Tecnicas Reunidas Sa · BME:TRE
Tecnicas Reunidas Sa — H1 2022 Earnings Presentation
18 slides from Tecnicas Reunidas Sa's earnings presentation, Jul 29, 2022
Slide 1: H1 2022 Results Presentation
H1 2022 RESULTS PRESENTATION JULY 29TH 2022 JUAN LLADÓ – EXECUTIVE CHAIRMAN EDUARDO SAN MIGUEL - CEO
Slide 2: Index
INDEX 1) CHAIRMAN INITIAL REMARKS AND PIPELINE 2) H1 2022 RESULTS 3) MACRO ENVIRONMENT AND H2 2022 GUIDANCE 4) CLOSING REMARKS 2
Slide 3: Chairman Initial Remarks and Pipeline
CHAIRMAN INITIAL REMARKS AND PIPELINE EXECUTIVE CHAIRMAN Juan Lladó 3
Slide 4: Chairman Initial Remarks
CHAIRMAN INITIAL REMARKS • Moving towards normalization… o In operations o In sales and results o In cash and working capital …despite highly volatile macro environment in H1 2022 • Progress clouded by one-off litigation provisions • Strategic and quality of awards in 2022 reveal TR’s engineering ex
Slide 5: New Achievements in Energy Transition
NEW ACHIEVEMENTS IN ENERGY TRANSITION • HyDeal selected Técnicas Reunidas for the • FEED award for a 910 MW combined cycle plant technical design, architecture and supply chain of with carbon capture technology in Peterhead the first Spanish hydrogen plants (Scotland) • Europe’s largest integrated r
Slide 6: Big Investment Opportunities in Coming Years
BIG INVESTMENT OPPORTUNITIES IN COMING YEARS Oil Natural gas Pipeline Accumulated figures per • Largest investment wave of the expected award date last decade announced Global investment in oil (Bn) Global investment in gas (Bn) Pipeline February 2022 • Clients with big investment plans World oil de
Slide 7: H1 2022 Results
H1 2022 RESULTS CEO Eduardo San Miguel 7
Slide 8: H1 2022 Results
H1 2022 RESULTS €M 1.181 Sales 928 881 Sales €1,654m 700 712 763 682 703 773 659 EBIT €-56m Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Extraordinary effects* €85m • Sales recovering from low levels of Net cash position(1) €134 Covid period • Macro
Slide 9: H1 2022 Results
H1 2022 RESULTS Sales €1,654m • Results in operations progressing towards normalization, despite sales being slightly lower than expected EBIT €-56m • EBIT mainly impacted by one-off Extraordinary effects* €85m provisions from litigation Net cash position(1) €134 *Litigations (€75m) and Covid (€10m)
Slide 10: Net cash evolution in H1 2022
H1 2022 RESULTS Net cash evolution in H1 2022 €M +38 -80 Sales €1,654m +35 +134 +61 +54 EBIT €-56m Q1 2022 Recurrent Non H1 2022 Touat Gaz H1 2022 net cash cash recurrent net cash bond net cash* cash execution Extraordinary effects* €85m • Slow but gradual normalization of payment practices Net cash
Slide 11: Macro Environment and H2 2022 Guidance
MACRO ENVIRONMENT AND H2 2022 GUIDANCE CEO Eduardo San Miguel 11
Slide 12: Moving to More Normalized Market Conditions
MOVING TO MORE NORMALIZED MARKET CONDITIONS Copper Nickel Carbon Steel* (USD/t) (USD/t) (USD/t) • Main raw materials for TR 11.000 37.000 1.800 projects dropping from 10.000 32.000 1.600 record levels 9.000 • Higher workforce 27.000 1.400 8.000 7.000 22.000 1.200 availability and access to 6.000 17.
Slide 13: Ramp Up in Sales and Margins for H2 2022
RAMP UP IN SALES AND MARGINS FOR H2 2022 H2 2022 Guidance • Active projects in the backlog moving to normalized execution speed Sales €2,100M - €2,300M • 2021 awards starting to move towards EBIT margin 2.5% - 3% procurement stage 13
Slide 14: Closing Remarks
CLOSING REMARKS EXECUTIVE CHAIRMAN Juan Lladó 14
Slide 15: Right Strategy to Capture Upcoming Sector Growth
RIGHT STRATEGY TO CAPTURE UPCOMING SECTOR GROWTH • Macro environment already easing • Operations moving to normalization Mid-term target Awards €5B • Cash and results from operations progressively improving Sales €5B • Positioning TR, in traditional business and EBIT margin 4% energy transition, to
Slide 16: Tecnicas Reunidas
y TECNICAS REUNIDAS
Slide 17: Disclaimer
DISCLAIMER This document has been prepared by Técnicas Reunidas S.A. (the Company) solely for use at presentations held in connection with the announcement of the Company's results. This document contains forward-looking statements of the Company and/or its management. These forward looking statemen
Slide 18: Pipeline Analysis
PIPELINE ANALYSIS Pipeline per division Pipeline per calendar Pipeline per geography (expected award date) 1% 15% 7% Clean Fuels 11% 22% Middle East 5% 5% Asia Pacific Petrochemical 37% H2 2022 Europe 7% Energy Transition H1 2023 LatAm 52% Natural Gas H2 2023 32% 24% 37% H1 2024 North America Other