material consequences arising from such incidents or attacks, or to avoid a material adverse impact on our systems after such incidents or attacks do occur.
There can be no assurance that our cybersecurity risk management program, processes, or systems we have designed to prevent or limit the effects of cyber incidents or attacks will be sufficient to prevent or detect material consequences arising from such incidents or attacks, or to avoid a material adverse impact on our systems after such incidents or attacks do occur.
Our operations are subject to international, regional, national, and local laws and regulations in every place where we operate, relating to matters such as environmental protection, health and safety, labor and employment, human rights, import/export controls, currency exchange, bribery and corruption, data privacy and cybersecurity, intellectual property, immigration, and taxation.
Our operations are subject to international, regional, national, and local laws and regulations in every place where we operate, relating to matters such as environmental protection, health and safety, labor and employment, human rights, import/export controls, currency, emissions reporting, exchange, bribery and corruption, anti-money laundering, data privacy and cybersecurity, intellectual property, immigration, antitrust, and taxation.
In addition, increasing attention to the risks of climate change has resulted in an increased possibility of litigation or investigations brought by public and private entities against oil and gas companies in connection with their GHG emissions.
In addition, increasing attention to the risks of climate change has resulted in an increased possibility of litigation or investigations brought by public and private entities against oil and gas companies in connection with their GHG emissions, as well as descriptions of their sustainable products and services.
If the energy transition landscape changes faster than anticipated or in a manner that we do not anticipate, demand for our products and services could be adversely affected.
If the energy transition landscape changes faster than anticipated or in a manner that we do not anticipate, demand for our products and services, as well as our relationships with various stakeholders, could be adversely affected.
Russia represented approximately 5% of our worldwide revenue during 2023. The carrying value of our net assets in Russia was approximately $0.6 billion as of December 31, 2023. This consisted of $0.2 billion of receivables, $0.3 billion of fixed assets, $0.4 billion of other assets, and $0.3 billion of current liabilities.
Russia represented approximately 4% of our worldwide revenue during 2024. The carrying value of our net assets in Russia was approximately $0.6 billion as of December 31, 2024. This consisted of $0.1 billion of cash and short-term investments, $0.3 billion of receivables, $0.2 billion of fixed assets, $0.3 billion of other assets, and $0.3 billion of current liabilities.
Any damages caused by our services or products that are not covered by insurance or are in excess of policy limits or subject to substantial deductibles, could adversely affect our financial condition, results of operations, and cash flows.
Any damages caused by our services or products that are not covered by insurance or are in excess of policy limits or subject to substantial deductibles, could adversely affect our financial condition, results of operations, and cash flows. Risks Related to the Proposed Acquisition of ChampionX We may be unable to complete the proposed acquisition of ChampionX.
Our targets are based on empirical data and estimates that reflect our understanding of current best practices for measuring or estimating emissions or other metrics, but we anticipate that future innovations in both measurement technologies and estimation methodologies could cause us to revise our baseline as well as re-calculate progress toward our targets. 13 Our business faces increased scrutiny from certain investors and other stakeholders related to our sustainability activities, including the goals, targets, and objectives that we announce, and our methodologies and timelines for pursuing them.
Our targets are based on empirical data and estimates that reflect our understanding of current best practices for measuring or estimating emissions or other metrics, but we anticipate that future innovations in both measurement technologies and estimation methodologies could cause us to revise our baseline as well as re-calculate progress toward our targets.
Our ability to achieve any stated goal, target, or objective, including with respect to emissions reduction, is subject to numerous factors and conditions, some of which are outside of our contro l.
Our efforts to research, establish, accomplish, and accurately report on these goals, targets, and objectives expose us to numerous operational, reputational, financial, legal, and other risks. Our ability to achieve any stated goal, target, or objective, including with respect to emissions reduction, is subject to numerous factors and conditions, some of which are outside of our contro l.
Existing or future laws, regulations, court orders or other public- or private-sector initiatives to limit greenhouse gas emissions or relating to climate change may reduce demand for our products and services. 12 Continuing political and social attention to the issue of climate change has resulted in both existing and proposed international agreements and national, regional, and local legislation and regulatory measures to limit GHG emissions and mitigate the effects of climate change.
Continuing political and social attention to the issue of climate change has resulted in both existing and proposed international agreements and national, regional, and local legislation and regulatory measures to limit GHG emissions and mitigate the effects of climate change.
In addition, any major violations could have a significant effect on our reputation and consequently on our ability to win future business and maintain existing customer and supplier relationships.
In addition, any major violations could have a significant effect on our reputation and consequently on our ability to win future business and maintain existing customer and supplier relationships. 12 Existing or future laws, regulations, court orders or other public- or private-sector initiatives to limit greenhouse gas emissions or relating to climate change may reduce demand for our products and services.
Removed
Statements related to these goals, targets, and objectives reflect our current plans and aspirations and do not constitute a guarantee that they will be achieved. Our efforts to research, establish, accomplish, and accurately report on these goals, targets, and objectives expose us to numerous operational, reputational, financial, legal, and other risks.
Added
We or ChampionX may terminate the merger agreement between the parties (the “merger agreement”) in certain circumstances as described in our Current Report on Form 8-K filed with the SEC on April 2, 2024.
Removed
Any such extreme weather events may result in increased operating costs or decreases in revenue. Public health emergencies, such as the COVID-19 pandemic, and resulting adverse economic conditions have had, and may continue to have, a material adverse effect on our financial condition, results of operations, and cash flows.
Added
If the proposed acquisition is not completed for any reason, including as a result of failure to obtain required regulatory approvals, the market price of our common stock may be adversely affected; we may experience negative reactions from the financial markets, customers, suppliers and other constituencies; we will be required to pay certain costs relating to the acquisition; and we may be required to pay a termination fee under certain circumstances set forth in the merger agreement. 13 We may fail to realize the anticipated benefits of the proposed acquisition of ChampionX.
Removed
Public health emergencies, including the COVID-19 pandemic, have caused, and could again cause, a significant reduction in global economic activity, significantly weakening demand for oil and gas, and in turn, demand for our products and services.
Added
If the acquisition is completed, the success of the acquisition will depend on, among other things, our ability to combine our business with that of ChampionX in a manner that facilitates growth opportunities and realizes anticipated synergies.
Removed
Other effects of public health emergencies have included, and may continue to include, significant volatility and disruption of the global financial markets; adverse revenue and net income effects; disruptions to our operations, including suspension or deferral of drilling activities; customer shutdowns of oil and gas exploration and production; downward revisions to customer budgets; limitations on access to sources of liquidity; supply chain disruptions; limitations on access to raw materials; employee impacts from illness; and local and regional closures or lockdowns, including temporary closures of our facilities and the facilities of our customers and suppliers.
Added
If we are not able to successfully achieve these objectives, the anticipated benefits of the acquisition may not be realized fully, or at all, or may take longer to realize than expected. General Risk Factors Our aspirations, goals, and initiatives related to sustainability and emissions reduction, and our public statements and disclosures regarding them, expose us to numerous risks.
Removed
The extent to which our operating and financial results will be and may continue to be affected by public health emergencies will depend on various factors beyond our control, such as the continued severity and duration of the public health emergencies, including any sustained geographic resurgence; the emergence of new variants and strains of a contagious disease or virus; and the success of actions to contain or mitigate the effects of the public health emergency.
Added
Our business faces increased scrutiny from certain investors and other stakeholders related to our sustainability activities, including the goals, targets, and objectives that we announce, and our methodologies and timelines for pursuing them.
Removed
A public health emergency, and volatile regional and global economic conditions stemming from a public health emergency, could also aggravate our other risk factors described in this Form 10-K.
Added
Any such extreme weather events may result in increased operating costs or decreases in revenue.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

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Biggest changeSLB's common stock repurchase program activity for the three months ended December 31, 2023 was as follows: 16 (Stated in thousands, except per share amounts) Total number of shares purchased Average price paid per share Total number of shares purchased as part of publicly announced plans or programs Maximum value of shares that may yet be purchased under the plans or programs October 2023 598.9 $ 58.10 598.9 $ 8,343,538 November 2023 618.2 $ 53.96 618.2 $ 8,310,182 December 2023 619.9 $ 51.44 619.9 $ 8,278,295 1,837.0 $ 54.46 1,837.0 Unregistered Sales of Equity Securities On October 2, 2023, SLB, Aker and Subsea7 closed their previously announced joint venture.
Biggest changeSLB's common stock repurchase program activity for the three months ended December 31, 2024 was as follows: 16 (Stated in thousands, except per share amounts) Total number of shares purchased Average price paid per share Total number of shares purchased as part of publicly announced plans or programs Maximum value of shares that may yet be purchased under the plans or programs October 2024 5,545.1 $ 42.80 5,545.1 $ 6,805,195 November 2024 2,992.6 $ 42.47 2,992.6 $ 6,678,093 December 2024 3,221.6 $ 42.45 3,221.6 $ 6,541,326 11,759.3 $ 42.62 11,759.3 Unregistered Sales of Equity Securities None.
It assumes $100 was invested on December 31, 2018 in SLB common stock, in the S&P 500 Index and in the Philadelphia Oil Service Index, as well as the reinvestment of dividends on the last day of the month of payment. The stockholder return set forth below is not necessarily indicative of future performance.
It assumes $100 was invested on December 31, 2019 in SLB common stock, in the S&P 500 Index and in the Philadelphia Oil Service Index, as well as the reinvestment of dividends on the last day of the month of payment. The stockholder return set forth below is not necessarily indicative of future performance.
Comparison of Five-Year Cumulative Total Return Among SLB Common Stock, the S&P 500 Index and the Philadelphia Oil Service Index Share Repurchases On January 21, 2016, the SLB Board of Directors approved a $10 billion share repurchase program for SLB common stock. SLB had cumulatively repurchased $1.7 billion of its common stock under this program as of December 31, 2023.
Comparison of Five-Year Cumulative Total Return Among SLB Common Stock, the S&P 500 Index and the Philadelphia Oil Service Index Share Repurchases On January 21, 2016, the SLB Board of Directors approved a $10 billion share repurchase program for SLB common stock. SLB cumulatively repurchased $3.5 billion of its common stock under this program as of December 31, 2024.
Item 5. Market for Registrant’s Common Equity, Related Sto ckholder Matters and Issuer Purchases of Equity Securities. As of December 31, 2023, there were 21,444 stockholders of record.
Item 5. Market for Registrant’s Common Equity, Related Sto ckholder Matters and Issuer Purchases of Equity Securities. As of December 31, 2024, there were 20,762 stockholders of record.
Removed
In addition to contributing its subsea business to the joint venture, at closing SLB issued 5.1 million shares of its common stock valued at $306.5 million to Aker through a private placement pursuant to Rule 144A. Item 6. [R eserved]. 17

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

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Biggest changeThe following is a summary of the 2023 charges and credits: (Stated in millions) Pretax Charge (Credit) Tax Benefit (Expense) Noncontrolling Interests Net First quarter: Gain on sale of Liberty shares $ (36 ) $ (8 ) $ - $ (28 ) Fourth quarter: Merger and integration 56 8 8 40 Currency devaluation loss in Argentina 90 - - 90 $ 110 $ - $ 8 $ 102 The following is a summary of the 2022 charges and credits: (Stated in millions) Pretax Charge (Credit) Tax Benefit (Expense) Net First quarter: Gain on sale of Liberty shares $ (26 ) $ (4 ) $ (22 ) Second quarter: Gain on sale of Liberty shares (215 ) (14 ) (201 ) Gain on sale of real estate (43 ) (2 ) (41 ) Fourth quarter: Gain on sale of Liberty shares (84 ) (19 ) (65 ) Loss on Blue Chip Swap transactions 139 - 139 Gain on ADC equity investment (107 ) (3 ) (104 ) Gain on repurchase of bonds (11 ) (2 ) (9 ) $ (347 ) $ (44 ) $ (303 ) 22 Liquidity and Capital Resources Details of the components of liquidity as well as changes in liquidity follow: (Stated in millions) Dec. 31, Dec. 31, Components of Liquidity: 2023 2022 Cash $ 2,900 $ 1,655 Short-term investments 1,089 1,239 Short-term borrowings and current portion of long-term debt (1,123 ) (1,632 ) Long-term debt (10,842 ) (10,594 ) Net debt (1) $ (7,976 ) $ (9,332 ) Changes in Liquidity: 2023 2022 Net income $ 4,275 $ 3,492 Charges and credits 110 (347 ) Depreciation and amortization (2) 2,312 2,147 Stock-based compensation expense 293 313 Deferred taxes 28 (39 ) Earnings of equity method investments, less dividends received (132 ) (96 ) Increase in working capital (215 ) (1,709 ) US federal tax refund 85 - Other (119 ) (41 ) Cash flow from operations 6,637 3,720 Capital expenditures (1,939 ) (1,618 ) APS investments (507 ) (587 ) Exploration data capitalized (153 ) (97 ) Free cash flow (3) 4,038 1,418 Dividends paid (1,317 ) (848 ) Stock repurchase program (694 ) - Proceeds from employee stock purchase plan 191 141 Proceeds from exercise of stock options 90 81 Taxes paid on net-settled stock-based compensation awards (169 ) (93 ) Business acquisitions and investments, net of cash acquired plus debt assumed (330 ) (58 ) Proceeds from sale of Liberty shares 137 732 Proceeds from sale of ADC shares - 223 Proceeds from sale of real estate - 120 Purchases of Blue Chip Swap securities (185 ) (259 ) Proceeds from sales of Blue Chip Swap securities 97 111 Other (195 ) (105 ) Change in net debt before impact of changes in foreign exchange rates on net debt 1,663 1,463 Impact of changes in foreign exchange rates on net debt (307 ) 261 Decrease in Net Debt 1,356 1,724 Net Debt, Beginning of period (9,332 ) (11,056 ) Net Debt, End of period $ (7,976 ) $ (9,332 ) (1) “ Net debt” represents gross debt less cash and short-term investments.
Biggest changeThe following is a summary of the 2024 charges and credits: (Stated in millions) Pretax Charge (Credit) Tax Benefit (Expense) Noncontrolling Interest Net First quarter: Merger & integration $ 25 $ 6 $ 5 $ 14 Second quarter: Workforce reductions 111 17 - 94 Merger & integration 31 5 8 18 Third quarter - Workforce reductions 65 10 - 55 Merger & integration 47 10 7 30 Fourth quarter - Asset impairments 162 23 - 139 Merger & integration 63 6 7 50 Workforce reductions 61 10 - 51 Gain on sale of investment (24 ) - - (24 ) $ 541 $ 87 $ 27 $ 427 The following is a summary of the 2023 charges and credits: 21 (Stated in millions) Pretax Charge (Credit) Tax Benefit (Expense) Noncontrolling Interests Net First quarter: Gain on sale of Liberty shares $ (36 ) $ (8 ) $ - $ (28 ) Fourth quarter: Merger and integration 56 8 8 40 Currency devaluation loss in Argentina 90 - - 90 $ 110 $ - $ 8 $ 102 Liquidity and Capital Resources Details of the components of liquidity as well as changes in liquidity follow: (Stated in millions) Dec. 31, Dec. 31, Components of Liquidity: 2024 2023 Cash $ 3,544 $ 2,900 Short-term investments 1,125 1,089 Short-term borrowings and current portion of long-term debt (1,051 ) (1,123 ) Long-term debt (11,023 ) (10,842 ) Net debt (1) $ (7,405 ) $ (7,976 ) Changes in Liquidity: 2024 2023 Net income $ 4,579 $ 4,275 Charges and credits 541 110 Depreciation and amortization (2) 2,519 2,312 Stock-based compensation expense 316 293 Earnings of equity method investments, less dividends received (18 ) (132 ) Increase in working capital (1,379 ) (215 ) US federal tax refund - 85 Other 44 (91 ) Cash flow from operations 6,602 6,637 Capital expenditures (1,931 ) (1,939 ) APS investments (483 ) (507 ) Exploration data capitalized (198 ) (153 ) Free cash flow (3) 3,990 4,038 Dividends paid (1,533 ) (1,317 ) Stock repurchase program (1,737 ) (694 ) Proceeds from employee stock purchase plan 219 191 Proceeds from exercise of stock options 29 90 Taxes paid on net-settled stock-based compensation awards (90 ) (169 ) Business acquisitions and investments, net of cash acquired plus debt assumed (553 ) (330 ) Proceeds from sale of Liberty shares - 137 Purchases of Blue Chip Swap securities (207 ) (185 ) Proceeds from sales of Blue Chip Swap securities 152 97 Other 53 (195 ) Change in net debt before impact of changes in foreign exchange rates 323 1,663 Impact of changes in foreign exchange rates 248 (307 ) Decrease in Net Debt 571 1,356 Net Debt, Beginning of period (7,976 ) (9,332 ) Net Debt, End of period $ (7,405 ) $ (7,976 ) (1) “Net debt” represents gross debt less cash and short-term investments.
However, except for a $469 million accounts receivable write-off during 2017 as a result of the political and economic conditions in Venezuela, SLB has not historically had material write-offs due to uncollectible accounts receivable. SLB has a global footprint in more than 100 countries.
However, except for a $469 million write-off during 2017 as a result of the political and economic conditions in Venezuela, SLB has not historically had material write-offs due to uncollectible accounts receivable. SLB has a global footprint in more than 100 countries.
In such an event, SLB will record additional tax expense or tax benefit in the period in which such resolution occurs. Revenue Recognition for Certain Long-term Construction-type Contracts SLB recognizes revenue for certain long-term construction-type contracts over time. These contracts involve significant design and engineering efforts in order to satisfy custom designs for customer-specific applications.
In such an event, SLB will record additional tax expense or tax benefit in the period in which such resolution occurs. 25 Revenue Recognition for Certain Long-term Construction-type Contracts SLB recognizes revenue for certain long-term construction-type contracts over time. These contracts involve significant design and engineering efforts in order to satisfy custom designs for customer-specific applications.
Adjustments to the allowance 25 may be required in future periods depending on how such potential issues are resolved, or if the financial condition of SLB’s customers were to deteriorate resulting in an impairment of their ability to make payments.
Adjustments to the allowance may be required in future periods depending on how such potential issues are resolved, or if the financial condition of SLB’s customers were to deteriorate resulting in an impairment of their ability to make payments.
Based on this assessment, SLB concluded it was more likely than not that the fair value of each of its reporting units was significantly greater than its carrying amount. Accordingly, no further testing was required.
Based on this assessment, SLB concluded it was more likely than not that the fair value of each of its reporting units was greater than its carrying amount. Accordingly, no further testing was required.
(2) Includes depreciation of fixed assets and amortization of intangible assets, exploration data costs and APS investments. (3) “Free cash flow” represents cash flow from operations less capital expenditures, APS investments and exploration data costs capitalized.
(2) Includes depreciation of fixed assets and amortization of intangible assets, exploration data costs and APS investments. 22 (3) “Free cash flow” represents cash flow from operations less capital expenditures, APS investments and exploration data costs capitalized.
The following accounting policies involve “critical accounting estimates” because they are particularly dependent on estimates and assumptions made by SLB about matters that are inherently uncertain.
The following accounting policies involve “critical accounting 24 estimates” because they are particularly dependent on estimates and assumptions made by SLB about matters that are inherently uncertain.
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations. The following discussion and analysis contains forward-looking statements, including, without limitation, statements relating to our plans, strategies, objectives, expectations, intentions, and resources. Such forward-looking statements should be read in conjunction with our disclosures under “Item 1A. Risk Factors” of this Form 10-K.
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations. The following discussion and analysis contains forward-looking statements, including, without limitation, statements relating to our plans, strategies, objectives, expectations, intentions, and resources. Such forward-looking statements should be read in conjunction with our disclosures under “Item 1A. Risk Factors” of this Annual Report on Form 10-K.
SLB has the option to bypass the qualitative assessment for any reporting unit in any period and proceed directly to performing the quantitative goodwill impairment test. SLB elected to perform the qualitative assessment described above for purposes of its annual goodwill impairment test in 2023.
SLB has the option to bypass the qualitative assessment for any reporting unit in any period and proceed directly to performing the quantitative goodwill impairment test. SLB elected to perform the qualitative assessment described above for purposes of its annual goodwill impairment test in 2024.
Under this method, revenue is recognized as work progresses on each contract. Progress is measured by the ratio of actual costs incurred to date on the project in relation to total estimated project costs. Approximately 6% of SLB’s revenue in 2023, 5% in 2022 and 6% in 2021, was recognized under this method.
Under this method, revenue is recognized as work progresses on each contract. Progress is measured by the ratio of actual costs incurred to date on the project in relation to total estimated project costs. Approximately 9% of SLB’s revenue in 2024, 6% in 2023, and 5% in 2022, was recognized under this method.
This section of the Form 10-K generally discusses 2023 and 2022 items and year-to-year comparisons between 2023 and 2022.
This section of the Form 10-K generally discusses 2024 and 2023 items and year-to-year comparisons between 2024 and 2023.
(2) Excludes interest income included in the segments’ income (fourth quarter 2023: $11 million; third quarter 2023: $2 million). (3) Excludes interest expense included in the segments’ income (fourth quarter 2023: $4 million; third quarter 2023: $3 million). (4) Charges and credits are described in detail in Note 3 to the Consolidated Financial Statements .
(2) Excludes interest income included in the segments’ income (fourth quarter 2024: $10 million; third quarter 2024: $16 million). (3) Excludes interest expense included in the segments’ income (fourth quarter 2024: $3 million; third quarter 2024: $4 million). (4) Charges and credits are described in detail in Note 3 to the Consolidated Financial Statements .
The following summarizes the discount rates utilized by SLB for its various pension and postretirement benefit plans: • The discount rate utilized to determine the liability for SLB’s United States pension plans and postretirement medical plan was 5.25% at December 31, 2023 and 5.50% at December 31, 2022. • The weighted-average discount rate utilized to determine the liability for SLB’s international pension plans was 5.14% at December 31, 2023 and 5.41% at December 31, 2022. • The discount rate utilized to determine expense for SLB’s United States pension plans and postretirement medical plan was 5.50% in 2023 and 3.00% in 2022. • The weighted-average discount rate utilized to determine expense for SLB’s international pension plans was 5.41% in 2023 and 2.83% in 2022.
The following summarizes the discount rates utilized by SLB for its various pension and postretirement benefit plans: • The discount rate utilized to determine the liability for SLB’s United States pension plans and postretirement medical plan was 5.70% at December 31, 2024 and 5.25% at December 31, 2023. • The weighted-average discount rate utilized to determine the liability for SLB’s international pension plans was 5.67% at December 31, 2024 and 5.14% at December 31, 2023. • The discount rate utilized to determine expense for SLB’s United States pension plans and postretirement medical plan was 5.25% in 2024 and 5.50% in 2023. • The weighted-average discount rate utilized to determine expense for SLB’s international pension plans was 5.14% in 2024 and 5.41% in 2023.
The average expected rate of return on plan assets for the United States pension plans was 6.00% in 2023 and 4.40% in 2022. The weighted average expected rate of return on plan assets for the international pension plans was 6.00% in 2023 and 5.05% in 2022. A higher expected rate of return decreases pension expense.
The average expected rate of return on plan assets for the United States pension plans was 6.00% in both 2024 and 2023. The weighted average expected rate of return on plan assets for the international pension plans was 5.91% in 2024 and 6.00% in 2023. A higher expected rate of return decreases pension expense.
The following illustrates the sensitivity to changes in certain assumptions, holding all other assumptions constant, for SLB’s United States and international pension plans: (Stated in millions) Effect on Effect on 2023 Dec. 31, 2023 Change in Assumption Pretax Expense Obligation 25 basis point decrease in discount rate -$3 +$356 25 basis point increase in discount rate +$15 -$338 25 basis point decrease in expected return on plan assets +$35 - 25 basis point increase in expected return on plan assets -$35 - The following illustrates the sensitivity to changes in certain assumptions, holding all other assumptions constant, for SLB’s United States postretirement medical plans: (Stated in millions) Effect on Effect on 2023 Dec. 31, 2023 Change in Assumption Pretax Expense Obligation 25 basis point decrease in discount rate -$2 +$23 25 basis point increase in discount rate +$2 -$22 27
The following illustrates the sensitivity to changes in certain assumptions, holding all other assumptions constant, for SLB’s United States and international pension plans: (Stated in millions) Effect on Effect on 2024 Dec. 31, 2024 Change in Assumption Pretax Expense Obligation 25 basis point decrease in discount rate -$1 +$324 25 basis point increase in discount rate +$3 -$308 25 basis point decrease in expected return on plan assets +$31 - 25 basis point increase in expected return on plan assets -$31 - The following illustrates the sensitivity to changes in certain assumptions, holding all other assumptions constant, for SLB’s United States postretirement medical plans: (Stated in millions) Effect on Effect on 2024 Dec. 31, 2024 Change in Assumption Pretax Expense Obligation 25 basis point decrease in discount rate +$2 +$22 25 basis point increase in discount rate -$2 -$21 26
As of December 31, 2023, three of those countries individually accounted for greater than 5% of SLB’s net accounts receivable balance, of which only two (the United States and Mexico) accounted for greater than 10% of such receivables. As of December 31, 2023, Mexico and the United States represented 13% and 11% respectively, of SLB’s net accounts receivable balance.
As of December 31, 2024, three of those countries individually accounted for greater than 5% of SLB’s net accounts receivable balance, of which only one (the United States) accounted for greater than 10% of such receivables. As of December 31, 2024, the United States represented 11% of SLB’s net accounts receivable balance.
In January 2024, SLB announced a 10% increase to its quarterly cash dividend from $0.25 per share of outstanding common stock to $0.275 per share, beginning with the dividend payable in April 2024. • As of December 31, 2023, SLB had cumulatively repurchased $1.7 billion of its common stock under its $10 billion share repurchase program.
In January 2025, SLB announced a 3.6% increase to its quarterly dividend from $0.275 per share of outstanding common stock to $0.285 per share, beginning with the dividend payable in April 2025. • As of December 31, 2024, SLB cumulatively repurchased $3.5 billion of its common stock under its $10 billion share repurchase program.
In April 2022, SLB announced a 40% increase to its quarterly cash dividend from $0.125 per share of outstanding common stock to $0.175 per share, beginning with the dividend payable in July 2022. Dividends paid during 2023 and 2022 were $1.3 billion and $0.8 billion, respectively.
In January 2023, SLB announced a 43% increase to its quarterly cash dividend from $0.175 per share of outstanding common stock to $0.25 per share, beginning with the dividend paid in April 2023. Dividends paid during 2024 and 2023 were $1.5 billion and $1.3 billion, respectively.
Discussions of 2021 items and year-to-year comparison between 2022 and 2021 that are not included in this Form 10-K can be found in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 of SLB’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022. 2023 Executive Overview 2023 was a remarkable year marked by widespread revenue growth, margin expansion, and exceptional cash flow.
Discussions of 2022 items and year-to-year comparison between 2023 and 2022 that are not included in this Form 10-K can be found in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 of SLB’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023. 2024 Executive Overview 2024 was a strong year for SLB as we successfully navigated evolving market conditions to deliver revenue growth, margin expansion, and solid free cash flow.
Full-Year 2023 Results (Stated in millions) 2023 2022 Pretax Pretax Revenue Income Revenue Income Digital & Integration $ 3,871 $ 1,257 $ 3,725 $ 1,357 Reservoir Performance 6,561 1,263 5,553 881 Well Construction 13,478 2,932 11,397 2,202 Production Systems 9,831 1,245 7,862 748 Eliminations & other (606 ) (174 ) (446 ) (177 ) Pretax segment operating income 6,523 5,011 Corporate & other (1) (729 ) (637 ) Interest income (2) 87 27 Interest expense (3) (489 ) (477 ) Charges & credits (4) (110 ) 347 $ 33,135 $ 5,282 $ 28,091 $ 4,271 (1) Comprised principally of certain corporate expenses not allocated to the segments, stock-based compensation costs, amortization expense associated with certain intangible assets, certain centrally managed initiatives, and other nonoperating items.
Full-Year 2024 Results (Stated in millions) 2024 2023 Pretax Pretax Revenue Income Revenue Income Digital & Integration $ 4,247 $ 1,408 $ 3,871 $ 1,257 Reservoir Performance 7,177 1,452 6,561 1,263 Well Construction 13,357 2,826 13,478 2,932 Production Systems 12,143 1,898 9,831 1,245 Eliminations & other (635 ) (263 ) (606 ) (174 ) Pretax segment operating income 7,321 6,523 Corporate & other (1) (744 ) (729 ) Interest income (2) 134 87 Interest expense (3) (498 ) (489 ) Charges & credits (4) (541 ) (110 ) $ 36,289 $ 5,672 $ 33,135 $ 5,282 (1) Comprised principally of certain corporate expenses not allocated to the segments, stock-based compensation costs, amortization expense associated with certain intangible assets, certain centrally managed initiatives, and other nonoperating items.
(2) Excludes interest income included in the segments’ income (2023: $13 million; 2022: $72 million). (3) Excludes interest expense included in the segments’ income (2023: $14 million; 2022: $13 million) . (4) Charges and credits are described in detail in Note 3 to the Consolidated Financial Statements .
(2) Excludes interest income included in the segments’ income (2024: $40 million; 2023: $13 million). (3) Excludes interest expense included in the segments’ income (2024: $14 million; 2023: $14 million). (4) Charges and credits are described in detail in Note 3 to the Consolidated Financial Statements . Full-year 2024 revenue of $36.3 billion increased 10% year on year.
Free cash flow is a non-GAAP financial measure that should be considered in addition to, not as a substitute for or superior to, cash flow from operations. Key liquidity events during 2023 and 2022 included: • Cash flow from operations of $6.6 billion in 2023 increased approximately $2.9 billion as compared to 2022.
Free cash flow is a non-GAAP financial measure that should be considered in addition to, not as a substitute for or superior to, cash flow from operations.
The goodwill relating to each of SLB’s reporting units is tested for impairment annually as well as when an event, or change in circumstances, indicates an impairment may have occurred.
Goodwill, Intangible Assets and Long-Lived Assets SLB records the excess of purchase price over the fair value of the tangible and identifiable intangible assets acquired and liabilities assumed as goodwill. The goodwill relating to each of SLB’s reporting units is tested for impairment annually as well as when an event, or change in circumstances, indicates an impairment may have occurred.
Due to the nature of these projects, adjustments to estimates of contract revenue and total contract costs are often required as work progresses.
Due to the nature of these projects, adjustments to estimates of contract revenue and total contract costs are often required as work progresses. Any expected losses on a project are recorded in full in the period in which they become probable.
The discount rate that SLB uses reflects the prevailing market rate of a portfolio of high-quality debt instruments with maturities matching the expected timing of payment of the related benefit obligations.
These assumptions are important elements of expense and/or liability measurement and are updated on an annual basis, or upon the occurrence of significant events. The discount rate that SLB uses reflects the prevailing market rate of a portfolio of high-quality debt instruments with maturities matching the expected timing of payment of the related benefit obligations.
Additionally, SLB received a US federal tax refund of $85 million during the fourth quarter of 2023 relating to prior years. • In January 2023, SLB announced a 43% increase to its quarterly cash dividend from $0.175 per share of outstanding common stock to $0.25 per share, beginning with the dividend payable in April 2023.
Key liquidity events during 2024 and 2023 included: • In January 2024, SLB announced a 10% increase to its quarterly cash dividend from $0.25 per share of outstanding common stock to $0.275 per share, beginning with the dividend paid in April 2024.
Year on year, revenue grew 18%, pretax segment operating margin increased 185 basis points (“bps”) to 20% and we delivered $6.6 billion of cash flow from operations and $4.0 billion of free cash flow—allowing us to reduce net debt by $1.4 billion and return $2.0 billion to shareholders this year through dividends and stock repurchases.
Year on year, revenue increased by 10% and pretax segment operating income grew by 12%, while we generated $6.6 billion in cash flow from operations and $4.0 billion in free cash flow, enabling us to return $3.3 billion to shareholders and reduce net debt by $571 million.
SLB’s receivables from its primary customer in Mexico are not in dispute and SLB has not historically had any material write-offs due to uncollectible accounts receivable relating to this customer. Goodwill, Intangible Assets and Long-Lived Assets SLB records the excess of purchase price over the fair value of the tangible and identifiable intangible assets acquired and liabilities assumed as goodwill.
As of December 31, 2024, Mexico represented 9.7% of SLB's net accounts receivable balance. (See Note 10 to the Consolidated Financial Statements ). SLB’s receivables from its primary customer in Mexico are not in dispute and SLB has not historically had any material write-offs due to uncollectible accounts receivable relating to this customer.
SLB believes these amounts, along with cash generated by ongoing operations, will be sufficient to meet future business requirements for the next 12 months and beyond. 24 The following table reflects the carrying amounts of SLB’s debt at December 31, 2023 by year of maturity: (Stated in millions) After 2024 2025 2026 2027 2028 2029 2030 2031 2032 Total Fixed rate debt 0.00% Notes $553 553 3.75% Senior Notes 355 355 3.70% Notes 54 54 4.00% Senior Notes $523 523 1.40% Senior Notes 499 499 1.375% Guaranteed Notes $1,104 1,104 1.00% Guaranteed Notes 662 662 0.25% Notes $994 994 4.50% Senior Notes $497 497 3.90% Senior Notes 1,471 1,471 4.30% Senior Notes $847 847 2.65% Senior Notes $1,250 1,250 0.50% Notes $992 992 2.00% Guaranteed Notes $1,098 1,098 4.85% Senior Notes 496 496 7.00% Notes 199 199 5.95% Notes 112 112 5.13% Notes 98 98 Total fixed rate debt $962 $1,022 $1,766 $994 $1,968 $847 $1,250 $992 $2,003 $11,804 Variable rate debt 161 - - - - - - - - 161 Total $1,123 $1,022 $1,766 $994 $1,968 $847 $1,250 $992 $2,003 $11,965 Interest payments on fixed rate debt obligations by year are as follows: (Stated in millions) 2024 $ 367 2025 348 2026 312 2027 282 2028 212 Thereafter 631 $ 2,152 See Note 14, Leases of the Consolidated Financial Statements for details regarding SLB’s lease obligations.
The following table reflects the carrying amounts of SLB’s debt at December 31, 2024 by year of maturity: (Stated in millions) After 2025 2026 2027 2028 2029 2030 2031 2032 2032 Total Fixed rate debt 4.00% Senior Notes $ 523 523 1.40% Senior Notes 500 500 1.375% Guaranteed Notes $ 1,040 1,040 1.00% Guaranteed Notes 624 624 0.25% Notes $ 936 936 5.00% Senior Notes 495 495 3.90% Senior Notes $ 1,478 1,478 4.50% Senior Notes 497 497 4.30% Senior Notes $ 848 848 5.00% Senior Notes 493 493 2.65% Senior Notes $ 1,250 1,250 0.50% Notes $ 935 935 2.00% Guaranteed Notes $ 1,034 1,034 4.85% Senior Notes $ 498 498 5.00% Senior Notes 489 489 7.00% Notes 197 197 5.95% Notes 111 111 5.13% Notes 98 98 Total fixed rate debt $ 1,023 $ 1,664 $ 1,431 $ 1,975 $ 1,341 $ 1,250 $ 935 $ 1,034 $ 1,393 $ 12,046 Variable rate debt 28 - - - - - - - - 28 Total $ 1,051 $ 1,664 $ 1,431 $ 1,975 $ 1,341 $ 1,250 $ 935 $ 1,034 $ 1,393 $ 12,074 Interest payments on fixed rate debt obligations by year are as follows: (Stated in millions) 2025 $ 421 2026 387 2027 341 2028 262 2029 192 Thereafter 584 $ 2,187 See Note 14, Leases of the Consolidated Financial Statements for details regarding SLB’s lease obligations.
As of December 31, 2023, SLB had $3.99 billion of cash and short-term investments and committed credit facility agreements with commercial banks aggregating $5.0 billion, all of which was available and unused.
As a result, SLB recognized a gain of $36 million. • During the second quarter of 2023, SLB issued $500 million of 4.50% Senior Notes due 2028 and $500 million of 4.85% Senior Notes due 2033. • During the fourth quarter of 2023, SLB repaid its $1.5 billion of 3.65% Senior Notes that were outstanding. 23 As of December 31, 2024, SLB had $4.67 billion of cash and short-term investments and committed credit facility agreements with commercial banks aggregating $5.0 billion, all of which was available.
The obligations and related costs are calculated using actuarial concepts, which include critical assumptions related to the discount rate and the expected rate of return on plan assets. These assumptions are important elements of expense and/or liability measurement and are updated on an annual basis, or upon the occurrence of significant events.
Pension and Postretirement Benefits SLB’s pension and postretirement benefit obligations are described in detail in Note 17 to the Consolidated Financial Statements . The obligations and related costs are calculated using actuarial concepts, which include critical assumptions related to the discount rate and the expected rate of return on plan assets.
Additionally, we plan to increase share repurchases in 2024, visibly enhancing returns to shareholders for the full year. 18 Fourth Quarter 2023 Results (Stated in millions) Fourth Quarter 2023 Third Quarter 2023 Pretax Pretax Revenue Income Revenue Income Digital & Integration $ 1,049 $ 356 $ 982 $ 314 Reservoir Performance 1,735 371 1,680 344 Well Construction 3,426 770 3,430 759 Production Systems 2,944 442 2,367 319 Eliminations & other (164 ) (71 ) (149 ) (53 ) Pretax segment operating income 1,868 1,683 Corporate & other (1) (193 ) (182 ) Interest income (2) 30 20 Interest expense (3) (126 ) (126 ) Charges & credits (4) (146 ) - $ 8,990 $ 1,433 $ 8,310 $ 1,395 (1) Comprised principally of certain corporate expenses not allocated to the segments, stock-based compensation costs, amortization expense associated with certain intangible assets, certain centrally managed initiatives, and other nonoperating items.
This positions us to increase total return to shareholders, in the form of dividends and share repurchases, from $3.3 billion in 2024 to at least $4 billion in 2025. 18 Fourth Quarter 2024 Results (Stated in millions) Fourth Quarter 2024 Third Quarter 2024 Pretax Pretax Revenue Income Revenue Income Digital & Integration $ 1,156 $ 442 $ 1,088 $ 386 Reservoir Performance 1,810 370 1,823 367 Well Construction 3,267 681 3,312 714 Production Systems 3,197 506 3,103 519 Eliminations & other (146 ) (81 ) (167 ) (84 ) Pretax segment operating income 1,918 1,902 Corporate & other (1) (177 ) (187 ) Interest income (2) 36 36 Interest expense (3) (128 ) (132 ) Charges & credits (4) (262 ) (112 ) $ 9,284 $ 1,387 $ 9,159 $ 1,507 (1) Comprised principally of certain corporate expenses not allocated to the segments, stock-based compensation costs, amortization expense associated with certain intangible assets, certain centrally managed initiatives, and other nonoperating items.
Reservoir Performance Reservoir Performance revenue of $6.6 billion increased 18% year on year due primarily to increased activity internationally. Reservoir Performance pretax operating margin expanded 338 bps to 19% primarily due to higher activity levels and improved pricing. Well Construction Well Construction revenue of $13.5 billion increased 18% year on year with double-digit growth across all areas.
Reservoir Performance pretax operating margin of 20% expanded 99 bps year on year due to improved profitability in the international markets driven by higher activity and improved pricing from increased technology intensity. Well Construction Well Construction revenue of $13.4 billion decreased 1% year on year.
Digital & Integration Digital & Integration revenue of $3.9 billion increased 4% year on year, as strong growth in digital sales was largely offset by lower APS revenue and decreased exploration data licensing sales.
Digital & Integration Digital & Integration revenue of $4.2 billion increased 10% year on year due to growth in digital revenue as APS revenue was essentially flat.
Europe & Africa grew 18% primarily from higher sales of production systems in Europe and increased activity in offshore Africa, while Latin America revenue increased 17% due to robust drilling activity and higher sales of production systems.
Revenue in Latin America declined 3% sequentially primarily due to reduced drilling activity in Mexico. North America revenue of $1.8 billion increased 4% sequentially due to higher digital sales, increased sales of production systems, and increased drilling activity in U.S. land and Canada.
Interest Expense Interest expense of $503 million in 2023 increased $13 million compared to 2022. 21 Other Research & engineering and General & administrative expenses, as a percentage of Revenue , were as follows: 2023 2022 Research & engineering 2.1 % 2.3 % General & administrative 1.1 % 1.3 % Income Taxes The SLB effective tax rate is sensitive to the geographic mix of earnings.
Other Research & engineering and General & administrative expenses, as a percentage of Revenue , were as follows: 2024 2023 Research & engineering 2.1 % 2.1 % General & administrative 1.1 % 1.1 % Charges and Credits SLB recorded charges and credits during 2024 and 2023.
Capital investments during 2024 are expected to be approximately $2.6 billion. • During the first quarter of 2023, SLB sold all of its remaining approximately 9 million shares of Liberty and received net proceeds of $137 million. As a result, SLB recognized a gain of $36 million.
Additionally, after the expiration of the put option, SLB has the right to purchase ACC’s 20% interest in the combined business during the following six months for a price based on the fair market value of the combined business subject to a floor of NOK 1.5 billion and a ceiling of NOK 2.6 billion. • During the first quarter of 2023, SLB sold all of its remaining approximately 9 million shares of Liberty and received net proceeds of $137 million.
This increase was primarily driven by higher activity, pricing, and improved operating leverage. Well Construction Well Construction revenue of $3.4 billion was flat sequentially with international growth being offset by a decline in North America revenue. International revenue increased 2% driven primarily by strong growth in the Middle East & Asia and Africa.
Fourth-quarter revenue of $9.3 billion increased 1% sequentially, driven by digital sales in North America and higher activity in the Middle East, Europe and North Africa.
Europe & Africa increased 16% sequentially driven by the acquired Aker subsea business, which accounted for most of the sequential revenue growth, primarily in Scandinavia. Revenue in the Middle East & Asia increased 11% sequentially driven by higher drilling, intervention, stimulation, and evaluation activity, both on land and offshore.
Excluding the contribution of the acquired Aker subsea business, international revenue increased 7% primarily driven by higher activity in the Middle East & Asia. North America revenue decreased 1% due to lower drilling in US land.
North America revenue decreased 7% on a lower US land rig count. Well Construction pretax operating margin of 22% increased 35 bps sequentially primarily driven by improved profitability from the increased activity in the Middle East & Asia and Africa. 19 Production Systems Production Systems revenue of $2.94 billion increased 24% sequentially.
Well Construction pretax operating margin of 21% decreased 59 bps year on year driven by the reduced activity in North America. 20 Production Systems Production Systems revenue of $12.1 billion increased 24% year on year mainly due to the acquisition of the Aker subsea business.
Fourth-quarter revenue of $9.0 billion increased 8% sequentially with the acquired Aker subsea business accounting for approximately 70% of the growth, while the legacy portfolio continued its growth trajectory in the international markets. International revenue of $7.3 billion grew 10% sequentially, driven by Europe & Africa and the Middle East & Asia.
The Middle East & Asia achieved record revenues, while growth in Europe & Africa was bolstered by the Aker subsea business, which was acquired in the fourth quarter of 2023. Excluding this acquired business, international revenue increased 7% year over year, outperforming the rig count over the same period.
With confidence in the strength and longevity of the cycle and visibility into sustained strong cash flows, in January 2024, our Board of Directors approved a 10% increase to our quarterly dividend.
Together, this is laying a strong foundation for our business. Given our confidence in the business outlook and our ability to continue generating strong cash flows, in January 2025 our Board of Directors approved a 3.6% increase to our quarterly dividend. Additionally, we entered into accelerated share repurchase transactions to repurchase $2.3 billion of SLB common stock.
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Our strong full-year performance was fueled by substantial international growth, with approximately 90% of our international GeoUnits posting year-on-year increases, complemented by sustained performance in North America. International revenue grew 20% year on year by more than $4 billion.
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These results demonstrate SLB’s ability to deliver consistent financial performance despite moderating upstream investment growth, driven by our global scale, unmatched digital offerings and ongoing focus on cost optimization. Our full-year results were highlighted by 12% international revenue growth. This performance was led by the Middle East & Asia and Europe & Africa, which grew 18% and 13%, respectively.
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Notably, we achieved our highest-ever revenue in the Middle East, led by impressive growth in Saudi Arabia, the United Arab Emirates, and Egypt & East Mediterranean GeoUnits.
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Our Core divisions — Reservoir Performance, Well Construction and Production Systems — delivered 9% revenue growth compared to the prior year, led by 24% growth in Production Systems, largely due to the subsea acquisition. Production Systems grew 9% organically due to double-digit increases in surface systems, completions and artificial lift.
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In the offshore basins, we benefited from long-cycle developments, capacity expansions, and exploration and appraisal activities with remarkable growth in Brazil and Angola, and solid increases in the US Gulf of Mexico, Guyana, and Norway. In North America, while activity moderated as expected in the second half of the year, revenue increased 12% year on year, outpacing the rig count.
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Reservoir Performance also delivered 9% growth, underpinned by strong stimulation and intervention activity in the production space. Digital & Integration revenue increased 10% year on year, driven by 20% growth in digital, which reached $2.44 billion for the year.
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This outperformance was driven by our technology-leveraged portfolio in both US land and the US Gulf of Mexico. On a divisional basis, our Core business—comprising Reservoir Performance, Well Construction, and Production Systems—accelerated, growing revenue 20% year on year and expanding pretax segment operating margin 277 bps. Digital & Integration revenue increased 4% year on year.
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Accelerated adoption of our digital technologies marked a milestone year, highlighted by strategic collaborations with cross-industry leaders, the launch of the Lumi™ data and AI platform, new Performance Live™ centers to enable remote operations, and the achievement of fully autonomous drilling operations.
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This was led by digital, which continued strong growth momentum, delivering more than $2 billion in revenue. Our success in digital was driven by further adoption of Delfi technology and customers embracing our connected and autonomous drilling, data, and AI solutions. We also saw continued adoption of our Transition Technologies portfolio as customers look to enhance efficiency and reduce emissions.
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Our fit-for-basin approach, domain expertise and integration capabilities have established us as the performance partner of choice for addressing the operating challenges our customers face throughout the life cycle of their assets. As operators across the industry increasingly prioritize production and recovery, our strengths are more critical than ever.
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The imperative to operate more sustainably is translating into tangible investments by our customers, resulting in the portfolio generating more than $1 billion of revenue. As global energy demand continues to increase, international production is expected to play a key role in meeting supply through the end of the decade.
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With the anticipated completion of our announced acquisition of ChampionX, we are set to further strengthen our production and recovery capabilities, enabling us to deliver even greater value to our customers. This strategic acquisition will also enhance the resilience of the SLB portfolio, providing some stability against the cycles in the years to come.
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Notably, we anticipate record investment levels in the Middle East extending beyond 2025, with significant expansion in Saudi Arabia, the United Arab Emirates, Iraq, and Kuwait.
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While upstream investment growth will remain subdued in the short term due to global oversupply, we anticipate that the oil supply imbalance will gradually abate.
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Offshore remains another distinct attribute of this durable growth cycle, serving as an important source for production growth and capacity additions, and we expect strong activity to continue in Brazil, West Africa, the Eastern Mediterranean, the Middle East, and Southeast Asia.
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Global economic growth and a heightened focus on energy security, coupled with rising energy demand from AI and data centers will support the investment outlook for the oil and gas industry throughout the rest of the decade.
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In the international environment, despite elevated geopolitical tensions in various regions, we do not anticipate a significant impact on the sector's overall activity, absent any escalation. Furthermore, we expect the long-cycle investments across the Middle East, global offshore, and gas resource plays to be largely decoupled from short-term commodity price fluctuations.
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In our Core business, we are making unmatched contributions to the discovery, development and extraction of oil and gas reserves, fueling global energy supply. We have the leading offering in digital. And we are pursuing a meaningful opportunity in New Energy and decarbonization, where we have established a differentiated market position.
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In 2024, SLB expects to experience another year of strong growth driven by the international markets. Benefiting from these market dynamics, we foresee further growth led by Production Systems, strengthened by the additional subsea opportunities from our OneSubsea joint venture. Sustained momentum is expected in Reservoir Performance, accompanied by increased activity in Well Construction.
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On a divisional basis, Digital & Integration led the growth, driven by increased demand for digital products and solutions, while Production Systems benefited from strong backlog conversion as customers continued to invest in maximizing recovery from existing assets. International revenue of $7.5 billion increased 1% sequentially driven by the Middle East & Asia and Europe & Africa.
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Additionally, we expect continued customer adoption of our Digital business, particularly in our new technology platforms. Our performance and returns-focused strategy, combined with our differentiated market positioning and digital capabilities, will drive profitable growth and further margin expansion, setting a strong foundation for long-term outperformance.
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The Middle East & Asia grew 2% sequentially driven by strong activity in the United Arab Emirates, higher drilling in Egypt, and increased stimulation, intervention, and evaluation activity in Qatar. These gains were offset by weaker performance in Saudi Arabia and Australia. Europe & Africa also grew 2% sequentially largely driven by increased activity in Europe and North Africa.
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North America revenue of $1.6 billion was flat sequentially as reduced drilling activity in US land and Canada was offset by higher offshore revenue in the US Gulf of Mexico. Compared to the same quarter last year, fourth-quarter 2023 international revenue outpaced North America, growing 18%, while North America was relatively flat.
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Digital & Integration Digital & Integration revenue of $1.2 billion increased 6% sequentially driven by 10% growth in digital revenue, supported by greater adoption of digital technologies and higher sales of exploration data, particularly in the U.S. Gulf of Mexico. Asset Performance Solutions (“APS”) revenue was flat sequentially.
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Excluding the acquired Aker subsea business, international revenue grew 10% year on year, marking the 10th consecutive quarter of double-digit growth. Fourth-quarter 2023 pretax segment operating income margin of 21% increased year on year, representing the 12th consecutive quarter of growth.
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Digital & Integration pretax operating margin of 38% expanded 274 basis points (“bps”) sequentially, reflecting improved profitability in digital from higher sales and cost efficiencies. Reservoir Performance Reservoir Performance revenue of $1.8 billion declined 1% sequentially driven by reduced intervention and stimulation activity, partially offset by stronger evaluation activity.
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Digital & Integration Digital & Integration revenue of $1.0 billion increased 7% sequentially due to increased digital revenue across all areas led by the Middle East & Asia and Europe & Africa. Digital & Integration pretax operating margin of 34% expanded 197 bps sequentially due to improved profitability in digital.
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Revenue was impacted by lower stimulation and intervention work in Saudi Arabia, which was offset by increased activity in the rest of the Middle East & Asia and North America. Reservoir Performance pretax operating margin of 20% expanded 35 bps sequentially, primarily reflecting improved profitability in evaluation services.
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Reservoir Performance Reservoir Performance revenue of $1.7 billion grew 3% sequentially primarily due to increased activity internationally, mainly in the Middle East and Africa. Reservoir Performance pretax operating margin of 21% expanded 88 bps sequentially and represents the Division’s highest level of pretax operating margin in this cycle.
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Well Construction Well Construction revenue of $3.3 billion declined 1% sequentially due to reduced drilling activity in Mexico and Saudi Arabia, partially mitigated by higher activity across the rest of the Middle East & Asia.
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The acquired Aker subsea business accounted for most of the growth. Excluding the effects of this acquisition, revenue grew 4% sequentially due to strong international sales. Production Systems pretax operating margin expanded 153 bps sequentially to 15%, its highest level in this cycle. The improvement was driven primarily by higher sales of midstream, artificial lift, and subsea production systems.
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Well Construction pretax operating margin of 21% declined 70 bps sequentially due to the reduced activity. 19 Production Systems Production Systems revenue of $3.2 billion increased 3% sequentially with growth led by higher international sales of artificial lift, midstream production systems and completions, partially offset by reduced sales of subsea production systems.
Removed
Full-year 2023 revenue of $33.1 billion increased 18% year on year led by Well Construction and Production Systems. On a geographic basis, year-on-year revenue growth was broad-based with North America revenue increasing 12% due to strong land and offshore drilling and higher sales of production systems, while international revenue grew 20%.
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Production Systems pretax operating margin of 16% decreased 93 bps sequentially primarily due to lower profitability in subsea production systems.
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International growth was widespread across all areas, led by the Middle East & Asia, which grew 21% due to higher drilling and intervention activity.
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Approximately 46% of the year-on-year revenue increase came from the acquisition of the Aker Solutions subsea business ("Aker") in the fourth quarter of 2023 (see Note 6 to the Consolidated Financial Statements ). International revenue grew by 12% year on year.
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Full-year 2023 pretax segment operating margin of 20% expanded by 185 bps as compared to 2022 driven by higher activity, improved pricing, and a more favorable activity mix.
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Digital & Integration pretax operating margin of 33% increased 67 bps year on year primarily due to the growth in digital revenue partially offset by effects of higher APS amortization expense and lower gas prices.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

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Biggest changeAt December 31, 2023, contracts were outstanding for the US dollar equivalent of $10.6 billion in various foreign currencies, of which $5.3 billion related to hedges of debt balances denominated in currencies other than the functional currency.
Biggest changeAt December 31, 2024, forward contracts for the US dollar equivalent of $10.0 billion in various foreign currencies were outstanding, of which $4.5 billion related to hedges of debt balances denominated in currencies other than the functional currency.
Item 7A. Quantitative and Qualitat ive Disclosures About Market Risk. SLB is subject to market risks primarily associated with changes in foreign currency exchange rates. SLB’s functional currency is primarily the US dollar. Approximately 72% of SLB’s revenue in 2023 was denominated in US dollars.
Item 7A. Quantitative and Qualitat ive Disclosures About Market Risk. SLB is subject to market risks primarily associated with changes in foreign currency exchange rates. SLB’s functional currency is primarily the US dollar. Approximately 70% of SLB’s revenue in 2024 was denominated in US dollars.
Statements in this Form 10-K are made as of January 24, 2024, and SLB disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise. 28
Statements in this Form 10-K are made as of January 22, 2025, and SLB disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise. 28
A 10% appreciation in the US dollar from the December 31, 2023 market rates would decrease the unrealized value of SLB’s forward contracts by $103 million. Conversely, a 10% depreciation in the US dollar from the December 31, 2023 market rates would increase the unrealized value of SLB’s forward contracts by $113 million.
A 10% appreciation in the US dollar from the December 31, 2024 market rates would decrease the unrealized value of SLB’s forward contracts by $121 million. Conversely, a 10% depreciation in the US dollar from the December 31, 2024 market rates would increase the unrealized value of SLB’s forward contracts by $133 million.
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This Form 10-K also includes forward-looking statements relating to the proposed transaction between SLB and ChampionX, including statements regarding the benefits of the transaction and the anticipated timing of the transaction.
Added
Factors and risks that may impact future results and performance include, but are not limited to, and in each case as a possible result of the proposed transaction on each of SLB and ChampionX: the ultimate outcome of the proposed transaction between SLB and ChampionX; the ability to operate the SLB and ChampionX respective businesses, including business disruptions; difficulties in retaining and hiring key personnel and employees; the ability to maintain favorable business relationships with customers, suppliers and other business partners; the terms and timing of the proposed transaction; the occurrence of any event, change or other circumstance that could give rise to the termination of the proposed transaction; the anticipated or actual tax treatment of the proposed transaction; the ability to satisfy closing conditions to the completion of the proposed transaction; other risks related to the completion of the proposed transaction and actions related thereto; the ability of SLB and ChampionX to integrate the business successfully and to achieve anticipated synergies and value creation from the proposed transaction; the ability to secure government regulatory approvals on the terms expected, at all or in a timely manner; litigation and regulatory proceedings, including any proceedings that may be instituted against SLB or ChampionX related to the proposed transaction, 27 as well as the risk factors discussed in SLB’s and ChampionX’s most recent Forms 10-K, 10-Q, and 8-K filed with or furnished to the SEC.

Other SLB 10-K year-over-year comparisons