- Total Company backlog reached record of $14.7 billion;
Subsea new record of $13.7 billion
- Share repurchase authorization increased by $1
billion
- Subsea financial guidance increased for 2025
TechnipFMC plc (NYSE: FTI) (the “Company” or “TechnipFMC”) today
reported third quarter 2024 results.
Summary Financial Results from
Continuing Operations
Reconciliation of U.S. GAAP to non-GAAP
financial measures are provided in financial schedules.
Three Months Ended
Change
(In millions, except per share
amounts)
Sep. 30, 2024
Jun. 30, 2024
Sep. 30, 2023
Sequential
Year-over- Year
Revenue
$2,348.4
$2,325.6
$2,056.9
1.0%
14.2%
Net income
$274.6
$186.5
$90.0
47.2%
205.1%
Net income margin
11.7%
8.0%
4.4%
370 bps
730 bps
Diluted earnings per share
$0.63
$0.42
$0.20
50.0%
215.0%
Adjusted EBITDA
$386.1
$361.4
$237.5
6.8%
62.6%
Adjusted EBITDA margin
16.4%
15.5%
11.5%
90 bps
490 bps
Adjusted net income
$280.5
$188.9
$94.9
48.5%
195.6%
Adjusted diluted earnings per
share
$0.64
$0.43
$0.21
48.8%
204.8%
Inbound orders
$2,784.5
$3,092.2
$2,145.1
(10.0%)
29.8%
Backlog
$14,698.9
$13,898.8
$13,230.7
5.8%
11.1%
Total Company revenue in the third quarter was $2,348.4 million.
Net income attributable to TechnipFMC was $274.6 million, or $0.63
per diluted share. These results included after-tax charges and
credits totaling $5.9 million of expense, or $0.01 per share
(Exhibit 6).
Adjusted net income was $280.5 million, or $0.64 per diluted
share (Exhibit 6). Adjusted net income included the following
items:
- A discrete non-cash, positive net tax benefit of $60.6 million
due to the release of a valuation allowance resulting from the
Company's assessment of the carrying value of its deferred tax
assets and future projections of taxable income; and
- Foreign exchange loss of $8.4 million after-tax, or $3.1
million before-tax.
Adjusted EBITDA, which excludes pre-tax charges and credits, was
$386.1 million; adjusted EBITDA margin was 16.4% (Exhibit 8).
When excluding the after-tax impact of foreign exchange of $8.4
million, net income was $283 million. Adjusted EBITDA, excluding
foreign exchange of $3.1 million, was $389.2 million (Exhibit
8).
Shareholder Distribution Update
On October 23, 2024, the Company announced that its Board of
Directors authorized additional share repurchases of up to $1
billion. Together with the existing program, the Company is now
authorized to repurchase shares of up to $1.2 billion, representing
more than 10 percent of the Company’s outstanding shares at
yesterday’s closing price.
Since the initial share repurchase authorization in July 2022,
the Company has returned more than $740 million to shareholders
through stock repurchases and dividends.
Doug Pferdehirt, Chair and CEO of TechnipFMC, stated, “The
TechnipFMC team continues to demonstrate solid execution, which is
reflected in our strong quarterly results. Revenue was $2.3 billion
with adjusted EBITDA of $389 million, when excluding foreign
exchange impacts. These results were supported by our relentless
focus on industrialization and standardization, as well as
integrated business models, all of which are allowing us to execute
more efficiently with greater certainty of outcome and
repeatability of success.”
Pferdehirt continued, “Total company inbound was $2.8 billion,
driving backlog to a new record level of $14.7 billion. Subsea
inbound orders were $2.5 billion, representing a book-to-bill of
1.2. Inbound continues to be supported by differentiated orders,
with our unique iEPCI™ offering, technology leadership, and
extensive Subsea Services capabilities all helping to drive our
Subsea backlog to $13.7 billion.”
“In Surface Technologies, robust execution on key customer
projects in the Middle East was a major contributor to the solid
quarterly results. The completion of our new, state-of-the-art
facility in Saudi Arabia and the qualification of our product
portfolio are favorably impacting our company today and represent a
differentiated growth opportunity for TechnipFMC.”
Pferdehirt added, “Turning to our outlook, we remain very
confident in the sustainability of the market backdrop, which is
reflected in the continued strength of our Subsea Opportunities
List. In 2025, we see an even more diversified mix of
opportunities, which includes more Subsea 2.0® equipment and iEPCI™
projects than we expect to inbound in the current year. When also
factoring in the continued growth we expect from Subsea Services,
it is clear why we remain so confident in achieving our Subsea
inbound guidance of $30 billion of orders over the 3-year period
ending 2025.”
“Looking beyond 2025, there is a significant presence of
projects on our Subsea Opportunities List that are likely to be
sanctioned in 2026, which notably includes new frontiers.
Additionally, the Front-End Engineering and Design (FEED) pipeline
for subsea developments remains at a record level, many of which
are for projects advancing toward final investment decision in the
latter half of the decade. The combination of these factors
provides TechnipFMC increased visibility and greater confidence in
a multi-year project pipeline.”
Pferdehirt concluded, “Our confidence in our execution and
outlook is reflected in the updated Subsea guidance for 2025, which
underscores our expectations for even greater improvement in our
financial results. This supports our strong capital allocation
policy and the $1 billion increase to our share repurchase
authorization announced yesterday. At the same time, we increased
our distribution target for 2024, with a goal to nearly double
shareholder distributions when compared to the prior year.”
“We will continue to drive TechnipFMC forward with conviction,
validated by the uniqueness of our business, intimacy of our
customer relationships, and strength of our backlog.”
Operational and Financial Highlights
Subsea
Financial Highlights
Reconciliation of U.S. GAAP to non-GAAP
financial measures are provided in financial schedules.
Three Months Ended
Change
(In millions)
Sep. 30, 2024
Jun. 30, 2024
Sep. 30, 2023
Sequential
Year-over- Year
Revenue
$2,028.1
$2,009.1
$1,708.3
0.9%
18.7%
Operating profit
$288.8
$277.7
$177.7
4.0%
62.5%
Operating profit margin
14.2%
13.8%
10.4%
40 bps
380 bps
Adjusted EBITDA
$371.0
$356.5
$257.8
4.1%
43.9%
Adjusted EBITDA margin
18.3%
17.7%
15.1%
60 bps
320 bps
Inbound orders
$2,463.2
$2,838.0
$1,828.0
(13.2%)
34.7%
Backlog1,2,3
$13,732.1
$12,925.9
$12,073.6
6.2%
13.7%
Estimated Consolidated Backlog
Scheduling
(In millions)
Sep. 30,
2024
2024 (3 months)
$1,547
2025
$5,480
2026 and beyond
$6,705
Total
$13,732
1 Backlog as of September 30, 2024 was
increased by a foreign exchange impact of $371 million.
2 Backlog does not capture all revenue
potential for Subsea Services.
3 Backlog as of September 30, 2024 does
not include total Company non-consolidated backlog of $509
million.
Subsea reported third quarter revenue of $2,028.1 million, an
increase of 0.9 percent from the second quarter. Higher project
activity in Asia Pacific, Latin America, and Canada was largely
offset by lower activity in the Gulf of Mexico and Norway following
the completion of significant project milestones in the second
quarter. The increased project activity included higher revenue
from flexible pipe in Brazil. Subsea Services activity improved
modestly in the period.
Subsea reported an operating profit of $288.8 million, an
increase of 4 percent from the second quarter. Operating results
increased sequentially due to improved earnings mix from backlog
and strong project execution in the quarter. Operating profit
margin increased 40 basis points to 14.2 percent.
Subsea reported adjusted EBITDA of $371 million, an increase of
4.1 percent when compared to the second quarter. The factors
impacting operating profit also drove the sequential increase in
adjusted EBITDA. Adjusted EBITDA margin increased 60 basis points
to 18.3 percent.
Subsea inbound orders were $2.5 billion for the quarter.
Book-to-bill was 1.2x. The following awards were included in the
period:
- Petrobras Flexible Pipe and Subsea Production Systems
contracts (Brazil) Awarded two subsea contracts by Petrobras
for the pre-salt fields offshore Brazil. The first award was a
substantial* contract to design, engineer, and manufacture riser
flexible pipe. TechnipFMC will also supply associated services
including packing and storage. The second award, which followed a
competitive tender, was a significant** contract to design,
engineer, and manufacture subsea production systems to be deployed
on the Atapu 2, Sepia 2, and Roncador projects. The contract also
covers installation support and life-of-field services, as well as
the option for additional equipment and services. All equipment and
products will be manufactured and serviced locally, leveraging core
capabilities in Brazil that enable continued development of
pre-salt reserves. *A “substantial” contract is between $250
million and $500 million. **A “significant” contract is between $75
million and $250 million.
- bp Kaskida iEPCI™ project (Gulf of Mexico) Substantial*
iEPCI™ contract for bp's Greenfield Kaskida development in the Gulf
of Mexico. The contract covers the design and manufacture of subsea
production systems, including 20,000 psi (20K) standardized subsea
trees and manifolds. The scope also includes the design,
manufacture, and installation of subsea umbilicals, risers, and
flowlines. The award follows an integrated Front End Engineering
and Design (iFEED®) study by TechnipFMC. *A “substantial” contract
is between $250 million and $500 million.
Surface Technologies
Financial Highlights
Reconciliation of U.S. GAAP to non-GAAP
financial measures are provided in financial schedules.
Three Months Ended
Change
(In millions)
Sep. 30,
2024
Jun. 30,
2024
Sep. 30,
2023
Sequential
Year-over- Year
Revenue
$320.3
$316.5
$348.6
1.2%
(8.1%)
Operating profit
$33.7
$30.6
$33.3
10.1%
1.2%
Operating profit margin
10.5%
9.7%
9.6%
80 bps
90 bps
Adjusted EBITDA
$49.1
$46.0
$49.9
6.7%
(1.6%)
Adjusted EBITDA margin
15.3%
14.5%
14.3%
80 bps
100 bps
Inbound orders
$321.3
$254.2
$317.1
26.4%
1.3%
Backlog
$966.8
$972.9
$1,157.1
(0.6%)
(16.4%)
Surface Technologies reported third quarter revenue of $320.3
million, an increase of 1.2 percent from the second quarter. The
sequential revenue improvement was primarily driven by increased
project and services activity in the Middle East, partially offset
by lower wellhead equipment revenue in North America.
Surface Technologies reported operating profit of $33.7 million,
an increase of 10.1 percent versus the second quarter. Operating
profit increased sequentially due to higher project and services
activity in the Middle East and improved execution, partially
offset by lower wellhead equipment revenue in North America and a
$1.2 million increase in restructuring, impairment and other
charges in the period.
Surface Technologies reported adjusted EBITDA of $49.1 million.
Adjusted EBITDA increased 6.7 percent when compared to the second
quarter. Adjusted EBITDA increased sequentially due to higher
project and services activity in the Middle East and improved
execution, partially offset by lower wellhead equipment revenue in
North America. Adjusted EBITDA margin increased 80 basis points to
15.3 percent.
Inbound orders for the quarter were $321.3 million, a sequential
increase of 26.4 percent. Backlog ended the period at $966.8
million.
Corporate and Other Items (three months ended September
30, 2024)
Corporate expense was $31.1 million.
Foreign exchange loss was $3.1 million.
Net interest expense was $15.9 million.
Income tax was a benefit of $6 million and included a discrete
non-cash, positive net tax benefit of $60.6 million due to the
release of a valuation allowance. The release of the valuation
allowance resulted from the Company's assessment of the carrying
value of its deferred tax assets and future projections of taxable
income.
Total depreciation and amortization was $94 million.
Cash provided by operating activities was $277.9 million.
Capital expenditures were $52.6 million. Free cash flow was $225.3
million (Exhibit 11).
During the quarter, the Company repurchased 3 million of its
ordinary shares for total consideration of $80 million. When
including a dividend payment of $21.5 million, total shareholder
distributions in the quarter were $101.5 million.
The Company ended the period with cash and cash equivalents of
$837.5 million, which increased $129.3 million sequentially; net
debt decreased $131 million sequentially to $129.2 million (Exhibit
10).
2024 Full-Year Financial Guidance1
The Company’s full-year financial guidance for 2024 can be found
in the table below. Updates to the previous guidance issued on July
25, 2024 are as follows:
- Net interest expense of $65 - 70 million, which decreased from
the previous guidance range of $70 - 80 million.
- Tax provision, as reported, of $170 - 180 million, which
decreased from the previous guidance range of $280 - 290
million.
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 October
24, 2024)
Subsea
Surface Technologies
Revenue in a range of $7.6 - 7.8
billion
Revenue in a range of $1.2 - 1.35
billion
Adjusted EBITDA margin in a range of 16.5
- 17%
Adjusted EBITDA margin in a range of 13 -
15%
TechnipFMC
Corporate expense, net $115 - 125
million
(includes depreciation and amortization of
~$3 million; excludes charges and credits)
Net interest expense $65 - 70
million
Tax provision, as reported $170 -
180 million
Capital expenditures approximately
$275 million
Free cash flow2 $425 - 575
million
(includes payment for legal settlement of
~$170 million)
_______________________________
1 Our 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.
2025 Full-Year Subsea Financial Guidance3
Updates to the Company’s full-year Subsea financial guidance for
2025 are as follows:
- Subsea revenue in a range of $8.3 - 8.7 billion, which
increased from the previous outlook of approximately $8
billion.
- Subsea adjusted EBITDA margin in a range of 18.5 - 20%, which
increased from the previous outlook of approximately 18%.
Teleconference
The Company will host a teleconference on Thursday, October 24,
2024 to discuss the third quarter 2024 financial results. The call
will begin at 1:30 p.m. London time (8:30 a.m. New York time).
Webcast access and an accompanying presentation can be found at
www.TechnipFMC.com.
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.
_______________________________
3 Our guidance measure of adjusted EBITDA margin is a non-GAAP
financial measure. 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.
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 @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; 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
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF
INCOME
(In millions, except per share
data, unaudited)
Three Months Ended
Nine Months Ended
September 30,
June 30,
September 30,
September 30,
2024
2024
2023
2024
2023
Revenue
$
2,348.4
$
2,325.6
$
2,056.9
$
6,716.0
$
5,746.5
Costs and expenses
2,061.2
2,017.2
1,896.1
5,961.4
5,376.2
287.2
308.4
160.8
754.6
370.3
Other income (expense), net including
income from equity affiliates
1.1
(41.5
)
(20.9
)
(51.3
)
(189.2
)
Gain on disposal of Measurement Solutions
business
—
—
—
75.2
—
Income before net interest expense and
income taxes
288.3
266.9
139.9
778.5
181.1
Net interest expense
(15.9
)
(21.4
)
(26.7
)
(50.0
)
(75.7
)
Income before income taxes
272.4
245.5
113.2
728.5
105.4
Provision (benefit) for income taxes
(6.0
)
59.2
19.5
102.9
100.2
Net income
278.4
186.3
93.7
625.6
5.2
(Income) loss attributable to
non-controlling interests
(3.8
)
0.2
(3.7
)
(7.4
)
(2.0
)
Net income attributable to TechnipFMC
plc
$
274.6
$
186.5
$
90.0
$
618.2
$
3.2
Earnings per share attributable to
TechnipFMC plc
Basic
$
0.64
$
0.43
$
0.21
$
1.44
$
0.01
Diluted
$
0.63
$
0.42
$
0.20
$
1.40
$
0.01
Weighted average shares outstanding:
Basic
428.3
430.2
436.9
430.7
439.7
Diluted
438.8
440.1
450.3
441.9
452.9
Cash dividends declared per share
$
0.05
$
0.05
$
0.05
$
0.15
$
0.05
Exhibit 2
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
BUSINESS
SEGMENT DATA
(In millions,
unaudited)
Three Months Ended
Nine Months Ended
September 30,
June 30,
September 30,
September 30,
2024
2024
2023
2024
2023
Segment
revenue
Subsea
$
2,028.1
$
2,009.1
$
1,708.3
$
5,772.0
$
4,714.3
Surface Technologies
320.3
316.5
348.6
944.0
1,032.2
Total segment revenue
$
2,348.4
$
2,325.6
$
2,056.9
$
6,716.0
$
5,746.5
Segment operating
profit
Subsea
$
288.8
$
277.7
$
177.7
$
723.1
$
397.9
Surface Technologies
33.7
30.6
33.3
167.7
81.4
Total segment operating profit
$
322.5
$
308.3
$
211.0
$
890.8
$
479.3
Corporate
items
Corporate expense(1)
$
(31.1
)
$
(23.7
)
$
(24.7
)
$
(87.0
)
$
(205.6
)
Net interest expense
(15.9
)
(21.4
)
(26.7
)
(50.0
)
(75.7
)
Foreign exchange losses
(3.1
)
(17.7
)
(46.4
)
(25.3
)
(92.6
)
Total corporate items
$
(50.1
)
$
(62.8
)
$
(97.8
)
$
(162.3
)
$
(373.9
)
Income before income taxes(2)
$
272.4
$
245.5
$
113.2
$
728.5
$
105.4
(1)
Corporate expense primarily includes
corporate staff expenses, share-based compensation expenses, and
other employee benefits. For the nine months ended September 30,
2023, corporate expense includes the non-recurring legal settlement
charge of $126.5 million.
(2)
Includes amounts attributable to
non-controlling interests.
Exhibit 3
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
BUSINESS
SEGMENT DATA
(In millions,
unaudited)
Three Months Ended
Nine Months Ended
Inbound
Orders(1)
September 30,
June 30,
September 30,
September 30,
2024
2024
2023
2024
2023
Subsea
$
2,463.2
$
2,838.0
$
1,828.0
$
7,705.0
$
8,479.0
Surface Technologies
321.3
254.2
317.1
946.1
972.3
Total inbound orders
$
2,784.5
$
3,092.2
$
2,145.1
$
8,651.1
$
9,451.3
Order
Backlog(2)
September 30, 2024
June 30, 2024
September 30, 2023
Subsea
$
13,732.1
$
12,925.9
$
12,073.6
Surface Technologies
966.8
972.9
1,157.1
Total order backlog
$
14,698.9
$
13,898.8
$
13,230.7
(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
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In millions,
unaudited)
September 30,
2024
December 31,
2023
Cash and cash equivalents
$
837.5
$
951.7
Trade receivables, net
1,278.1
1,138.1
Contract assets, net
1,140.8
1,010.1
Inventories, net
1,142.4
1,100.3
Other current assets
791.4
995.2
Total current assets
5,190.2
5,195.4
Property, plant and equipment, net
2,214.6
2,270.9
Intangible assets, net
541.9
601.6
Other assets
1,774.1
1,588.7
Total assets
$
9,720.8
$
9,656.6
Short-term debt and current portion of
long-term debt
$
310.4
$
153.8
Accounts payable, trade
1,491.4
1,355.8
Contract liabilities
1,513.4
1,485.8
Other current liabilities
1,246.7
1,473.2
Total current liabilities
4,561.9
4,468.6
Long-term debt, less current portion
656.3
913.5
Other liabilities
1,203.4
1,102.4
TechnipFMC plc stockholders’ equity
3,259.2
3,136.7
Non-controlling interests
40.0
35.4
Total liabilities and equity
$
9,720.8
$
9,656.6
Exhibit 5
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In millions,
unaudited)
Three Months Ended September
30,
Nine Months Ended September
30,
2024
2024
2023
Cash provided (required) by operating
activities
Net income
$
278.4
$
625.6
$
5.2
Adjustments to reconcile income to cash
provided (required) by operating activities
Depreciation and amortization
94.0
285.6
283.3
Deferred income tax benefit
(48.2
)
(60.7
)
(22.9
)
Gain on disposal of Measurement Solutions
business
—
(75.2
)
—
Income from equity affiliates, net of
dividends received
(8.5
)
(11.9
)
(35.9
)
Other non-cash items, net
22.2
30.2
55.0
Working capital(1)
(14.8
)
(488.1
)
(246.7
)
Other non-current assets and liabilities,
net
(45.2
)
76.6
(46.1
)
Cash provided (required) by operating
activities
277.9
382.1
(8.1
)
Cash provided (required) by investing
activities
Capital expenditures
(52.6
)
(155.4
)
(153.7
)
Proceeds from sales of assets
2.2
5.5
75.3
Proceeds from sale of Measurement
Solutions business
—
186.1
—
Other investing activities
—
0.5
14.9
Cash provided (required) by investing
activities
(50.4
)
36.7
(63.5
)
Cash required by financing activities
Net decrease in short-term debt
(26.3
)
(91.7
)
(38.2
)
Dividends paid
(21.5
)
(64.7
)
(21.8
)
Share repurchases
(80.0
)
(330.1
)
(150.1
)
Proceeds from exercise of stock
options
27.7
30.9
—
Payments related to taxes withheld on
share-based compensation
—
(49.7
)
(17.2
)
Other financing activities
(4.5
)
(17.2
)
(49.4
)
Cash required by financing activities
(104.6
)
(522.5
)
(276.7
)
Effect of changes in foreign exchange
rates on cash and cash equivalents
6.4
(10.5
)
(17.9
)
Change in cash and cash equivalents
129.3
(114.2
)
(366.2
)
Cash and cash equivalents, beginning of
period
708.2
951.7
1,057.1
Cash and cash equivalents, end of
period
$
837.5
$
837.5
$
690.9
(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 U.S. generally accepted accounting
principles (GAAP), the third quarter 2024 Earnings Release also
includes non-GAAP financial measures (as defined in Item 10 of
Regulation S-K of the Securities Exchange Act of 1934, as amended)
and describes performance on a year-over-year or sequential basis.
Net income attributable to TechnipFMC plc, excluding charges and
credits, as well as measures derived from it (including Diluted
EPS, excluding charges and credits; Earnings before net interest
expense, income taxes, depreciation and amortization, excluding
charges and credits (“Adjusted EBITDA”); and Adjusted EBITDA,
excluding foreign exchange gains or losses, net; Adjusted EBITDA
margin; Adjusted EBITDA margin, excluding foreign exchange, net);
Corporate expense, excluding charges and credits; Foreign exchange,
net and other, excluding charges and credits; and net debt are
non-GAAP financial measures.
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
Nine Months Ended
September 30, 2024
June 30, 2024
September 30, 2023
September 30, 2024
September 30, 2023
Net income attributable to TechnipFMC
plc
$
274.6
$
186.5
$
90.0
$
618.2
$
3.2
Charges and (credits):
Restructuring, impairment and other
charges
3.8
2.4
4.3
11.2
10.0
Gain on disposal of Measurement Solutions
business
—
—
—
(75.2
)
—
Non-recurring legal settlement
charges*
—
—
—
—
126.5
Tax impact of the charges and (credits)
above
2.1
—
0.6
12.8
1.0
Adjusted net income attributable to
TechnipFMC plc
$
280.5
$
188.9
$
94.9
$
567.0
$
140.7
Weighted diluted average shares
outstanding
438.8
440.1
450.3
441.9
452.9
Reported earnings per share - diluted
$
0.63
$
0.42
$
0.20
$
1.40
$
0.01
Adjusted earnings per share - diluted
$
0.64
$
0.43
$
0.21
$
1.28
$
0.31
*The non-recurring legal settlement
charges reflect the impact of the resolution of all outstanding
matters with the PNF (reference to Note 15 of the 10-Q). For
taxation purposes the charges are treated as a penalty and as such,
do not trigger tax charges or benefits.
Exhibit 7
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
Three Months Ended
Nine Months Ended
September 30, 2024
June 30, 2024
September 30, 2023
September 30, 2024
September 30, 2023
Net income attributable to TechnipFMC
plc
$
274.6
$
186.5
$
90.0
$
618.2
$
3.2
Income (loss) attributable to
non-controlling interests
3.8
(0.2
)
3.7
7.4
2.0
Provision (benefit) for income tax
(6.0
)
59.2
19.5
102.9
100.2
Net interest expense
15.9
21.4
26.7
50.0
75.7
Depreciation and amortization
94.0
92.1
93.3
285.6
283.3
Restructuring, impairment and other
charges
3.8
2.4
4.3
11.2
10.0
Gain on disposal of Measurement Solutions
business
—
—
—
(75.2
)
—
Non-recurring legal settlement
charges*
—
—
—
—
126.5
Adjusted EBITDA
$
386.1
$
361.4
$
237.5
$
1,000.1
$
600.9
Foreign exchange, net
3.1
17.7
46.4
25.3
92.6
Adjusted EBITDA, excluding foreign
exchange, net
$
389.2
$
379.1
$
283.9
$
1,025.4
$
693.5
*The non-recurring legal settlement
charges reflect the impact of the resolution of all outstanding
matters with the PNF (reference to Note 15 of the 10-Q). For
taxation purposes the charges are treated as a penalty and as such,
do not trigger tax charges or benefits.
Exhibit 8
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
Three Months Ended
September 30, 2024
Subsea
Surface Technologies
Corporate Expense
Foreign Exchange, net
Total
Revenue
$
2,028.1
$
320.3
$
—
$
—
$
2,348.4
Operating profit (loss), as reported
(pre-tax)
$
288.8
$
33.7
$
(31.1
)
$
(3.1
)
$
288.3
Charges and (credits):
Restructuring, impairment and other
charges
—
3.8
—
—
3.8
Subtotal
—
3.8
—
—
3.8
Depreciation and amortization
82.2
11.6
0.2
—
94.0
Adjusted EBITDA
$
371.0
$
49.1
$
(30.9
)
$
(3.1
)
$
386.1
Foreign exchange, net
—
—
—
3.1
3.1
Adjusted EBITDA, excluding foreign
exchange, net
$
371.0
$
49.1
$
(30.9
)
$
—
$
389.2
Operating profit margin, as reported
14.2
%
10.5
%
12.3
%
Adjusted EBITDA margin
18.3
%
15.3
%
16.4
%
Adjusted EBITDA margin, excluding foreign
exchange, net
18.3
%
15.3
%
16.6
%
Exhibit 8
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
Three Months Ended
June 30, 2024
Subsea
Surface Technologies
Corporate Expense
Foreign Exchange, net
Total
Revenue
$
2,009.1
$
316.5
$
—
$
—
$
2,325.6
Operating profit (loss), as reported
(pre-tax)
$
277.7
$
30.6
$
(23.7
)
$
(17.7
)
$
266.9
Charges and (credits):
Restructuring, impairment and other
charges
(0.2
)
2.6
—
—
2.4
Subtotal
(0.2
)
2.6
—
—
2.4
Depreciation and amortization
79.0
12.8
0.3
—
92.1
Adjusted EBITDA
$
356.5
$
46.0
$
(23.4
)
$
(17.7
)
$
361.4
Foreign exchange, net
—
—
—
17.7
17.7
Adjusted EBITDA, excluding foreign
exchange, net
$
356.5
$
46.0
$
(23.4
)
$
—
$
379.1
Operating profit margin, as reported
13.8
%
9.7
%
11.5
%
Adjusted EBITDA margin
17.7
%
14.5
%
15.5
%
Adjusted EBITDA margin, excluding foreign
exchange, net
17.7
%
14.5
%
16.3
%
Exhibit 8
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
Three Months Ended
September 30, 2023
Subsea
Surface Technologies
Corporate Expense
Foreign Exchange, net
Total
Revenue
$
1,708.3
$
348.6
$
—
$
—
$
2,056.9
Operating profit (loss), as reported
(pre-tax)
$
177.7
$
33.3
$
(24.7
)
$
(46.4
)
$
139.9
Charges and (credits):
Restructuring, impairment and other
charges
3.3
0.6
0.4
—
4.3
Subtotal
3.3
0.6
0.4
—
4.3
Depreciation and amortization
76.8
16.0
0.5
—
93.3
Adjusted EBITDA
$
257.8
$
49.9
$
(23.8
)
$
(46.4
)
$
237.5
Foreign exchange, net
—
—
—
46.4
46.4
Adjusted EBITDA, excluding foreign
exchange, net
$
257.8
$
49.9
$
(23.8
)
$
—
$
283.9
Operating profit margin, as reported
10.4
%
9.6
%
6.8
%
Adjusted EBITDA margin
15.1
%
14.3
%
11.5
%
Adjusted EBITDA margin, excluding foreign
exchange, net
15.1
%
14.3
%
13.8
%
Exhibit 9
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
Nine Months Ended
September 30, 2024
Subsea
Surface Technologies
Corporate Expense
Foreign Exchange, net
Total
Revenue
$
5,772.0
$
944.0
$
—
$
—
$
6,716.0
Operating profit (loss), as reported
(pre-tax)
$
723.1
$
167.7
$
(87.0
)
$
(25.3
)
$
778.5
Charges and (credits):
Restructuring, impairment and other
charges
(0.2
)
6.2
5.2
—
11.2
Gain on disposal of Measurement Solutions
business
—
(75.2
)
—
—
(75.2
)
Subtotal
(0.2
)
(69.0
)
5.2
—
(64.0
)
Depreciation and amortization
247.0
37.8
0.8
—
285.6
Adjusted EBITDA
$
969.9
$
136.5
$
(81.0
)
$
(25.3
)
$
1,000.1
Foreign exchange, net
—
—
—
25.3
25.3
Adjusted EBITDA, excluding foreign
exchange, net
$
969.9
$
136.5
$
(81.0
)
$
—
$
1,025.4
Operating profit margin, as reported
12.5
%
17.8
%
11.6
%
Adjusted EBITDA margin
16.8
%
14.5
%
14.9
%
Adjusted EBITDA margin, excluding foreign
exchange, net
16.8
%
14.5
%
15.3
%
Exhibit 9
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
Nine Months Ended
September 30, 2023
Subsea
Surface Technologies
Corporate Expense
Foreign Exchange, net
Total
Revenue
$
4,714.3
$
1,032.2
$
—
$
—
$
5,746.5
Operating profit (loss), as reported
(pre-tax)
$
397.9
$
81.4
$
(205.6
)
$
(92.6
)
$
181.1
Charges and (credits):
Restructuring, impairment and other
charges
3.7
5.9
0.4
—
10.0
Non-recurring legal settlement
charges*
—
—
126.5
—
126.5
Subtotal
3.7
5.9
126.9
—
136.5
Depreciation and amortization
231.9
49.8
1.6
—
283.3
Adjusted EBITDA
$
633.5
$
137.1
$
(77.1
)
$
(92.6
)
$
600.9
Foreign exchange, net
—
—
—
92.6
92.6
Adjusted EBITDA, excluding foreign
exchange, net
$
633.5
$
137.1
$
(77.1
)
$
—
$
693.5
Operating profit margin, as reported
8.4
%
7.9
%
3.2
%
Adjusted EBITDA margin
13.4
%
13.3
%
10.5
%
Adjusted EBITDA margin, excluding foreign
exchange, net
13.4
%
13.3
%
12.1
%
*The non-recurring legal settlement
charges reflect the impact of the resolution of all outstanding
matters with the PNF (reference to Note 15 of the 10-Q). For
taxation purposes the charges are treated as a penalty and as such,
do not trigger tax charges or benefits.
Exhibit 10
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
September 30, 2024
June 30, 2024
September 30, 2023
Cash and cash equivalents
$
837.5
$
708.2
$
690.9
Short-term debt and current portion of
long-term debt
(310.4
)
(321.6
)
(407.3
)
Long-term debt, less current portion
(656.3
)
(646.8
)
(933.5
)
Net debt
$
(129.2
)
$
(260.2
)
$
(649.9
)
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 U.S. GAAP or
as an indicator of our operating performance or liquidity.
Exhibit 11
TECHNIPFMC PLC AND CONSOLIDATED
SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES
(In millions,
unaudited)
Three Months Ended September
30,
Nine Months Ended September
30,
2024
2024
2023
Cash provided (required) by operating
activities
$
277.9
$
382.1
$
(8.1
)
Capital expenditures
(52.6
)
(155.4
)
(153.7
)
Free cash flow (deficit)
$
225.3
$
226.7
$
(161.8
)
Free cash flow (deficit), is a non-GAAP
financial measure and is defined as cash provided (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/20241024387121/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
Grafico Azioni TechnipFMC (NYSE:FTI)
Storico
Da Nov 2024 a Dic 2024
Grafico Azioni TechnipFMC (NYSE:FTI)
Storico
Da Dic 2023 a Dic 2024
