Subsea 7 S.a. · OSL:SUBC

Subsea 7 — Q2 2024 Earnings Presentation

23 slides from Subsea 7's earnings presentation, Jul 25, 2024

Slide 2: Forward-looking statements
Forward-looking statements This document may contain ‘forward-looking statements’ (within the meaning of the safe harbour provisions of the U.S. Private Securities Litigation Reform Act of 1995). These statements relate to our current expectations, beliefs, intentions, assumptions or strategies rega
Slide 3: Second quarter 2024 – delivering growth
Second quarter 2024 – delivering growth • Adjusted EBITDA of $292 million • Increased full year guidance by 5% • Record order intake and backlog • Addition of high-quality projects that support continued margin expansion • Recent awards support Adjusted EBITDA margins exceeding 20% in full year 2026
Slide 4: Order intake momentum remains strong
Order intake momentum remains strong Order intake 7.4 7.1 6.1 1.2 3.0 • Q2 order intake $4.0bn 4.4 2.0 2.1 0.2 0.7 • New awards $3.8bn 1.0 $bn 1.4 4.0 2.0 2.2 • Escalations $0.2bn 2.1 Q4 1.9 1.9 Q3 Q2 • Book-to-bill 2.3 times 1.5 1.2 1.3 0.8 Q1 2020 2021 2022 2023 2024 4 © Subsea7 - 2024 subsea7.com
Slide 5: Record backlog of high-quality projects
Record backlog of high-quality projects 14 2.0 12 10 1.5 8 1.0 6 4 0.5 2 0 0.0 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 H1 2024 Order intake ($bn) Backlog ($bn) Book-to-bill (RHA) 5 © Subsea7 - 2024 subsea7.com
Slide 6: Backlog extends visibility beyond 2025
Backlog extends visibility beyond 2025 Subsea and Conventional Renewables Backlog by year of execution Backlog by year of execution 10.7 1.8 8.7 1.7 4.0 1.5 0.3 7.0 2.4 0.7 5.3 2.2 0.8 0.7 $bn 0.8 $bn 1.5 3.6 4.1 2.8 0.2 0.6 1.7 Beyond Beyond Next year 0.7 0.7 Next year 2.0 2.0 2.6 2.6 0.5 0.3 Curre
Slide 7: Group results – strong growth in revenue and profitability
Group results – strong growth in revenue and profitability Revenue Adjusted EBITDA 714 6.0 5.0 5.1 559 521 245 1.6 1.4 1.3 169 3.5 143 337 1.6 201 1.0 1.4 $bn 292 $m 1.5 185 171 165 0.9 1.7 Q4 Q4 1.2 1.5 162 1.2 Q3 90 134 Q3 0.8 113 Q2 162 Q2 0.8 1.0 1.2 1.2 1.4 Q1 (9) 68 102 86 107 Q1 2020 2021 202
Slide 8: Subsea and Conventional
Subsea and Conventional $1.4bn Revenue $1.2bn $1.0bn • Revenue up 21% YoY to $1.4 billion • Adjusted EBITDA margin 17.2% Q2 2022 Q2 2023 Q2 2024 • Continued mix-shift to higher-margin projects $247m • High utilisation of subsea global enabler Adjusted 200 0.25 vessels $171m EBITDA 17.2% 0.2 • Includ
Slide 9: Renewables
Renewables $309m Revenue $281m $260m • Revenue $281 million • Adjusted EBITDA margin 13.6% in Q2 Q2 2022 Q2 2023 Q2 2024 • Expect to exceed 10% margin for the full year 2024 50 $34m $38m 0.2 Adjusted 40 30 0.15 • Net operating income $8 million 13.6% 0.1 20 EBITDA 10 11.1% 0.05 $(49)m 0 0 -10 -0.05
Slide 10: Cash balance reconciliation
Cash balance reconciliation $m • Cash conversion ratio 0.7x • Free cash flow $132m 290 • Net debt $1,027 million Including lease liabilities of $533 million • Gross liquidity $1.1 billion Cash Adjusted Working Tax FX Investing Financing Restricted Other Cash 1 April EBITDA capital cash 30 June • Res
Slide 11: Group financial guidance
Group financial guidance 2023 2024 Revenue $6.0 billion $6.5 – 6.8 billion Administrative expense $266 million $280 – 300 million Adjusted EBITDA $714 million $1,000 – 1,050 million D&A $538 million $600 – 620 million Net operating income $105 million $400 – 430 million Net finance cost $46 million
Slide 12: Enabling vessels – success in Guyana
Enabling vessels – success in Guyana Successful completion of the Seven Borealis Stinger pipelay scope for the Gas to Energy project Seven Borealis • Fabrication of 119 kilometers of 12" carbon steel pipe • Installed by Seven Borealis in S-Lay mode • 9,608 pipe joints • Water depths up to 1400 metre
Slide 13: Enabling products – pipeline solutions for Yggdrasil
Enabling products – pipeline solutions for Yggdrasil • Yggdrasil project in Norway draws on a number of Subsea7 pipeline solutions: • Unique bundle design combines full field development pipelines and controls in a single integrated bundle • Proprietary pressurised reel lay installation enables use
Slide 14: Enabling vessels – milestones for Seaway Ventus
Enabling vessels – milestones for Seaway Ventus • Seaway Ventus’ inaugural projects making good progress • Gode Wind 3 – installation of 11 turbines completed on schedule and budget • Borkum Riffgrund 3 – 11 turbines installed to date • Vessel to be equipped with a gripper during the 2024/25 winter
Slide 15: Subsea prospects
Subsea prospects Europe North and Central America BP Clair Ridge Expansion (i) Beacon Zephyrus Equinor Fram Sør Monument Wisting (i, f) BP Tie-back projects Northern Lights 2 Chevron Tie-back projects Aker BP Tie-back projects Saudi Arabia Woodside Calypso Chevron Aphrodite (i) Aramco New LTAs Equin
Slide 16: Offshore wind prospects
Offshore wind prospects UK and Ireland SSE Seagreen 1A Berwick Bank Red Rock Inchcape Ørsted Hornsea 3 BP/EnBW Mona Morgan Morven TotalEnergies Outer Dowsing West of Orkney OceanWinds Caledonia USA SPR1 East Anglia 2 Asia East Anglia 1N Shell Atlantic Shores 1&2 Ireland Various prospects Various pro
Slide 17: Clear strategy to deliver returns
Clear strategy to deliver returns Differentiated Proven track Delivering in the Financial Shareholder offering record of delivery energy transition strength returns 17 © Subsea7 - 2024 subsea7.com
Slide 21: Major projects - percentage of completion
Major projects - percentage of completion Continuing projects >$100m between 5% and 95% complete at 30 June 2024 excluding PLSV and Life of Field day-rate contracts Sanha Lean Gas (Angola) 2020 Penguins Redevelopment (UK) 2018 Bacalhau (Brazil) 2020 Marjan 2 (Saudi Arabia) 2019 Dogger Bank A&B (UK)
Slide 22: Fleet – vessels in the active fleet at the end of Q2 2024
Fleet – 40 vessels in the active fleet at the end of Q2 2024 * * * * * * * * * * * * * * Chartered vessels; * Acquired in July 2024 22 © Subsea7 - 2024 subsea7.com

Subsea 7 — Q2 2024 Earnings Presentation on 6ix

Subsea 7 — Q2 2024 Earnings Presentation

Slide 1: Second Quarter 2024

Slide 2: Forward-looking statements

Slide 3: Second quarter 2024 – delivering growth

Slide 4: Order intake momentum remains strong

Slide 5: Record backlog of high-quality projects

Slide 6: Backlog extends visibility beyond 2025

Slide 7: Group results – strong growth in revenue and profitability

Slide 8: Subsea and Conventional

Slide 9: Renewables

Slide 10: Cash balance reconciliation

Slide 11: Group financial guidance

Slide 12: Enabling vessels – success in Guyana

Slide 13: Enabling products – pipeline solutions for Yggdrasil

Slide 14: Enabling vessels – milestones for Seaway Ventus

Slide 15: Subsea prospects

Slide 16: Offshore wind prospects

Slide 17: Clear strategy to deliver returns

Slide 18: Our world

Slide 19: © Subsea7 - 2024 subsea7.com

Slide 20: Appendix

Slide 21: Major projects - percentage of completion

Slide 22: Fleet – vessels in the active fleet at the end of Q2 2024

Slide 23: subsea7.com