(RTTNews) - Oilfield services provider Schlumberger Ltd. (SLB: News ) reported Friday a 48.7% fall in third-quarter profit, hurt by sharp decline in revenues from Oilfield Services and WesternGeco segments. Quarterly earnings per share, however, topped market projections, while top line missed Street view. Looking ahead, the Houston, Texas-based company said that its outlook for the remainder of 2009 "assumes a continued modest recovery in North American gas drilling", but, without any significant improvement in service pricing.

Net income for the quarter plunged to $789 million from prior year's $1.539 billion. Net income attributable to the company fell 48% to $787 million or $0.65 per share from $1.526 billion or $1.25 per share in the same quarter last year.

On average, 26 analysts polled by Thomson Reuters expected the company to report earnings of $0.63 per share for the quarter. Analysts' estimates typically exclude special items.

Sequentially, third-quarter earnings fell 4% from adjusted earnings of $820 million or $0.68 per share recorded in the second quarter. The company's second-quarter net income was $615 million, and net income attributable to Schlumberger was $613 million or $0.51 per share.

Revenues for the third quarter fell to $5.43 billion from $7.26 billion in the prior year quarter, and missed sixteen analysts' consensus revenue estimate of $5.48 billion. On a sequential basis, third-quarter revenues declined from $5.53 billion.
Oilfield Services revenue declined 22% to $4.95 billion from $6.36 billion a year ago. The segmental pretax operating income plunged 39% to $1.04 billion from prior year's $1.70 billion.

North American oilfield revenue declined 45% year-over-year to $823 million. According to the company, in North America, "the positive impact of a recovery in rig count in Canada following the spring break-up was offset primarily by a slowdown in the US Gulf of Mexico GeoMarket due to operator caution during the hurricane season and by continuing pricing erosion in the US Land GeoMarket."

Latin American oilfield revenue dropped 6% to $1.07 billion, and revenues from Europe/CIS/Africa region fell 18% to $1.78 billion. In Middle East & Asia, oilfield revenues totaled $1.23 billion, down 17% from the same period last year.

WesternGeco revenue was $463 million, down 48% from prior year's $892 million. Pretax segment operating income fell 83% to $61 million from $355 million a year ago.

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