Baker Hughes Company · NASDAQ:BKR
Baker Hughes — Barclays CEO Energy-Power Conference 2021
18 slides from Baker Hughes's conference presentation, Sep 8, 2021
Slide 1: Barclays CEO Energy-Power Conference
Baker Hughes $3 Barclays CEO Energy-Power Conference September 8, 2021 i} monet, Chairmah & CEO
Slide 2: Forward-looking statements
This presentation (and oral statements made regarding the subjects of this release) may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 2IE of the Securities Exchange Act of 1934, as amended, (each a “forward-looking stateme
Slide 3: An evolving energy landscape... oil & gas/LNG
An evolving energy landscape... oil & gas/LNG Current oil demand outlook! Liquefaction capacity: supply/demand gap? (MMb/d) (mPa) Supply 105 900 100 soo LNG Demand 95 > Q 700 | a Based on -85% 86 —Woodmac 5 g00 | [ad factor —Energy Aspects 3 80 500 —IHS 2 z 75 = 400 70 300 2019 3Q'20 2Q21 1Q22 4Q22
Slide 4: An evolving energy landscape ... new energy
An evolving energy landscape ... new energy Clean energy investment for (st) IEA net zero by 2050! 5 4 3 >2X over the next decade 2 1 =z 2016-20 2030 ig Low Emission Fuels g Electricity Generation @ Energy Infrastructure m End-use * Renewables / new energy investment poised s to accelerate + Wind, S
Slide 5: Baker Hughes' evolution continues
Baker Hughes’ evolution continues Two years ago One year ago 2018 Future state » Transforming Driving organic Strategic bets businesses to and inorganic to drive improve growthin high- = decarbonization margins and potential of energy and © vpsream @ issn cash segments industry @ Miastream —— @ indu
Slide 6: Sharpening focus to two primary areas
Sharpening focus to two primary areas We are reshaping our company around two core business areas Oilfield Services and Equipment PERFORMANCE & VALUE FOCUSED OFSE BUSINESSES SHGREDISTRENG TUS + Core customer base + Oilfield Services * Oilfield Equipment * Global scale & reach + Mission critical tech
Slide 7: OFSE ... over a century of continuous innovation
OFSE ... over a century of continuous innovation Early 1 Heritage Founded on entrepreneurial spirit and technological innovation: + Reuban Carl Baker patented innovative casing shoe in 1907 and founded Baker Oil Tools + Howard Hughes, Sr. revolutionized rotary drilling with first roller cone drill b
Slide 8: OFSE ... poised to deliver on growing demand
OFSE ... poised to deliver on growing demand + Multiyear upcycle to bolster growth Favorable market conditions Me + Improved competitive landscape * Technology player with record of operational excellence Leading technolo: ‘ : nae A 9g gy * R&D and scale for lower carbon intensity and emissions solu
Slide 9: Industrial Energy Technology ... leading businesses and a compelling portfolio
Industrial Energy Technology ... leading businesses and a compelling portfolio Well positioned + Decarbonization An energy technology company solving complex toaddress key - Digitalization challenges for industries and enabling the path to net-zero. macro market —* New energy mix and systems. themes
Slide 10: Industrial ... growth driven by energy transition
Industrial ... growth driven by energy transition * Compelling growth profile a key differentiator + Multiple areas could drive extended growth cycles over next 5-10 years and beyond 2030+ + Well-positioned to address key themes and emerging QP ove ® Decentralized trends ae hE + Technology roadmap F
Slide 11: Working to decarbonize the industrial sector
Working to decarbonize the industrial sector Industry ... largest consumer of energy Baker Hughes enables Stee! Industry end use 12% New energy solutions cus FOTO SUE SERN oe Aluminum > + For hard-to-abate sectors like steel, cement, pyercgen Other 19) and chemicals, full electrification is not poss
Slide 12: Collaborating across energy transition
Collaborating across energy transition Bloomenergy’ Collaborating on integrated, low carbon power-generation and hydrogen solutions: + Integrated power solutions * Integrated hydrogen solutions + Mutual technical collaborations 12 Copy 2021 Baker Hughes Company. Al Global collaboration agreement to
Slide 13: Continued emphasis on free cash flow
Continued emphasis on free cash flow Delivering on FCF potential $1.2B $1.28 $0.5B 2018 2019 2020 Strong cash flow ... disciplin 3 $0.9B 1H'21 capita allocation ... focused on returns Taking action to drive financial returns + Announced $2B share purchase authorization in July 2021 * Commitment to d
Slide 14: At Baker Hughes we are committed to sustainability
At Baker Hughes we are committed to sustainability Driving carbon footprint reduction Reduction in Baker Hughes carbon ] 5% emissions from 2019 baseline + Investing in low carbon energy technologies enabling customer's emissions reduction + Committed to achieving net zero operational emissions by 20
Slide 15: Conclusion
Conclusion 15 Evolving our thinking into two major areas of focus, OFSE & Industrial Energy Technology, to provide long- term optionality OFSE poised to deliver on growing demand... returns- focused portfolio Industrial Energy Technology ... compelling growth profile Capital allocation and strategic
Slide 16: Appendix
Appendix 16. op igh 207 sake dine Corea Aare taco Baker Hughes =
Slide 17: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations (sin millions) Reconciliation of Cash Flow From Operating Activities to Free Cash Flow Non-GAAP reconciliation TY2018 192019 2Q2019 -3Q2019 4Q2019TYZ019 192020 292020 392020 4@2020 Ty2020 192021 292021 Cash flow from operating activities (GAAP) (7) |Add: cash used in
Slide 18: Baker Hughes
Baker Hughes =
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