Technipfmc Plc · NYSE:FTI
Technipfmc — UBS Houston Energy Bus-less Tour (2016)
16 slides from Technipfmc's conference presentation, 2016
Slide 1: UBS Houston Energy Bus-less Tour
UBS Houston Energy Bus-less Tour Maryann Mannen Executive Vice President and Chief Financial Officer
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Forward-Looking Statements This communication contains “forward-looking statements.” All statements other than statements of historical fact contained in this report are forward- looking statements within the meaning of Section 27A of the United States Securities Act of 1933, as amended (
Slide 3: Disclaimer: No Offer or Solicitation
Disclaimer No Offer or Solicitation This communication is not intended to and does not constitute an offer to sell or the solicitation of an offer to subscribe for or buy or an invitation to purchase or subscribe for any securities or the solicitation of any vote in any jurisdiction pursuant to the
Slide 4: Disclaimer: Additional Information, EU Prospectus
Disclaimer Important Additional Information Will be Made Available in an Prospectus Prepared in accordance with the EU Prospectus Directive TechnipFMC will make publicly available a prospectus, prepared in accordance with the EU Prospectus Directive 2003/71/EC, with respect to the issuance of new sh
Slide 5: Actions Focused on Improving Project Economics
Actions Focused on Improving Project Economics Company-specific initiatives have provided tangible results Improved project execution avoids costs and defends market share Restructuring creates greater efficiencies and permanent savings Standardization, technology, and integrated models furt
Slide 6: Subsea Technologies
Subsea Technologies Creating a Lower Cost Platform That Preserves Manufacturing Capabilities $M Rolling 4 Quarter Period Lower cost, reduce physical capacity 6,000 18.0% through facility rationalization 5,000 Facility rationalization lowers costs 16.0% and reduces physicaleffective capacitycapac
Slide 7: Surface Technologies
Surface Technologies Further Restructuring to Address North American Markets International activity largely as expected NAM rig count troughed ~25% below initial planning assumptions Incremental pressure-pumping fleet cannibalization Lower activity levels More competitive pricing dynamics
Slide 8: Unique Subsea Products and Services
TechnipFMC will Offer Clients Unique Subsea Products and Services … Topsides and facilities Life of field and monitoring SURF: Subsea umbilicals, risers and flowlines SPS: Subsea production systems (including processing) FEED and sub-surface expertise 7
Slide 9: A Full Suite of Capabilities Sourced from a Single Contracting Partner
… and a Full Suite of Capabilities Sourced from a Single Contracting Partner Conceptual Design Project Execution LOF & Maintenance & FEED Equipment Engineering Procurement Construction Installation supply Rationalized subsea Maximised reliability architecture and Joint SPS+SURF and uptime design Sho
Slide 10: Increasing Rate of Market Acceptance of Forsys Subsea Concept
Increasing Rate of Market Acceptance of Forsys Subsea Concept Awarded Integrated FEED Studies 18 16 16 No. of FEED Studies 14 12 10 8 6 4 2 0 0 2 4 6 8 10 12 14 Months after Establishing JV/Alliance Forsys Subsea has been awarded 16 integrated FEED studies since inception in June 2015 9
Slide 11: Diversified Mix of Integrated FEED Studies
Diversified Mix of Integrated FEED Studies Forsys Subsea studies by type Customer Type Scope (Tree Count) Field Type NOCs 21+ XTs Independents 1-10 XTs Brownfield Greenfield 11-20 XTs IOCs Relationships Geography Africa GOM Non- Alliance Asia Pacific alliance North Sea The Forsys Subsea studies cove
Slide 12: Redesign Subsea
Redesign Subsea TechnipFMC Integrated Approach Traditional field development Integrated technological approach Up to 30% cost reduction in SPS/SURF scope Fewer SPS interfaces and reduced equipment complexity Reduction in flowlines and risers Faster installation and reduced heavy lift requirements Lo
Slide 13: Significant Potential for Cost Synergies
Significant Potential for Cost Synergies Pre-Tax Cost Synergies of approximately $400m by 2019 Supply Chain Base plan Stretch Commodity raw material cost savings Better terms with shared suppliers Beneficial scale effect from higher volumes Additional cost Corporate and Others ~$400m reducti
Slide 14: Integrated Approach: Revenue Synergies
Integrated Approach Improved Project Economics Create Revenue Synergies Multiple opportunities to create revenue synergies Early involvement can improve positioning on new projects Integrated technologies provide differentiation and significant cost reduction Portfolio of projects and solution
Slide 15: Merger Creates A Leading Oilfield Services Provider
Merger Creates A Leading Oilfield Services Provider Global Scale and Strong Balance Sheet One of Largest OFS Companies by Revenue… … With an Industry Leading Balance Sheet 1 EBITDA calculated as Revenue - Expenses + Depreciation and Amortization 14
Slide 16: Creating Unique Competencies and Delivering Unparalleled Value
Creating Unique Competencies and Delivering Unparalleled Value Provide a comprehensive and flexible offering Accelerate and integrate technology innovation Create a single, accountable contracting partner Create a more cost-effective operating structure Lower project costs, drive different