Slide 1: 2020 First Quarter Results
2020 FIRST QUARTER RESULTS May 15, 2020
Slide 2: Safe Harbor Statement
Safe Harbor Statement This Presentation contains certain forward-looking statements. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes," "expects," "predicts," "intends," "projects," "pl
Slide 3: Q1 2020 Key Messages: Protecting safety and ensuring backlog resiliency
Q1 2020 Key Messages Protecting the safety of our people and ensuring backlog resiliency “I wish to recall that Fincantieri is a spearhead of the Italian manufacturing sector and as such it proudly embraces the commitment to developing the territories in which it is deeply rooted” (Giuseppe Bono, Ch
Slide 4: Q1 2020 Key Messages: Continuous strength despite rough waters
Q1 2020 Key Messages Continuous strength despite «rough waters» • “FFG(X)” programme awarded to FMM: contract for the concept design and construction of the first-in-class guided missile frigate for the US Navy plus options for 9 units worth ~ $ 5.5 bln Business • Completed the steel span of the Gen
Slide 5: Q1 2020 main orders and main deliveries
Q1 2020 main orders Segment Vessel Client Number of ships Expected Delivery Offshore & Fishery Framherij 1 2022 Specialized Vessels Fishery Nergard Havfiske 1 2022 Q1 2020 main deliveries Segment Vessel Client Shipyard Cruise ship “Seven Seas Splendor” Regent Seven Seas Cruises Ancona Cruise ship “S
Slide 6: Overview of Q1 2020 main deliveries
Overview of Q1 2020 main deliveries Seven Seas Splendor (Regent) Scarlet Lady (Virgin Voyages) Le Bellot (Ponant) LCS 19 “St. Louis” (US Navy) Ferry (Boreal Sjø) 6
Slide 7: Order intake and backlog
Order intake and backlog Breakdown by segment Order intake Total backlog(1) € mln € mln 6.3x 5.6x 5.5x 4.7x 0.2x 5.6x 4.9x 4.7x 34,342 6,455 32,690 31,878 168 3,600 39 1,607 4,100 920 4,200 1,736 888 2,008 813 • Total backlog at € 31.8 bln, ~ 5.5 times 2019 revenues • Order intake for the quarter €
Slide 8: Backlog deployment
Backlog deployment Breakdown by segment and end market Shipbuilding Offshore & Specialized Vessels • 8 units delivered in 1Q 2020, 92 # ship deliveries # ship deliveries ships in backlog Cruise Naval(1) • Cruise: 42 vessels − Deliveries up to 2027 2020 4 4 8 2020 1 5 6 2020 3 6 9 − 9 units scheduled
Slide 9: Revenues
Revenues Revenues breakdown by segment(1) € mln • Revenues down 4.5% YOY at € 1,307 • -20% production volumes YOY 1,385 1,368 1,307 with estimated loss of ~ € 190 170 11.3% 170 11.4% 14.0% 205 mln 224 14.9% 203 13.6% 126 8.6% − Shipbuilding revenues up 1.3% vs Q1 2019 despite suspension of Italian o
Slide 10: EBITDA
EBITDA EBITDA(1) and EBITDA margin • EBITDA at € 72 mln (€ 92 mln in € mln Q1 2019), EBITDA margin at 5.5% (6.7% in Q1 2019) • Suspension of activities led to 6.5% 6.7% 5.5% estimated shortfall in EBITDA of ~ € 15 mln − Shipbuilding profitability affected 90 92 by the suspension of Italian productio
Slide 11: Net working capital and net debt
Net working capital and net debt(1) Breakdown by main components € mln FY 2019 1Q 2020 Inventories and advances to • Net working capital changes due suppliers to: 828 − Reduction of Work in Progress Work in progress net of advances from customers 831 (-948 mln Q/Q) related to the cash-in of the fina
Slide 12: Cruise Industry Outlook
Cruise Industry Outlook • 2020: a challenging year for shipowners and shipbuilders Consequences of the crisis • Cruise operators have withdrawn their guidance as the industry backlash is yet hardly quantifiable • Cruise operators are trying to weather the crisis and preserve going-concern Mitigants
Slide 13: 2020 Company Outlook
2020 Company Outlook • Yet too early to assess the full brunt of the effect of the pandemic • Full-year results likely to be impacted by: • Lower production volumes and related operating inefficiencies (e.g. reduced operating leverage, sub- COVID-19 optimal utilization rate of yards) • Extra costs r
Slide 14: Investor Relations contacts
Investor Relations contacts Giuseppe Dado - Chief Financial Officer Investor Relations Team Caterina Venier Romano +39 040 319 2229 caterina.venierromano@fincantieri.it Valentina Fantigrossi +39 040 319 2243 valentina.fantigrossi@fincantieri.it Institutional Investors investor.relations@fincantieri.
Slide 15: Q&A
Q&A FINCANTIERI , — SES
Slide 16: Appendix
Appendix FINCANTIERI The sea ahead =
Slide 17: Financial overview - Shipbuilding
Financial overview - Shipbuilding Revenues € mln 1 1 0 291 291 303 • Revenues: € 1,133 mln (+1.3% vs Q1 2018) 1,113 1,118 1,133 821 826 830 − In line with Q1 2019 results despite production suspension Other Shipbuilding • EBITDA: € 72 mln, with margin at 6.3% Naval Q1 2019 Q1 2019 - Q1 2020 − Lower
Slide 18: Financial overview – Offshore & Specialized Vessels
Financial overview – Offshore & Specialized Vessels Revenues € mln • Revenues: € 126 mln (-37.9% vs Q1 2019) 224 203 126 − Reduced production volumes due to lack of orders in the core market and negative effect of EUR/NOK conversion Q1 2019 Q1 2019 - Q1 2020 • EBITDA: € (1) mln, with margin at -0.8%
Slide 19: Financial overview - Equipment, Systems and Services
Financial overview - Equipment, Systems and Services Revenues € mln 170 170 205 • Revenues: € 205 mln, up 20.6% vs Q1 2019 Q1 2019 Q1 2019 - Q1 2020 Restated − Thanks to the positive contribution of Fincantieri EBITDA Infrastructure with the reconstruction of the bridge over € mln the Polcevera rive