Fugro Nv · EURONEXT:FUR

Fugro Nv — Q3 2016 Earnings Presentation

11 slides from Fugro Nv's earnings presentation, Oct 19, 2016

  1. Slide 1: Fugro Q3 2016 trading update

    Fugro Q3 2016 trading update 19 October 2016

  2. Slide 2: Q3 trading update brought forward

    Q3 trading update brought forward The publication of this Q3 trading update, originally planned for 31 October, has been brought forward to support the launch of a convertible bond (reference is made to separate press release), providing the market with full disclosure on ongoing trading conditions

  3. Slide 3: Highlights Q3 2016

    Highlights Q3 2016 Coping with tough oil & gas market circumstances  Continuous adjusting of cost base and capacity to market reality  Realising positive cash flow and reduced net debt Executing on strategy  Successful in strengthening market leadership positions  Building a customer centric and

  4. Slide 4: Financial highlights Q3 2016: Mid single digit margin and good cash flow

    Financial highlights Q3 2016: Mid single digit margin and good cash flow  Mid-single digit EBIT margin achieved in challenging oil & gas market  Year-on-year revenue decline of 22.4% or 20.4% on currency comparable basis  Good cash flow from operating activities after investments, reducing net de

  5. Slide 5: Cost reductions ahead of schedule

    Cost reductions ahead of schedule Fugro continues to implement measures as required by market conditions  Headcount reduction year-to-date: 1,120  Third party expenses down 27.1% or 24.5% on currency comparable basis  Fleet:  Compared to YE2015, reduction by 5 vessels  More reductions will be m

  6. Slide 6: Regrouping of activities – to meet clients’ demand for integrated services

    Regrouping of activities – to meet clients’ demand for integrated services To better position ourselves for capturing market opportunities, enhance client focus and improve service delivery and efficiency Preliminary Concept & Permitting Decommis siting & Design Construction Operation & maintenance

  7. Slide 7: Regrouping of activities - change in reporting structure as of 2017

    Regrouping of activities - change in reporting structure as of 2017 • Reporting in new structure as of 2017 • Further details and restated 2015 and 2016 financials will be provided well in advance of the publication of Q1 2017 trading update 7 Q3 2016 trading update www.fugro.com

  8. Slide 8: Subordinated convertible bond offering - launched this morning

    Subordinated convertible bond offering - launched this morning • Proceeds are expected to be used for early repayment of part of the United States Private Placement notes (USPP), resulting in reduced interest expense • Will create additional headroom under the financial covenants as the related bond

  9. Slide 9: Backlog

    Backlog 12 month backlog Currency comparable growth (x EUR million) 3Q15 2Q16 3Q16 Y-on-Y Q-on-Q onshore Geotechnical 270 282 288 11.0% 4.0% offshore Geotechnical 115 102 85 (26.5%) (15.7%) Geotechnical 385 384 373 (0.2%) (1.2%) Survey 494 406 383 (21.8%) (4.9%) Subsea Services 249 221 234 (3.6%) 8.

  10. Slide 10: Outlook FY 2016 reconfirmed

    Outlook FY 2016 reconfirmed General trends  Spending by oil and gas companies for 2016 will decline by around 25% and expected to bottom out in 2017  Increasing evidence that balance between oil supply and demand will be restored in the course of next year  Price reductions and efficiency gains a

  11. Slide 11: Questions?

    Questions?

Fugro — Q3 2016 Earnings Presentation on 6ix