SLB Q3 + Kelvion: $3.4B deal is ~3.7x the annualized data center run rate and ~4 quarters of FCF
SLB, the biggest oilfield services company, reported Q3 this morning: $9.45B of revenue, $828M of free cash flow and data center revenue up 76% to $230M. It also agreed to buy Kelvion for about $3.4B to grow its data center cooling business.
Annualize that data center line and it's $920M. So SLB is paying ~3.7x its data center run rate, or about 4 quarters of free cash flow, to speed up a unit that's 2.4% of sales.
https://x.com/barronsonline/status/2113597369325432986
Sources: @wallstengine: SLB Q3 revenue $9.45B, adj EPS $0.64, adj EBITDA $2.07B, FCF $828M · @IntradayRider: Data center solutions revenue $230M +76% YoY; agreed to buy Kelvion for about $3.4B cash
Not financial advice. For informational and educational purposes only.
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