Technipfmc Plc · NYSE:FTI
Technipfmc — Investor Presentation (March 2022)
42 slides from Technipfmc's investor presentation, March 2022
Slide 1: Investor Relations Overview
Investor Relations Overview March 2022
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. Forward-looking statement usually relate
Slide 3: Contents
Contents 1 FY and Q4 2021 Operational and financial highlights 2 Company overview Investor Relations Overview | 3
Slide 4: Section 1: FY and Q4 2021 Operational and financial highlights
Section 1: FY and Q4 2021 Operational and financial highlights Investor Relations Overview | 4
Slide 5: 2021 – A breakout year for TechnipFMC
2021 – A breakout year for TechnipFMC Total orders increased 33% year-over-year, with Subsea growing to $5 billion Entered Subsea inbound coming earlier in cycle, more in parallel with U.S. land markets multi-year upcycle Positioned for the energy transition, with inbound orders of $1 billion
Slide 6: Q4 2021 Operational summary
Q4 2021 Operational summary Highlights Total Company orders of $2.1 billion; sequential backlog growth of 9% to $7.7 billion Subsea orders of $1 billion, driven by continued strength in South America Strength in Middle East driving expansion of manufacturing capabilities (Saudi Arabia, UAE)
Slide 7: Q4 2021 Financial results
Q4 2021 Financial results Highlights $2.1B Cash flow from operations of $484 million, free cash flow of $423 million Inbound orders Total Company adjusted EBITDA of $130 million from continuing operations $7.7B Backlog Subsea sequential results reflected normal seasonality Surface Technologi
Slide 8: Q4 2021 Cash flow and net debt
Q4 2021 Cash flow and net debt Free cash flow Debt $423M reduction $251M 116 Net Debt (61) (251) (In millions, unaudited) 5 484 December 31, 2021 Cash and cash equivalents $ 1,327.4 (in $ millions) Short-term debt and current portion 1,327 of long-term debt (277.6) Long-term debt, less current porti
Slide 9: 2022 Full-year financial guidance
2022 Full-year financial guidance1 As of February 23, 2022 Subsea Surface Technologies Revenue in a range of $5.2 – 5.6 billion Revenue in a range of $1,150 – 1,300 million EBITDA margin in a range of 11 – 12% EBITDA margin in a range of 11 – 13% (excluding charges and credits) (excluding ch
Slide 10: Backlog scheduling provides visibility
Backlog scheduling provides visibility Subsea1 Surface Technologies as of December 31, 2021 as of December 31, 2021 2024+ $0.9B 2022 $377M $6.5 2022 $1.1 billion $3.4B billion 2023 2023+ $2.2B $748M 1 Backlog does not capture all revenue potential for subsea services Investor Relations Overview | 10
Slide 11: Subsea opportunities in the next 24 months
Subsea opportunities in the next 24 months1 Added Removed EQUINOR CHEVRON Halten East Jansz-Io PETRONAS CNOOC Bestari Lingshui PETROBRAS TOTAL Sapinhoa North Platte PETRORIO PETROBRAS Wahoo Buzios 6 TPAO PETROBRAS Sakarya 2 Buzios 7 ENI PETROBRAS Agogo Tupi PETROBRAS Buzios 10 Investor Relations Ove
Slide 12: Section 2: Company overview
Section 2: Company overview Investor Relations Overview | 12
Slide 13: TechnipFMC snapshot
TechnipFMC snapshot #1 3 41 Integrated solutions Pillars for Energy Transition Countries with current provider for the oil and gas (Offshore floating renewables, operations industry GHG removal, Hydrogen) >90% $6.4bn $7.7bn Total company Total company Total company international revenue revenue2 bac
Slide 14: ESG and TechnipFMC
ESG and TechnipFMC Our corporate strategy and foundational beliefs drive our approach to ESG practices TechnipFMC Corporate Strategy Technology Integration Collaboration Alliances Execution Environmental Social Governance • Our carbon footprint • Awareness and culture • Leadership in HSE • Our clien
Slide 15: 2018-2020 accomplishments
2018-2020 accomplishments Environmental Social Governance Goal: Reduce our own carbon footprint Goal: Promote gender diversity and equality Goal: Drive HSE to ensure a safe workplace Percent of succession plans 27% 100% Total Recordable Incident including w om en 0.28 0.26 39% Rate (TRIR) Reduction
Slide 16: Our environmental focus on carbon reduction
Our environmental focus on carbon reduction Targeting 50% reduction in Scope 1 and 2 emissions by 20301 Wind Hydro Hybrid / Biofuels Utilization of renewable resources for internal energy consumption 1. Versus 2017 baseline Investor Relations Overview | 16
Slide 17: Technology leadership
Technology leadership Integration technologies Digital and automation Robotics NextGen Precision Subsea 2.0™ subsea controls robotics for ROV Surface production Subsea iProduction™ automation mechatronics Using differentiated technologies to Applying Subsea digital and Utilizing mechatronics to tran
Slide 18: Overview of TechnipFMC segments
Overview of TechnipFMC segments Subsea Surface Technologies Financial contribution Subsea products ‣ Drilling, completion and production wellhead Revenue1 ‣ Trees, manifolds, control, templates, flowline equipment, chokes, compact valves, manifolds and Surface controls 17% systems, umbilicals and fl
Slide 19: Subsea competitive strengths
Subsea competitive strengths Market leading positions built Differentiated offering of Technology advancements to upon innovation and deep integrated products, services: drive greater efficiency and industry knowledge iFEED™, iEPCI™ and iLoF™ simplification Subsea Production FEED Studies Flexibles U
Slide 20: SPS / SURF – critical components of offshore development
SPS / SURF – critical components of offshore development OilStrong history of & gas industry has strong history SPS / SURF is one of the largest subseatree of subsea treeorders orders components of project costs Subsea tree orders by region 2006-2020 (trees) 600 Drilling / Well SPS / SURF 551 Constr
Slide 21: Improving project economics for deepwater projects
Improving project economics for deepwater projects More than 400 deepwater discoveries 500 have yet to be developed 410 Projects 400 Good progress on deepwater cost reductions with potential for additional 300 savings +40% to 60% 200 Standardization, technology and strong project execution can
Slide 22: Subsea offers a full suite of capabilities
Subsea offers a full suite of capabilities Conceptual Design Life-of-Field Project Execution & FEED1 and Maintenance Engineering Procurement Equipment Construction Installation supply Maximized Unique asset Rationalized subsea reliability and architecture Joint SPS+SURF R&D Shortened time to first a
Slide 23: Integrated approach redefining subsea project economics
Integrated approach redefining subsea project economics Traditional approach Enhancements Key benefits One global contractor Reduced material costs Integrated procurement Simplified equipment set-up Optimized subsea architecture Fewer subsea production Optimized flow assurance system i
Slide 24: Making subsea short-cycle with Subsea 2.0 + iEPCI
Making subsea short-cycle with Subsea 2.0™ + iEPCI™ Subsea 6 month Break-even Shell Kaikias iEPCI™ schedule price 2.0™ reduction <$30/bbl TechnipFMC is changing the subsea paradigm from a long-cycle to a short-cycle business, using Subsea 2.0™ and a truly integrated approach (iEPCI™) to field develo
Slide 25: Unique drivers of Subsea revenue growth
Unique drivers of Subsea revenue growth Subsea Services Alliance partners • Diversified revenue base of approximately $1.1 billion • Long-term, mutually beneficial relationships • Resilient, margin-accretive aftermarket services • iEPCI™ alliances utilize full integrated offering • Service potential
Slide 26: All-electric subsea production systems
All-electric subsea production systems Reducing infrastructure to create low carbon opportunities • Infrastructure and installation time reduced with removal of hydraulic lines, simplified umbilicals and lighter assets • Enables full field electrification of subsea production system, allowing for us
Slide 27: Surface Technologies competitive strengths
Surface Technologies competitive strengths Leading market positions in Delivering technology that Integrated offering delivers up several niche product offerings extends asset life, improves to $1m in savings per well, returns creates unique growth platform Wellhead Flowline Stimulation, Flowback an
Slide 28: iProduction
iProduction™ Separation system Replicating the Subsea playbook to transform onshore production • Proprietary technology and integrated ecosystem streamlines operations; reduces footprint, GHG emissions, capital costs, time to first oil • • Integrated offering operates under a single digital interfac
Slide 29: New Energy Ventures
New Energy Ventures Core competencies drive our three strategic pillars Greenhouse gas removal Offshore floating renewables Hydrogen integrated Offshore Novel Energies – iONE™ Market approach driven by 3 main pillars; our role in the long-term path to net zero will be as offshore ‘Energy Architect’
Slide 30: Deep Purple – Redefining subsea energy
Deep Purple™ – Redefining subsea energy Integrating renewables and hydrogen storage to deliver new energy resources • Collaboration with clients and partners to make renewables more commercially viable offshore • Utilize hydrogen fuel cells to store excess power Novel wind generated from wind and wa
Slide 31: Appendix
Appendix Investor Relations Overview | 31
Slide 32: Glossary
Glossary Term Definition Term Definition CAGR Compound Annual Growth Rate iLOF™ Integrated Life of Field CCS Carbon Capture and Storage LNG Liquefied Natural Gas ESG Environmental, Social and Governance MMb/d Million Barrels per Day FID Final Investment Decision Mtpa Million Metric Tonnes per Annum
Slide 33: FY and Q4 2021 Supporting financial data
FY and Q4 2021 Supporting financial data Investor Relations Overview | 33
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Slide 42: Investor Relations contacts
Investor Relations contacts Matthew Seinsheimer Vice President, Investor Relations Tel.: +1 281 260 3665 Email: InvestorRelations@TechnipFMC.com James Davis Senior Manager, Investor Relations Tel.: +1 281 260 3665 Email: InvestorRelations@TechnipFMC.com TechnipFMC.com