Slide 1: CGG Q1 2022 - Financial Results
CGG Q1 2022 - FINANCIAL RESULTS All figures are ‘segment figures’ used for management reporting (before non-recurring charges and IFRS 15), unless stated otherwise 1
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 Q1 2022 overview 02 Operational review 03 Financial review 04 2022 Business outlook & Financial objectives Q1 2022 Financial Results 3
Slide 4: Q1 2022 Overview
Q1 2022 OVERVIEW 4 cgg.com 4
Slide 5: Q1 2022 Key segment financial highlights
Q1 2022 Key segment financial highlights REVENUE EBITDAS NET CASH FLOW $153 million $39 million $68 million Q1 2022 down (24)% pro-forma* up 31% y-o-y including $90 million y-o-y change in working capital & provisions Liquidity of $388 million, excluding $100 million undrawn RCF • Strong Net Cash Fl
Slide 6: Operational Review
OPERATIONAL REVIEW 6 cgg.com 6
Slide 7: Digital, Data and Energy Transition (ex-GGR) key financial indicators
Digital, Data and Energy Transition (ex-GGR) key financial indicators SEGMENT REVENUE ($m) ADJUSTED SEGMENT EBITDAS ($m) & MARGIN (%) Earth Data 60% 56% 31% 48% 668 -12% Geoscience 402 330 586 31 58 340 2020 2021 Q1 2021 Q1 2022 276 ADJUSTED SEGMENT OPINC ($m) & MARGIN (%) 12% 18% - 19% 328 310 +34%
Slide 8: Geoscience key business indicators
Geoscience key business indicators TOTAL PRODUCTION ($m) BACKLOG AS OF MARCH. 31ST ($m) (EXCLUDING GEOSOFTWARE AND SDS) -5% 460 435 Internal production 132 125 External revenue 328 +16% 102 207 310 99 195 88 27 33 33 66 55 75 2020 2021 Q1 2021 Q1 2021 Q1 2022 Proforma 2021 2022 TOTAL PRODUCTION / HE
Slide 9: Geoscience Q1 operational highlights
Geoscience Q1 operational highlights Subsurface Imaging Strong production, especially in North America High level of bid submissions and order intake worldwide Step improvement of FWI Technology with Elastic FWI Much improved resolution for sub-salt reservoir imaging 15Hz acoustic TLFWI mode
Slide 10: Ambitions & Goals: CGG Data Hub
Ambitions & Goals: CGG Data Hub Leading edge digital transformation services Providing instant access to curated digital data that enables higher level analytics Technology solution breaking the boundaries of possibility Rapid development of technologies, leveraging Machine Learning for data efficie
Slide 11: Earth Data (ex-Multi-client) key business indicators
Earth Data (ex-Multi-client) key business indicators MULTI-CLIENT REVENUE ($m) MULTI-CLIENT CAPEX ($m) & PRE-FUNDING (%) Multi-Client capex Cash pre-funding rate 1.4x 1.6x Cash on cash Prefunding After-sales 89% 89% 50% 42% 340 -19% 276 213 +29% 44 150 34 239 168 15 14 30 33 127 126 19 30 2020 2021
Slide 12: Earth Data Q1 operational highlights
Earth Data Q1 operational highlights Brazil • Delivered Nebula A dual-azimuth data with much improved pre-salt images • Good production on Antares survey since its start in early February North Sea • Secured pre-funding to add sparse nodes to NVG E-W survey in Norway • After-sales from asset turnove
Slide 13: Energy transition: lithium brine and geothermal energy studies
Energy transition: lithium brine and geothermal energy studies Data-rich, science-based and expert-driven • Unique well, geochemistry and interpretation database • Over one million subsurface temperature and Geothermal screening: temperature gradient and heat mass map geochemical data points evaluat
Slide 14: Sensing & Monitoring (ex-Equipment) key financial indicators
Sensing & Monitoring (ex-Equipment) key financial indicators SEGMENT PRODUCTION ($m) ADJUSTED SEGMENT EBITDAS ($m) & MARGIN (%) 8% 11% 14% 39 - BTC 23 Downhole 16 357 Marine +23% 17 15 Land 291 11 -12 14 101 2020 2021 Q1 2021 Q1 2022 50 ADJUSTED SEGMENT OPINC ($m) & MARGIN (%) 113 2% 7% -3% 2 -70% -
Slide 15: Sensing & Monitoring Q1 operational highlights
Sensing & Monitoring Q1 operational highlights Land • Deliveries of 508XT and WiNG systems to India and Brazil • Revenue impacted by sanctions on Russia Marine • Some minor deliveries of Sentinel sections • Significant opportunities for GPR 300 sales in H2 2022 Downhole tools • Artificial Lift gauge
Slide 16: Financial Review
FINANCIAL REVIEW 16 cgg.com 16
Slide 17: Income Statement
Income Statement In million $ Q1 2022 Q1 2021 Q1 2022 Segment Revenue 153 213 IFRS 15 adjustment 23 (4) Segment Revenue at $153m, IFRS Revenue 175 209 down (24)% pro-forma* and (28)% year-on-year Segment EBITDAs 39 29 Adjusted** Segment EBITDAs 39 33 Adjusted** Segment EBITDAs at (5) (17) $39m, up 1
Slide 18: Simplified Cash Flow
Simplified Cash Flow In million $ Q1 2022 Q1 2021 Q1 2022 Segment Operating Cash Flow 39 24 before change in working capital Net cash flow at $68m Change in working capital & provisions 90 80 Segment operating cash flow at $39m, Capex (42) (42) before $90m change in working Proceeds from disposal of
Slide 19: Balance Sheet
Balance Sheet At the end of March 2022 Group’s liquidity amounted to $488m, including: $388m cash liquidity $100m undrawn RCF Group gross debt before IFRS 16 was $1,196m and net debt was $807m Group gross debt after IFRS 16 was CURRENT $1,313m and net debt was $925m ASSETS $1,149m HY Bonds, due 2027
Slide 20: 2022 Outlook
2022 OUTLOOK 20 cgg.com 20
Slide 21: Business trends: Confirmation of the 2022 financial objectives
Business trends : Confirmation of the 2022 financial objectives Step-out Exploration and Production focus driving market improvements GEOSCIENCE CGG’s clear technology differentiation making significant impact in complex sub-surface areas Resumption of lease rounds in several countries (UK, Br
Slide 22: Thank You
THANK YOU 22