Viridien · EURONEXT:VIRI
Viridien — Q3 2023 Earnings Presentation
23 slides from Viridien's earnings presentation, Nov 6, 2023
Slide 1: Q3 2023 financial results
Q3 2023 financial results cgg.com
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements, including, without limitation, statements about CGG (“the Company”) plans, strategies and prospects. These forward-looking statements are subject to risks and uncertainties that may change at any time, and, therefore, the Company’s ac
Slide 3: Agenda
Agenda 01 Q3 & 9M 2023 overview 02 Operational review 03 Financial review 04 2023 Business outlook & Financial objectives Q3 2023 Financial Results 3
Slide 4: Q3 & 9M 2023 Overview
Q3 & 9M 2023 OVERVIEW 4 cgg.com 4
Slide 5: Q3 & 9M key segment financial highlights
Q3 & 9M key segment financial highlights REVENUE EBITDAs NET CASH FLOW $307 million $109 million $63 million Q3 2023 up 42% y-o-y up 41%, and including $(20)m compensation to Shearwater (SW) $805 million $278 million $(15) million 9M 2023 up 32% y-o-y up 15%, and including $(31)m compensation to SW
Slide 6: Operational Review
OPERATIONAL REVIEW 6 cgg.com 6
Slide 7: Data, Digital and Energy Transition key financial indicators
Data, Digital and Energy Transition key financial indicators SEGMENT REVENUE ($m) ADJUSTED SEGMENT EBITDAS ($m) & MARGIN (%) 56% 62% 58% 53% 50% 56% +21% Earth Data 406 659 330 Geoscience 260 250 103 545 66 +6% 471 2021 2022 YTD 2022 YTD 2023 Q3 2022 Q3 2023 375 444 276 ADJUSTED SEGMENT OPINC ($m) &
Slide 8: Geoscience key business indicators
Geoscience key business indicators TOTAL PRODUCTION ($m) BACKLOG AS OF SEPTEMBER. 30TH ($m) +1% 398 +15% 394 Internal production 343 +3% 115 298 External revenue 125 105 83 +18% 97 114 191 196 269 284 215 238 28 36 69 78 2021* 2022 YTD 2022 YTD 2023 Q3 2022 Q3 2023 2022 2023 TOTAL PRODUCTION / HEAD
Slide 9: Geoscience - Q3 operational highlights
Geoscience - Q3 operational highlights Geoscience • High activity with Q3 production up 18% year on year and order intake value up 6% year on year • Sustained by North America and North Sea step-out exploration and field development • Driven by demand for new technology - Elastic TLFWI – that delive
Slide 10: Advanced imaging technology brings value to clients
Advanced imaging technology brings value to clients • Driving advances in imaging technology to increase exploration success and reduce drilling risks • More accurate image of the reservoir with better geological fidelity, allowing: • Delineation of thin-bed reservoirs with confidence leading to new
Slide 11: CGG optimized HPC enabling advanced algorithms, including generative AI
CGG optimized HPC enabling advanced algorithms, including generative AI Global CGG Computing power (PFLOPS) EST. 500 320 Most accurate Data Images Transformation 280 220 250 150 60 70 50 20 30 10 2021 2012 2013 2015 2016 2018 2019 2014 2020 2022 2023 2024 2025 2026 2017 Biotechnology Artificial Drug
Slide 12: Earth Data key business indicators
Earth Data key business indicators EDA REVENUE ($m) EDA CAPEX ($m) & PRE-FUNDING (%) Multi-Client capex Cash pre-funding rate 1.6x 1.8x Cash on cash Prefunding After-sales 89% 66% 38% 93% 27% 111% +36% 375 276 136 +2% 230 234 150 69 +73% 107 132 205 180 239 62 55 168 142 126 161 19 52 101 72 43 50 2
Slide 13: Earth Data – Q3 operational highlights
Earth Data – Q3 operational highlights South America • Multiple projects in processing phase: Brazil – Antares, Foz do Amazonas, Uruguay, Trinidad Norway • 2023 NVG E-W survey in processing phase • Sleipner OBN acquisition complete, now in processing phase (partnership) Africa • Cote d’Ivoire reproc
Slide 14: Earth Data – multi-client programs
Earth Data – multi-client programs 2D seismic program in Malaysia • The Selat Melaka 2D multi-client seismic program over the Langkasuka Basin offshore Malaysia • Funded by industry and acquisition to start in Q4 2D seismic program in Malacca strait in Malaysia Ongoing S. E. Asia regional CCUS scree
Slide 15: Sensing & Monitoring (SMO) key financial indicators
Sensing & Monitoring (SMO) key financial indicators SEGMENT PRODUCTION ($m) ADJUSTED SEGMENT EBITDAs ($m) & MARGIN (%) 11% 6% - 14% 17% 10% 39 356 BTC 47 17 334 15 -24% Downhole 16 37 Marine 16 101 269 15 12 Land 33 +102% -4 19 2021 2022 YTD 2022 YTD 2023 Q3 2022 Q3 2023 164 72 165 ADJUSTED SEGMENT
Slide 16: Sensing & Monitoring – Q3 operational highlights
Sensing & Monitoring – Q3 operational highlights Land & Marine • Large deliveries of vibrators and geophone strings to North Africa and the Middle East • Large deliveries of Ocean Bottom Nodes (OBN) • Announcement of a full range of OBN nodes from shallow water up to 6000 m depth • Successful comple
Slide 17: Financial Review
FINANCIAL REVIEW 17 cgg.com 17
Slide 18: Income Statement
Income Statement In million $ Q3 2023 Q32022 YTD YTD 2023 2022 Q3 2023 Segment Revenue at $307m, up 41% Segment Revenue 307 217 805 610 year-on-year IFRS 15 adjustment (14) 38 4 49 IFRS Revenue 293 255 810 659 Segment EBITDAs at $109m, a 35% Segment EBITDAs 109 77 278 241 margin and including $(20)m
Slide 19: Simplified Cash Flow
Simplified Cash Flow In million $ Q3 2023 Q3 2022 YTD 2023 YTD 2022 Q3 2023 Segment Operating Cash Flow before change in working 114 77 275 235 capital Net cash flow at $63m, including $(25)m paid to Shearwater : Change in working capital & provisions 31 (40) (18) 9 - $(20)m related to compensation
Slide 20: Balance Sheet
Balance Sheet At the end of September 2023 Group’s liquidity amounted to $370m, including: $275m cash liquidity $95m undrawn RCF Gross debt before IFRS 16 at $1,197m and net debt before IFRS16 at $921m Gross debt after IFRS 16 at $1,283m and net debt after IFRS 16 at $1,008m $1,120m HY Bonds, due 20
Slide 21: 2023 Outlook
2023 OUTLOOK 21 cgg.com 21
Slide 22: Conclusion
Conclusion Favorable upcycle shaping up • Strengthening of offshore activity, including near-field exploration • Large investments in the middle-east for exploration and reservoir optimization, both onshore and offshore • Low carbon projects maturing globally, including offshore Core activities rema
Slide 23: Thank you
THANK YOU 23