Tenaris S.a. · MIL:TEN
Tenaris — Investor Presentation (May 2020)
11 slides from Tenaris's investor presentation, May 2020
Slide 1: Investor Presentation
Investor Presentation Tenaris
Slide 2: Disclaimer
Disclaimer This presentation contains “forward-looking statements.” Forward-looking statements are based on management’s current views and assumptions and involve known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied by th
Slide 3: Global Leader in Steel Pipes for the Energy Industry
Global Leader in Steel Pipes for the Energy Industry • Manufacturing facilities in 18 countries 2019 Sales by Region • Annual manufacturing capacity of (US$7.3 Bn) 8.7 million tons of steel pipes • 5 Electric steel shops, the least CO2 intensive steel production route • R&D centers in 5 countries •
Slide 4: Worldwide Operations
Worldwide Operations Investor Presentation Tenaris May 2020 4
Slide 5: Global OCTG Demand
Global OCTG Demand [Mill Tn] USA & CANADA LATIN AMERICA 17.6 INTERNATIONAL 15.4 15.4 CHINA & RUSSIA 13.7 8.0 11.8 5.9 5.5 9.6 5.8 4.0 0.7 1.1 0.6 2.3 0.8 0.5 3.2 0.6 3.3 3.8 2.6 2.5 2.7 5.5 5.9 4.8 4.4 3.9 4.8 2014 2015 2016 2017 2018 2019 Investor Presentation Tenaris May 2020 5
Slide 6: Differentiated Products
Differentiated Products Full range of high quality products (seamless and welded pipes, premium connections, large OD OCTG and connectors, line pipe, mechanical pipe, accessories, sucker rods and coiled tubing) for use in all types of oil and gas drilling, well completion and transportation activiti
Slide 7: Innovative Services. Rig Direct
Innovative Services. Rig Direct® Integrated solution that addresses costs, quality, operational efficiency and sustainability • Active in 30 countries around the world Rig Direct® OCTG Shipments • 40+ service and distribution facilities 59% 58% • 20+ years of experience in Rig Direct® 50% • USA: ext
Slide 8: US OCTG Market Dynamics
US OCTG Market Dynamics US OCTG Demand 8 60% 7 50% 6 40% 5 Mill tons 4 30% 3 20% 2 10% 1 0 0% 2014 2015 2016 2017 2018 2019 Domestic Imports % Domestic supply Investor Presentation Tenaris May 2020 8
Slide 9: Input Costs Evolution
Input Costs Evolution Iron Ore (IODEX) 160 Scrap USA (CRU) HRC USA (CRU) 140 HRC FOB China 120 100 95 US$/Tn 422 US$/Tn 80 537 US$/Tn 245 US$/Tn 60 40 20 Spot 2014 avg 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 April Spot Prices as of May
Slide 10: Financial Strength
Financial Strength USD million EBITDA % USD million Cash Flows % Sales 1,800 25% 3,000 30% 1,600 2,500 25% 1,400 20% 20% 2,000 1,200 15% 15% 1,500 1,000 10% 800 1,000 10% 5% 600 500 400 0% 5% 0 200 -5% 2016 2017 2018 2019 1Q 2020 - 0% -500 -10% 2016 2017 2018 2019 1Q 2020 -1,000 -15% EBITDA % EBITDA
Slide 11: Investor Presentation Tenaris May 2020
Investor Presentation Tenaris May 2020 11