About Baker Hughes Holdings LLC
An energy technology company -- Baker Hughes, a GE company, has a diversified portfolio of technologies and services that span the energy and industrial value chain. The company was formed as the result of a combination between Baker Hughes Incorporated (BHI) and the oil and gas business (GE O&G) of General Electric Company (GE). Its Oilfield Services (OFS) segment which generates more than a half of total sales, provides products and services for onshore and offshore operations across the lifecycle of a well, ranging from drilling, evaluation, completion, production, and intervention.
Baker Hughes reports its operating results through its four operating segments that consist of similar products and services: Oilfield Services (for almost 55% of total sales), Turbomachinery & Process Solutions (nearly 25% of revenue), Oilfield Equipment, and Digital Solutions (accounts for more than 10% of revenue each).
The Oilfield Services segment provides products and services for onshore and offshore operations across the lifecycle of a well, ranging from drilling, evaluation, completion, production and intervention.
The Oilfield Equipment segment provides a broad portfolio of products and services required to facilitate the safe and reliable flow of hydrocarbons from the subsea wellhead to the surface.
The Turbomachinery & Process Solutions segment provides equipment and related services for mechanical-drive, compression and power-generation applications across the oil and gas industry as well as products and services to serve the downstream segments of the industry including refining, petrochemical, distributed gas, flow and process control and other industrial applications.
The Digital Solutions segment provides equipment, software, and services for a wide range of industries, including oil & gas, power generation, aerospace, metals, and transportation.
Houston, Texas based -- Baker Hughes has manufacturing plants, equipment assembly, maintenance and overhaul facilities, grinding plants, drilling fluids and chemical processing centers, and primary research and technology centers for all their segments. Oilfield Services located in Texas, Oklahoma - in the United States, Canada, Germany, Norway, Scotland, England, Brazil, Singapore; India, Oman, United Arab Emirates, Saudi Arabia, Angola and Nigeria. Oilfield Equipment located in Texas - in the United States, Scotland, England, Brazil, China and Saudi Arabia. Turbomachinery & Process Solutions located in Texas and Jacksonville, Florida - located in the United States, Italy, France and India. Digital Solutions located in Billerica, Massachusetts and Minden, Nevada - located in the United States, England, Ireland and Germany.
Sales and Marketing
The company sell to their customers through direct and indirect channels. Their primary sales channel is through their direct sales force, which has a strong regional focus with local teams close to the customer, who are able to draw support from centers of excellence in each of our major product lines. No single customer accounted for 10% or more of their revenue in the current year.
In 2019, the company generated revenue of $23.8 billion, compared to $22.9 billion in 2018. The increase in revenue was driven primarily by increased activity in OFS and OFE partially offset by declines in TPS and DS.
Baker Hughes' net income increased by $121 million to $241 million in 2019. The increase was primarily due to higher revenue with a small increase on its cost of revenue.
Cash held by the company at the end of 2019 decreased by $432 million to $3.2 billion from $3.7 billion. Cash provided by operations was $2.2 billion while cash used for investing and financing activities were $1.0 billion and $1.5 billion, respectively.
Baker Hughes' strategy is based on three growth areas:
Transforming its core through leading product companies - the company are focused on delivering more efficient products and services, integrated offerings, and outcome-based solutions to improve total project economics.
Lead with technology - the company are expanding its digital and technology offerings to help facilitate better, safer, and more reliable operations for its customers, while improving its own operational and execution capabilities.
Lead the energy transition - Baker Hughes is positioning the company as the leading energy technology company to enable the energy transition. The company plans to grow across the gas value chain, and develop products and services to help the industry lower carbon emissions.
Howard Hughes Sr. and partner Walter Sharp opened a plant in Houston, and their company, Sharp & Hughes, soon had a near monopoly on rock bits. When Sharp died in 1912, Hughes bought his partner's half of the company, incorporating as Hughes Tool. Hughes held 73 patents when he died in 1924; the company passed to Howard Hughes Jr.
It is estimated that between 1924 and 1972 Hughes Tool provided Hughes Jr. with $745 million in pretax profits, which he used to diversify into movies (RKO), airlines (TWA), and Las Vegas casinos. In 1972 he sold the company to the public for $150 million.
In 1913 drilling contractor Carl Baker organized the Baker Casing Shoe Company in California to collect royalties on his three oil tool inventions. The firm began to make its own products in 1918, and during the 1920s it expanded nationally, opened global trade, and formed Baker Oil Tools (1928). The company grew in the late 1940s and the 1950s as oil drilling boomed.
In 1987, Baker International acquired Hughes Tool Co. to form Baker Hughes Inc.
17021 Aldine Westfield Rd
Houston, TX 77073-5101
Phone: 1 (713) 439-8600
Employer Type: Publicly Owned
Chief Global Operations Officer: Belgacem Chariag
President and CEO: Lorenzo Simonelli
CFO: Brian Worrell
Employees (This Location): 130
Employees (All Locations): 68,000
Huntington Beach, CA
Grand Junction, CO
Baton Rouge, LA
Bossier City, LA
Golden Meadow, LA
Mount Pleasant, MI
Saint Louis, MO
Oklahoma City, OK
Sand Springs, OK
Mount Pleasant, PA
Corpus Christi, TX
Fort Worth, TX
San Antonio, TX
Sugar Land, TX
The Woodlands, TX
Salt Lake City, UT