If beleaguered oilfield service (OFS) companies take strategic moves, pulling levers focused on portfolio strategy, pricing and digital models among others, their efforts could collectively lead to an additional $20 billion each year in revenue.

That’s according to a recently released report by Deloitte entitled “Down but not out: Transforming oilfield services.” Analysts with the firm studied data from 70 OFS companies, looking for ways that companies can restructure their businesses to better withstand volatile market conditions and meet the needs of oil and gas companies.

Among the key ways to improve earnings are ditching noncore business lines, while scaling up core capabilities; creating a flexible pricing structure; clearly connecting cost centers to revenue and enhancing existing capabilities with digital technology.

Already have an account? Log In

Thanks for reading Hart Energy.

Subscribe now to get unmatched coverage of the oil and gas industry’s entire landscape.

Get Access