Free cash flow margins have deteriorated to 1.7% in 2026Q1, exacerbated by a $1.1 billion outflow in working capital during the same period.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 6.32B | 6.49B | 6.6B | 6.64B | 3.72B | 4.65B | 2.94B | 5.43B | 5.71B | 5.66B | 6.26B | 8.57B | 11.22B | 9.79B | 6.69B | 6.17B | 5.49B | 5.27B | 6.9B | 6.26B | 4.78B | 3B | 1.9B | 2.1B | 2.22B | 1.57B | 1.71B | 1.52B | 2.3B | 1.71B | 1.4B |
| Operating CF Margin % | - | 18.17% | 18.19% | 20.03% | 13.24% | 20.28% | 12.47% | 16.5% | 17.41% | 18.6% | 22.51% | 24.16% | 23.09% | 21.62% | 15.87% | 15.6% | 20.02% | 22.92% | 25.4% | 26.89% | 24.86% | 20.99% | 16.52% | 14.97% | 16.28% | 11.21% | 17.78% | 18.11% | 19.49% | 16.04% | 15.66% |
| Operating CF Growth % | -52.27% | -1.71% | -0.53% | 78.41% | -20.02% | 57.98% | -45.79% | -4.94% | 0.88% | -9.55% | -26.96% | -23.59% | 14.64% | 46.32% | 8.41% | 12.29% | 4.33% | -23.66% | 10.21% | 30.9% | 59.17% | 58.38% | -9.88% | -5.05% | 41.35% | -8.25% | 12.4% | -33.98% | 34.84% | 21.82% | 17.4% |
| Net Income | 3.31B | 3.37B | 4.58B | 4.28B | 3.49B | 1.93B | -10.49B | -10.11B | 2.18B | -1.51B | -1.63B | 2.13B | 5.71B | 6.84B | 5.47B | 5.01B | 4.27B | 3.14B | 5.4B | 5.18B | 3.71B | 2.2B | 1.01B | 472.56M | -2.42B | 522.22M | 734.6M | 366.7M | 1.01B | 1.3B | 851.5M |
| Depreciation & Amortization | 2.69B | 2.64B | 1.89B | 1.76B | 2.15B | 2.12B | 2.57B | 3.59B | 3.56B | 3.84B | 4.09B | 4.08B | 4.09B | 3.67B | 3.5B | 3.28B | 2.76B | 2.48B | 2.27B | 1.95B | 1.56B | 1.35B | 1.31B | 1.57B | 1.55B | 1.9B | 1.27B | 1.02B | 1.14B | 972.5M | 885.2M |
| Stock-Based Compensation | 342M | 332M | 316M | 293M | 313M | 324M | 397M | 405M | 345M | 343M | 267M | 326M | 329M | 315M | 335M | 272M | 198M | 186M | 171.56M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -189M | -279M | -41M | 28M | -39M | -31M | -1.25B | -1.01B | -39M | 8M | -60M | -63M | -273M | -105M | -76M | -35M | -109M | 373M | -5.7M | 21.87M | 4.6M | 30.48M | 6.77M | -12.29M | -48.7M | 14.22M | -20.76M | -21.7M | -76M | 46.5M | -26.2M |
| Other Non-Cash Items | 577M | 342M | 1.16B | 498M | -484M | -94M | 12.55B | 12.88B | 79M | 3.67B | 3.83B | 2.37B | 1.92B | -386M | -359M | -317M | -1.6B | -693M | -95.65M | 144.11M | 138.24M | -202.48M | 26.23M | -21.83M | -144.16M | -141.13M | 831.92M | -182.5M | -42.3M | 31.6M | -73.2M |
| Working Capital Changes | -509M | 53M | -1.29B | -216M | -1.71B | 404M | -839M | -327M | -405M | -683M | -246M | -276M | -564M | -547M | -2.18B | -2.04B | -23M | -218M | -837.99M | -831.02M | -496.42M | -382.05M | -668.14M | -313.66M | 138.24M | -939.76M | -1.1B | -29M | -136.3M | -657.5M | -262.8M |
| Change in Receivables | 59M | -75M | -236M | -659M | -1.73B | -36M | 2.41B | 50M | 403M | 180M | 885M | 1.59B | -177M | -1.51B | -2.3B | 0 | 0 | 155M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -82M | -72M | -101M | -254M | -737M | 75M | 86M | -314M | -10M | 108M | 800M | 625M | -36M | 188M | -643M | -991M | -67M | 64M | -299.14M | -356.29M | -222.14M | -180.1M | -166.7M | 96.61M | 72.38M | -259.29M | -194.64M | -43.6M | -122.6M | -184.4M | -144.8M |
| Change in Payables | 110M | 218M | -994M | 724M | 704M | 160M | -3.33B | -161M | -824M | -737M | -1.68B | -2.66B | -36M | 654M | 928M | 0 | 0 | -645M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -947M | -1.41B | -3.15B | -2.78B | -1.39B | -919M | -2.35B | -2.01B | -1.04B | -1.78B | -624M | -10.25B | -5.58B | -6B | -6.16B | -3.52B | -2.94B | -4.02B | -5.14B | -4.6B | -5.1B | -2.04B | 1.68B | -1.49B | -1.42B | -4.34B | -1.83B | -1.61B | -4.08B | -2.06B | -1.39B |
| Capital Expenditures | -1.59B | -1.69B | -2.13B | -2.09B | -1.72B | -1.18B | -1.22B | -1.96B | -2.26B | -2.38B | -2.69B | -2.9B | -4.3B | -4.34B | -5.05B | -4.02B | -2.91B | -2.63B | -4.07B | -3.19B | -2.47B | -1.59B | -1.22B | -1.03B | -1.37B | -2.05B | -1.32B | -927.3M | -1.89B | -1.5B | -1.16B |
| CapEx % of Revenue | 4.42% | 4.74% | 5.87% | 6.31% | 6.11% | 5.15% | 5.16% | 5.94% | 6.89% | 7.83% | 9.65% | 8.16% | 8.85% | 9.58% | 11.97% | 10.16% | 10.62% | 11.43% | 14.98% | 13.71% | 12.83% | 11.13% | 10.59% | 7.29% | 10.03% | 14.67% | 13.76% | 11.05% | 15.97% | 14.05% | 12.93% |
| Acquisitions | -207M | -187M | -553M | -105M | 897M | 6M | 401M | 563M | 287M | -847M | -2.4B | -443M | -1.01B | -1.21B | -845M | -186M | -702M | -514M | -345.16M | -1.12B | -584.1M | -108.78M | -42.83M | 356.77M | -176.59M | -5.23B | -920.6M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 535M | 532M | 107M | -108M | -232M | -58M | -1.31B | -155M | -29M | -217M | -54M | -3.01B | 19M | -4.15B | -4.09B | -3.69B | -3.26B | -885M | -729.21M | -201.75M | -339.48M | 1.72M | -140.38M | -226.87M | -559.5M | -416.19M | -286.73M | -388.6M | 103.1M | 282.2M | -15.6M |
| Cash from Financing | -5.5B | -5.64B | -2.77B | -2.51B | -2.38B | -2.82B | -873M | -3.72B | -5.02B | -5.03B | -5.43B | 1.37B | -5.9B | -2.2B | -339M | -2.7B | -1.41B | -1.19B | -1.82B | -1.63B | 290.51M | -990.72M | -3.59B | -558.34M | -812.28M | 2.78B | 148.24M | 117.7M | 1.73B | 331.5M | 55.1M |
| Debt Issued (Net) | -3.35B | -1.62B | 405M | -582M | -1.61B | -2.15B | 830M | -839M | -2.05B | -1.61B | -2.38B | 5.79B | -37M | 1.45B | 1.64B | 1.77B | 933M | 108M | 470M | -201.37M | 1.52B | -215.7M | -2.93B | -317.81M | -591.24M | 3.09B | 345.34M | -95.3M | 1.98B | 556.4M | 215.5M |
| Equity Issued (Net) | -187M | -2.19B | -1.74B | -694M | 0 | 0 | -26M | -278M | -400M | -969M | -778M | -2.18B | -4.68B | -2.6B | -972M | -3B | -1.72B | -404M | -1.64B | -732.94M | -626.3M | -611.64M | -42.12M | 172.49M | 175.09M | 121.76M | 229.37M | 623.5M | 139.2M | 148M | 169.1M |
| Dividends Paid | -1.64B | -1.6B | -1.53B | -1.32B | -848M | -699M | -1.73B | -2.77B | -2.77B | -2.78B | -2.65B | -2.42B | -1.97B | -1.61B | -1.43B | -1.3B | -1.04B | -1.01B | -964.14M | -771.35M | -567.67M | -481.58M | -441.22M | -437.02M | -433.13M | -430.33M | -426.46M | -410.5M | -388.4M | -370.8M | -366.8M |
| Share Repurchases | -416M | -2.41B | -1.74B | -694M | 0 | 0 | -26M | -278M | -400M | -969M | -778M | -2.18B | -4.68B | -2.6B | -972M | -3B | -1.72B | -500M | -1.82B | -1.35B | -1.07B | -611.64M | -320.22M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -13.4M |
| Other Financing | -322M | -239M | 93M | 81M | 79M | 22M | 57M | 168M | 198M | 326M | 374M | 184M | 787M | 555M | 429M | -175M | 415M | 114M | 311.73M | 75.23M | -31.76M | 318.2M | -181.53M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 45M |
| Net Change in Cash | -117M | -508M | 644M | 1.25B | -102M | 913M | -293M | -296M | -366M | -1.13B | 136M | -337M | -342M | 1.57B | 200M | -59M | 1.15B | 54M | -8.3M | 31.42M | -25.14M | -32.55M | -10.69M | 66.08M | -9.59M | 16.99M | 28.13M | 27.3M | -42.1M | -20.6M | 64.8M |
| Free Cash Flow | 4.68B | 4.79B | 4.47B | 4.54B | 2B | 3.47B | 1.73B | 3.48B | 3.45B | 3.28B | 3.58B | 5.68B | 6.92B | 5.45B | 1.64B | 2.15B | 2.58B | 2.64B | 2.83B | 3.07B | 2.31B | 1.41B | 680.82M | 1.08B | 850.56M | -484.46M | 386.1M | 593.3M | 415.7M | 212M | 244.1M |
| FCF Margin % | 13.01% | 13.43% | 12.33% | 13.72% | 7.14% | 15.14% | 7.32% | 10.56% | 10.52% | 10.78% | 12.86% | 16% | 14.25% | 12.04% | 3.9% | 5.45% | 9.4% | 11.5% | 10.42% | 13.18% | 12.03% | 9.86% | 5.93% | 7.68% | 6.25% | -3.46% | 4.02% | 7.07% | 3.52% | 1.99% | 2.73% |
| FCF Growth % | -1.43% | 7.2% | -1.58% | 126.68% | -42.24% | 100.98% | -50.32% | 0.67% | 5.27% | -8.28% | -37% | -18% | 27.03% | 231.85% | -23.73% | -16.55% | -2.31% | -6.66% | -7.77% | 32.6% | 63.93% | 107.31% | -36.92% | 26.89% | 275.57% | -225.48% | -34.92% | 42.72% | 96.08% | -13.15% | -4.46% |
| FCF per Share | 3.09 | 3.22 | 3.11 | 3.15 | 1.40 | 2.43 | 1.24 | 2.51 | 2.48 | 2.36 | 2.64 | 4.47 | 5.29 | 4.09 | 1.23 | 1.58 | 2.04 | 2.18 | 2.31 | 2.48 | 1.86 | 1.15 | 0.56 | 0.92 | 0.73 | -0.42 | 0.33 | 0.53 | 0.37 | 0.19 | 0.22 |
| FCF Conversion (FCF/Net Income) | 1.42x | 1.94x | 1.48x | 1.58x | 1.08x | 2.47x | -0.28x | -0.54x | 2.67x | -3.76x | -3.71x | 4.14x | 2.06x | 1.45x | 1.22x | 1.23x | 1.29x | 1.68x | 1.27x | 1.21x | 1.29x | 1.36x | 1.55x | 5.49x | -0.96x | 3.00x | 2.33x | 4.15x | 2.27x | 1.32x | 1.65x |
| Interest Paid | 0 | 0 | 510M | 503M | 562M | 560M | 598M | 558M | 592M | 0 | 599M | 346M | 389M | 369M | 313M | 294M | 234M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 1.14B | 1.06B | 716M | 591M | 582M | 739M | 628M | 0 | 750M | 1.57B | 2.05B | 1.73B | 1.74B | 1.84B | 571M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Working capital volatility
As reported in recent financial statements, SLB's operating cash flow to net income ratio has fluctuated significantly, reaching a low of 0.65 in 2026Q1, which suggests that reported earnings are increasingly disconnected from the actual cash-generating capacity of the company's core international service operations.
The persistent gap between net income and operating cash flow indicates that accrual-based accounting may be masking underlying operational inefficiencies. Investors should monitor whether this divergence stems from aggressive revenue recognition on long-cycle projects or an inability to convert service billings into timely cash receipts.
Based on SLB's reported figures, free cash flow margins have experienced a sharp decline, falling from a peak of 26.7% in 2023Q4 to a marginal 1.7% in 2026Q1, highlighting a concerning trend in the company's ability to retain cash after accounting for necessary capital expenditures.
This trajectory suggests that the company's capital-intensive business model is struggling to generate surplus cash in the current pricing environment. The rapid erosion of FCF margins warrants further investigation into whether management's strategic pivot is creating sufficient returns to offset the ongoing costs of global operations.
According to recent SEC filings, SLB's working capital changes have been highly erratic, including a significant $1.1 billion outflow in 2026Q1, which indicates that the company's cash cycle is currently subject to substantial and unpredictable swings that complicate short-term liquidity management.
The recurring large outflows in working capital suggest that the company is either facing extended collection cycles from international clients or is forced to carry higher inventory levels to support its global footprint. This volatility appears to be a primary driver of the inconsistent cash flow performance observed over the last ten quarters.
As evidenced by the company's financial data, SLB has continued to prioritize share repurchases and dividends despite the recent deterioration in free cash flow, with buybacks totaling $2.3 billion in 2025Q2 alone, a strategy that may be unsustainable if current cash generation trends persist.
The decision to return significant capital to shareholders while operating cash flow remains volatile suggests a management focus on supporting equity valuation over balance sheet preservation. Investors should monitor whether this deployment strategy will eventually necessitate a reduction in capital returns if the current cash flow contraction continues.
Quick answers to the most common questions about buying SLB stock.
SLB N.V. (SLB) generated $6.49B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
SLB N.V. (SLB) generated $4.79B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
SLB N.V. (SLB) spent $1.69B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, SLB N.V. (SLB) returned $1.60B to shareholders via cash dividends and spent $2.41B on share repurchases. This shows the company's commitment to returning capital to its equity investors.