Slide 1: Earnings Presentation Second Quarter Ended May 31, 2010
Exhibit 99.2 EARNINGS PRESENTATION SECOND QUARTER ENDED MAY 31, 2010 JULY 14, 2010 3:00 PM UK TIME seabed-to-surface
Slide 2: Forward-Looking Statements
Forward-Looking Statements Forward-Looking Statements: Certain statements made in this announcement may include “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the US Securities Exchange Act of 1934. These statements may be identified by the us
Slide 3: Highlights
Highlights Solid quarterly performance: Continuing operations: Revenue of $581 million Adjusted EBITDA(a) of $121 million Adjusted EBITDA margin of 20.9% Net income of $63 million Diluted EPS of $0.25 Performance reflects: Execution of contracts signed prior to 2009 with good profit margins Outstand
Slide 4: Medium-term fundamentals remain strong
Medium-term fundamentals remain strong More stable oil price underpins confidence in our business SURF market: Continue to see strong tendering activity worldwide Expect some of the delayed major SURF contracts, particularly in West Africa and Australia, to proceed to market award this year Given th
Slide 5: Short-term: limited visibility in the North Sea and Gulf of Mexico
Short-term: limited visibility in the North Sea and Gulf of Mexico North Sea: Visibility activity remains somewhat limited Significant increase in tendering in H1 2010 Projects slow to come to award Pricing environment for shorter-term work remains very competitive Project awards expected to create
Slide 6: Confident in the future
Confident in the future Continue to perform strongly and to deliver excellent execution for our clients Order in take in the quarter relatively low, resulting in backlog falling to $2.3 billion, excluding joint ventures Remain comfortable with the projects in the pipeline which should be awarded to
Slide 7: Well positioned to capture opportunities
Well positioned to capture opportunities Continued, focused investment in people and assets Confidence in the future demonstrated by ongoing fleet development: Good progress continues on Acergy Borealis; work proceeding to plan; continue to discuss potential projects with clients Post quarter end ca
Slide 8: Summary
Summary Remain confident in our performance and in the future Guidance for fiscal year 2010 reiterated For continuing operations: Revenue in line with 2009 an Adjusted EBITDA margin lower than 2009 outturn, namely lower than 22.1% but close Clear and focused strategy – growth expected to be driven b
Slide 9: Financial highlights
Financial highlights Three-Months Ended Six-Months Ended In $ millions, except share and per share data May 31, May 31, May 31, May 31, 2010 2009 2010 2009 Unaudited Unaudited Unaudited Unaudited Continuing operations: Revenue 580.9 525.5 1,156.7 1,028.6 (a) Adjusted EBITDA 121.4 113.2 256.6 215.0 G
Slide 10: Regional performance – Northern Europe and Canada
Regional performance – continuing operations Territory 1 - Acergy Northern Europe and Canada Quarter ended May.31 Six months ended May.31 $m $m 131 269 121 212 (5) (5) (6) (3) Revenue Net operating (loss) Revenue Net operating (loss) Q210 Q209 Q210 Q209 Second Quarter 2010: As expected, lower activi
Slide 11: Regional performance – Asia and Middle East
Regional performance – continuing operations Territory 1 - Acergy Asia and Middle East Quarter ended May.31 Six months ended May.31 $m $m 81 169 54 101 41 62 15 28 Revenue Net operating income Revenue Net operating income Q210 Q209 Q210 Q209 Second Quarter 2010: Good progress on Pluto and Pyrenees P
Slide 12: Regional performance – Africa and Mediterranean
Regional performance – continuing operations Territory 2 - Acergy Africa and Mediterranean Quarter ended May.31 Six months ended May.31 $m $m 316 658 208 436 83 174 41 78 Revenue Net operating income Revenue Net operating income Q210 Q209 Q210 Q209 Second Quarter 2010: Continued good operational pro
Slide 13: Regional performance – North America and Mexico
Regional performance – continuing operations Territory 2 - Acergy North America and Mexico Quarter ended May.31 Six months ended May.31 $m $m 34 29 13 8 0.4 (5) 0.9 (9) Revenue Net operating (loss) Revenue Net operating (loss) / income / income Q210 Q209 Q210 Q209 Second Quarter 2010: Absence of act
Slide 14: Regional performance – South America
Regional performance – continuing operations Territory 2 - Acergy South America Quarter ended May.31 Six months ended May.31 $m $m 186 101 115 60 10 9 18 4 Revenue Net operating income Revenue Net operating income Q210 Q209 Q210 Q209 Second Quarter 2010: Anticipated lower activity levels due to comp
Slide 15: Regional performance – Corporate
Regional performance – continuing operations Corporate Quarter ended May.31 Six months ended May.31 $m $m Revenue Net operating Revenue Net operating (loss) / income (loss) / income 19 11 2 3 2 4 (24) (35) Q210 Q209 Q210 Q209 Second Quarter 2010: Lower utilisation of corporate vessels, including Ace
Slide 16: Cashflow highlights
Cashflow highlights In $ millions Three-Months Ended Six-Months Ended May 31, 2010 May 31, 2010 Unaudited Unaudited Net income – total operations 67.3 124.9 Depreciation and amortisation and Impairment 27.7 62.1 Non cash items (12.9) (53.5) Changes in working capital (40.2) (182.7) Net cash generate
Slide 17: Balance sheet highlights
Balance sheet highlights In $ millions as at May 31, November May 31, 2010 30, 2009 2009 Unaudited Audited (1) Unaudited Property, plant and equipment 1,017.5 821.8 850.2 Interest in associates and joint ventures 181.8 190.3 164.1 Trade and other receivables 294.0 297.9 319.9 Assets held for sale 24
Slide 18: Appendices
Appendices seabed-to-surface July 14, 2010 slide 18
Slide 19: Major project progression
Major project progression Continuing Projects >$100m, between 5% and 95% complete as at May 31, 2010 - excl. long-term ship charters Moho Bilondo (Congo) EPC4A (Nigeria) PazFlor (Angola) ALNG (Angola) Block 17/18 (Angola) Deep Panuke (Canada) Gumusut (Malaysia) 0% 20% 40% 60% 80% 100% Acergy AFMED A
Slide 20: Backlog analysis – continuing operations
Backlog analysis – continuing operations In $ millions as at: May.31.10 Feb.28.10 May.31.09 (1) Backlog 2,251 2,469 2,415 (2) Pre-Backlog 205 309 99 (1) Backlog excludes amounts related to discontinued operations as of May.31.10: $15 million, Feb.28.10: $25 million, May.31.09: $77 million (2) Pre-ba
Slide 21: Segmental analysis – continuing operations
Segmental analysis – continuing operations For the three months Territory 1 Territory 2 ended May 31, 2010 Total – Acergy Acergy Acergy Acergy Acergy Acergy continuing NEC AME AFMED NAMEX SAM Corporate operations In $ millions Revenue 121.1 81.3 316.1 0.4 60.3 1.7 580.9 Net operating (loss) / income
Slide 22: Segmental analysis – continuing operations
Segmental analysis – continuing operations For the six months Territory 1 Territory 2 ended May 31, 2010 Total – Acergy Acergy Acergy Acergy Acergy Acergy continuing NEC AME AFMED NAMEX SAM Corporate operations In $ millions Revenue 211.7 168.7 657.8 0.9 115.2 2.4 1,156.7 Net operating (loss) / inco
Slide 23: Regional performance – discontinued operations
Regional performance – discontinued operations Discontinued Operations Quarter ended May.31 Six months ended May.31 $m $m 17 49 37 7 13 2 6 1 Revenue Net operating income Revenue Net operating income Q210 Q209 Q210 Q209 Positive contribution from the Mexilhao Trunkline Project seabed-to-surface July
Slide 24: Adjusted EBITDA
Adjusted EBITDA (a) Adjusted EBITDA:The Group calculates Adjusted EBITDA from continuing operations (adjusted earnings before interest, income taxation, depreciation and amortisation) as net income from continuing operations plus finance costs, other gains and losses, taxation, depreciation and amor
Slide 25: Reconciliation of Net Income to Adjusted EBITDA
Reconciliation of Net Income to Adjusted EBITDA Three-Months Ended Three-Months Ended May 31, 2010 May 31, 2009 Total Total In $ millions (except percentages) Continuing Discontinued Continuing Discontinued operations operations Net income 62.8 4.5 67.3 76.0 0.9 76.9 Depreciation and amortisation 27
Slide 26: Reconciliation of Net Operating Income to Adjusted EBITDA
Reconciliation of Net Operating Income to Adjusted EBITDA Three-Months Ended Three-Months Ended May 31, 2010 May 31, 2009 Total Total In $ millions (except percentages) Continuing Discontinued Continuing Discontinued operations operations Net operating income 93.7 6.5 100.2 81.0 1.0 82.0 Depreciatio