Baker Hughes Company (BKR): Business Model Canvas [Dec-2025 Updated]

You're looking to map out exactly how Baker Hughes Company (BKR) makes its money and where it's placing its big bets for the next decade, right? Honestly, dissecting an energy giant's strategy requires more than just looking at the stock price; you need the blueprint. What I've laid out below is the Business Model Canvas, distilled from their late-2025 positioning, showing a firm balancing massive legacy service work with a clear pivot. See how their $35.3 billion Remaining Performance Obligation (RPO) as of Q3 2025 underpins their Industrial & Energy Technology (IET) segment, even as they pour capital into hydrogen and CCUS solutions to meet that $27.0 billion to $27.8 billion full-year revenue guidance. Dive in to see the nine blocks defining their path forward.

Baker Hughes Company (BKR) - Canvas Business Model: Key Partnerships

You're looking at how Baker Hughes Company structures its external relationships to deliver value, which is critical given their focus on 'Progress at Scale' as highlighted at their AM25 meeting. These aren't just handshake deals; they represent concrete commitments of technology, capital, and market access.

Strategic joint venture with Cactus Inc. for surface pressure control.

Baker Hughes entered an agreement in June 2025 to form a joint venture for its surface pressure control (SPC) product line. This move is part of the company's portfolio optimization strategy to enhance earnings durability and reallocate capital to higher-return areas. The transaction is expected to close in the second half of 2025.

• Cactus will hold a 65% ownership stake and operational control.
• Baker Hughes retains a 35% minority interest.
• The new entity focuses on the international market for surface wellhead and production tree systems.

Digital integration with Computer Modelling Group (CMG) for upstream software.

An agreement was announced in June 2025 to deepen the integration between CMG's simulation and seismic technologies and Baker Hughes' digital offerings. This aims to create comprehensive software solutions for upstream energy development, connecting workflows from seismic to production surveillance. Experts from CMG and Baker Hughes' GaffneyCline energy advisory group will collaborate on consulting projects.

Frontier Infrastructure partnership for large-scale CCS and data center power solutions.

This strategic partnership, announced in March 2025, targets large-scale carbon capture and storage (CCS) and power solutions, directly addressing the energy demand from data centers. Baker Hughes provides key technologies like its industrial NovaLT™ gas turbines.

• Frontier's Sweetwater Carbon Storage Hub (SCS Hub) spans nearly 100,000 acres in Wyoming.
• The partnership enables Frontier to develop 256MW of gas-fired capacity.
• Frontier expects first carbon injection to commence by year-end 2025.

Petronas MoU for Carbon Capture, Utilization, and Storage (CCUS) in Asia Pacific.

A Memorandum of Understanding (MoU) was signed with Petronas around July 2025 to support energy expansion and transition in the Asia-Pacific region, with CCUS being a key area of cooperation. This supports Baker Hughes' localization efforts, including expanding its services footprint in Malaysia.

• Baker Hughes has an installed base of over 600 gas turbines in the region.
• The company plans to develop a full aeroderivative gas turbine module repair services facility in Malaysia.

Strategic framework agreements with major LNG operators like NextDecade.

Baker Hughes has a continuing relationship with NextDecade Corporation, formalized by a framework agreement in March 2025 covering equipment and maintenance for Trains 4 through 8 at the Rio Grande LNG facility. This supports NextDecade's goal to make the facility one of the world's largest LNG export sites.

Here's a quick look at the scale of the NextDecade commitment and Baker Hughes' recent performance context:

The total Remaining Performance Obligations (RPO) for Baker Hughes ended Q3 2025 at $35.3 billion, with the Industrial Energy Technology (IET) segment RPO at a record $32.1 billion, showing the significant backlog tied to these long-term equipment and service agreements. Also, for context, the average analyst estimate for Baker Hughes' full fiscal year 2025 revenue was $26.95 billion.

Baker Hughes Company (BKR) - Canvas Business Model: Key Activities

You're looking at the core engine of Baker Hughes Company (BKR), the actual work they do every day to generate revenue and build that $35.3 billion Remaining Performance Obligation (RPO) as of the third quarter of 2025. It's a mix of heavy industrial manufacturing, complex project execution, and forward-looking technology development.

Manufacturing and Servicing High-Spec Industrial & Energy Technology (IET) Equipment

This is where Baker Hughes Company is seeing significant momentum, especially with the energy transition driving demand for gas and power solutions. The IET segment is the growth engine, evidenced by its record backlog. In the third quarter of 2025, IET orders hit $4.1 billion, pushing the segment's RPO to a record $32.1 billion. This segment's operational excellence is clear, delivering an EBITDA margin of 18.8% in Q3 2025. Key activities here include delivering equipment for major LNG projects, like the orders for Train 4 of NextDecade's Rio Grande LNG Facility and for Sempra Infrastructure's Port Arthur Phase 2 project. Also, they are manufacturing and servicing high-spec equipment like the NovaLT™ turbines, having booked orders for over 1.2 gigawatts of power for data centers as of Q2 2025.

Executing Complex Oilfield Services & Equipment (OFSE) Projects Globally

The OFSE segment remains a critical, albeit more macro-sensitive, part of the business. Executing these projects involves everything from subsea systems to completion services worldwide. While OFSE margins softened sequentially to 18.5% in Q3 2025 due to macro backdrop, mix, and inflation, the segment still delivered $671 million in EBITDA. Activity is geographically diverse; for instance, Q3 2025 saw significant awards in international markets, including integrated subsea production and completion systems for Turkey's Sakarya gas field and multiple contracts with Petrobras in Brazil. North America operations showed strong outperformance, tied to production-related activity. The segment's RPO stood at $3.2 billion at the end of Q3 2025.

Research and Development (R&D) in Hydrogen, CCUS, and Digital Solutions

Baker Hughes Company actively invests to secure future revenue streams in lower-carbon technologies. The company's commitment to R&D is substantial; their reported spend for fiscal year 2024 was $643 million. This investment fuels their New Energy portfolio, which saw YTD orders in the first three quarters of 2025 reach the high end of the $1.4 billion to $1.6 billion guidance range. Key digital and decarbonization activities include deploying CarbonEdge, powered by Cordant, an end-to-end digital solution for CCUS operations, which recently secured its largest CCS order for a Middle East hub. Furthermore, they are progressing hydrogen technology, with hydrogen-ready turbines expected to be commercially available by 2025. The digital focus also involves leveraging solutions like Cordant™ Asset Health for plant-wide monitoring, as deployed on the Rio Grande LNG project.

Portfolio Optimization via Divestitures and Strategic Acquisitions

This activity is about actively reshaping the portfolio to focus on higher-margin, more durable businesses. Baker Hughes Company completed the acquisition of Continental Disc Corporation (CDC) for approximately $540 million in an all-cash transaction during Q3 2025, adding margin-accretive pressure management products. This followed other major moves in Q2 2025: the sale of the Precision Sensors & Instrumentation (PSI) product line for $1.15 billion and the joint venture with Cactus Inc. for the Surface Pressure Control (SPC) product line, which brought in $345 million for a minority stake. The overall optimization initiative is expected to generate approximately $1 billion in net deal proceeds. They also announced intent to acquire Chart Industries, Inc. for about $13.6 billion in Q3 2025.

Deploying the Baker Hughes Business System for Structural Cost-Out Initiatives

The Baker Hughes Business System (BHBS) deployment is a continuous activity aimed at driving efficiency across the entire organization. The benefits are clearly reflected in the financial results. Year-over-year increases in both adjusted net income and Adjusted EBITDA for Q3 2025 were explicitly driven by structural cost-out initiatives and productivity gains. In Q2 2025, the sequential EBITDA increase in OFSE was primarily driven by productivity and structural cost-out initiatives, which helped offset inflation. This system deployment is credited with driving higher productivity and stronger operating leverage, contributing to the consolidated Adjusted EBITDA margin expansion to 17.7% in Q3 2025. The company is targeting 20% consolidated margins by 2028, which relies on sustained progress from this system.

Here's a quick look at the segment financial performance that these activities underpin:

Finance: draft 13-week cash view by Friday.

Baker Hughes Company (BKR) - Canvas Business Model: Key Resources

You're looking at the core assets Baker Hughes Company (BKR) relies on to execute its strategy, especially as it pivots toward integrated energy technology solutions. These aren't just line items on a balance sheet; they are the engine room of the business.

The sheer volume of committed future work provides significant revenue visibility. As of Q3 2025, the Remaining Performance Obligation (RPO) stood at $35.3 billion. To be fair, a massive chunk of that is tied up in the Industrial & Energy Technology (IET) segment, which hit a record IET RPO of $32.1 billion. That backlog level, combined with a book-to-bill ratio of 1.2x for the quarter, shows sustained demand.

Baker Hughes Company relies heavily on its proprietary digital platforms to drive efficiency and asset performance across its customer base. These tools are becoming central to their value delivery.

• Cordant™: An integrated suite for Asset Performance Management (APM) and Process Optimization (PO), recently updated with Release 25.2.1 featuring expanded hybrid AI and physics-based analytics. The Cordant Solutions module specifically achieved its highest margin in the past four years during Q3 2025.
• Leucipa™: This is the cloud-based automated field production software solution, designed to help operators proactively manage production and reduce emissions. For existing customers, this technology has delivered production increases upwards of 3% and 75% efficiency gains in engineering time.

The company's physical infrastructure and technological hardware form another critical layer of resources. They operate on a global scale, which is key for servicing major energy projects.

• Baker Hughes Company conducts business in over 120 countries worldwide.
• The workforce supporting this global operation is approximately ~57,000 employees.
• Manufacturing and service infrastructure includes key hubs like the plant in Talamona, Italy, which is central to future power generation offerings.

Their advanced gas turbine technology is a tangible asset, particularly relevant for LNG and power generation markets. Here's a quick look at the specs for two key series:

Finally, the human capital in specialized engineering and project execution is irreplaceable. Baker Hughes Company is actively leveraging this for complex, large-scale energy transition projects, like Carbon Capture and Storage (CCS) infrastructure. This expertise is codified as a CORE Strength within the organization. They manage these complex scopes by integrating services and ensuring regulatory compliance. For real-time support during execution, project managers and experts access the BEACON™ Center collaboration platform 24/7. That's how they keep things on track, even when things get complicated.

Baker Hughes Company (BKR) - Canvas Business Model: Value Propositions

You're looking at the core value Baker Hughes Company (BKR) delivers across its segments, which really boils down to integrated energy solutions and future-proofing customer assets. It's about providing full-cycle support, from traditional oilfield services to next-generation power.

For the full oil and gas lifecycle, Baker Hughes Company (BKR) provides integrated solutions. In the Oilfield Services & Equipment (OFSE) segment, for instance, Q3 2025 orders rose year-over-year by 7% to $4.07 billion, which included a record $1.2 billion in Subsea and Surface Pressure Systems (SSPS) orders alone.

The Industrial & Energy Technology (IET) segment is heavily focused on high-efficiency, lower-emissions power, especially for LNG and the booming data center market. In Q2 2025, the company secured $650 million in data center-related orders, which included a deal for 30 NovaLT™ turbines to deliver 500 MW of power across U.S. data centers. Furthermore, Baker Hughes Company (BKR) is enabling the energy transition with tangible projects; they are designing equipment for five Organic Rankine Cycle (ORC) power plants for Fervo Energy's Cape Station geothermal project, aiming to generate approximately 300 megawatts of clean power by 2028.

This focus on technology and long-term service creates significant revenue visibility. As of the third quarter of 2025, the IET Remaining Performance Obligations (RPO) hit a record of $32.1 billion, contributing to a total company RPO of $35.3 billion. That IET backlog, with a book-to-bill ratio of 1.2x in Q3 2025, gives a clear line of sight for revenue well into 2026 and beyond.

The value proposition extends deeply into enabling the energy transition through technologies like Carbon Capture, Utilization, and Storage (CCUS), hydrogen, and geothermal. Baker Hughes Company (BKR) is advancing these areas through strategic collaborations and technology deployment:

• Securing awards for geothermal power solutions, including turboexpanders and generators.
• Advancing hydrogen-ready gas turbines and investing in green hydrogen production technology firms.
• Scaling CCUS technologies critical for hard-to-abate sectors.

For customers in traditional energy, the value is realized through operational efficiency gains. While specific lifting cost reductions aren't always published, the impact of optimization is clear in customer results. For example, Ecopetrol Group achieved an energy optimization saving of COP 22.9 billion in its operations during the first quarter of 2025, a type of efficiency Baker Hughes Company (BKR) helps facilitate through its digital and operational services. This is the kind of concrete financial benefit that underpins long-term service agreements.

Here's a quick look at the backlog that supports this forward-looking value:

The company is projecting more than $40 billion of IET orders over the next three years, showing confidence in this technology-driven value stream.

Baker Hughes Company (BKR) - Canvas Business Model: Customer Relationships

You're looking at how Baker Hughes Company (BKR) locks in its major energy and industrial clients. The relationship strategy centers on deep, multi-year commitments, which is why you see such a massive backlog figure.

Dedicated account management for National Oil Companies (NOCs) and IOCs

Baker Hughes Company maintains high-touch relationships with major operators. For instance, the company reinforced its long-standing collaboration with Aramco by securing an order in the third quarter of 2025 to expand integrated underbalanced coiled tubing drilling (UBCTD) operations across Saudi Arabia's natural gas fields. This specific multi-year agreement will see the fleet increase from four to 10 units, with work scheduled to commence in 2026. Similarly, in the offshore segment, Baker Hughes Company secured important topside equipment contracts for a major FPSO project in South America.

Long-term service agreements (LTSAs) for IET equipment, ensuring recurring revenue

The Industrial & Energy Technology (IET) segment relies heavily on these durable commitments. The Gas Tech. Services (GTS) business, a key driver of long-term growth, is structurally supported by service agreements that ensure the performance and reliability of LNG facilities over their full lifecycle. A concrete example is bp selecting Baker Hughes Company for a comprehensive multi-year long-term service agreement for its Tangguh LNG plant in Papua Barat, Indonesia, covering spare parts, repair services, and field service engineering support for critical turbomachinery. The strength of these long-term commitments is reflected in the total IET Remaining Performance Obligations (RPO) reaching a record $32.1 billion as of September 30, 2025. The total company RPO stood at $35.3 billion for the same period.

Integrated project delivery model for large-scale infrastructure (e.g., FPSO projects)

For complex, large-scale developments, Baker Hughes Company deploys an integrated solutions portfolio. In Brazil, a significant multi-year order was awarded by Petrobras for workover and plug and abandonment (P&A) services offshore, set to start in the first half of 2025. This project involves deploying wireline, coiled tubing, cementing, and geosciences services across all of Petrobras' offshore fields. Another major integrated services project with Petrobras for the Buzios deepwater field also began in the first half of 2025, covering well construction services across three rigs. The company is targeting at least $40 billion of IET orders over the next three years (Horizon Two, starting 2026).

Direct consulting and software support for digital solutions

Customer relationships are enhanced through digital integration, which drives revenue growth relative to the installed base expansion. Baker Hughes Company provides digital solutions like Cordant™ Asset Health for projects such as the Rio Grande LNG project, deploying technology for plant-wide monitoring and providing real-time insights into critical rotating machinery. This digital support helps customers enhance availability and reduce unplanned downtime. The company completed the acquisition of Continental Disc Corporation in Q3 2025, which is expected to enhance recurring, lifecycle-driven revenues through its complementary products.

The scale of long-term customer engagement can be summarized by the order flow:

The company's overall financial performance in Q3 2025 included total revenue of $7,010 million and Adjusted EBITDA of $1,238 million.

Baker Hughes Company (BKR) - Canvas Business Model: Channels

You're looking at how Baker Hughes Company gets its products and services into the hands of its customers; it's a mix of high-touch direct sales and broad digital/partner reach. This is how they move everything from massive gas turbines to specialized software.

Direct global sales force for large equipment and long-term contracts.

The core of securing major, long-cycle business, especially within the Industrial and Energy Technology (IET) segment, relies on the direct sales force. This team manages the relationships for large equipment and the resulting long-term service agreements. For instance, the IET segment's Remaining Performance Obligations (RPO) reached a record of $32.1 billion as of Q3 2025, which is heavily supported by these direct, long-term contract negotiations. The company conducts business in over 120+ countries worldwide, meaning this direct force must maintain a strong regional focus with local teams close to the customer.

Worldwide network of service centers and field operations.

Field operations and service delivery are critical for both the Oilfield Services & Equipment (OFSE) and IET segments. While the exact number of Baker Hughes Company's dedicated service centers isn't explicitly stated for 2025, the scale of their operations is vast. For context on service network expansion, the planned acquisition of Chart Industries noted that Chart operates over 50 service centers globally, which is expected to increase service rates for the combined installed base. Furthermore, the company's overall reach is massive, with approximately 57,000 employees supporting global operations.

The geographic distribution of sales channels shows a heavy international focus:

• Non-US Revenue Share (FY 2024): Approximately 73.47% of total revenue.
• Non-US Revenue (FY 2024): $20.45 B.
• US Revenue (FY 2024): $7.38 B, representing 26.53% of total revenue.

The general channel partner network supports local access and service delivery:

• Number of Channel Partners: Over 200+, including distributors and service providers.
• Countries Covered: More than 50+ countries.
• Total Agreements: Over 300+ across product lines.

Digital platforms (e.g., Cordant) for software and data delivery.

Digital channels are a growing focus, particularly for driving high-margin recurring revenue. The Cordant Platform is central to this, providing a unified data view and actionable insights across assets. The success of this digital channel is reflected in its financial performance; Cordant Solutions achieved its highest margin in the past four years in Q3 2025. Orders for Cordant Solutions also hit a record in Q1 2025. This platform is deployed as a hosted solution or on a private cloud, offering a Software as a Service (SaaS) experience.

Joint venture structures for specialized product line distribution.

Baker Hughes Company uses joint ventures to optimize its portfolio and focus on core growth areas, particularly for specialized product lines. A key example is the Surface Pressure Control (SPC) product line, which was transferred to a joint venture with Cactus Inc. in the second half of 2025.

Here are the specifics of that channel structure change:

This structure allows Baker Hughes Company to leverage Cactus's agility in international markets while retaining a financial interest in a specialized product line that had a backlog exceeding $600 million at the end of 2024.

Baker Hughes Company (BKR) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Baker Hughes Company as of late 2025. The business model clearly splits its focus across two main operational segments, which directly map to distinct customer groups in the energy and industrial sectors.

National Oil Companies (NOCs) and International Oil Companies (IOCs) represent a foundational customer set, primarily served through the Oilfield Services & Equipment (OFSE) segment. These customers drive demand for well construction, completions, intervention, and production solutions. For context on segment scale, in fiscal year 2024, the OFSE segment generated $15.63 B in revenue, representing 56.16% of the total. As of the third quarter of 2025, the OFSE Remaining Performance Obligations (RPO) stood at $3.2 billion. Management noted that while OFSE margins softened in Q3 2025 due to the broader macro backdrop, they remain on track to achieve 20% margins for the full year 2025.

Independent oil and natural gas exploration and production companies are also key drivers within the OFSE structure. Baker Hughes Company is strategically focused on mature asset solutions for these customers to mitigate reservoir decline and optimize production efficiency, which increases the resilience of their revenue base.

Global Liquefied Natural Gas (LNG) and gas infrastructure developers are central to the growth story within the Industrial & Energy Technology (IET) segment. Baker Hughes Company secured $2.1 billion in LNG equipment bookings in 2024 alone. For the full year 2025, management projects IET orders to range between $12.5 billion and $14.5 billion, supported by continued demand in LNG and gas infrastructure. The IET segment's RPO reached a new record of $32.1 billion by the third quarter of 2025.

Industrial customers, especially data center and power generation operators, are a compelling growth vector for Baker Hughes Company, drawing on IET capabilities like industrial gas turbines and electric motors. The surging momentum in data center development is a clear driver; in the second quarter of 2025, the company booked more than $550 million in power generation equipment orders specifically for data centers. This focus helps diversify earnings away from more market-sensitive areas of OFSE.

Engineering, Procurement, and Construction (EPC) contractors serve as critical intermediaries, often placing large, complex orders for equipment that falls under the IET umbrella, such as Gas Technology Equipment. The company secured record Subsea & Surface Pressure Systems (SSPS) orders in Q3 2025. The overall business is geared toward these large-scale projects, as evidenced by the total company orders reaching $8.2 billion in Q3 2025, with $4.1 billion coming from IET orders.

Here's a quick look at the segment scale and key 2025 metrics that reflect the customer focus:

The overall financial context for these customer engagements in mid-to-late 2025 shows strong execution. Total revenue for the third quarter of 2025 was $7.0 billion, with an Adjusted EBITDA of $1,238 million. The company is targeting total company revenue between $26.5 billion and $27.7 billion for the full year 2025.

The customer base is served through specific product lines within the segments:

• OFSE Product Lines: Well Construction, Completions, Intervention, and Measurements, Production Solutions, and Subsea & Surface Pressure Systems.
• IET Product Lines: Gas Technology Equipment, Gas Technology Services, Industrial Products, Industrial Solutions, and Climate Technology Solutions.

The company is actively managing its portfolio to align with these customer needs, for example, by focusing on Gas Technology Services upgrades as customers extend equipment life. Finance: draft 13-week cash view by Friday.

Baker Hughes Company (BKR) - Canvas Business Model: Cost Structure

You're looking at the major drains on Baker Hughes Company's cash flow and earnings as of their latest reported quarter, Q3 2025. It's a mix of heavy upfront investment and ongoing operational expenses, which they are actively trying to manage.

High capital expenditures are a constant feature, necessary to support manufacturing capacity and technology deployment across their global operations. For the third quarter of 2025, capital expenditures, net of asset disposals, totaled $230 million. This spending was split between the segments, with $148 million allocated to Oilfield Services & Equipment (OFSE) and $67 million to Industrial & Energy Technology (IET).

The commitment to staying ahead in the energy technology space requires significant R&D investment. For the three months ended September 30, 2025, Research and Development costs were reported at $146 million. Over the first nine months of 2025, this investment totaled $453 million.

The Cost of goods sold (COGS), represented by Cost of Revenue, reflects the scale of their complex equipment manufacturing and service delivery. In Q3 2025, the Cost of Revenue was $5,309 million, against total revenue of $7,010 million for the same period.

The structural costs associated with maintaining a global footprint for field service personnel and logistics are embedded within the operating expenses. While not broken out separately in the primary income statement line items, the total Selling, general and administrative expenses for Q3 2025 were $607 million.

Baker Hughes Company is actively battling ongoing cost inflation, which partially offset gains in Q3 2025. The company is countering this pressure with aggressive internal efficiency drives. The benefits of these efforts are clear:

• Structural cost-out initiatives are a key driver of margin improvement.
• Deployment of the Business System is enhancing productivity and operating leverage.
• Adjusted EBITDA increased by 2% year-over-year in Q3 2025, despite inflation.

Here's a quick look at the key expense and investment figures from the third quarter of 2025:

The company is clearly prioritizing capital for future growth areas, like LNG and digital solutions, while using structural cost actions to keep the base operational costs manageable against inflation.

Baker Hughes Company (BKR) - Canvas Business Model: Revenue Streams

You're looking at the hard numbers for Baker Hughes Company's revenue generation as of late 2025. It's all about the two main reporting segments: Industrial & Energy Technology (IET) and Oilfield Services & Equipment (OFSE). The company's overall financial outlook is quite clear.

Baker Hughes Company (BKR) has issued a full-year 2025 revenue guidance in the range of $27.0 billion to $27.8 billion. This guidance reflects confidence in the long-cycle IET business, even as OFSE navigates a more variable upstream spending environment.

The revenue streams are heavily influenced by the mix of equipment sales versus recurring services. For instance, the IET segment's strength is clearly visible in its backlog, which hit a record $32.1 billion in IET Remaining Performance Obligations (RPO) by the third quarter of 2025. This large, long-term backlog is the financial engine behind the aftermarket and maintenance contracts you mentioned.

Here's a look at the segment performance based on the third quarter of 2025 results, which gives you a concrete view of where the money is coming from right now:

The IET segment is clearly the growth driver, underpinned by equipment sales and the associated long-term service agreements. You see this in the order intake, which surged to $4.1 billion in the third quarter of 2025. This segment's revenue is directly tied to major infrastructure projects.

Specific revenue-generating products and services within IET include:

• Equipment for natural gas and LNG capacity expansion.
• Power generation awards, including over 350 MW of NovaLT turbines booked for data centers in the first quarter of 2025 alone.
• Gas Technology Services (GTS) revenue growth of 9% year-over-year in Q2 2025, indicating strong service revenue.

The OFSE segment revenue, at $3,636 million for the third quarter, is more closely linked to immediate drilling and completion activity. While equipment sales like subsea trees are important, the recurring service component is evident through contract wins, such as the significant five-year contract extension for hydrocarbon and water treatment products and services with Valero's refineries.

OFSE services revenue is driven by activity in:

• Production Solutions, including ESP and electro-driven PCP systems in Colombia.
• Drilling operations support, like the multi-year contract with Aramco for coiled tubing drilling operations.

The margin performance tells a story about the revenue mix; IET achieved an EBITDA margin of 18.8% in Q3 2025, while OFSE was at 18.5%. The overall company target is to lift the consolidated adjusted EBITDA margin from 17.3% in 2025 to 20% in the next strategic phase.

Finance: draft 13-week cash view by Friday.