Direct Answer
18 SEC filers are classified under the Standard Industrial Classification codes that describe the oilfield equipment & engineering industry, and their latest annual reports show $109.1 billion of combined revenue and a median operating margin of 2.8%. Investors should still evaluate its revenue model, industry-specific KPIs, valuation framework and the risks that can change the group's economics.
Industry Overview
Oilfield equipment and engineering companies design and build specialized equipment and process systems for drilling, subsea, production and gas processing. Revenue comes from large engineered projects and the service of installed systems. The first numbers to compare across companies here are backlog and awards, project margin and service and aftermarket share.
Key Industry Metrics
- Backlog and awards: Signed projects still to be delivered and new contracts won. Large awards drive lumpy revenue; backlog length shows how many years of work are booked.
- Project margin: Profit as a share of revenue on engineered projects. Fixed-price contracts carry overrun risk, so declining margins on big jobs are an early warning.
- Service and aftermarket share: Part of revenue from maintaining and servicing installed systems. It tends to be steadier and higher margin than one-off project work.
- Order intake by region: New orders split by geography. It shows which basins and markets are investing and where offshore or LNG approvals are concentrated.
- Working capital: Cash tied up in unbilled work, inventory and receivables. Milestone payments from customers can fund projects, while delays can turn working capital into a drain.
Primary Macro Drivers
- Capital spending by oil companies: Engineered systems are bought from project budgets, so spending changes move awards, order intake and backlog.
- Offshore and LNG project sanctions: Final investment decisions release large contracts, which can add years of revenue to the backlog at once.
- Technology differentiation: Systems that cut cost or improve output win more awards at better prices, which lifts project margin.
- Raw material costs: Steel and alloys are major inputs on engineered products, so cost swings change project margin if contracts are fixed-price.
Major Risks
- Fixed-price project overruns: Cost growth beyond the bid reduces margin and can create losses; watch project margin and provisions for contract losses.
- Order cancellations: Customers can cancel or defer awards after price falls, removing backlog; watch backlog changes and order intake by region.
- Cyclical demand: Capital spending by customers rises and falls with oil prices, so awards swing; watch order intake against revenue burn.
- Customer concentration: A few large clients award most big contracts, so one delay moves results; watch the share of backlog from top customers.
Industry Characteristics
| Characteristic | Profile |
|---|---|
| Cyclicality | Cyclical |
| Capital Intensity | Medium |
| Regulatory Intensity | Low |
| Industry Maturity | Mature |
| Geographic Importance | Global |
Oilfield Equipment & Engineering Filers in the SEC Record
18 companies with annual reports in the dataset are classified by the SEC in the Standard Industrial Classification codes 3533, 1389. Their latest fiscal years end in 2025, and together they reported $109.1 billion of revenue. Median revenue growth over the prior year was -3.1%. Median operating margin was 2.8% and median net margin 2.0%. Median total liabilities were 46% of total assets, and 12 of 18 reported a profit in their latest year.
| Company | Revenue | Growth | Operating margin | Net margin | Year |
|---|---|---|---|---|---|
| Slb Limited | $35.7 billion | -1.6% | n/a | 9.4% | FY 2025 |
| Baker Hughes Co | $27.7 billion | -0.3% | n/a | 9.3% | FY 2025 |
| Halliburton Co | $22.2 billion | -3.3% | 10.2% | 5.8% | FY 2025 |
| Nov Inc. | $8.7 billion | -1.4% | 5.6% | 1.7% | FY 2025 |
| Weatherford International Plc | $4.9 billion | -10.8% | 15.4% | 8.8% | FY 2025 |
| Profrac Holding Corp. | $1.9 billion | -11.4% | -11.6% | -18.3% | FY 2025 |
| Select Water Solutions, Inc. | $1.4 billion | -3.1% | 2.0% | 1.5% | FY 2025 |
| National Energy Services Reunited Corp. | $1.3 billion | 1.7% | 7.4% | 3.9% | FY 2025 |
The 8 largest of 18 by revenue. Source: each company's own annual report as filed with the SEC (XBRL data), figures in U.S. dollars. A company's SIC code reflects its main business as the SEC records it, so it can differ from how an index provider or analyst classifies the company, and a diversified group appears under only one code.
Where to Go Next
The Oilfield Equipment & Engineering guide describes how the industry earns money, what to measure and what can go wrong. To see how it compares, read the neighbouring industries in the same sector, then apply the same checks to a specific company.
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Frequently Asked Questions
What are the main KPIs for the Oilfield Equipment & Engineering industry?
Key performance indicators for the Oilfield Equipment & Engineering industry include: Backlog and awards, Project margin, Service and aftermarket share, Order intake by region, Working capital. Which matter most depends on the company's model, so compare them across several companies rather than relying on one.
How cyclical is the Oilfield Equipment & Engineering industry?
The Oilfield Equipment & Engineering industry is cyclical, meaning its revenues and earnings tend to expand during economic expansions and contract during downturns. Investors should monitor leading economic indicators and interest rate trends when evaluating timing.
What are the biggest risks in the Oilfield Equipment & Engineering industry?
The primary risks for Oilfield Equipment & Engineering companies include: Fixed-price project overruns, Order cancellations, Cyclical demand, Customer concentration. Investors should assess each company's exposure to these factors and its track record of navigating them.