Technipfmc Plc · NYSE:FTI
Technipfmc — Q3 2020 Earnings Presentation
27 slides from Technipfmc's earnings presentation, Oct 22, 2020
Slide 1: Q3 2020 Earnings Call Presentation
Q3 2020 Earnings Call Presentation October 22, 2020
Slide 2: Disclaimer
Disclaimer Forward-looking statements This communication contains “forward-looking statements” as defined in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. Words such as “guidance,” “confident,” “
Slide 3: Q3 2020 Overview
Q3 2020 Overview Financial Results and Operational Highlights Doug Pferdehirt, Chairman and Chief Executive Officer Maryann Mannen, EVP and Chief Financial Officer Arnaud Pieton, President and CEO-elect – Technip Energies
Slide 4: Strong third quarter results
Strong third quarter results Winning Executing Transforming $2.2B 9.6% 100% Inbound orders Adjusted EBITDA1 margin Targeted savings achieved 45% sequential growth in total Sequential improvement Early achievement of $350+ Company inbound orders across all business segments million in run-rate
Slide 5: Resilient award activity
Resilient award activity Subsea award Technip Energies award Surface Technologies award Q3 award highlights Breidablikk2 6 projects announced globally; $2.8 billion aggregate contract value1 Moerdijk plant modernization High-specification gas Middle East growth opportunities; leveraging equipmen
Slide 6: Accelerating our digital transformation
Accelerating our digital transformation Creating value for our clients and TechnipFMC throughout the project lifecycle Subsea Studio™ iComplete™ Transforming conventional concept, FEED and tendering Integrated completions pad provides simplification and phases into ultra-fast digital field devel
Slide 7: Business transformation
Business transformation Leadership – Seasoned professional Arnaud Pieton appointed President and CEO-elect of Technip 22 years of industry Energies experience Member of Executive Leadership Team since formation of 15+ years with TechnipFMC; TechnipFMC ELT member since merger Aligned on busines
Slide 8: Company results
Q3 2020 Company results Key highlights Cash flow from operations of $168 million, free cash flow of $95 million in the quarter Achieved full-year targeted run-rate savings of more than $350 million, ahead of schedule Adjusted EBITDA improved sequentially across all segments, driven by strong p
Slide 9: Segment results
Q3 2020 Segment results Subsea Technip Energies Surface Technologies USD, in millions USD, in millions USD, in millions +12% -70 bps +1% -820 bps -43% -350 bps 1,502 19.1% 1,342 1,596 1,608 397 10.4% 10.9% 11.2% 9.7% 226 7.7% Revenue Adjusted EBITDA margin Revenue Adjusted EBITDA margin Revenue Adju
Slide 10: Q3 2020 cash flow
Q3 2020 cash flow Q3 2020 Items of note Q3 2020 Cash flow walk 2020e Free Cash Flow ($M) (in $ millions) $149 - $299 $300 168 73 Debt reduced by $200 783 $647 million 4,810 when including impacts $100 $95 of amortization and Positive free cash flow foreign exchange $0 $95 million -$56 -$100 -$188 -$
Slide 11: Summary
Summary Strong operational results – all segments delivered sequential improvement in adjusted EBITDA margin Total Company inbound orders of $2.2 billion – sequential growth in Subsea backlog Achieved targeted run-rate savings of more than $350 million – ahead of schedule Significant debt re
Slide 12: Appendix
Appendix Q3 2020 Earnings Call Presentation | 12
Slide 13: Subsea opportunities in the next 24 months
Subsea opportunities in the next 24 months1 PROJECT UPDATES Added PETROBRAS Mero 4 PETROBRAS Buzios 6 PETROBRAS Buzios 8 Removed PETROBRAS Itapu* PETROBRAS Mero 2 EXXONMOBIL Payara Q3 2020 Earnings Call Presentation | 13
Slide 14: 2020 Full-year financial guidance
2020 Full-year financial guidance1 Updated October 21, 2020 Subsea Technip Energies Surface Technologies Revenue in a range of $5.3–5.6 billion Revenue in a range of $6.3–6.8 billion Revenue in a range of $950–1,150 million EBITDA margin at least 8.5% EBITDA margin at least 10% EBITDA ma
Slide 15: TechnipFMC liquidity (as of September 30, 2020)
TechnipFMC liquidity (as of September 30, 2020) Cash and cash equivalents Liquidity Supporting data September 30, (In billions) $9 (In billions) 2020 $8.1B Cash and cash equivalents $ 4.2 $8 $2.5B revolving credit facility 2.5 €500M revolving credit facility 0.6 Operating cash $6.6B $7 £600M Bank of
Slide 16: Financial disclosures – Yamal LNG
Financial disclosures – Yamal LNG Project disclosure data Contract liabilities structure TechnipFMC plc and Consolidated Subsidiaries Business Segment Data for Yamal LNG Joint Venture (In millions, unaudited) Reduction in contract liabilities: $133m September 30, 2020 June 30, 2020 June 30, 2020 to
Slide 17: Backlog visibility
Backlog visibility 1 3Q 2020 Inbound orders: $1,607 million Subsea Non-consolidated Backlog 2 $7.2 billion Subsea $1.1 billion $3.4 billion $2.7 billion 3 2020 2021 2022 & beyond 2020 $36 million 1 Backlog does not capture all revenue potential for subsea services. 2021 $129 million 2022+ $509 milli
Slide 18: Glossary
Glossary Term Definition Term Definition Bcm Billion Cubic Meters per Annum MMb/d Million Barrels per Day CAGR Compound Annual Growth Rate MRL Mandatorily redeemable financial liability E&C Engineering and Construction Mtpa Million Metric Tonnes per Annum FID Final Investment Decision NAM North Amer
Slide 19: Select financial data
Select financial data Three Months Ended Three Months Ended Revenue September 30, 2020 June 30, 2020 March 31, 2020 December 31, 2019 September 30, 2019 Inbound Orders (1) September 30, 2020 June 30, 2020 March 31, 2020 December 31, 2019 September 30, 2019 Subsea $ 1,501.8 $ 1,378.5 $ 1,253.1 $ 1,48
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Slide 27: TechnipFMC
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