Company: BKR
Filing Date: 2025-10-24
Form Type: 10-Q
Source: 0001701605-25-000117
Chunk: 84

Company: Baker Hughes Co
Filing Date: 2025-10-24
Form: 10-Q
Item: Part I, Item 8
Chunk 84
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 Company changed the internal financial information regularly provided to the CODM to formalize the transition to evaluation of the performance of the Company's reportable segments utilizing segment Earnings Before Interest, Taxes, Depreciation, and Amortization ("EBITDA") as the measure of profit. This accompanied a change to the captions and subtotals included on the Company's income statement. The CODM assesses the performance of each segment based on segment EBITDA, which is defined as income (loss) before income taxes and before the following: net interest expense, costs associated with significant restructuring programs, depreciation and amortization, and unallocated corporate costs and other income (expense). The CODM uses segment EBITDA as the measure to make resource (including financial or capital resources) allocation decisions for each segment, predominantly in the annual budget and forecasting process. The CODM considers budget-to-actual variances on a quarterly basis when evaluating performance for each segment and making decisions about capital allocation. Accounting policies have been applied consistently by all segments within the Company for all reporting periods. Intercompany revenue and expense amounts have been eliminated within each segment to report on the basis that management uses internally for evaluating segment performance.

Baker Hughes Company 2025 Third Quarter Form 10-Q | 20

Baker Hughes CompanyNotes to Unaudited Condensed Consolidated Financial Statements

Summarized financial information for the Company's segments is shown in the following tables.Three Months Ended September 30, 2025Nine Months Ended September 30, 2025OFSEIETTotalOFSEIETTotalRevenue$3,636 $3,374 $7,010 $10,752 $9,595 $20,347 Cost of goods and services sold(2,905)(2,399)(5,304)(8,615)(6,900)(15,515)Research and development costs(60)(86)(146)(186)(267)(453)Selling, general and administrative(220)(309)(529)(660)(876)(1,536)Other income (expense)(1)— (1)— 5 5 Add: Depreciation and amortization221 55 276 680 164 844 Segment EBITDA$671 $635 $1,306 $1,971 $1,721 $3,692 Three Months Ended September 30, 2024Nine Months Ended September 30, 2024OFSEIETTotal