Weatherford International plc Leases Disclosure
| Year Ended December 31, | ||||||||||||||
| (Dollars in millions) | 2025 | 2024 | 2023 | |||||||||||
| Lease Expense Components: | ||||||||||||||
| Operating Lease Expense | $ | 57 | $ | 57 | $ | 60 | ||||||||
| Short-term and Variable Lease Expense | 185 | 205 | 174 | |||||||||||
| Subtotal of Operating Lease Expense | $ | 242 | $ | 262 | $ | 234 | ||||||||
| Finance Lease Expense: Amortization of Assets and Interest on Lease Liabilities | 27 | 24 | 19 | |||||||||||
| Sublease Income | (1) | (2) | (2) | |||||||||||
| Total Lease Expense | $ | 268 | $ | 284 | $ | 251 | ||||||||
| Operating | Finance | ||||||||||
| (Dollars in millions) | Leases | Leases | |||||||||
Maturity of Lease Liabilities as of December 31, 2025: | |||||||||||
2026 | $ | 58 | $ | 33 | |||||||
2027 | 41 | 22 | |||||||||
2028 | 24 | 10 | |||||||||
2029 | 18 | 4 | |||||||||
2030 | 16 | 3 | |||||||||
After 2030 | 88 | 6 | |||||||||
| Total Lease Payments | 245 | 78 | |||||||||
| Less: Interest | (88) | (8) | |||||||||
| Present Value of Lease Liabilities | $ | 157 | $ | 70 | |||||||
| Years Ended | |||||||||||
| (Dollars in millions except years and percentages) | 12/31/2025 | 12/31/2024 | 12/31/2023 | ||||||||
| Other Supplemental Information: | |||||||||||
| Cash paid for amounts included in the measurement of lease liabilities: | |||||||||||
| Operating cash outflows from operating leases | $ | 63 | $ | 61 | $ | 67 | |||||
| Operating cash outflows from finance leases | $ | 4 | $ | 5 | $ | 5 | |||||
| Financing cash outflows from finance leases | $ | 27 | $ | 35 | $ | 18 | |||||
Assets obtained in exchange for: | |||||||||||
| Operating leases | $ | 45 | $ | 32 | $ | 70 | |||||
| Finance leases | $ | 57 | $ | 34 | $ | 16 | |||||
| Weighted-average remaining lease term (years) | |||||||||||
| Operating leases | 8.9 | 8.9 | 8.4 | ||||||||
| Finance leases | 3.2 | 3.1 | 3.1 | ||||||||
| Weighted-average discount rate (percentages) | |||||||||||
| Operating leases | 8.4 | % | 8.6 | % | 8.8 | % | |||||
| Finance leases | 6.7 | % | 6.8 | % | 8.2 | % | |||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 4, 2026 | Showing above |
| 2024 | Feb 6, 2025 | |
| 2023 | Feb 7, 2024 | |
| 2022 | Feb 8, 2023 | |
| 2021 | Feb 17, 2022 | |
| 2020 | Feb 19, 2021 | |
| 2019 | Mar 16, 2020 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.