Fourth Quarter and Full Year Providing Solutions 2013 Results to - PowerPoint PPT Presentation

Fourth Quarter and Full Year Providing Solutions 2013 Results to the Energy Industry Paris, February 20, 2014

Safe Harbor T his presentation contains both historical and forward-looking statements. These forward-looking statements are not based on historical facts, but rather reflect our current expectations concerning future results and events and generally may be identified by the use of forward-looking words such as “believe”, “aim”, “expect”, “anticipate”, “intend”, “foresee”, “likely”, “should”, “planned”, “may”, “estimates”, “potential” or other similar words. Similarly, statements that describe our objectives, plans or goals are or may be forward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to differ materially from the anticipated results, performance or achievements expressed or implied by these forward-looking statements. Risks that could cause actual results to differ materially from the results anticipated in the forward-looking statements include, among other things: our ability to successfully continue to originate and execute large services contracts, and construction and project risks generally; the level of production-related capital expenditure in the oil and gas industry as well as other industries; currency fluctuations; interest rate fluctuations; raw material, especially steel as well as maritime freight price fluctuations; the timing of development of energy resources; armed conflict or political instability in the Arabian-Persian Gulf, Africa or other regions; the strength of competition; control of costs and expenses; the reduced availability of government-sponsored export financing; losses in one or more of our large contracts; U.S. legislation relating to investments in Iran or elsewhere where we seek to do business; changes in tax legislation, rules, regulation or enforcement; intensified price pressure by our competitors; severe weather conditions; our ability to successfully keep pace with technology changes; our ability to attract and retain qualified personnel; the evolution, interpretation and uniform application and enforcement of International Financial Reporting Standards, IFRS, according to which we prepare our financial statements as of January 1, 2005; political and social stability in developing countries; competition; supply chain bottlenecks; the ability of our subcontractors to attract skilled labor; the fact that our operations may cause the discharge of hazardous substances, leading to significant environmental remediation costs; our ability to manage and mitigate logistical challenges due to underdeveloped infrastructure in some countries where we are performing projects. Some of these risk factors are set forth and discussed in more detail in our Annual Report. Should one of these known or unknown risks materialize, or should our underlying assumptions prove incorrect, our future results could be adversely affected, causing these results to differ materially from those expressed in our forward-looking statements. These factors are not necessarily all of the important factors that could cause our actual results to differ materially from those expressed in any of our forward-looking statements. Other unknown or unpredictable factors also could have material adverse effects on our future results. The forward-looking statements included in this release are made only as of the date of this release. We cannot assure you that projected results or events will be achieved. We do not intend, and do not assume any obligation to update any industry information or forward looking information set forth in this release to reflect subsequent events or circumstances. **** This presentation does not constitute an offer or invitation to purchase any securities of Technip in the United States or any other jurisdiction. Securities may not be offered or sold in the United States absent registration or an exemption from registration. The information contained in this presentation may not be relied upon in deciding whether or not to acquire Technip securities. This presentation is being furnished to you solely for your information, and it may not be reproduced, redistributed or published, directly or indirectly, in whole or in part, to any other person. Non-compliance with these restrictions may result in the violation of legal restrictions of the United States or of other jurisdictions. 2 Fourth Quarter and Full Year 2013 Results

Contents 2013: Year in Review 2013: Operational & Financial Highlights Sustaining Profitable Growth Annex 3 Fourth Quarter and Full Year 2013 Results

2013: Year in Review Fourth Quarter and Full Year 2013 Results 4

Performance in Line with Expectations in 4Q13 Guidance given in October 2013 actual performance  Group revenue between €9.3 and €9.4 billion  Group revenue of €9.3 billion  Subsea revenue lowered to around €4.1 billion  Subsea revenue of €4.1 billion  Subsea operating margin (1) lowered to around 14%  Subsea operating margin (1) at 14.3%  Onshore / Offshore revenue raised to around €5.2  Onshore / Offshore revenue of €5.3 billion billion  Onshore / Offshore operating margin (1) raised to  Onshore / Offshore operating margin (1) at 6.7% between 6.5% and 7% (1) from recurring activities 5 Fourth Quarter and Full Year 2013 Results

2013 Key Facts Performance Strategy and Outlook  Revenue increased by 14%, to €9.3 billion  Year-end backlog of €16.6 billion  Operating margin (1) at 9%  Global footprint strengthened and workforce expanded to nearly 40,000 people  Onshore / Offshore segment delivered in upper end at target range  Portfolio diversification maintained  Net income of €563 million, up 4% year-on-  Delivery of new assets year  Formation of numerous strategic partnerships  Year-end net cash up from €183 million to and alliances €663 million  €12.0 billion order intake, of which €3.2 billion in 4Q13 Proposed dividend of €1.85, a 10% increase (1) from recurring activities 6 Fourth Quarter and Full Year 2013 Results

2013: Operational & Financial Highlights Fourth Quarter and Full Year 2013 Results 7

Fourth Quarter Subsea Highlights  Offshore main operations completed Revenue € million  Gannet, Scotland 1,200  Brynhild, Norway 963  Jack and Saint Malo, US Gulf of Mexico  Main ongoing projects  Moho Nord, Congo 4Q 12 4Q 13 4Q 13  Quad 204, Scotland  Greater Stella, Scotland Operating Income 1  Bøyla, Norway  Åsgard subsea compression, Norway 585 14.9% 14.3%  Wheatstone, Australia 13.5%  Sapinhoa and Lula Nordeste, Brazil  Egina, Nigeria 179 130  Gumusut, Malaysia  Overall group vessel utilization 4Q 12 4Q 13 FY 13 4Q 12 4Q 13 FY 13 rate: 69% versus 78% year ago (1) from recurring activities 8 Fourth Quarter and Full Year 2013 Results

US Gulf of Mexico Focus Deep Energy and Deep Blue, Mobile spoolbase  7 GoM projects have progressed satisfactorily in 4Q and year-to-date 2014  Execution is in parallel across all projects  2 projects are now complete and being handed over to clients  Both Deep Blue and Deep Energy are active on these projects  Deep Energy has now completed two major campaigns successfully: pipelay and umbilical installation  Financial assumptions for the projects are confirmed as per latest guidance Deep Blue, US Gulf of Mexico 9 Fourth Quarter and Full Year 2013 Results

Fourth Quarter Onshore/Offshore Ongoing Projects Upstream Revenue € million  Malikai TLP, Malaysia  Upper Zakum 750 facilities, Abu Dhabi 1,522  Umm Lulu package 2, Abu Dhabi 1,100  Aasta Hansteen Spar, Norway  Martin Linge platform, Norway Gas, LNG & FLNG  Prelude FLNG, Australia 4Q 12 4Q 13 4Q 13  Petronas FLNG1, Malaysia  Pacific NorthWest LNG FEED, Canada Operating Income 1  PMP project, Qatar 352 7.3% 6.7% 6.7% Refining  Burgas refinery, Bulgaria 102 80  Sulfur recovery unit, Bahrain Petrochemicals  Ethylene XXI, Mexico FY 13 4Q 12 4Q 13 4Q 12 4Q 13 FY 13  Westlake ethylene plant upgrade, USA  Halobutyl elastomer plant, Saudi Arabia (1) from recurring activities 10 Fourth Quarter and Full Year 2013 Results

Fourth Quarter & FY 2013: Operating Performance € million 4Q 13 FY 13 Y-o-Y Y-o-Y Main elements not audited audited Change Change Revenue 2,484.8 9,336.1 8.0% 13.8%  Annual and quarterly revenue growth driven by Onshore/Offshore segment Gross Margin 408.9 1,617.4 (7.7)% 4.2%  Year-on-year foreign exchange translation impacts SG&A, R&D and other (201.7) (772.9) (1.1)% 6.9% in line with expectations 4Q13 vs. 4Q12:  Revenue €(131) million EBITDA (1) 271.9 1,078.0 (6.5)% 5.3%  Operating income €(9) million EBITDA Margin 10.9% (169)bp 11.5% (93)bp Operating Income (2) 207.2 844.5 (13.4)% 1.9% Operating Margin (2) 8.3% 9.0% (206)bp (106)bp (1) calculated as operating income from recurring activities before depreciation and amortization (2) from recurring activities 11 Fourth Quarter and Full Year 2013 Results