Saipem S.p.a. · MIL:SPM

Saipem — Q1 2016 Earnings Presentation

18 slides from Saipem's earnings presentation, Apr 27, 2016

  1. Slide 1: First Quarter 2016 Results Presentation

    FIRST QUARTER 2016 RESULTS PRESENTATION 27 April 2016 mercoledì 27 aprile 2016 Saipem. Engineering Energy

  2. Slide 2: Forward-Looking Statements

    Saipem. Engineering Energy FORWARD-LOOKING STATEMENTS Forward-looking statements contained in this presentation regrading future events and future results are based on current expectations, estimates, forecasts and projections about the industries in which Saipem S.p.A. (the “Company”) operates, as

  3. Slide 3: Today's Presentation

    Saipem. Engineering Energy TODAY’S PRESENTATION 1 OPENING REMARKS 2 1Q 2016 RESULTS 3 BUSINESS REVIEW AND UPDATE ON COST OPTIMISATION 4 CONCLUSIONS 5 APPENDIX 3

  4. Slide 4: Q1 Highlights

    Saipem. Engineering Energy Q1 HIGHLIGHTS  Results on track  Operating margins €179mn, underpinned by Offshore performance  E&C Onshore positive for the 3rd consecutive quarter  Onshore Drilling results impacted by challenging environment in South America  Net Debt at €2.0bn  Leverage* below 1.

  5. Slide 5: 1Q 2016 Results

    Saipem. Engineering Energy 1Q 2016 RESULTS 5

  6. Slide 6: 1Q 2016 Results YoY comparison (€ mn)

    Saipem. Engineering Energy 1Q 2016 RESULTS YoY comparison (€ mn) Revenues EBIT Net Profit 3,020 2,840 179 159 308 243 63 86 77 61 1Q15 1Q16 1Q15 1Q16 1Q15 1Q16 E&C Offshore E&C Onshore Drilling Offshore Drilling Onshore Total EBIT 6

  7. Slide 7: 1Q 2016 Net Debt Evolution

    Saipem. Engineering Energy 1Q 2016 NET DEBT EVOLUTION (€ bn) 5.39 (3.44)* 0.27 2.04 (0.23) 0.05 Net Debt Capital Cash Flow Capex Δ Working Net Debt @ Dec. 31, 2015 Increase (N.I. + D.&A.) Capital @ Mar. 31, 2016 and Others * Net of fees 7

  8. Slide 8: Business Review and Update on Cost Optimisation

    Saipem. Engineering Energy BUSINESS REVIEW AND UPDATE ON COST OPTIMISATION 8

  9. Slide 9: 1Q 2016 Backlog (€ mn)

    Saipem. Engineering Energy 1Q 2016 BACKLOG (€ mn) 15,846 2,840 1,025 14,031 Backlog 1Q16 1Q16 Contracts Backlog @Dec. 31, 2015 Revenues Acquisition @Mar. 31, 2016 E&C Offshore E&C Onshore Drilling Offshore Drilling Onshore 9

  10. Slide 10: Near Term E&C Opportunities

    Saipem. Engineering Energy NEAR TERM E&C OPPORTUNITIES  Eni Shorouk (Zohr) development Phase 1 – subsea/pipelines  BP Tangguh – offshore fixed facilities and pipelines  BP Shah Deniz Ph.2 CO 007 – subsea facilities  Eni West Hub – subsea facilities  Saudi Aramco LTA - offshore fixed facilities

  11. Slide 11: E&C Opportunities

    Saipem. Engineering Energy E&C OPPORTUNITIES Americas Europe/ CIS and Central Asia  ExxonMobil Liza – subsea (post 2016)  Lukoil Filanovsky Phase 2 – offshore pipelines  Kinder Morgan – onshore pipelines  TANAP – offshore pipelines  Codelco Rodomiro Tomic – onshore pipelines1 o Nord stream 2 –

  12. Slide 12: Update on Drilling: Offshore Drilling Fleet Contracts

    Saipem. Engineering Energy UPDATE ON DRILLING Offshore Drilling fleet contracts Committed Stand-by CLIENT LOCATION Saipem 12000 - - Saipem 10000 Eni Worldwide DEEP-WATER Scarabeo 9 Eni Angola Scarabeo 8 Eni North Sea Scarabeo 7 Eni Angola/Indonesia Scarabeo 6 - - Scarabeo 5 Statoil North Sea MID WAT

  13. Slide 13: Fit For the Future Programme

    Saipem. Engineering Energy FIT FOR THE FUTURE PROGRAMME Additional  Additional rationalization of engineering and operation centres (France, Savings Croatia, UK, UAE) for €0.2bn  Further rationalization in West Africa (Angola, Nigeria)  Further rationalization of the fleet (scrap/disposal of two

  14. Slide 14: Conclusions

    Saipem. Engineering Energy CONCLUSIONS 14

  15. Slide 15: Appendix

    Saipem. Engineering Energy APPENDIX 15

  16. Slide 16: Reminder: 2016 Guidance

    Saipem. Engineering Energy REMINDER: 2016 GUIDANCE Metrics FY 2016 Revenues  >€11bn EBIT  >€600mm % margin  ~5.5% Net profit  ~ €300mm CAPEX  ~ €500mm Net financial position  <€1.5bn 16

  17. Slide 17: Backlog by Year of Execution (€ mn)

    Saipem. Engineering Energy BACKLOG BY YEAR OF EXECUTION (€ mn) 5,873 4,282 3,876 2016 2017 2018+ E&C Offshore E&C Onshore Drilling Offshore Drilling Onshore 17

  18. Slide 18: Breakdown of Saipem Backlog

    Saipem. Engineering Energy BREAKDOWN OF SAIPEM BACKLOG €14.0bn at March, 31 2016 By Business Unit By Geographic Area E&C Middle East Offshore 6% 8% 2% 13% Africa 9% E&C 38% Onshore 45% CIS 14% Europe Drilling Offshore 36% Americas 29% Drilling Asia Pacific Onshore E&C Backlog By Client Oil/ non-oil

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