MAIRE TECNIMONT GROUP OVERVIEW
November 2017 DISCLAIMER
This document has been prepared by Maire Tecnimont S.p.A. (the “Company”) solely for use in the presentation of the Maire Tecnimont Group (the “Group”).
This document does not constitute or form part of any offer or invitation to sell, or any solicitation to purchase any security issued by the Company.
The information contained and the opinions expressed in this document have not been independently verified. In particular, this document may contain forward-looking statements that are based on current estimates and assumptions made by the management of the Company to the best of its knowledge. Such forward-looking statements are subject to risks and uncertainties, the non-occurrence or occurrence of which could cause the actual results – including the financial condition and profitability of the Group – to differ materially from or be more negative than those expressed or implied by such forward-looking statements. This also applies to the forward-looking estimates and forecasts derived from third-party studies. Consequently, neither the Company nor its management can give any assurance regarding the future accuracy of the estimates of future performance set forth in this document or the actual occurrence of the predicted developments.
The data and information contained in this document are subject to variations and integrations. Although the Company reserves the right to make such variations and integrations when it deems necessary or appropriate, the Company assumes no affirmative disclosure obligation to make such variations and integrations.
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 2 SUMMARY
1. Group Overview 2. Strategy and Competitive Positioning 3. Operations and Commercial Activity 4. Financial Data 5. Conclusions MAIRE TECNIMONT GROUP
• Leading worldwide engineering contractor Key Indicators focusing on: €2.6 bn Revenues (9M 2017) – Oil &Gas 8,400 Employees and E &I professionals – Petrochemicals – Fertilizers 50 Operating companies €7.6 bn Backlog (September 30, 2017) €1.3 bn Market Cap (Nov. 20, 2017) • Flexible Business Model spanning the entire value chain: Revenues by Business Unit – Project Development – Licensing and Engineering Services (E) 4% – Engineering & Procurement (EP) – Engineering, Procurement & Construction (EPC) – Life Cycle Support
• Two main Business Units:
– Technology, Engineering & Construction 96% – Infrastructure & Civil Engineering TE&C Infrastructure
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 4 KEY MILESTONES Our Evolution
1899 FIAT GROUP 1937 1971 1972 Listing on the Kinetic Technology Int. - KTI Dutch State Mines – DSM Incorporation of More than 40 years of Italian Stock research centre for services FIAT ENGINEERING experience in process engineering Exchange work to coal mines 2001 1947 1988 Acquisition of FIAT Avio’s Electric Incorporation of Mannesmann acquired KTI Design & Construction Business STAMICARBON 1999 Chemical and Fertilizer Technip Italy acquired KTI 2004 licensing Acquisition of Acquisition of KT Kinetics Repositioning Fiat Engineering Acquisition of Technology (formerly Completed (later MAIRE ENGINEERING) Stamicarbon Technip KTI)
2005 2007 2009 2010 2011 2013 2015 2017
Incorporation of 100% Acquisition of the Indian subsidiary Tecnimont Pvt. Ltd. Reorganization Launch of the Record MAIRE TECNIMONT (formerly TICB) of New Business Backlog and 1990s Italian HQs Strategy Sales Tecnimont acquires 50% of the Indian company renamed as Tecnimont ICB Pvt Ltd (TICB) 2005 Maire Group acquires 1977 Tecnimont Creation of the first JV between ICB and Tecnimont 1973 1958 Incorporation of New Milan Offices TECNIMONT Incorporation of ICB Pvt Ltd as consulting 1963 firm in the plant sector in Mumbai Giulio Natta 1966 Nobel Prize for Incorporation of chemistry MONTEDISON
1884 1888 MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 EDISON MONTECATINI 5 Power Supply Mines and Chemicals GROUP STRUCTURE
Large-scale • Refining • Fertilizers • Infrastructure & contracting in: • Hydrogen and Technology Civil Engineering • Oil & Gas Syngas Production • Renewable Energy • Polyolefins • Sulphur Recovery • Fertilizers
Business Technology, Engineering & Construction Infrastructure & Unit Civil Engineering
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 6 TECHNOLOGY, ENGINEERING & CONSTRUCTION
Maire Tecnimont Group’s Presence Across the EPC Value Chain
TECHNOLOGY-DRIVEN EXECUTION- DRIVEN
PROJECT LIFE-CYCLE LICENSING ENGINEERING PROCUREMENT CONSTRUCTION DEVELOPMENT SUPPORT
• Startup FERTILIZERS • Operation Advice OIL & GAS • Maintenance
PETROCHEMICALS • Inspections
• Revamping
Subsidiary:
Full Involvement: From Project Development to Life-Cycle Support
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 7 INFRASTRUCTURE & CIVIL ENGINEERING
Long-Lasting Competencies in Transportation and Civil Engineering
DESIGN AND CONSTRUCTION OF ß Underground projects (including the first OVER 30% OF HIGH SPEED & HIGH CAPACITY RAILWAYS driverless metro system in Italy), railways, CURRENTLY OPERATED IN ITALY tunnels, roads and highways
ß EPC contracting for construction / PROJECTS SUCCESSFULLY COMPLETED IN MORE THAN 40 requalification of hospitals, universities, complex 300+ YEARS’ EXPERIENCE buildings and industrial plants
Flexible Solutions in Renewable Energy
ß Increasing focus with a dedicated team on Wind, Solar and Biomass large-scale power plants as reliable counterpart of international operators
ß High quality services along the whole value chain: from development and design to EPC, leveraging on Lump Sum Turn Key expertise and global presence
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 8 EXTENSIVE INTERNATIONAL PRESENCE
ROME SITTARD MILAN BRAUNSCHWEIG MUMBAI
ITALY 2,281
REST OF EUROPE 332
ASIA 2,690 Headquarters
REST OF THE Main offices and engineering 75 WORLD centres Subsidiaries, branches and TOTAL 5,378* representative offices EMPLOYEES
E&I division ~3,000
GRAND TOTAL ~ 8,378
*Average age: ～41 years Approx. 66% graduates A Real Multicultural and Multinational Group
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 9 Data as of: 30.9.2017 MAIRE TECNIMONT GROUP’S SHAREHOLDERS
Major Shareholders % of ordinary shares % of voting rights*
GLV Capital S.p.A. 54.877% 70.865%
Arab Development Establishment 5.091% 3.287% (ARDECO)
Schroders PLC 4.984% 3.218%
Other institutional and retail 35.048% 22.630% investors
NOTE: Based on the latest official information communicated to Maire Tecnimont (e.g. shareholders’ register, official filings)
(*) Pursuant to Article 120, Paragraph 1 of the Legislative Decree no. 58 of 24 February 1998 and to Article 6 bis of the By-Laws ("Voting right increase"), share capital of Maire Tecnimont S.p.A. refers to the total number of voting rights equal to 473,192,634.
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 10 SUMMARY
1. Group Overview 2. Strategy and Competitive Positioning 3. Operations and Commercial Activity 4. Financial Data 5. Conclusions MAIRE TECNIMONT’S STRATEGIC PRIORITIES
Enhance and Develop Technology Driven Business
Align Organization and 1 Strengthen EPC in the Pursue Group Synergies Core Business 5 2 Strategic Priorities
4 3
Expand Geographic Develop Engineering Services Footprint Revenues
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 12 STRATEGY IMPLEMENTATION
TECHNOLOGY-DRIVEN EXECUTION- DRIVEN
PROJECT LIFE-CYCLE LICENSING ENGINEERING PROCUREMENT CONSTRUCTION DEVELOPMENT SUPPORT
PROJECT LIFE-CYCLE DEVELOPMENT Detailed SUPPORT Direct Engineering PRODUCTS License Basic Feed Services EP EPC • Pre-empt competitive • Improve client pressures TYPICAL loyalty VOLUMES € 1-10m € 1-10m € 4-15m € 10-40m € 50-250m € 0.3-5bn • Leverage • Revenue technological diversification edge TYPICAL Very High High Double High Double Mid Double Low Double MARGINS Double Digit Digit Digit Digit Digit Single Digit • Increase plant • Client value-added partnerships
RISK Low Low Low LowMedium High
Provide Technological Solutions Throughout the EPC Value Chain
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 13 GLOBAL & TECHNOLOGICAL LEADERSHIP
PETROCHEMICALS FERTILIZERS OIL & GAS
Well rooted technology orientation: WELL RECOGNIZED market leader (#1) 54% LEADERSHIP Market share in for installed capacity in Licensing hydrogen licensing urea plants technology and in licensing technology Sulphur Recovery and Tail (#1 worldwide)* 30% Gas Treatment Technology Market share in polyolefin plants
34% WORLD CLASS Market share TRACK RECORD 40% in licensing urea in Large Gas Treatment Market share in granulation technology Plants and Refinery LDPE plants (#2 worldwide)* Process Units
Since 1970 Since 1971 62 Polyethylene Plants 172 230 Ammonia and Urea Plants Hydrogen and Sulphur Recovery 117 Polypropylene Plants completed since 1924 Unit Projects completed
1,100 + Strong commitment Individual Patents to technology development
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 * Data are based on corporate analysis 14 OUR OPERATIONS ARE DRIVEN BY POSITIVE BUSINESS TRENDS
PETCHEM
• Gas monetization: Cheap feedstock supports owner’s investment attractiveness
• Strong demand for plastics-based products
FERTILIZERS • Gas monetization
• Demography and agricultural modernization driving long term demand for nitrogen-based fertilizers
• Technology barriers
OIL & GAS • Midstream Oil and Gas Treatment
• Refining: Revamping & Capacity upgrade
• Integration between petchem and refining
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 15 DIFFERENTIATING FACTORS VS. OUR COMPETITORS
• Our focus is Downstream and Gas Transformation, not Upstream
• Flexible business model
• Asset light: no idleness
• Leverage on our strong technological IPs
• Client diversification (NOCs vs. IOCs)
• Global approach with focus on specific geographies
Our Group is Well Positioned to Face the Current Environment
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 16 MAIRE TECNIMONT HAS BEEN OUTPERFORMING THE SECTOR
Maire Tecnimont’s Relative Performance, 6/20/14 – 11/6/17
Maire Tecnimont BEUOILS Index WTI Future
220
170
120
70
20 Jun-14 Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17
Source: Bloomberg. BEUOILS Index Components: Subsea 7, Saipem, Petrofac, John Wood Group, SBM, Amec FW, TGS
Correlation Coefficient MT – BEUOILS = — 0.25 MT – WTI Future = — 0.25 BEUOILS – WTI Future= + 0.96 MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 Our Stock is Not Correlated to the Oil Price 17 GROUP RESPONSIVENESS TO MARKET DISCONTINUITY
•Dedicated revamping engineering initiatives
•New way of originating •Siluria Technologies business through early •H2S cracking involvement in REVAMPING •Technologies adjacent to urea investment initiatives •New Clean Coal Technologies PROJECT TECHNOLOGY & DEVELOPMENT SERVICES
CORE BUSINESS EXECUTION •Reinforcing competencies to •Oman NEW tackle increasing scale and INTEGRATED •Malaysia GEOGRAPHIES complexity of plants •Indonesia PROJECTS •West Africa •Americas RENEWABLES & GREEN CHEMISTRY
•Wind, Solar •Biomass •Bio-chemicals MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 18 SUMMARY
1. Group Overview 2. Strategy and Competitive Positioning 3. Operations and Commercial Activity 4. Financial Data 5. Conclusions MAIN PETROCHEMICAL PROJECTS
HDPE PLANT, SUMGAYIT (AZERBAIJAN) LLDPE-HDPE-PP PLANTS, SOHAR (OMAN) PP PLANT, SUMGAYIT (AZERBAIJAN) CLIENT: SOCAR Polymer CLIENT: ORPIC CLIENT: SOCAR Polymer CONTRACT TYPE: EPC - PP, HDPE €350m CONTRACT TYPE: EPC US$895m CONTRACT TYPE: EPC - PP, HDPE €180m
PDH PLANT, TOBOLSK (WESTERN SIBERIA) CLIENT: Tobolsk Polymer LLC LDPE PLANT, BRATISLAVA (SLOVAK REPUBLIC) CONTRACT TYPE: EPC €660m CLIENT: Slovnaft Petrochemicals s.r.o. CONTRACT TYPE: EPC €204m
LLDPE-HDPE-PP PLANTS, DAHEJ (GUJARAT, INDIA) CLIENT: OPAL LDPE PLANT, VERACRUZ (MEXICO) CONTRACT TYPE: EPC US$440m CLIENT: Etileno XXI Services BV CONTRACT TYPE: EP US$191m
POLYOLEFINS COMPLEX, RABIGH (SAUDI ARABIA) CLIENT: Petro Rabigh CONTRACT TYPE: EPC €1.2bn
POLYOLEFINS UNITS (RAPID), PENGERANG (MALAYSIA) LDPE PLANT, SADARA (SAUDI ARABIA) CLIENT: PRPC Polymers Sdn Bhd (PETRONAS) CLIENT: Sadara Chemical Company CONTRACT TYPE: EPCC €328m CONTRACT TYPE: EPC €280m HDPE UNIT (RAPID), PENGERANG (MALAYSIA) PDH/POLYPROPYLENE PLANT, AL JUBAIL (SAUDI ARABIA) CLIENT: PRPC Polymers Sdn Bhd (PETRONAS) CLIENT: Al Waha CONTRACT TYPE: EPCC €482m CONTRACT TYPE: EPC €580m
POLYOLEFINS COMPLEX, RUWAIS (UAE) PE/NAO PLANTS, MESAIEED (QATAR) BOROUGE 1 - BOROUGE 2 – BOROUGE 3 CLIENT: Qatar Chemical Company II CLIENT: Borouge CONTRACT TYPE: EPC US$830m CONTRACT TYPE: (1) US$ 445m, (2) US$1.8bn, (3) EPC S$1.7bn
20 MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 UNDER REALIZATION PROJECT COMPLETED PROJECT MAIN OIL & GAS PROJECTS
OIL & GAS TREATMENT PLANT, LUBIATOW DELAYED COKER COMPLEX PROJECT AND HYDROWAX (POLAND) VACUUM DISTILLATION, GDANSK (POLAND) CLIENT: Polish Oil & Gas Company CLIENT: Lotos Asfalt SP. ZO.O CONTRACT TYPE: EP €91m CONTRACT TYPE: EPC €304m
REFINERY OFF GAS(ROG) PROJECT, ANTWERP (BELGIUM) SULPHUR COMPLEX GDANSK (POLAND) COMBINED OIL REFINING UNIT (CORU) MOSCOW REFINERY CLIENT: Total Olefins Antwerp CLIENT: Grupa Lotos SA (RUSSIAN FEDERATION) CONTRACT TYPE: EPC €193m CONTRACT TYPE: EPC €111m CLIENT: JSC Gazprom Neft Moscow Refinery CONTRACT TYPE: EPC €480m
AMURSKI GAS PROCESSING PLANT(RUSSIAN FEDERATION) OIL AND GAS TREATMENT "TEMPA ROSSA“ CLIENT: NIPIgaspererabotka CORLETO PERTICARA (ITALY) CONTRACT TYPE: EPC €3.9bn CLIENT: Total E &P Italia S.p.A. CONTRACT TYPE: EPC €505m LNG TERMINAL CHENTOUJIA, GUANGDONG (CHINA) CLIENT: Guadong LNG JEO CONTRACT TYPE: EPC €280m AROMATICS COMPLEX SHUAIBA (KUWAIT) CLIENT: Kuwait Paraxylene Production Company (KPPC) CONTRACT TYPE: EPC US$1.2bn IGD EXPANSION PROJECT (IGD-E1), GAS TREATMENT AND MARINE WORKS, DAS ISLAND (UAE) CLIENT: ADGAS (ADNOC Group) CONTRACT TYPE: EPC US$490m WAFA GAS PLANTS PROJECT MELLITAH & GADAMES BASIN (LIBYA) CLIENT: Agip Gas BV CONTRACT TYPE: EPC €1.2bn OIL GATHERING, TREATMENT, EXPORT AL DABBI’YA PHASE III, ABU DHABI (UAE) CLIENT: ADCO CLEAN FUEL PROJECT CONTRACT TYPE: EPC US$2.3bn RABIGH, (SAUDI ARABIA) CLIENT: Petro Rabigh CONTRACT TYPE: EPC €148m SULPHUR RECOVERY UNITS, MOSTOROD (EGYPT) CLIENT: Egyptian Refinery INTEGRATED GAS DEVELOPMENT – HABSHAN 5 Company (ABU DHABI – UAE) CONTRACT TYPE: EP CLIENT: GASCO €97m CONTRACT TYPE: EPC US$4.7bn
21 MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 UNDER REALIZATION PROJECT COMPLETED PROJECT MAIN FERTILIZERS PROJECTS
AMMONIA PLANT, KINGISEPP (RUSSIAN FEDERATION) YARA, SLUISKIL (THE NETHERLANDS) CLIENT: EuroChem Mineral and Chemical Company CLIENT: Yara International ASA CONTRACT TYPE: EPC €660m CONTRACT TYPE: EPC €125m
AMMONIA/UREA PLANT NEVINNOMYSSK IOWA FERTILIZER COMPANY, WEVER, IOWA (USA) (RUSSIAN FEDERATION) CLIENT: Orascom Construction Industries CLIENT: EuroChem Mineral and Chemical Company CONTRACT TYPE: EP €250m CONTRACT TYPE: E
AMMONIA DEBOTTLENECKING, Annaba, Arzew (ALGERIA) CLIENT: Fertial CONTRACT TYPE: E AMMONIA PLANT NANGAL PUNJAB (INDIA) CLIENT: National Fertilizers Ltd. CONTRACT TYPE: EPC US$240m
FERTILIZERS COMPLEX , ASWAN (EGYPT) CLIENT: KIMA CONTRACT TYPE: EPC US$540m UREA DEBOTTLENECKING & GRANULATION PLANT SHUAIBA (KUWAIT) CLIENT: P.I.C. FERTILIZER COMPLEX PROJECT CONTRACT TYPE: EPC US$100m AL-JUBAIL (KINGDOM OF SAUDI ARABIA) CLIENT: SAFCO CONTRACT TYPE: EPC US$350m
22 MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 UNDER REALIZATION PROJECT COMPLETED PROJECT STAMICARBON LICENSES: OVER 240 WORLDWIDE FLAGSHIP PROJECTS
Polyolefins Gas Treatment
BOROUGE 3, ABU DHABI, UAE HABSHAN 5, ABU DHABI, UAE
Refinery Fertilizers
ROG PROJECT, ANTWERP, BELGIUM IOWA FERTILIZER COMPANY, IOWA, USA
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 23 2017 FLAGSHIP PROJECT: THE AMURSKI GAS PROCESSING PLANT
Project Overview
• Country: Russia • Ultimate Client: Gazprom Group through JSC NIPIgaspererabotka • Overall Value: €3.9bn • Scope of Work: EPC of “Package number 3” (Utilities, Infrastructure and Offsites facilities) of the Amurski Gas Processing Plant
Key Characteristics Source: Gazprom • Largest contract ever to be awarded to our Group • One of the largest gas processing plant in the world: feed gas capacity of 42 billion cubic meters of natural gas per year • Part of Gazprom’s strategic plan to supply Russian natural gas to China • First milestone of a large industrial development, including investments in downstream petrochemicals • Consortium with Sinopec Engineering Group • Two phases: Lump Sum Engineering and Procurement (€1.7bn) and Reimbursable Construction (€2.2bn) • Expected completion in 2023 • Consolidation of the Group’s long-lasting presence in the Russian Federation
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 24 ORDER INTAKE
€ billion
Average = 3.0
4.0 3.2 2.8
1.8
FY 2014 FY 2015 FY 2016 9M 2017
Strong Order Intake Driven by Tech Leadership and Favorable Industry Dynamics MAIRE MAIRE TECNIMONT – RESULTS FINANCIAL 2017 9M
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 25 BACKLOG
Backlog by Business Unit (€m, 31/3-30/9/17) Backlog by Geography (Sep. 2017)
8,601 423 7,633 Africa 2% Others 376 9% 5,827 Asia 434 8% 8,178 7,257 21% 60% 5,393
Middle East Europe 31/3/17 30/6/17 30/9/17
TE&C& Infrastructure
Solid and Diversified Backlog
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 26 MAIRE TECNIMONT’S BACKLOG VS. WTI OIL PRICE*
Backlog WTI 250
200
150
100
50
0 6/30/2014 12/31/2014 6/30/2015 12/31/2015 6/30/2016 12/31/2016 6/30/20179/30/2017
* Relative scale. 30 June 2014 = 100
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 27 BACKLOG ANALYSIS – TE &C BUSINESS UNIT
Backlog by Type (€m, 30/6-30/9/17) Book to Bill Ratio* (31/3-30/9/17)
8,178
7,257
7,547 2.9 6,693 2.3 2.1
546 467 85 97 30/6/17 30/9/17 31/3/17 30/6/17 30/9/17 E EP EPC Good mix between E, EP, and EPC Excellent cover for future revenues
*Defined as the ratio between Backlog and LTM Revenues *Defined as the ratio between Backlog and LTM Revenues
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 28 OUTLOOK ON COMMERCIAL ACTIVITY (TE &C)
Commercial Pipeline (€bn, Mar ’17-Sep ‘17)
37.2 39.2 35.2 6.5 9.5 9.0 7.2 5.8 6.2
23.5 23.9 20.0
Mar '17 Jun'17 Sep'17
Prospect, Prequalification & Pre-Tendering Tendering Tendered
Our Pipeline is the Highest Ever
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 29 COMMERCIAL ACTIVITY’S GEOGRAPHICAL BREAKDOWN (TE &C)*
C.I.S. FERTILIZER €8.7bn POLYOLEFIN GAS TREATMENT Europe REFINERY POLYOLEFIN €1.6bn REFINERY
North and Central Asia America FERTILIZER €2.0bn POLYOLEFIN POLYOLEFIN GAS TREATMENT
€7.1bn
Middle East FERTILIZER €6.6bn POLYOLEFIN GAS TREATMENT REFINERY
South America GAS TREATMENT €3.0bn POLYOLEFIN Africa FERTILIZER €10.2bn POLYOLEFIN GAS TREATMENT REFINERY
New Contracts Expected, Driven by Significant Commercial Efforts
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 30 *Figures include prospect prequalification and pre-tendering, tendering, and tendered SUMMARY
1. Group Overview 2. Strategy and Competitive Positioning 3. Operations and Commercial Activity 4. Financial Data 5. Conclusions CONSOLIDATED INCOME STATEMENT & BALANCE SHEET
INCOME STATEMENT
€m 2014 2015 2016 9M 2017 • Revenues’ • Growth in revenues driven Revenues 1,583.2 1,669.6 2,435.4 2,588.4 by execution of record- EBITDA 126.9 130.8 160.0 143.3 level backlog EBITDA % 8.0% 7.8% 6.6% 5.5% • Steady growth in EBITDA EBIT 103.4 115.4 152.6 136.7 and Net Income Net Income 50.3 (1) 43.8 (1) 85.3 98.4 • EBITDA marginality reflects changing backlog mix
BALANCE SHEET
€masof Dec 14 Dec 15 Dec 16 Sep17
• Strong growth in Net Invested Capital (Asset) (458.7) (251.8) (227.5) (282.2) Shareholders’ equity driven Net Cash (365.0) (125.6) (42.8) 16.6 by positive results
Total Shareholders' Equity 93.7 126.2 184.7 298.8 • Net cash positive in September 2017 for the Group Shareholders' Equity 92.2 124.9 169.6 277.9 first time since Q3 2011
(1) Restated Net Income in 2014 and 2015 with average effective tax rate of 37% would be €38.7m and €48.9m respectively MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 32 CASH FLOW BRIDGE
Cash Flow Bridge, 2017 (€m)
9.8 15.1
35.2
89.3 16.6
42.8
Net Debt Operating Cash Net Financial Capex Dividends and Net Cash Dec 2016 Flows and Forex Income Treasury Shares Sep 2017
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 33 SPREAD OF BANK DEBT REFINANCINGS, 2013-2017
Spread (bps) 600
500
400
300 540
200 395
250 100 195
0 May 2013 Apr 2015 Dec 2015 Apr-17 Refinancing Date May 2013 Apr 2015 Dec 2015 Apr 2017 Amount (€m) €350 €320 €350 €350 Final Maturity 12/2017 2018-2019 12/2020 3/2022
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 We Have Reduced our Bank Debt Spread by over 60% since 2013 34 SUMMARY
1. Group Overview 2. Strategy and Competitive Positioning 3. Operations and Commercial Activity 4. Financial Data 5. Conclusions CONCLUSIONS
• Leading worldwide engineering contractor focusing on Oil &Gas, Petrochemicals and Fertilizers − Providing Technological Solutions throughout the entire EPC Value Chain
• Entirely focused on Gas Treatment, Downstream and Onshore
• Flexible business model
• Global approach with focus on specific geographies
MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017 36 Maire Tecnimont Group’s Headquarters
Via Gaetano De Castillia, 6A 20124 Milan [email protected]
Investor Relations T +39 02 6313-7823 F +39 02 6313-7337 02 6313-7823 [email protected]
www.mairetecnimont.com MAIRE MAIRE TECNIMONT GROUP OVERVIEW – NOVEMBER 2017