TechnipFMC Announces First Quarter 2024 Results
- Subsea inbound orders increased to $2.4 billion, with a book-to-bill ratio of 1.4
- Revenue for the first quarter was $2.042 billion, with net income of $157.1 million
- Adjusted EBITDA was $252.6 million, with backlog at $13.492 billion
- Subsea revenue rose to $1.734 billion, with operating profit of $156.6 million
- Surface Technologies revenue was $307.2 million, with an operating profit of $103.4 million
- The company repurchased $150.1 million of shares and ended the quarter with cash of $696.8 million
- None.
Insights
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Subsea inbound orders of
$2.4 billion - Announced three iEPCI™ awards, each providing first-of-its-kind technology solutions
-
Shareholder distributions of
$172 million 70% versus 2023 - Achieved investment grade credit rating from S&P Global Ratings
NEWCASTLE &
Summary Financial Results from Continuing Operations
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Three Months Ended |
Change |
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(In millions, except per share amounts) |
Mar. 31,
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Dec. 31,
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Mar. 31,
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Sequential |
Year-over-
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Revenue |
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( |
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Net income |
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n/m |
Net income margin |
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510 bps |
770 bps |
Diluted earnings per share |
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n/m |
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Adjusted EBITDA |
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Adjusted EBITDA margin |
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190 bps |
320 bps |
Adjusted net income |
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n/m |
Adjusted diluted earnings per share |
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n/m |
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Inbound orders |
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( |
Backlog |
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n/m - not meaningful |
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Total Company revenue in the first quarter was
-
A gain on the disposal of the Measurement Solutions business of
$75.2 million -
Restructuring, impairment and other charges of
$5 million
Adjusted net income was
Adjusted EBITDA, which excludes pre-tax charges and credits, was
Included in total Company results was a foreign exchange loss of
Doug Pferdehirt, Chair and CEO of TechnipFMC, stated, “I am very pleased with the strong performance in the quarter, which further highlights our continuing success in delivering on our commitments. Total Company revenue was
“We had a solid start to the year with total Company inbound of
Pferdehirt continued, “We had the privilege of announcing a unique set of integrated awards in the period, with three iEPCI™ projects all representing first-of-its-kind solutions for the subsea industry. The Mero 3 HISEP® project was our first iEPCI™ for Petrobras and the first to utilize subsea processing to capture CO2 directly from the well stream for injection back into the reservoir, all on the seafloor. The Shell Sparta project was our first iEPCI™ to employ a 20,000-psi production system in the Paleogene play in the
“Each of these projects provides a solution to an industry challenge and exemplifies our differentiated technology portfolio. And it is this unique combination of innovative technologies and integrated execution that is creating new market opportunities for our company.”
Pferdehirt added, “As demonstrated by our financial performance in the quarter, operational execution across the portfolio continues at a high level, driven in part by our heightened focus on project selectivity and the favorable impact it is having on the quality of orders in our backlog. Our strong execution and robust backlog give us confidence that we can capitalize on the strong market and achieve our financial targets.”
Pferdehirt concluded, “We completed the sale of our Measurement Solutions business in March. In keeping with our commitment to shareholder distributions, a significant portion of the proceeds was allocated to repurchasing
Operational and Financial Highlights
Subsea |
Financial Highlights
Reconciliation of |
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Three Months Ended |
Change |
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(In millions) |
Mar. 31,
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Dec. 31,
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Mar. 31,
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Sequential |
Year-over-
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Revenue |
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Operating profit |
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Operating profit margin |
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50 bps |
420 bps |
Adjusted EBITDA |
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Adjusted EBITDA margin |
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90 bps |
380 bps |
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Inbound orders |
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( |
Backlog1,2,3 |
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Estimated Consolidated Backlog Scheduling (In millions) |
Mar. 31,
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2024 (9 months) |
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2025 |
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2026 and beyond |
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Total |
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1 Backlog as of March 31, 2024 was decreased by a foreign exchange impact of |
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2 Backlog does not capture all revenue potential for Subsea Services. |
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3 Backlog as of March 31, 2024 does not include total Company non-consolidated backlog of |
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Subsea reported first quarter revenue of
Subsea reported an operating profit of
Subsea reported adjusted EBITDA of
Subsea inbound orders were
-
Petrobras Mero 3 HISEP® iEPCI™ project (
Brazil )
Major* integrated Engineering, Procurement, Construction, and Installation (iEPCI™) contract by Petrobras to deliver the Mero 3 HISEP® project, which uses subsea processing to capture carbon dioxide-rich dense gases and then inject them into the reservoir. TechnipFMC, in partnership with Petrobras, has advanced the qualification of some of the core technologies needed to deliver the HISEP® (High Pressure Separation) process entirely subsea, several of which are proprietary and will be used in other subsea applications. These include gas separation systems and dense gas pumps which enable the injection of CO2-rich dense gas.
The Mero 3 project in Brazil’s pre-salt field will be the first to utilize Petrobras’s patented HISEP® process subsea enabling the capture of CO2-rich dense gases directly from the well stream, moving part of the separation process from the topside platform to the sea floor. In addition to reducing greenhouse gas emission intensity, HISEP® technologies increase production capacity by debottlenecking the topside gas processing plant.
The contract covers the design, engineering, manufacture, and installation of subsea equipment, including manifolds, flexible and rigid pipes, umbilicals, power distribution, as well as life of field services. The contract follows a tender process and aligns with research and development guidance established by the Brazilian National Petroleum Agency (ANP).
*A “major” contract is over$1 billion
-
Shell Sparta iEPCI™ project (Gulf of
Mexico )
Substantial* contract awarded by Shell for the first integrated Engineering, Procurement, Construction, and Installation (iEPCI™) contract to use high-pressure subsea production systems rated up to 20,000 psi (20K). The Company will manufacture and install subsea production systems, umbilicals, risers, and flowlines for Shell’s Sparta development in the Gulf ofMexico . The tree systems will be Shell’s first to be qualified for 20K application and are engineered to meet the high-pressure requirements of this greenfield development.
*A “substantial” contract is between$250 million $500 million
-
Northern Endurance Partnership All-Electric iEPCI™ project (
United Kingdom )
Selected to deliver the first all-electric integrated project by the Northern Endurance Partnership (NEP), a joint venture between bp, Equinor, and TotalEnergies. The NEP is building CO2 transportation and storage infrastructure for carbon capture projects in the United Kingdom’s East Coast Cluster. TechnipFMC will use its integrated Engineering, Procurement, Construction, and Installation (iEPCI™) execution model to deliver this project. The Company’s all-electric solution will collect and feed the pressurized gas into an aquifer for permanent storage. This contract* covers the supply and installation of an all-electric subsea system, including manifolds, umbilicals, and pipe.
An all-electric system drives simplification of the field design, enabling the reduction of infrastructure and installation time through the removal of hydraulic components and simplified umbilicals. The technology also enables the development of projects over long distances.
The NEP project will leverage TechnipFMC’s strong local presence across theUK . The full contract award is subject to the receipt of regulatory clearances and final investment decision, expected in late 2024.
*The full contract award will not be included in inbound orders until the project receives final investment decision and government approvals.
Subsequent to the period, the following award was announced and will be included in second quarter 2024 results:
-
ExxonMobil Whiptail project (
Guyana )
Large* contract awarded by ExxonMobil to supply subsea production systems for the Whiptail project in Guyana’s Stabroek Block. TechnipFMC will provide project management, engineering, and manufacturing to deliver 48 subsea trees and associated tooling, as well as 12 manifolds and associated controls and tie-in equipment. Whiptail is TechnipFMC’s most recent award from ExxonMobil Guyana, where the Company has been awarded subsea production system contracts since the first contract award in 2017 for Liza Phase 1.
*A “large” contract is between$500 million $1 billion
Surface Technologies |
Financial Highlights
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Three Months Ended |
Change |
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(In millions) |
Mar. 31,
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Dec. 31,
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Mar. 31,
|
Sequential |
Year-over-
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Revenue |
|
|
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( |
( |
Operating profit |
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Operating profit margin |
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2,440 bps |
2,690 bps |
Adjusted EBITDA |
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( |
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Adjusted EBITDA margin |
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(120 bps) |
130 bps |
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Inbound orders |
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Backlog |
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( |
( |
Surface Technologies reported first quarter revenue of
Surface Technologies reported operating profit of
Surface Technologies reported adjusted EBITDA of
Inbound orders for the quarter were
Corporate and Other Items (three months ended March 31, 2024)
Corporate expense was
Foreign exchange loss was
Net interest expense was
The provision for income taxes was
Total depreciation and amortization was
Cash required by operating activities was
Proceeds from the disposal of the Measurement Solutions business, which was completed on March 11, 2024, were
During the quarter, the Company repurchased 6.3 million of its ordinary shares for total consideration of
The Company ended the period with cash and cash equivalents of
On March 7, 2024, S&P Global Ratings upgraded TechnipFMC to investment grade, raising its rating to ‘BBB-’ from ‘BB+’ for both the issuer credit as well as the issue-level ratings on the Company’s senior unsecured notes.
2024 Full-Year Financial Guidance1
The Company’s full-year guidance for 2024 can be found in the table below. No updates were made to the previous guidance that was issued on February 22, 2024.
Financial results prior to the completion of the sale of the Measurement Solutions business, which was completed on March 11, 2024, are included in full-year guidance for Surface Technologies.
2024 Guidance (As of February 22, 2024) |
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Subsea |
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Surface Technologies |
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Revenue in a range of |
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Revenue in a range of |
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Adjusted EBITDA margin in a range of 15.5 - |
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Adjusted EBITDA margin in a range of 13 - |
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TechnipFMC |
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Corporate expense, net |
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(includes depreciation and amortization of |
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Net interest expense |
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Tax provision, as reported |
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Capital expenditures approximately |
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Free cash flow2 |
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(includes payment for legal settlement of |
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1Our guidance measures of adjusted EBITDA margin, free cash flow and adjusted corporate expense, net are non-GAAP financial measures. We are unable to provide a reconciliation to comparable GAAP financial measures on a forward-looking basis without unreasonable effort because of the unpredictability of the individual components of the most directly comparable GAAP financial measure and the variability of items excluded from each such measure. Such information may have a significant, and potentially unpredictable, impact on our future financial results. |
2 Free cash flow is calculated as cash flow from operations less capital expenditures. |
Teleconference
The Company will host a teleconference on Thursday, April 25, 2024 to discuss the first quarter 2024 financial results. The call will begin at 1:30 p.m.
An archived audio replay will be available after the event at the same website address. In the event of a disruption of service or technical difficulty during the call, information will be posted on our website.
About TechnipFMC
TechnipFMC is a leading technology provider to the traditional and new energy industries; delivering fully integrated projects, products, and services.
With our proprietary technologies and comprehensive solutions, we are transforming our clients’ project economics, helping them unlock new possibilities to develop energy resources while reducing carbon intensity and supporting their energy transition ambitions.
Organized in two business segments — Subsea and Surface Technologies — we will continue to advance the industry with our pioneering integrated ecosystems (such as iEPCI™, iFEED™ and iComplete™), technology leadership and digital innovation.
Each of our approximately 21,000 employees is driven by a commitment to our clients’ success, and a culture of strong execution, purposeful innovation, and challenging industry conventions.
TechnipFMC uses its website as a channel of distribution of material company information. To learn more about how we are driving change in the industry, go to www.TechnipFMC.com and follow us on X (formerly Twitter) @TechnipFMC.
This communication contains “forward-looking statements” as defined in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. Forward-looking statements usually relate to future events, market growth and recovery, growth of our New Energy business and anticipated revenues, earnings, cash flows, or other aspects of our operations or operating results. Forward-looking statements are often identified by words such as “commit,” “guidance,” “confident,” “believe,” “expect,” “anticipate,” “plan,” “intend,” “foresee,” “should,” “would,” “could,” “may,” “will,” “likely,” “predicated,” “estimate,” “outlook” and similar expressions, including the negative thereof. The absence of these words, however, does not mean that the statements are not forward-looking. These forward-looking statements are based on our current expectations, beliefs, and assumptions concerning future developments and business conditions and their potential effect on us. While management believes these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting us will be those that we anticipate. All of our forward-looking statements involve risks and uncertainties (some of which are significant or beyond our control) and assumptions that could cause actual results to differ materially from our historical experience and our present expectations or projections, including unpredictable trends in the demand for and price of oil and natural gas; competition and unanticipated changes relating to competitive factors in our industry, including ongoing industry consolidation; our inability to develop, implement and protect new technologies and services and intellectual property related thereto, including new technologies and services for our New Energy business; the cumulative loss of major contracts, customers or alliances and unfavorable credit and commercial terms of certain contracts; disruptions in the political, regulatory, economic and social conditions of the countries in which we conduct business; the refusal of DTC to act as depository and clearing agency for our shares; the impact of our existing and future indebtedness and the restrictions on our operations by terms of the agreements governing our existing indebtedness; the risks caused by our acquisition and divestiture activities; additional costs or risks from increasing scrutiny and expectations regarding ESG matters; uncertainties related to our investments in New Energy business; the risks caused by fixed-price contracts; our failure to timely deliver our backlog; our reliance on subcontractors, suppliers and our joint venture partners; a failure or breach of our IT infrastructure or that of our subcontractors, suppliers or joint venture partners, including as a result of cyber-attacks; risks of pirates and maritime conflicts endangering our maritime employees and assets; any delays and cost overruns of new capital asset construction projects for vessels and manufacturing facilities; potential liabilities inherent in the industries in which we operate or have operated; our failure to comply with existing and future laws and regulations, including those related to environmental protection, climate change, health and safety, labor and employment, import/export controls, currency exchange, bribery and corruption, taxation, privacy, data protection and data security; the additional restrictions on dividend payouts or share repurchases as an English public limited company; uninsured claims and litigation against us; tax laws, treaties and regulations and any unfavorable findings by relevant tax authorities; potential departure of our key managers and employees; adverse seasonal, weather, and other climatic conditions and unfavorable currency exchange rates; risk in connection with our defined benefit pension plan commitments; our inability to obtain sufficient bonding capacity for certain contracts, and other risks as discussed in Part I, Item 1A, “Risk Factors” of our Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and our other reports subsequently filed with the Securities and Exchange Commission.
We caution you not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any of our forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise, except to the extent required by law.
Exhibit 1 |
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TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
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CONDENSED CONSOLIDATED STATEMENTS OF INCOME |
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(In millions, except per share data, unaudited) |
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Three Months Ended |
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March 31, |
|
December 31, |
|
March 31, |
||||||
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2024 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
|
|
|
|
||||||
Revenue |
$ |
2,042.0 |
|
|
$ |
2,077.7 |
|
|
$ |
1,717.4 |
|
Costs and expenses |
|
1,883.0 |
|
|
|
1,938.8 |
|
|
|
1,666.4 |
|
|
|
159.0 |
|
|
|
138.9 |
|
|
|
51.0 |
|
|
|
|
|
|
|
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Other income (expense), net including income from equity affiliates |
|
(10.9 |
) |
|
|
(24.7 |
) |
|
|
12.9 |
|
Gain on disposal of Measurement Solutions business |
|
75.2 |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
||||||
Income before net interest expense and income taxes |
|
223.3 |
|
|
|
114.2 |
|
|
|
63.9 |
|
Net interest expense |
|
(12.7 |
) |
|
|
(13.0 |
) |
|
|
(18.7 |
) |
|
|
|
|
|
|
||||||
Income before income taxes |
|
210.6 |
|
|
|
101.2 |
|
|
|
45.2 |
|
Provision for income taxes |
|
49.7 |
|
|
|
54.5 |
|
|
|
37.4 |
|
|
|
|
|
|
|
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Net income |
|
160.9 |
|
|
|
46.7 |
|
|
|
7.8 |
|
(Income) loss attributable to non-controlling interests |
|
(3.8 |
) |
|
|
6.3 |
|
|
|
(7.4 |
) |
|
|
|
|
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|
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Net income attributable to TechnipFMC plc |
$ |
157.1 |
|
|
$ |
53.0 |
|
|
$ |
0.4 |
|
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|
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|
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|
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Earnings per share attributable to TechnipFMC plc |
|
|
|
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|
||||||
Basic |
$ |
0.36 |
|
|
$ |
0.12 |
|
|
$ |
0.00 |
|
Diluted |
$ |
0.35 |
|
|
$ |
0.12 |
|
|
$ |
0.00 |
|
|
|
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|
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Weighted average shares outstanding: |
|
|
|
|
|
||||||
Basic |
|
433.6 |
|
|
|
434.4 |
|
|
|
442.1 |
|
Diluted |
|
446.3 |
|
|
|
448.6 |
|
|
|
455.0 |
|
|
|
|
|
|
|
||||||
Cash dividends declared per share |
$ |
0.05 |
|
|
$ |
0.05 |
|
|
$ |
— |
|
Exhibit 2 |
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TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
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BUSINESS SEGMENT DATA |
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(In millions, unaudited) |
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Three Months Ended |
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March 31, |
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December 31, |
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March 31, |
||||||
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2024 |
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2023 |
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|
2023 |
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Segment revenue |
|
|
|
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Subsea |
$ |
1,734.8 |
|
|
$ |
1,720.5 |
|
|
$ |
1,387.6 |
|
Surface Technologies |
|
307.2 |
|
|
|
357.2 |
|
|
|
329.8 |
|
Total segment revenue |
$ |
2,042.0 |
|
|
$ |
2,077.7 |
|
|
$ |
1,717.4 |
|
|
|
|
|
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Segment operating profit |
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|
|
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|
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Subsea |
$ |
156.6 |
|
|
$ |
145.7 |
|
|
$ |
66.8 |
|
Surface Technologies |
|
103.4 |
|
|
|
33.2 |
|
|
|
22.4 |
|
Total segment operating profit |
$ |
260.0 |
|
|
$ |
178.9 |
|
|
$ |
89.2 |
|
|
|
|
|
|
|
||||||
Corporate items |
|
|
|
|
|
||||||
Corporate expense(1) |
|
(32.2 |
) |
|
|
(38.3 |
) |
|
|
(27.4 |
) |
Net interest expense |
|
(12.7 |
) |
|
|
(13.0 |
) |
|
|
(18.7 |
) |
Foreign exchange gains (losses) |
|
(4.5 |
) |
|
|
(26.4 |
) |
|
|
2.1 |
|
Total corporate items |
|
(49.4 |
) |
|
|
(77.7 |
) |
|
|
(44.0 |
) |
|
|
|
|
|
|
||||||
Income before income taxes(2) |
$ |
210.6 |
|
|
$ |
101.2 |
|
|
$ |
45.2 |
|
(1) |
Corporate expense primarily includes corporate staff expenses, share-based compensation expenses, and other employee benefits. |
|
(2) |
Includes amounts attributable to non-controlling interests. |
Exhibit 3 |
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TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
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BUSINESS SEGMENT DATA |
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(In millions, unaudited) |
||||||||
|
Three Months Ended |
|||||||
Inbound Orders(1) |
March 31, |
|
December 31, |
|
March 31, |
|||
|
2024 |
|
2023 |
|
2023 |
|||
|
|
|
|
|
|
|||
Subsea |
$ |
2,403.8 |
|
$ |
1,270.0 |
|
$ |
2,536.5 |
Surface Technologies |
|
370.6 |
|
|
261.6 |
|
|
322.4 |
Total inbound orders |
$ |
2,774.4 |
|
$ |
1,531.6 |
|
$ |
2,858.9 |
Order Backlog(2) |
March 31,
|
|
December 31,
|
|
March 31,
|
|||
|
|
|
|
|
|
|||
Subsea |
$ |
12,455.5 |
|
$ |
12,164.1 |
|
$ |
9,395.3 |
Surface Technologies |
|
1,037.0 |
|
|
1,066.9 |
|
|
1,212.1 |
Total order backlog |
$ |
13,492.5 |
|
$ |
13,231.0 |
|
$ |
10,607.4 |
(1) |
Inbound orders represent the estimated sales value of confirmed customer orders received during the reporting period. |
(2) |
Order backlog is calculated as the estimated sales value of unfilled, confirmed customer orders at the reporting date. |
Exhibit 4 |
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TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
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CONDENSED CONSOLIDATED BALANCE SHEETS |
|||||
(In millions, unaudited) |
|||||
|
March 31,
|
|
December 31,
|
||
|
|
|
|
||
Cash and cash equivalents |
$ |
696.8 |
|
$ |
951.7 |
Trade receivables, net |
|
1,076.8 |
|
|
1,138.1 |
Contract assets, net |
|
1,062.7 |
|
|
1,010.1 |
Inventories, net |
|
1,162.4 |
|
|
1,100.3 |
Other current assets |
|
771.7 |
|
|
995.2 |
Total current assets |
|
4,770.4 |
|
|
5,195.4 |
|
|
|
|
||
Property, plant and equipment, net |
|
2,213.3 |
|
|
2,270.9 |
Intangible assets, net |
|
579.9 |
|
|
601.6 |
Other assets |
|
1,525.1 |
|
|
1,588.7 |
Total assets |
$ |
9,088.7 |
|
$ |
9,656.6 |
|
|
|
|
||
Short-term debt and current portion of long-term debt |
$ |
136.6 |
|
$ |
153.8 |
Accounts payable, trade |
|
1,361.0 |
|
|
1,355.8 |
Contract liabilities |
|
1,331.6 |
|
|
1,485.8 |
Other current liabilities |
|
1,299.7 |
|
|
1,473.2 |
Total current liabilities |
|
4,128.9 |
|
|
4,468.6 |
|
|
|
|
||
Long-term debt, less current portion |
|
887.2 |
|
|
913.5 |
Other liabilities |
|
1,027.4 |
|
|
1,102.4 |
TechnipFMC plc stockholders’ equity |
|
3,005.9 |
|
|
3,136.7 |
Non-controlling interests |
|
39.3 |
|
|
35.4 |
Total liabilities and equity |
$ |
9,088.7 |
|
$ |
9,656.6 |
Exhibit 5 |
|||||||
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
|||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS |
|||||||
(In millions, unaudited) |
|||||||
|
Three Months Ended March 31, |
||||||
|
2024 |
|
|
|
2023 |
|
|
Cash required by operating activities |
|
|
|
||||
Net income |
$ |
160.9 |
|
|
$ |
7.8 |
|
Adjustments to reconcile income to cash required by operating activities |
|
|
|
||||
Depreciation and amortization |
|
99.5 |
|
|
|
93.0 |
|
Gain on disposal of Measurement Solutions business |
|
(75.2 |
) |
|
|
— |
|
Income from equity affiliates, net of dividends received |
|
(1.4 |
) |
|
|
(14.2 |
) |
Other non-cash items, net |
|
32.5 |
|
|
|
18.0 |
|
Working capital(1) |
|
(391.0 |
) |
|
|
(484.8 |
) |
Other non-current assets and liabilities, net |
|
48.0 |
|
|
|
(6.0 |
) |
Cash required by operating activities |
|
(126.7 |
) |
|
|
(386.2 |
) |
|
|
|
|
||||
Cash provided (required) by investing activities |
|
|
|
||||
Capital expenditures |
|
(52.0 |
) |
|
|
(57.3 |
) |
Proceeds from sale of Measurement Solutions business |
|
186.1 |
|
|
|
— |
|
Other investing activities |
|
2.2 |
|
|
|
4.5 |
|
Cash provided (required) by investing activities |
|
136.3 |
|
|
|
(52.8 |
) |
|
|
|
|
||||
Cash required by financing activities |
|
|
|
||||
Net decrease in short-term debt |
|
(27.4 |
) |
|
|
(9.2 |
) |
Dividends paid |
|
(21.7 |
) |
|
|
— |
|
Share repurchases |
|
(150.1 |
) |
|
|
(50.0 |
) |
Payments related to taxes withheld on share-based compensation |
|
(49.7 |
) |
|
|
(14.6 |
) |
Other financing activities |
|
(7.3 |
) |
|
|
(13.7 |
) |
Cash required by financing activities |
|
(256.2 |
) |
|
|
(87.5 |
) |
Effect of changes in foreign exchange rates on cash and cash equivalents |
|
(8.3 |
) |
|
|
(8.3 |
) |
Change in cash and cash equivalents |
|
(254.9 |
) |
|
|
(534.8 |
) |
Cash and cash equivalents, beginning of period |
|
951.7 |
|
|
|
1,057.1 |
|
Cash and cash equivalents, end of period |
$ |
696.8 |
|
|
$ |
522.3 |
|
(1) |
Working capital includes receivables, payables, inventories and other current assets and liabilities. |
Exhibit 6 |
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
(In millions, except per share data, unaudited) |
In addition to financial results determined in accordance with |
Non-GAAP adjustments are presented on a gross basis and the tax impact of the non-GAAP adjustments is separately presented in the applicable reconciliation table. Estimates of the tax effect of each adjustment is calculated item by item, by reviewing the relevant jurisdictional tax rate to the pretax non-GAAP amounts, analyzing the nature of the item and/or the tax jurisdiction in which the item has been recorded, the need of application of a specific tax rate, history of non-GAAP taxable income positions (i.e. net operating loss carryforwards) and concluding on the valuation allowance positions. |
Management believes that the exclusion of charges, credits and foreign exchange impacts from these financial measures provides a useful perspective on the Company’s underlying business results and operating trends, and a means to evaluate TechnipFMC’s operations and consolidated results of operations period-over-period. These measures are also used by management as performance measures in determining certain incentive compensation. The foregoing non-GAAP financial measures should be considered by investors in addition to, not as a substitute for or superior to, other measures of financial performance prepared in accordance with GAAP. The following is a reconciliation of the most comparable financial measures under GAAP to the non-GAAP financial measures. |
|
|
Three Months Ended |
|||||||||
|
|
March 31, 2024 |
|
December 31, 2023 |
|
March 31, 2023 |
|||||
|
|
|
|
|
|
|
|||||
Net income attributable to TechnipFMC plc |
|
$ |
157.1 |
|
|
$ |
53.0 |
|
|
$ |
0.4 |
|
|
|
|
|
|
|
|||||
Charges and (credits): |
|
|
|
|
|
|
|||||
Restructuring, impairment and other charges |
|
|
5.0 |
|
|
|
10.0 |
|
|
|
0.6 |
Gain on disposal of Measurement Solutions business |
|
|
(75.2 |
) |
|
|
— |
|
|
|
— |
Tax impact of the charges and (credits) above |
|
|
10.7 |
|
|
|
(0.3 |
) |
|
|
— |
|
|
|
|
|
|
|
|||||
Adjusted net income attributable to TechnipFMC plc |
|
$ |
97.6 |
|
|
$ |
62.7 |
|
|
$ |
1.0 |
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|||||
Weighted diluted average shares outstanding |
|
|
446.3 |
|
|
|
448.6 |
|
|
|
455.0 |
|
|
|
|
|
|
|
|||||
Reported earnings per share - diluted |
|
$ |
0.35 |
|
|
$ |
0.12 |
|
|
$ |
0.00 |
Adjusted earnings per share - diluted |
|
$ |
0.22 |
|
|
$ |
0.14 |
|
|
$ |
0.00 |
Exhibit 7 |
||||||||||||
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
||||||||||||
(In millions, unaudited) |
||||||||||||
|
|
Three Months Ended |
||||||||||
|
|
March 31, 2024 |
|
December 31, 2023 |
|
March 31, 2023 |
||||||
|
|
|
|
|
|
|
||||||
Net income attributable to TechnipFMC plc |
|
$ |
157.1 |
|
|
$ |
53.0 |
|
|
$ |
0.4 |
|
|
|
|
|
|
|
|
||||||
Income (loss) attributable to non-controlling interests |
|
|
3.8 |
|
|
|
(6.3 |
) |
|
|
7.4 |
|
Provision for income tax |
|
|
49.7 |
|
|
|
54.5 |
|
|
|
37.4 |
|
Net interest expense |
|
|
12.7 |
|
|
|
13.0 |
|
|
|
18.7 |
|
Depreciation and amortization |
|
|
99.5 |
|
|
|
94.5 |
|
|
|
93.0 |
|
Restructuring, impairment and other charges |
|
|
5.0 |
|
|
|
10.0 |
|
|
|
0.6 |
|
Gain on disposal of Measurement Solutions business |
|
|
(75.2 |
) |
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
||||||
Adjusted EBITDA |
|
$ |
252.6 |
|
|
$ |
218.7 |
|
|
$ |
157.5 |
|
|
|
|
|
|
|
|
||||||
Foreign exchange, net |
|
|
4.5 |
|
|
|
26.4 |
|
|
|
(2.1 |
) |
Adjusted EBITDA, excluding foreign exchange, net |
|
$ |
257.1 |
|
|
$ |
245.1 |
|
|
$ |
155.4 |
|
Exhibit 8 |
|||||||||||||||||||
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
|||||||||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
|||||||||||||||||||
(In millions, unaudited) |
|||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||
|
March 31, 2024 |
||||||||||||||||||
|
Subsea |
|
Surface
|
|
Corporate
|
|
Foreign
|
|
Total |
||||||||||
Revenue |
$ |
1,734.8 |
|
|
$ |
307.2 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
2,042.0 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit (loss), as reported (pre-tax) |
$ |
156.6 |
|
|
$ |
103.4 |
|
|
$ |
(32.2 |
) |
|
$ |
(4.5 |
) |
|
$ |
223.3 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Charges and (credits): |
|
|
|
|
|
|
|
|
|
||||||||||
Restructuring, impairment and other charges |
|
— |
|
|
|
(0.2 |
) |
|
|
5.2 |
|
|
|
— |
|
|
|
5.0 |
|
Gain on disposal of Measurement Solutions business |
|
— |
|
|
|
(75.2 |
) |
|
|
— |
|
|
|
— |
|
|
|
(75.2 |
) |
Subtotal |
|
— |
|
|
|
(75.4 |
) |
|
|
5.2 |
|
|
|
— |
|
|
|
(70.2 |
) |
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
85.8 |
|
|
|
13.4 |
|
|
|
0.3 |
|
|
|
— |
|
|
|
99.5 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA |
$ |
242.4 |
|
|
$ |
41.4 |
|
|
$ |
(26.7 |
) |
|
$ |
(4.5 |
) |
|
$ |
252.6 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Foreign exchange, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
4.5 |
|
|
|
4.5 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA, excluding foreign exchange, net |
$ |
242.4 |
|
|
$ |
41.4 |
|
|
$ |
(26.7 |
) |
|
$ |
— |
|
|
$ |
257.1 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit margin, as reported |
|
9.0 |
% |
|
|
33.7 |
% |
|
|
|
|
|
|
10.9 |
% |
||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin |
|
14.0 |
% |
|
|
13.5 |
% |
|
|
|
|
|
|
12.4 |
% |
||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin, excluding foreign exchange, net |
|
14.0 |
% |
|
|
13.5 |
% |
|
|
|
|
|
|
12.6 |
% |
||||
Exhibit 8 |
|||||||||||||||||||
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
|||||||||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
|||||||||||||||||||
(In millions, unaudited) |
|||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||
|
December 31, 2023 |
||||||||||||||||||
|
Subsea |
|
Surface
|
|
Corporate
|
|
Foreign
|
|
Total |
||||||||||
Revenue |
$ |
1,720.5 |
|
|
$ |
357.2 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
2,077.7 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit (loss), as reported (pre-tax) |
$ |
145.7 |
|
|
$ |
33.2 |
|
|
$ |
(38.3 |
) |
|
$ |
(26.4 |
) |
|
$ |
114.2 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Charges and (credits): |
|
|
|
|
|
|
|
|
|
||||||||||
Restructuring, impairment and other charges |
|
1.2 |
|
|
|
3.9 |
|
|
|
4.9 |
|
|
|
— |
|
|
|
10.0 |
|
Subtotal |
|
1.2 |
|
|
|
3.9 |
|
|
|
4.9 |
|
|
|
— |
|
|
|
10.0 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
78.6 |
|
|
|
15.4 |
|
|
|
0.5 |
|
|
|
— |
|
|
|
94.5 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA |
$ |
225.5 |
|
|
$ |
52.5 |
|
|
$ |
(32.9 |
) |
|
$ |
(26.4 |
) |
|
$ |
218.7 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Foreign exchange, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
26.4 |
|
|
|
26.4 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA, excluding foreign exchange, net |
$ |
225.5 |
|
|
$ |
52.5 |
|
|
$ |
(32.9 |
) |
|
$ |
— |
|
|
$ |
245.1 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit margin, as reported |
|
8.5 |
% |
|
|
9.3 |
% |
|
|
|
|
|
|
5.5 |
% |
||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin |
|
13.1 |
% |
|
|
14.7 |
% |
|
|
|
|
|
|
10.5 |
% |
||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin, excluding foreign exchange, net |
|
13.1 |
% |
|
|
14.7 |
% |
|
|
|
|
|
|
11.8 |
% |
||||
Exhibit 8 |
|||||||||||||||||||
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
|||||||||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
|||||||||||||||||||
(In millions, unaudited) |
|||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||
|
March 31, 2023 |
||||||||||||||||||
|
Subsea |
|
Surface
|
|
Corporate
|
|
Foreign
|
|
Total |
||||||||||
Revenue |
$ |
1,387.6 |
|
|
$ |
329.8 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
1,717.4 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit (loss), as reported (pre-tax) |
$ |
66.8 |
|
|
$ |
22.4 |
|
|
$ |
(27.4 |
) |
|
$ |
2.1 |
|
|
$ |
63.9 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Charges and (credits): |
|
|
|
|
|
|
|
|
|
||||||||||
Restructuring and other charges |
|
(0.1 |
) |
|
|
0.7 |
|
|
|
— |
|
|
|
— |
|
|
|
0.6 |
|
Subtotal |
|
(0.1 |
) |
|
|
0.7 |
|
|
|
— |
|
|
|
— |
|
|
|
0.6 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
75.2 |
|
|
|
17.2 |
|
|
|
0.6 |
|
|
|
— |
|
|
|
93.0 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA |
$ |
141.9 |
|
|
$ |
40.3 |
|
|
$ |
(26.8 |
) |
|
$ |
2.1 |
|
|
$ |
157.5 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Foreign exchange, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2.1 |
) |
|
|
(2.1 |
) |
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA, excluding foreign exchange, net |
$ |
141.9 |
|
|
$ |
40.3 |
|
|
$ |
(26.8 |
) |
|
$ |
— |
|
|
$ |
155.4 |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit margin, as reported |
|
4.8 |
% |
|
|
6.8 |
% |
|
|
|
|
|
|
3.7 |
% |
||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin |
|
10.2 |
% |
|
|
12.2 |
% |
|
|
|
|
|
|
9.2 |
% |
||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin, excluding foreign exchange, net |
|
10.2 |
% |
|
|
12.2 |
% |
|
|
|
|
|
|
9.0 |
% |
||||
Exhibit 9 |
|||||||||||
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES |
|||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
|||||||||||
(In millions, unaudited) |
|||||||||||
|
March 31, 2024 |
|
December 31, 2023 |
|
March 31, 2023 |
||||||
Cash and cash equivalents |
$ |
696.8 |
|
|
$ |
951.7 |
|
|
$ |
522.3 |
|
Short-term debt and current portion of long-term debt |
|
(136.6 |
) |
|
|
(153.8 |
) |
|
|
(385.0 |
) |
Long-term debt, less current portion |
|
(887.2 |
) |
|
|
(913.5 |
) |
|
|
(1,005.7 |
) |
Net debt |
$ |
(327.0 |
) |
|
$ |
(115.6 |
) |
|
$ |
(868.4 |
) |
Net (debt) cash is a non-GAAP financial measure reflecting cash and cash equivalents, net of debt. Management uses this non-GAAP financial measure to evaluate our capital structure and financial leverage. We believe net debt, or net cash, is a meaningful financial measure that may assist investors in understanding our financial condition and recognizing underlying trends in our capital structure. Net (debt) cash should not be considered an alternative to, or more meaningful than, cash and cash equivalents as determined in accordance with |
Exhibit 10 |
|||
TECHNIPFMC PLC AND CONSOLIDATED SUBSIDIARIES RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In millions, unaudited) |
|||
|
Three Months Ended March 31, |
||
|
2024 |
|
2023 |
Cash required by operating activities |
|
|
|
Capital expenditures |
(52.0) |
|
(57.3) |
Free cash flow (deficit) |
|
|
|
Free cash flow (deficit), is a non-GAAP financial measure and is defined as cash required by operating activities less capital expenditures. Management uses this non-GAAP financial measure to evaluate our financial condition. We believe free cash flow (deficit) is a meaningful financial measure that may assist investors in understanding our financial condition and results of operations. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240425167716/en/
Investor relations
Matt Seinsheimer
Senior Vice President, Investor Relations and Corporate Development
Tel: +1 281 260 3665
Email: Matt Seinsheimer
James Davis
Director, Investor Relations
Tel: +1 281 260 3665
Email: James Davis
Media relations
David Willis
Senior Manager, Public Relations
Tel: +44 7841 492988
Email: David Willis
Source: TechnipFMC plc
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