Vallourec Sa · EURONEXT:VK
Vallourec Sa — Investor Presentation (March 2026)
42 slides from Vallourec Sa's investor presentation, March 2026
Slide 1: Investor Presentation
Investor Presentation March 2026
Slide 2: Legal Disclaimer
Legal Disclaimer Forward-Looking Statements This presentation includes forward-looking statements. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms as “believe”, “expect”, “anticipate”, “may”, “assume”, “plan”, “intend”, “will”, “shoul
Slide 3: Investment Overview
- 4 Investment Overview
Slide 4: Vallourec's Strategic Journey
Vallourec’s Strategic Journey More profitable, more resilient, more cash generative Operational and Strategic Improvements 2022 New Vallourec Plan Brazil Performance Program European asset closures Two-phase Mine Extension plan China premiumization Brazil capability enhancement New Energies franchis
Slide 5: Significantly Reshaped Production Footprint
Significantly Reshaped Production Footprint Changes resulting from the New Vallourec plan and subsequent Brazil optimization Rolling Capacity (kt) North America 850 Closed ~700kt of rolling capacity South America 800 and various finishing sites East Asia 280 Reduced rolling capacity by Europe 50 ~30
Slide 6: Execution Track Record
Execution Track Record Group EBITDA Margin (%) Net Working Capital Days 30% 125 108 95 99 20% 100 82 10% 75 – 50 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2022 2023 2024 2025 2022 2023 2024 2025 Total Cash Generation (€m) Net Cash (Debt) (€b) 0.3
Slide 7: Closing the Margin and Return Gap Versus Peers
Closing the Margin and Return Gap Versus Peers Progress since New Vallourec plan announcement in May 2022 Narrow Margin Gap in Fourth Quarter Strong ROIC From Asset Streamlining Tubes EBITDA per Tonne (Peer vs. Vallourec, $) Trailing 12 Month Return on Invested Capital1 Quarterly Trailing 12 Months
Slide 8: Debt and Liquidity
Debt and Liquidity Debt Evolution Liquidity Evolution Net Cash (Debt) (€ Million)1 € Million 1,877 1,880 Net Cash (Debt) Gross (Debt) 224 232 1,653 1,539 1,536 1,560 500 138 177 177 175 39 1,203 550 550 – 550 189 462 550 550 (500) 462 1,103 1,098 (1,000) 900 965 (862) 809 835 552 (1,500) Y/E Y/E Y/E
Slide 9: Vallourec's Capital Allocation Framework
Vallourec’s Capital Allocation Framework Maintain a Crisis-Proof Sustain and Expand Our Establish Our Shares as a Balance Sheet Premium Market Position High-Yielding Investment Vehicle • Retain substantial financial and • Ensure asset integrity with €100 – 125 • Distribute 80 – 100% of total cash st
Slide 10: 2026 Shareholder Returns
2026 Shareholder Returns Delivering on our commitment to be one of the most shareholder-friendly companies in our peer group Applying Our Capital Allocation Framework Balanced Shareholder Return Structure • Significant shareholder distributions Million Euros • Around €650m expected to be distributed
Slide 11: Vallourec's Foreign Exchange and Cost Exposures
Vallourec’s Foreign Exchange and Cost Exposures Foreign Exchange Exposure and Management Cost Structure Summary % of Total 2025 Costs Impacting EBITDA • Revenue is primarily invoiced in USD • North America and Tubes export business largely USD SG&A and Other • Second largest: BRL (domestic Industry
Slide 12: Midcycle Cash Flow Simulation
Midcycle Cash Flow Simulation Significant Potential Returns Metric Assumption EBITDA (€) Tubes €750m Mine & Forest €125m Holding & Other, Intersegment (€25m) Group EBITDA €850m Cash Flows (€) Capital expenditures €175m Financial cash out €50m Cash tax €175m Group total cash generation €450m Total ca
Slide 13: Operations & Market Dynamics
Operations & Market Dynamics
Slide 14: Supplier of Mission-Critical Premium Seamless Tubular Solutions
Supplier of Mission-Critical Premium Seamless Tubular Solutions Focused on High-End Seamless Tubular Solutions Highly Demanding Applications for our Products Vallourec Focus Vertical Well Commercial Airline Section Cruising Altitude Up to 10,000 meters ~10,000 meters Welded Tubes Seamless Tubes Moun
Slide 15: The Seamless Tube Production Process
The Seamless Tube Production Process Heat Raw Material Sourcing Steelmaking Rolling Treatment Threading Externally sourced & recycled process scrap OCTG Only Scrap Metal Iron Ore Pelletizing Plant Pellets Cast Iron Lumber Kiln Charcoal Blast Furnace Conversion of scrap Piercing and Heating and cooli
Slide 16: Key Seamless Tubes Markets
Key Seamless Tubes Markets Oil Country Project Line Pipe Industry New Tubular Goods (PLP) and Energies (OCTG) and Process Other 2024 Total Market Size (mt) 12.0 4.1 Not Analyzed High-Growth 2024 Served Market Size (mt) 5.7 1.0 0.4 Emerging Markets % of 2024 Vallourec Volumes ~70% ~15% <15% Automotiv
Slide 17: Limited Set of Premium Seamless Tube Suppliers
Limited Set of Premium Seamless Tube Suppliers Tier 1 Global Suppliers ~6 million tonnes annual production Suppliers Unable to Access Global Premium Market Regional Western Suppliers Asia and CIS Suppliers ~2.5 million tonnes annual production >10 million tonnes annual production Note: reflects prod
Slide 18: Major Seamless OCTG Markets
Major Seamless OCTG Markets 2024 Market Size (Million Tonnes) CIS North America 2.6 Europe 0.4 3.7 China 2.8 1.3 Africa 0.4 Asia Pacific Middle East 0.5 Ex-China 0.4 South America Dominant Connection Technology Proprietary API Sources: Internal market intelligence based on public peer commentary, Ry
Slide 19: Technology Unlocks High-Value Markets
Technology Unlocks High-Value Markets Gaining Access to Value-Added Markets Advanced Technology Drives Higher Added Value Market Price ($/tonne) • Value over Volume strategy emphasizes participation in markets where we are well-positioned due to: 8,000 • Technology 7,000 • Geography or trade 6,000 •
Slide 20: Sustaining and Expanding our Premium Market Position
Sustaining and Expanding our Premium Market Position Expanding our capabilities to produce differentiated products with significant value creation potential Expanding High-Torque Capabilities Growing CLEANWELL® in OCTG Enhancing PLP Coating Offering Investing to support customer demands for Investin
Slide 21: Enhancing Our Value Chain
Enhancing Our Value Chain Ongoing Execution of High-Return Projects 2022 2023 2024 2025 2026 Mine & Forest Mine Phase 1 Extension Mine Phase 2 Extension Brazil Steelmaking Steelmaking Reconfiguration Brazil Capability Enhancement Rolling Brazil Plug Mill Closure German Mill Closures China Premiumiza
Slide 22: Major OCTG Market Characteristics
Major OCTG Market Characteristics Region Primary Customers Commercial Demands • High volumes Large Independent • Just-in-time delivery North America Exploration & Production • Reliable domestic supply chain Companies (E&Ps) • Fit-for-purpose technology • Multi-year program support • Inventory manage
Slide 23: Tubes Revenue Mix
Tubes Revenue Mix Balanced Geographic Exposure Focused on High-Value Oil & Gas Business % of 2025 Tubes Revenues % of 2025 Tubes Revenues Other Rest of 7% World Industry 21% 9% North America 41% South America 16% Oil & Gas¹ Middle East 84% 22% 1 Includes petrochemicals 23
Slide 24: US OCTG Market
US OCTG Market Stable Demand, OCTG Intensity Increasing Gas Activity Rising; Oil Stable OCTG Consumption per Rig Continuing to Increase US Horizontal Rig Count Annualized US OCTG Consumption (ktonnes) per Horizontal Rig Oil (L Axis) Gas (R Axis) 10 600 150 9 500 125 8 400 100 7 300 75 6 200 50 100 2
Slide 25: US OCTG Market: Slowing Imports, Pricing Stable at Healthy Level
US OCTG Market: Slowing Imports, Pricing Stable at Healthy Level Resilient Demand with Slightly Moderating Pricing Imports Continue to Fall Prices Moderating Slightly in Q4 Monthly OCTG Imports (Thousand Tonnes) Seamless Market Prices ($/tonne) License data Welded SMLS imports % of Total Shipments (
Slide 26: US OCTG Trade Dynamics
US OCTG Trade Dynamics Key Sources of US Supply Welded: More Commoditized Seamless: Higher Value OCTG Shipments (Million Tonnes) % of 2024 Welded OCTG Imports % of 2024 Seamless OCTG Imports 6.0 Other Austria 19% 17% 5.1 Other 5.0 4.7 34% Korea 1.1 4.3 Imported 45% Thailand Canada 1.1 Welded 13% 15%
Slide 27: International OCTG Market Snapshot
International OCTG Market Snapshot Activity still slower than 2024, but showing signs of a potential recovery Drilling Activity Stable in Q4; Up in 2026 Middle East Pricing Recovering Indexed Rig Count (2024 Average = 100) Seamless Market Price ($/tonne) Middle East Onshore Middle East Offshore Midd
Slide 28: Long-Term Oil & Gas Demand Forecasts Rising
Long-Term Oil & Gas Demand Forecasts Rising Changes in policy assumptions and price forecasts drive upward revisions Upward Revisions to Oil Demand Gas Demand Plateau Extended World Oil Demand (mb/d) World Gas Demand (bcm) STEPS 2024 STEPS 2025 CPS 2025 STEPS 2024 STEPS 2025 CPS 2025 115 113 6,000 5
Slide 29: Long-Term Supply: Increasing Decline Rates
Long-Term Supply: Increasing Decline Rates Reflects higher reliance on unconventional production, changing mix of conventional production & higher base Oil: Average Annual Loss in Production Gas: Average Annual Loss in Production Million barrels per day (mb/d) Billion cubic meters (bcm) 6.0 5.7 300
Slide 30: Significant Growth Potential in New Energies Business
Significant Growth Potential in New Energies Business Carbon Capture, Utilization and Geothermal Hydrogen Storage (“CCUS”) Primary Tubes Casing for Casing and tubing for CO2 injection wells; H2 storage systems; transportation Application geothermal wells transportation line pipes line pipes Heat res
Slide 31: Geothermal Spotlight
Geothermal Spotlight Accelerating demand for geothermal products Next-gen geothermal financing ($B) Rising demand for low-carbon, baseload and dispatchable power 2.2 Growing investments in geothermal industry, including by AI hyperscalers Clear commercial momentum in Vallourec New Energies 1.2 1.0 0
Slide 32: Geothermal Development Concepts
Geothermal Development Concepts 32
Slide 33: Sizing the Geothermal Opportunity
Sizing the Geothermal Opportunity Capitalizing on Vallourec’s industry-leading technology Conventional Enhanced Advanced Typical MW / well 10 – 20 5 – 10 3–5 OCTG / well (t) 500 – 700 Heat resistance Heat resistance Product demands Heat resistance Pressure resistance Thermal insulation Key Vallourec
Slide 34: Financial Data
Financial Data
Slide 35: Summary Income Statement
Summary Income Statement Please see “Definitions of Non-GAAP Financial Data” in the Appendix *Share count not shown due to significant changes in share capital resulting from the 2021 financial restructuring 35
Slide 36: Summary Balance Sheet
Summary Balance Sheet Please see “Definitions of Non-GAAP Financial Data” in the Appendix 36
Slide 37: Summary Cash Flow Statement
Summary Cash Flow Statement Please see “Definitions of Non-GAAP Financial Data” in the Appendix Due to a change in cash flow reporting format, all figures prior to 2022 should be considered unaudited estimates provided for informational purposes. *Foreign exchange differences reflects a change in pr
Slide 38: Segment Key Performance Indicators
Segment Key Performance Indicators Please see “Definitions of Non-GAAP Financial Data” in the Appendix * Tubes volume sold in thousand tonnes, Mine & Forest volume sold in million tonnes “H&O” = Holding & Other; “Int.” = Intersegment 38
Slide 39: Definitions of Non-GAAP Financial Data and Concepts
Definitions of Non-GAAP Financial Data and Concepts Adjusted free cash flow is defined as adjusted operating cash flow +/- change in operating working capital and gross capital expenditures. It corresponds to net cash used in operating activities less restructuring and non-recurring items +/- gross
Slide 40: Definitions of Non-GAAP Financial Data and Concepts
Definitions of Non-GAAP Financial Data and Concepts Gross capital expenditure: gross capital expenditure is defined as the sum of cash outflows for acquisitions of property, plant and equipment and intangible assets and cash outflows for acquisitions of biological assets. (Increase) decrease in net
Slide 41: Definitions of Non-GAAP Financial Data and Concepts
Definitions of Non-GAAP Financial Data and Concepts Non-cash adjustments to net debt includes non-cash foreign exchange impacts on debt balances, IFRS-defined fair value adjustments on debt balances, and other non-cash items. Non-cash items in EBITDA includes provisions and other non-cash items in E
Slide 42: Share Information and Financial Calendar
Share Information and Financial Calendar Share Information Financial Calendar Euronext Paris • May 13, 2026: Publication of First Quarter ISIN code: FR0013506730 2026 Results Ticker: VK Upcoming Investor Events USA: American Depositary Receipt (ADR) • March 25, 2026: Jefferies Mid-Cap ISIN code: US9