Technip Energies Nv · EURONEXT:TE
Technip Energies Nv — Q1 2024 Earnings Presentation
33 slides from Technip Energies Nv's earnings presentation, May 2, 2024
Slide 1: Capturing Strategic opportunities in low-carbon LNG and CCS – Q1 2024 Results
Capturing Strategic opportunities in low-carbon LNG and CCS Q1 2024 Results
Slide 2: Forward looking statements
Forward looking statements This presentation contains forward-looking statements that reflect Technip Energies’ (the “Company”) intentions, beliefs or current expectations and projections about the Company's future results of operations, anticipated revenues, earnings, cashflows, financial condition
Slide 3: Welcome
Welcome Business highlights Arnaud Pieton CEO Bruno Vibert Financial highlights CFO Technip Energies – Q1 2024 Results 3
Slide 4: Business highlights
Business highlights Arnaud Pieton - CEO Technip Energies – Q1 2024 Results 4
Slide 5: Q1 2024 – Key highlights
Q1 2024 – Key highlights Solid start to the year; on track to deliver full year guidance € 1.5bn € 90m Adjusted revenue Adjusted net profit1 Material Y/Y growth in Growing demand for TPS revenue and net profit offerings reflected in strong Q1 2023: € 1.4bn Q1 2023: € 80m segment orders € 15.3bn Adju
Slide 6: Q1 2024 operational highlights
Q1 2024 operational highlights Delivering across the portfolio Project Delivery TPS NFS Midor Freedom Pines LNG Downstream SAF • Qatar NFS: first piping installation completed for • Midor Refinery Expansion: All refinery units • LanzaJet Freedom Pines: Inauguration of SAF plant using T.EN’s Hummingb
Slide 7: T.EN selected for first-of-a-kind low carbon LNG and CCS projects
Strengthening leadership T.EN selected for first-of-a-kind low carbon LNG and CCS projects Low Carbon LNG Carbon Capture 9.6 1.0 2.0 Ruwais Mtpa Marsa Mtpa Net-Zero CO2 captured Mtpa per year LNG 1 LNG 2 Nameplate capacity Teesside 3 CO2 captured Abu Dhabi Nameplate capacity Oman UK for two LNG trai
Slide 8: Delivering on our strategy
Delivering on our strategy Wide adoption of T.EN’s solutions WINNING DISRUPTIVE STRATEGIC PARTNERSHIPS MEDIUM-TERM INNOVATION & INVESTMENTS CCS early engagement momentum CO2 to ethylene Floating offshore wind • Viridor’s Runcorn energy-from-waste project • T.EN & LanzaTech selected by US DOE2 for •
Slide 9: Sustainability fully embedded in our strategy
Sustainability fully embedded in our strategy A detailed and comprehensive sustainability report CLIMATE & ENVIRONMENT PEOPLE TRUST T.EN UNIVERSITY 23 1st ESG Suppliers’ 28% 91% Learning hours per employee 30.5% Adoption of Human Rights Policy Council - onboarding our major suppliers Reduction for s
Slide 10: Financial highlights
Financial highlights Bruno Vibert - CFO Technip Energies – Q1 2024 Results 10
Slide 11: Strong Q1 2024 performance
Strong Q1 2024 performance € 111m € 0.50 € 119m Adjusted Recurring EBIT Adjusted diluted EPS Free cash flow, ex W.cap1 Q1 2023: € 107m Q1 2023: € 0.45 Q1 2023: € 121m Q1 2024 financial highlights € 850m € 15.3bn € 2.7bn Adjusted order intake Backlog Adjusted net cash Q1 2023: € 713m Q1 2023: € 12.0b
Slide 12: Project Delivery
Project Delivery Revenue growth; backlog provides multi-year visibility Revenue Recurring EBIT Backlog in € million in € million in € million • Revenue: growth Y/Y driven by LNG + 9% +2% + 35% projects in Qatar ramping up. • Recurring EBIT %: normalization reflects 13,286 re-balancing of portfolio a
Slide 13: Technology, Products & Services
Technology, Products & Services Trajectory consistent with medium-term framework Revenue Recurring EBIT Backlog in € million in € million in € million +X% • Revenue: growth Y/Y driven by proprietary equipment for ethylene, services and + 5% - 3% - 11% studies. • Recurring EBIT %: Higher gross margin
Slide 14: Other key metrics and balance sheet
Other key metrics and balance sheet Strong balance sheet with significant underlying net cash position Corporate costs € 12.3 million Trending slightly lower versus 2023 run-rate. Income Statement Net financial income € 19.9 million Sustained benefit of interest income. Effective tax rate 26.1% Bene
Slide 15: Consistent underlying free cash flow
Consistent underlying free cash flow Cash flow bridge € million • Operating cash flow: €(50)m; Free cash flow1: €(58)m, impacted by €178m working capital outflow. • Free cash flow, excluding working capital impact: €119m. • Free cash conversion from Adj. Rec. EBIT: 108%. • Other items: • €9m purchas
Slide 16: Conclusion
Conclusion Arnaud Pieton - CEO Technip Energies – Q1 2024 Results 16
Slide 17: Key takeaways
KEY TAKEAWAYS Sustained strength in execution delivers a solid Q1 performance; on track to deliver FY guidance Capturing Selected for major contracts in LNG and carbon capture; strong orders in TPS Continued strong momentum driving high demand for T.EN’s offerings Technip Energies – Q1 2024 Results
Slide 18: Save the date: Capital Markets Day
SAVE THE DATE Capital Markets Day November 21st 2024 - London
Slide 19: Q&A
Q&A Technip Energies – Q1 2024 Results 19
Slide 20: Appendix
Option 2 Appendix Technip Energies – Q1 2024 Results 20
Slide 21: Backlog schedule
Backlog schedule Total €15,259m adjusted backlog 2024 (9M) 2025 €4,089m €4,406m 2026+ €6,764m Adjusted backlog at March 31, 2024, has been impacted by foreign exchange of €98.6 million. Technip Energies – Q1 2024 Results 21
Slide 22: ESG scorecard
SDG Pillar Ambition 2022 2023 Target Target -30% by 2025 1. Reduce scope 1 & 2 emissions compared to 2021 -22% -28% Net Zero by 2030 Complete by 2023 2. Report full scope 3 emissions 87% 87% (1) 87% Net Zero by 2050 -15 MtCO2 eq CLIMATE & 3. Avoid GHG Emissions to our clients - 7.2 - 10.5 by 2025 EN
Slide 23: Company guidance for 2024
Company guidance for 2024 On track to deliver our medium-term framework Effective Revenue EBIT margin tax rate €6.1 - 6.6bn 7.0% - 7.5% 26% - 30% 1 EPS : double-digit growth Financial information is presented under adjusted IFRS (see Appendix 8.0 of Q1 2024 Results Release). Reconciliation of IFRS t
Slide 24: Adjusted statements of income – Q1 2024
Adjusted statements of income – Q1 2024 Financial information is presented under adjusted IFRS (see Appendix 8.0 of Q1 2024 Results Release). Reconciliation of IFRS to non-IFRS financial measures are provided in appendices. Technip Energies – Q1 2024 Results 24
Slide 25: Adjusted statements of income – Reconciliation Q1 2024
Adjusted statements of income Reconciliation between IFRS and Adjusted – Q1 2024 Financial information is presented under adjusted IFRS (see Appendix 8.0 of Q1 2024 Results Release). Reconciliation of IFRS to non-IFRS financial measures are provided in appendices. Technip Energies – Q1 2024 Results
Slide 26: Adjusted statements of income – Reconciliation Q1 2023
Adjusted statements of income Reconciliation between IFRS and Adjusted – Q1 2023 Financial information is presented under adjusted IFRS (see Appendix 8.0 of FY 2023 Results Release). Reconciliation of IFRS to non-IFRS financial measures are provided in appendices. Technip Energies – Q1 2024 Results
Slide 27: Adjusted statements of financial position
Adjusted statements of financial position Financial information is presented under adjusted IFRS (see Appendix 8.0 of Q1 2024 Results Release). Reconciliation of IFRS to non-IFRS financial measures are provided in appendices. Technip Energies – Q1 2024 Results 27
Slide 28: Adjusted statements of cashflows
Adjusted statements of cashflows Financial information is presented under adjusted IFRS (see Appendix 8.0 of Q1 2024 Results Release). Reconciliation of IFRS to non-IFRS financial measures are provided in appendices. Technip Energies – Q1 2024 Results 28
Slide 29: Differentiated capital structure
Differentiated capital structure Net liquidity, March 31, 2024 Net cash, March 31, 2024 € million € million 80 177 750 Commercial Paper & Others 600 the Notes1 4,160 3,490 3,490 2,713 Cash RCF Outstanding Liquidity Cash Gross debt Net cash commercial paper • Robust liquidity position comprised of ci
Slide 30: Stock information and ADR
Stock information and ADR Stock ADR program Listed on Euronext Paris / SBF 120 index Ticker code: TE / ISIN code: NL0014559478 Exchange: Over-the-Counter Free float: 137.8 million / Outstanding shares: 180.5 million Ratio: 1 ADR : 1 ORD Market Cap on March 31, 2023: €4.2 billion Share price € Volume
Slide 31: Technip Energies upcoming investor events
Technip Energies upcoming investor events Opportunities to interact with company management and investor relations May 7, 2024 May 14, 2024 May 15-16, 2024 May 29, 2024 August 1, 2024 Citi Energy Conference, CFO Roadshow, Société Générale The Nice First Half 2024 AGM, Amsterdam Boston LA & San Franc
Slide 32: A diversified shareholder structure
A diversified shareholder structure Equity Split Institutional Investors As a % of Shares Outstanding Regional split Retail Rest of World 3.7% Other incl. hedge funds 5.8% Continental Europe Institutional 7.8% (long only) 16.1% France 33.5% T.EN treasury 2.5% 59.5% Strategic 23.0% shareholders1 UK &
Slide 33: Investor Relations
Investor Relations Phillip Lindsay Vice President, Investor Relations Tel: +44 20 7585 5051 phillip.lindsay@ten.com Investor Relations Corentin Cargouët Manager, Investor Relations Tel: +33 6 71 21 12 45 corentin.cargouet@ten.com