|
PARIS--(BUSINESS WIRE)--
Regulatory News:
Technip (TEC.PA) (ISIN:FR0000131708) (TKPPY):
On February 17, 2015, Technip’s Board of Directors approved the full
year 2014 consolidated financial statements.
Note: In 2014, Technip applied for the first time inter alia IFRS 11
– Joint Arrangements. In its full year financial statements, Technip has
incorporated the most recent interpretation of the guidelines concerning
this standard issued by IFRIC in which all single project joint
arrangements structured through incorporated entities can be only
accounted as joint ventures. Technip will continue to report and provide
forward looking information on an adjusted basis corresponding to its
previous framework in order to ensure consistency and comparability
between periods and projects, and to share with all market participants
the financial reporting framework used for management purposes.
The full year adjusted financial statements (those generally referred
to in this press release) can be found in Annex I to III. The IFRS
consolidated financial statements and a reconciliation to the adjusted
basis can be found in annex V.
|
€ million (except Dividend)
|
|
|
4Q 13
|
|
4Q 14
|
|
Change
|
|
FY 13
|
|
FY 14
|
|
Change
|
|
Adjusted Revenue
|
|
|
2,476.3
|
|
2,815.9
|
|
13.7%
|
|
9,285.1
|
|
10,724.5
|
|
15.5%
|
|
Adjusted EBITDA4 |
|
|
264.6
|
|
319.2
|
|
20.6%
|
|
1,052.3
|
|
1,107.9
|
|
5.3%
|
|
Adjusted EBITDA Margin
|
|
|
10.7%
|
|
11.3%
|
|
65bp
|
|
11.3%
|
|
10.3%
|
|
(100)bp
|
|
Adjusted OIFRA2 |
|
|
203.7
|
|
223.2
|
|
9.6%
|
|
834.5
|
|
824.6
|
|
(1.2)%
|
|
Adjusted Operating Margin5 |
|
|
8.2%
|
|
7.9%
|
|
(30)bp
|
|
9.0%
|
|
7.7%
|
|
(130)bp
|
|
Adjusted Underlying Net Income3 |
|
|
134.5
|
|
172.1
|
|
28.0%
|
|
563.1
|
|
564.4
|
|
0.2%
|
|
Adjusted Non-Current Items
|
|
|
-
|
|
(92.0)
|
|
nm
|
|
-
|
|
(127.8)
|
|
nm
|
|
Adjusted Net Income of the Parent Company
|
|
|
134.5
|
|
80.1
|
|
(40.4)%
|
|
563.1
|
|
436.6
|
|
(22.5)%
|
|
Net Income of the Parent Company
|
|
|
134.5
|
|
80.1
|
|
(40.4)%
|
|
563.1
|
|
436.6
|
|
(22.5)%
|
|
Dividend proposed per Share1 (€)
|
|
|
1.85
|
|
2.00
|
|
8%
|
|
|
|
|
|
|
|
Order Intake
|
|
|
3,226
|
|
3,227
|
|
|
|
11,124
|
|
15,296
|
|
|
|
Backlog
|
|
|
15,475
|
|
20,936
|
|
|
|
15,475
|
|
20,936
|
|
|
1 Recommendation of Technip’s Board of Directors to be
approved during the Annual General Shareholders’ Meeting (AGM) on April
23, 2015.
2 Adjusted operating income from recurring
activities after Income/(Loss) of Equity Affiliates.
3
Adjusted Net Income of the Parent Company before Non-Current Items.
4
Adjusted operating income from recurring activities after Income/(Loss)
of Equity Affiliates before depreciation and amortization.
5
Adjusted operating income from recurring activities after Income/(Loss)
of Equity Affiliates, divided by adjusted revenue.
Thierry Pilenko, Chairman and CEO, commented: “Technip starts
2015 in a strong position. During 2014, Technip won a record amount of
new work with order intake of €15.3 billion resulting in a €21 billion
backlog of high quality and diversified projects. Our adjusted revenue
grew 16% and adjusted operating profit reached €825 million with
particularly strong performance in the technology, services and
equipment parts of our business. All our employees focused hard on our
quality and our safety programs in 2014, with clear improvements in both
areas.
Subsea delivered ahead of expectations. Operational performance was
strong across all regions and we showed flexibility to adapt to client
demands. With an adjusted operating margin of 15.3% in the fourth
quarter we delivered 13% for the full year 2014, well ahead of the 12%
floor set over a year ago. Onshore/Offshore delivered adjusted revenue
higher than expected – up 12% year-on-year. Operationally, as we
indicated it would be in July, conditions were challenging in a number
of respects, reflected in a fall in full year adjusted OIFRA to €276
million.
In our market commentary in July 2014 we identified significant
headwinds in the oil and gas services business – client capex discipline
and increasing aggressiveness in negotiating value changes and claims on
projects as well as irrational bidding behaviour from some competitors.
Since then the oil price fall has added to these concerns and our
clients are putting increasing pressure on their supply chains. This
implies a prolonged, harsh slowdown in many parts of our industry.
Our reaction has been strong and rapid on the elements under our
control. We brought down our SG&A expenses by €69 million in 2014,
including €27 million in the fourth quarter. Our total headcount has
fallen from close to 40,000 at its peak in the second quarter 2014 to
38,200 at year end. We have exited four non-core activities over the
year. Our fleet has been substantially reduced to a total of 27
high-performance vessels, setting a strong basis to improve utilization
and operational performance. Our cost reduction and efficiency plans are
in place to sustain our performance in 2015.
Our record level of backlog enabled us to reinforce our bidding
discipline, focusing on projects where our particular value-added for
our clients enables us to earn an appropriate return at acceptable risk:
despite the difficult markets, we see continued order intake
opportunities in many of our businesses.
We invested and recruited in 2014 selectively. In technology, we
acquired the Zimmer polymer business at year-end. In equipment, we
launched an upgrade of FlexiFrance manufacturing plant following the
completion of investments in umbilicals in the UK and flexibles at Açu
in Brazil whose performance was excellent in the second half of the
year. We will continue our capex discipline: our net capex was €314
million in 2014, and is expected to fall in 2015 and 2016. Regarding our
talent, we continued to develop them and add specific skills in our
engineering teams and to view the current market as an opportunity to
hire additional exceptional people into Technip.
Regardless of the oil price level, our clients have stressed their need
to improve the design and running costs of their facilities. Technip has
the conceptual engineering skills and innovative technology which can
enable them to improve substantially the returns on their projects,
including in deep offshore or frontier areas. Where we have had early
engagement with our clients, they have seen our ability to deliver
substantial optimization. We will continue to add expertise to broaden
our position as a valued partner for our client base, in particular by
working more closely with partners in adjacent areas of Subsea.
For 2015, based on our record €21 billion backlog, we are able to give
clear guidance for revenue and profit growth and our main focus will
again be on delivering our projects in line with our clients’
expectations. We are not only managing our own costs but our clients
increasingly see our range of technologies, services, products and
project experience as compelling in managing their project costs too.
With all of this in mind, combined with Technip’s robust balance sheet,
we maintain our progressive dividend policy and propose an 8% increase
with a scrip alternative, reflecting our confidence in our ability to
create value in the coming years for all our stakeholders.”
I. ORDER INTAKE AND BACKLOG
1. Fourth Quarter 2014 Order Intake
During fourth quarter 2014, Technip’s order intake was €3.2
billion. The breakdown by business segment was as follows:
|
Order Intake (€ million)
|
|
|
4Q 2013
|
|
|
4Q 2014
|
|
Subsea
|
|
|
1,639
|
|
|
1,271
|
|
Onshore/Offshore
|
|
|
1,587
|
|
|
1,956
|
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Total
|
|
|
3,226
|
|
|
3,227
|
|
|
|
|
|
|
|
|
Subsea order intake comprised a contract for pre-salt
developments in Brazil to supply flexible pipes totaling 114 kilometers
for the Iracema North field to be produced in our Vitoria and Açu
manufacturing plants.
In the US Gulf of Mexico, a contract was awarded for the K2 field that
includes the design, fabrication and installation of subsea equipment
and flowlines using the Deep Blue.
In the North Sea, Technip was awarded an important contract for the
Gullfaks Rimfaksdalen (GRD) project that comprises the fabrication and
installation of subsea equipments such as approximately 9.5 kilometers
of pipe-in-pipe flowline, to be welded at our spoolbase in Orkanger,
Norway, and installed by the Apache II. Technip also signed a
substantial contract for the development of the Glenlivet field covering
the fabrication and installation of production pipeline and steel tube
umbilicals, to be fabricated respectively at our umbilicals facility in
Newcastle, UK, and at our spoolbase in Evanton, UK.
Onshore/Offshore order intake included in particular a contract
to provide engineering, procurement, and construction management (EP&Cm)
for a world-scale ethane cracker and derivative complex near Lake
Charles, Louisiana, in the USA. This award follows Technip’s selection
to provide engineering and procurement for eight proprietary Ultra
Selective Conversion (USC ®) furnaces.
In Slovakia, a substantial contract was awarded to develop the
engineering, procurement and construction of a new ammonia production
unit in an existing fertilizer complex in Sal’a.
In India, a contract was awarded to build a 6 million standard cubic
meters-per-day (MMSCMD) onshore oil and gas terminal, which will be a
critical component of the existing facilities of the Integrated
Development of Vashishta (VA) & S1 fields.
Technip was awarded two contracts for its Stone & Webster Process
Technology activities: one in China, to provide the Badger technology,
engineering, and selected critical equipment and technical services for
an ethylbenzene styrene monomer plant in Qingdao; and a second one in
Louisiana, to provide detailed engineering and procurement services to
expand the recovery section of an ethylene plant.
In Abu Dhabi, Technip also won a contract for Project Management
Consultancy (PMC) services for the Nasr Phase II Full Field Development
project.
Listed in annex IV (b) are the main contracts announced since October
2014 and their approximate value if publicly disclosed.
2. Backlog by Geographic Area
At the end of fourth quarter 2014, Technip’s backlog was €20.9
billion, compared with €19.3 billion at the end of third quarter 2014
and €15.5 billion at the end of fourth quarter 2013. The increase
reflects the strong order intake as well as currency movements.
The geographic split of the backlog is set out in the table below:
|
Backlog1 (€ million)
|
|
|
September 30, 2014
|
|
|
December 31, 2014
|
|
|
Change
|
|
Europe, Russia, Central Asia
|
|
|
7,708
|
|
|
8,724
|
|
|
13.2%
|
|
Africa
|
|
|
4,529
|
|
|
4,415
|
|
|
(2.5)%
|
|
Middle East
|
|
|
1,060
|
|
|
1,259
|
|
|
18.8%
|
|
Asia Pacific
|
|
|
2,522
|
|
|
2,612
|
|
|
3.6%
|
|
Americas
|
|
|
3,487
|
|
|
3,926
|
|
|
12.6%
|
|
Total
|
|
|
19,306
|
|
|
20,936
|
|
|
8.4%
|
1 Backlog and order intake include all projects whose
revenues are consolidated in our adjusted financial statements.
3. Backlog Scheduling
An estimated 50% of the backlog is scheduled for execution in 2015.
|
Estimated Scheduling
as of
December 31, 2014 (€ million)
|
|
|
Subsea
|
|
|
Onshore/Offshore
|
|
|
Group
|
|
2015
|
|
|
4,888
|
|
|
5,327
|
|
|
10,215
|
|
2016
|
|
|
2,857
|
|
|
3,612
|
|
|
6,469
|
|
2017 and beyond
|
|
|
1,983
|
|
|
2,269
|
|
|
4,252
|
|
Total
|
|
|
9,728
|
|
|
11,208
|
|
|
20,936
|
|
|
|
|
|
|
|
|
|
|
|
II. FOURTH QUARTER 2014 OPERATIONAL & FINANCIAL HIGHLIGHTS – ADJUSTED
BASIS
1. Subsea
Subsea had a substantial improvement year-on-year in activity,
leading to sharply higher adjusted revenue and profit. Main operations
for the quarter were as follows:
-
In the Americas:
-
In the US Gulf of Mexico, the Deep Blue was mobilized on
the Delta House project for its third and fourth installation
trips. Welding activities on the Stones and Julia projects moved
forward at our Mobile spoolbase, while engineering and procurement
activities ramped up on Kodiak.
-
In Brazil, production continued for the flexible pipes
dedicated to the Iracema Sul, Sapinhoá & Lula Nordeste and
Sapinhoá Norte pre-salt fields at our manufacturing plants at
Vitoria and Açu.
-
In the North Sea, the Deep Energy completed its installation of
production flowlines on Quad 204 in Scotland, before being mobilized
for the Alder pipelay campaign, while the North Sea Giant successfully
completed its installation of the last eight rigid spools on the
Åsgard Subsea Compression project in Norway. The Skandi Arctic was
mobilized on Bøyla in Norway.
-
In West Africa, the Deep Pioneer finished the installation of
flexible pipes for the Block 15/06 development in Angola and was then
mobilized on GirRi Phase 2. Engineering and procurement phases moved
forward on other large projects, including Moho Nord in Congo, T.E.N.
in Ghana, and Kaombo in Angola.
-
In Asia Pacific, engineering and procurement activities moved
forward for the subsea scopes of the Malikai and Prelude projects, in
Malaysia and Australia respectively. Manufacturing of flexible pipes
at our Asiaflex plant included work for the Jangkrik and Bangka
projects in Indonesia.
-
In the Middle East, the Jalilah B project progressed towards
completion in the United Arab Emirates.
Overall, the Group vessel utilization rate for the fourth quarter
of 2014 was 74%, compared with 69% for the fourth quarter 2013, and 86%
for the third quarter of 2014.
Subsea financial performance is set out in the following table:
|
€ million
|
|
|
4Q 2013
|
|
|
4Q 2014
|
|
|
Change
|
|
Subsea
|
|
|
|
|
|
|
|
|
|
|
Adjusted Revenue
|
|
|
962.7
|
|
|
1,290.3
|
|
|
34.0%
|
|
Adjusted EBITDA
|
|
|
176.9
|
|
|
285.7
|
|
|
61.5%
|
|
Adjusted EBITDA Margin
|
|
|
18.4%
|
|
|
22.1%
|
|
|
377bp
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
126.9
|
|
|
197.9
|
|
|
55.9%
|
|
Adjusted Operating Margin
|
|
|
13.2%
|
|
|
15.3%
|
|
|
216bp
|
|
|
|
|
|
|
|
|
|
|
|
2. Onshore/Offshore
Onshore/Offshore performance was impacted by a number of
operational factors, including client behaviour and lower activity on
later-stage projects compared to higher activity on early stage
projects. The sales were flat and profit down year-on-year. Main
operations for the quarter were as follows:
-
In the Middle East,construction continued on the
Halobutyl elastomer facility in Saudi Arabia. In Abu Dhabi,
engineering and procurement phases progressed on the Umm Lulu complex.
Fabrication of the FMB platform for Qatar continued.
-
In Asia Pacific,construction of the Petronas FLNG 1 and
Prelude FLNG continued in Korea, while construction of the SK316
platforms progressed in Malaysia. Engineering and procurement
activities moved forward on the Maharaja Lela & Jamalulalam South gas
development in Brunei, and on the Mangalore purified terephthalic acid
(PTA) plant in India.
-
In the Americas, engineering and procurement activities
progressed for the CPChem polyethylene plants in Texas, while
construction continued on the Ethylene XXI petrochemical complex in
Mexico. The Heidelberg Spar hull has been handed over to the client in
the US Gulf of Mexico. Meanwhile, engineering and procurement
ramped-up on the Juniper project in Trinidad and Tobago.
-
Elsewhere, engineering and procurement phases continued to ramp
up on the Yamal LNG project and construction of the modules began at
all of the yards. Preparation and piling resumed at the Sabetta site
in Russia.
Onshore/Offshore financial performance is set out in the
following table:
|
€ million
|
|
|
4Q 2013
|
|
|
4Q 2014
|
|
|
Change
|
|
Onshore/Offshore
|
|
|
|
|
|
|
|
|
|
|
Adjusted Revenue
|
|
|
1,513.6
|
|
|
1,525.6
|
|
|
0.8%
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
101.5
|
|
|
47.9
|
|
|
(52.8)%
|
|
Adjusted Operating Margin
|
|
|
6.7%
|
|
|
3.1%
|
|
|
(357)bp
|
|
|
|
|
|
|
|
|
|
|
|
3. Group
The Group’s adjusted Operating Income From Recurring Activities after
Income/(Loss) of Equity Affiliates, including Corporate charges of
€23 million, is set out in the following table:
|
€ million
|
|
|
4Q 2013
|
|
|
4Q 2014
|
|
|
Change
|
|
Group
|
|
|
|
|
|
|
|
|
|
|
Adjusted Revenue
|
|
|
2,476.3
|
|
|
2,815.9
|
|
|
13.7%
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
203.7
|
|
|
223.2
|
|
|
9.6%
|
|
Adjusted Operating Margin
|
|
|
8.2%
|
|
|
7.9%
|
|
|
(30)bp
|
|
|
|
|
|
|
|
|
|
|
|
In the fourth quarter of 2014, compared to a year ago, the estimated
translation impact from foreign exchange was positive €80 million
on adjusted revenue and positive €5 million on adjusted operating income
from recurring activities after income/(loss) of equity affiliates.
4. Adjusted Non-Current Items and Group Net Income
Adjusted non-current operating items of €(33.3) million were booked in
the quarter, reflecting mainly the closure of Technip Offshore Wind and
restructuring costs. Adjusted Operating income including
non-current items was €190 million in the fourth quarter 2014, versus
€204 million a year ago.
Adjusted financial result in the fourth quarter of 2014 included
€17.7 million of interest expense on long-term debt and a €22.1 million
positive impact from changes in foreign exchange rates and fair market
value of hedging instruments (compared with a €26.1 million negative
impact in the fourth quarter of 2013). In addition, a non-current charge
of €68.0 million was taken in the quarter against our investment in MHB.
The variation in Diluted Number of Shares is mainly due to
performance shares granted to Technip employees, offset by share
repurchases.
|
€ million (except Diluted Earnings per Share and Diluted Number of
Shares)
|
|
|
4Q 2013
|
|
|
4Q 2014
|
|
|
Change
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
203.7
|
|
|
223.2
|
|
|
9.6%
|
|
Adjusted Non-Current Operating Result
|
|
|
-
|
|
|
(33.3)
|
|
|
nm
|
|
Adjusted Financial Result
|
|
|
(34.2)
|
|
|
(67.7)
|
|
|
98.0%
|
|
Adjusted Income Tax Expense
|
|
|
(31.3)
|
|
|
(39.2)
|
|
|
25.2%
|
|
Adjusted Effective Tax Rate
|
|
|
18.5%
|
|
|
32.1%
|
|
|
nm
|
|
Adjusted Non-Controlling Interests
|
|
|
(3.7)
|
|
|
(2.9)
|
|
|
(21.6)%
|
|
Adjusted Net Income of the Parent Company
|
|
|
134.5
|
|
|
80.1
|
|
|
(40.4)%
|
|
Net Income of the Parent Company
|
|
|
134.5
|
|
|
80.1
|
|
|
(40.4)%
|
|
Diluted Number of Shares
|
|
|
125,993,971
|
|
|
124,725,767
|
|
|
(1.0)%
|
|
Diluted Earnings per Share1 (€)
|
|
|
1.11
|
|
|
0.68
|
|
|
(38.4)%
|
1As per IFRS, diluted earnings per share are calculated by
dividing profit or loss attributable to the Parent Company’s
Shareholders, restated for financial interest related to dilutive
potential ordinary shares, by the weighted average number of outstanding
shares during the period, plus the effect of dilutive potential ordinary
shares related to the convertible bonds, dilutive stock options and
performance shares calculated according to the “Share Purchase Method”
(IFRS 2), less treasury shares. In conformity with this method,
anti-dilutive stock options are ignored in calculating EPS. Dilutive
options are taken into account if the subscription price of the stock
options plus the future IFRS 2 charge (i.e. the sum of annual charge to
be recorded until the end of the stock option plan) is lower than the
average market share price during the period.
5. Adjusted Cash Flow and Statement of Consolidated Financial Position
As of December 31, 2014 the adjusted net cash position2
was €1,125 million compared with €747 million as of September 30, 2014.
|
Adjusted Cash3 as of September 30, 2014
|
|
|
3,385.0
|
|
Adjusted Cash Generated from/(used in) Operating Activities
|
|
|
458.1
|
|
Adjusted Cash Generated from/(used in) Investing Activities
|
|
|
(110.2)
|
|
Adjusted Cash Generated from/(used in) Financing Activities
|
|
|
(107.8)
|
|
Adjusted FX Impacts
|
|
|
112.3
|
|
Adjusted Cash3 as of December 31, 2014
|
|
|
3,737.4
|
2 The IFRS consolidated financial statements and a
reconciliation to the adjusted basis can be found in Annex V.
3
Cash and cash equivalents, including bank overdrafts.
Adjusted capital expenditures for the fourth quarter 2014
were €113 million, compared to €150 million one year ago.
Adjusted shareholders’ equity of the parent company as of
December 31, 2014, was €4,363 million, compared with €4,157 million as
of December 31, 2013.
III. FULL YEAR 2014 FINANCIAL RESULTS – ADJUSTED BASIS
1. Subsea
Subsea adjusted revenue in 2014 reflected the growth of our backlog,
which has a balanced range of contract sizes from small to major
projects and a mix of deep and shallow water projects across all
regions, in particular in West Africa, Brazil and the North Sea.
Subsea adjusted EBITDA margin was 18.1% in 2014, compared to 18.6% in
2013, and adjusted operating margin was 13.0% in 2014, compared to 14.1%
in 2013, reflecting progress on large projects in their early phases and
a high fleet utilization rate of 80%.
Subsea financial performance is set out in the following table:
|
€ million
|
|
|
FY 2013
|
|
|
FY 2014
|
|
|
Change
|
|
Subsea
|
|
|
|
|
|
|
|
|
|
|
Adjusted Revenue
|
|
|
4,065.0
|
|
|
4,880.4
|
|
|
20.1%
|
|
Adjusted EBITDA
|
|
|
755.1
|
|
|
882.4
|
|
|
16.9%
|
|
Adjusted EBITDA Margin
|
|
|
18.6%
|
|
|
18.1%
|
|
|
(50)bp
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
575.0
|
|
|
635.1
|
|
|
10.5%
|
|
Adjusted Operating Margin
|
|
|
14.1%
|
|
|
13.0%
|
|
|
(113)bp
|
|
|
|
|
|
|
|
|
|
|
|
2. Onshore/Offshore
Onshore/Offshore adjusted revenue in 2014 reflected the growth of our
backlog, progress on diversified projects in all the regions, including
onshore downstream projects in the USA and offshore production facility
projects in the Middle East, in the North Sea and in Asia Pacific a
higher amount of revenue from early stage projects including Yamal and
in general a challenging market environment.
Onshore/Offshore adjusted operating margin accordingly fell to 4.7% in
2014, compared to 6.7% in 2013.
Onshore/Offshore financial performance is set out in the
following table:
|
€ million
|
|
|
FY 2013
|
|
|
FY 2014
|
|
|
Change
|
|
Onshore/Offshore
|
|
|
|
|
|
|
|
|
|
|
Adjusted Revenue
|
|
|
5,220.1
|
|
|
5,844.1
|
|
|
12.0%
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
351.4
|
|
|
276.2
|
|
|
(21.4)%
|
|
Adjusted Operating Margin
|
|
|
6.7%
|
|
|
4.7%
|
|
|
(201)bp
|
|
|
|
|
|
|
|
|
|
|
|
3. Group
The Group’s adjusted Operating Income From Recurring Activities after
Income/(Loss) of Equity Affiliates, including Corporate charges as
detailed in annex I (c), is set out in the following table:
|
€ million
|
|
|
FY 2013
|
|
|
FY 2014
|
|
|
Change
|
|
Group
|
|
|
|
|
|
|
|
|
|
|
Adjusted Revenue
|
|
|
9,285.1
|
|
|
10,724.5
|
|
|
15.5%
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
834.5
|
|
|
824.6
|
|
|
(1.2)%
|
|
Adjusted Operating Margin
|
|
|
9.0%
|
|
|
7.7%
|
|
|
(130)bp
|
|
|
|
|
|
|
|
|
|
|
|
In 2014, the estimated translation impact from foreign exchange
was negative €147 million on adjusted revenue and negative €12 million
on adjusted operating income from recurring activities after
income/(loss) of equity affiliates.
4. Adjusted Non-Current Items and Group Net Income
Adjusted Operating income including non-current items was €751
million in 2014, versus €835 million a year ago. Adjusted non-current
items of €(73.6) million reflect the sales of the India diving business
and of engineering services for buildings and infrastructures (TPS), the
closure of Technip Offshore Wind, and restructuring costs.
Adjusted Financial result in 2014 included €70.5 million
of interest expenses on long-term debt and a €24.3 million positive
impact from changes in foreign exchange rates and fair market value of
hedging instruments (compared with a €33.8 million negative impact in
2013). We also took a non-current charge of €68.0 million against our
investment in MHB.
The variation in Diluted Number of Shares is mainly due to
performance shares granted to Technip employees, offset by share
repurchases.
|
€ million (except Diluted Earnings per Share and Diluted Number of
Shares)
|
|
|
FY 2013
|
|
|
FY 2014
|
|
|
Change
|
|
Adjusted OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
834.5
|
|
|
824.6
|
|
|
(1.2)%
|
|
Adjusted Non-Current Operating Result
|
|
|
-
|
|
|
(73.6)
|
|
|
nm
|
|
Adjusted Financial Result
|
|
|
(78.6)
|
|
|
(128.5)
|
|
|
63.5%
|
|
Adjusted Income Tax Expense
|
|
|
(185.9)
|
|
|
(180.1)
|
|
|
(3.1)%
|
|
Adjusted Effective Tax Rate
|
|
|
24.6%
|
|
|
28.9%
|
|
|
434bp
|
|
Adjusted Non-Controlling Interests
|
|
|
(6.9)
|
|
|
(5.8)
|
|
|
(15.9)%
|
|
Adjusted Net Income of the Parent Company
|
|
|
563.1
|
|
|
436.6
|
|
|
(22.5)%
|
|
Net Income of the Parent Company
|
|
|
563.1
|
|
|
436.6
|
|
|
(22.5)%
|
|
Diluted Number of Shares
|
|
|
124,777,476
|
|
|
125,270,614
|
|
|
0.4%
|
|
Diluted Earnings per Share (€)
|
|
|
4.68
|
|
|
3.65
|
|
|
(22.0)%
|
|
|
|
|
|
|
|
|
|
|
|
5. Adjusted Cash Flow and Statement of Consolidated Financial Position
As of December 31, 2014 our adjusted net cash position1
was €1,125 million compared with €832 million at the end of 2013.
|
Adjusted Cash2 as of December 31, 2013
|
|
|
3,203.0
|
|
Adjusted Cash Generated from/(used in) Operating Activities
|
|
|
867.5
|
|
Adjusted Cash Generated from/(used in) Investing Activities
|
|
|
(385.1)
|
|
Adjusted Cash Generated from/(used in) Financing Activities
|
|
|
(159.4)
|
|
Adjusted FX Impacts
|
|
|
211.4
|
|
Adjusted Cash2 as of December 31, 2014
|
|
|
3,737.4
|
1 The IFRS consolidated financial statements and a
reconciliation to the adjusted basis can be found in Annex V.
2
Cash and cash equivalents, including bank overdrafts
Adjusted capital expenditures in 2014 were €376 million, compared
to €575 million one year ago, showing our effort to optimize our
differentiating assets. We sold older and less versatile vessels to
sustain high-end vessels.
IV. FULL YEAR 2015 OUTLOOK ALIGNED WITH PREVIOUS GUIDANCE
-
Adjusted Subsea revenue between €5.2 billion and €5.5 billion,
adjusted operating income from recurring activities3
between €810 million and €840 million
-
Adjusted Onshore/Offshore revenue around €6 billion, adjusted
operating income from recurring activities3
between €250 million and €290 million
3 Adjusted operating income from recurring activities after
Income/(Loss) of Equity Affiliates.
°
° °
The information package on Fourth Quarter 2014 and Full Year 2014
results includes this press release and the annexes which follow, as
well as the presentation published on Technip’s website: www.technip.com
Audit procedures on the consolidated financial statements are complete.
The audit opinion will be issued once all audit procedures required for
the filing of the Reference Document are finalized.
NOTICE
Today, Wednesday, February 18, 2015, Chairman and CEO Thierry Pilenko,
along with CFO Julian Waldron, will comment on Technip’s results and
answer questions from the financial community during a conference call
in English starting at 9:30 a.m. CET.
To participate in the conference call, you may call any of the following
telephone numbers approximately 5 - 10 minutes prior to the scheduled
start time:
|
France / Continental Europe:
|
|
|
|
+33 (0) 1 70 77 09 40
|
|
UK:
|
|
|
|
+44 (0) 203 367 9453
|
|
USA:
|
|
|
|
+1 866 907 5928
|
|
|
|
|
|
|
The conference call will also be available via a simultaneous,
listen-only audio-cast on Technip’s website.
A replay of this conference call will be available approximately two
hours following the conference call for 90 days on Technip’s website and
for two weeks at the following telephone numbers:
|
|
|
|
|
Telephone Numbers
|
|
|
|
Confirmation Code
|
|
France / Continental Europe:
|
|
|
|
+33 (0) 1 72 00 15 00
|
|
|
|
291628#
|
|
UK:
|
|
|
|
+44 (0) 203 367 9460
|
|
|
|
291628#
|
|
USA:
|
|
|
|
+1 877 642 3018
|
|
|
|
291628#
|
|
|
|
|
|
|
|
|
|
|
Cautionary note regarding forward-looking statements
This press release 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 press release 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.
****
°
° °
Technip is a world leader in project management, engineering and
construction for the energy industry.
From the deepest Subsea oil & gas developments to the largest and most
complex Offshore and Onshore infrastructures, more than 38,000 people
are constantly offering the best solutions and most innovative
technologies to meet the world’s energy challenges.
Present in 48 countries, Technip has state-of-the-art industrial assets
on all continents and operates a fleet of specialized vessels for
pipeline installation and subsea construction.
Technip shares are listed on the Euronext Paris exchange, and its ADR is
traded in the US on the OTCQX marketplace as an American Depositary
Receipt (TKPPY).
|
TEC
LISTED
EURONEXT
ISIN: FR0000131708
|
|
|
|
|
OTCQX
OTC ADR ISIN: US8785462099
OTCQX: TKPPY
|
|
|
|
|
|
|
|
|
ANNEX I (a)
ADJUSTED CONSOLIDATED STATEMENT OF INCOME
|
|
|
|
|
|
|
|
|
|
Fourth Quarter
Not audited
|
|
Full Year
Audited
|
|
€ million (except Diluted Earnings per Share and Diluted Number of
Shares)
|
|
|
2013
|
|
2014
|
|
Change
|
|
20131 |
|
2014
|
|
Change
|
|
Revenue
|
|
|
2,476.3
|
|
2,815.9
|
|
13.7%
|
|
9,285.1
|
|
10,724.5
|
|
15.5%
|
|
Gross Margin
|
|
|
413.6
|
|
392.6
|
|
(5.1)%
|
|
1,605.1
|
|
1,514.2
|
|
(5.7)%
|
|
Research & Development Expenses
|
|
|
(24.4)
|
|
(25.4)
|
|
4.1%
|
|
(75.5)
|
|
(82.6)
|
|
9.4%
|
|
SG&A and Other
|
|
|
(176.4)
|
|
(149.6)
|
|
(15.2)%
|
|
(694.7)
|
|
(625.2)
|
|
(10.0)%
|
|
Share of Income/(Loss) of Equity Affiliates
|
|
|
(9.1)
|
|
5.6
|
|
nm
|
|
(0.4)
|
|
18.2
|
|
nm
|
|
OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
203.7
|
|
223.2
|
|
9.6%
|
|
834.5
|
|
824.6
|
|
(1.2)%
|
|
Non-Current Operating Result
|
|
|
-
|
|
(33.3)
|
|
nm
|
|
-
|
|
(73.6)
|
|
nm
|
|
Operating Income
|
|
|
203.7
|
|
189.9
|
|
(6.8)%
|
|
834.5
|
|
751.0
|
|
(10.0)%
|
|
Financial Result
|
|
|
(34.2)
|
|
(67.7)
|
|
98.0%
|
|
(78.6)
|
|
(128.5)
|
|
63.5%
|
|
Income/(Loss) before Tax
|
|
|
169.5
|
|
122.2
|
|
(27.9)%
|
|
755.9
|
|
622.5
|
|
(17.6)%
|
|
Income Tax Expense
|
|
|
(31.3)
|
|
(39.2)
|
|
25.2%
|
|
(185.9)
|
|
(180.1)
|
|
(3.1)%
|
|
Non-Controlling Interests
|
|
|
(3.7)
|
|
(2.9)
|
|
(21.6)%
|
|
(6.9)
|
|
(5.8)
|
|
(15.9)%
|
|
Net Income/(Loss) of the Parent Company
|
|
|
134.5
|
|
80.1
|
|
(40.4)%
|
|
563.1
|
|
436.6
|
|
(22.5)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Number of Shares
|
|
|
125,993,971
|
|
124,725,767
|
|
(1.0)%
|
|
124,777,476
|
|
125,270,614
|
|
0.4%
|
|
Diluted Earnings per Share (€)
|
|
|
1.11
|
|
0.68
|
|
(38.4)%
|
|
4.68
|
|
3.65
|
|
(22.0)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fourth Quarter
2013
As published
|
|
Full Year
2013
As published1
|
|
€ million (except Diluted Earnings per Share and Diluted Number
of Shares)
|
|
|
|
|
Revenue
|
|
|
2,484.8
|
|
9,336.1
|
|
Gross Margin
|
|
|
408.9
|
|
1,617.4
|
|
Research & Development Expenses
|
|
|
(24.4)
|
|
(75.5)
|
|
SG&A and Other
|
|
|
(177.3)
|
|
(697.4)
|
|
Operating Income from Recurring Activities
|
|
|
207.2
|
|
844.5
|
|
Non-Current Operating Result
|
|
|
-
|
|
-
|
|
Operating Income
|
|
|
207.2
|
|
844.5
|
|
Financial Result
|
|
|
(35.9)
|
|
(84.3)
|
|
Share of Income/(Loss) of Equity Affiliates
|
|
|
0.3
|
|
1.1
|
|
Income/(Loss) before Tax
|
|
|
171.6
|
|
761.3
|
|
Income Tax Expense
|
|
|
(33.4)
|
|
(191.3)
|
|
Non-Controlling Interests
|
|
|
(3.7)
|
|
(6.9)
|
|
Net Income/(Loss) of the Parent Company
|
|
|
134.5
|
|
563.1
|
|
|
|
|
|
|
|
|
Diluted Number of Shares
|
|
|
125,993,971
|
|
124,777,476
|
|
Diluted Earnings per Share (€)
|
|
|
1.11
|
|
4.68
|
|
|
|
|
|
|
|
1 The adjustment elements refer to the proportionate
consolidation of incorporated entities linked to construction projects
in partnership.The joint arrangements, in which the Group is involved
can be mainly divided in two categories: those concluded for the
construction of a specific project and those concluded for the
construction and the operation of vessels, notably the pipelay support
vessels in Brazil (PLSVs). Project execution in partnership is one of
the key elements of Technip business and as a consequence, Technip
decided, for management purposes, to continue to report construction
projects in proportionate consolidation, whatever the legal structuring
of the joint arrangement and whether the legal arrangement includes
incorporated entities containing part or all of the arrangement, and to
share this reporting with all market participants. The pipelay support
vessel entities remain consolidated under equity method, their
management and operation mode answering clearly to the definition of a
joint venture according to IFRS 11.
|
ANNEX I (b)
FOREIGN CURRENCY CONVERSION RATES
|
|
|
|
|
|
|
|
|
|
|
|
Closing Rate as of
|
|
Average Rate of
|
|
|
|
|
Dec. 31, 2013
|
|
Dec. 31, 2014
|
|
4Q 2013
|
|
4Q 2014
|
|
FY 2013
|
|
FY 2014
|
|
USD for 1 EUR
|
|
|
1.38
|
|
1.21
|
|
1.36
|
|
1.25
|
|
1.33
|
|
1.33
|
|
GBP for 1 EUR
|
|
|
0.83
|
|
0.78
|
|
0.84
|
|
0.79
|
|
0.85
|
|
0.81
|
|
BRL for 1 EUR
|
|
|
3.26
|
|
3.22
|
|
3.10
|
|
3.18
|
|
2.87
|
|
3.12
|
|
NOK for 1 EUR
|
|
|
8.36
|
|
9.04
|
|
8.24
|
|
8.60
|
|
7.81
|
|
8.36
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ANNEX I (c)
ADJUSTED ADDITIONAL INFORMATION BY BUSINESS SEGMENT
|
|
|
|
|
|
|
|
|
|
|
|
Fourth Quarter
Not audited
|
|
Full Year
Audited
|
|
€ million
|
|
|
2013
|
|
2014
|
|
Change
|
|
2013
|
|
2014
|
|
Change
|
|
SUBSEA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
962.7
|
|
1,290.3
|
|
34.0%
|
|
4,065.0
|
|
4,880.4
|
|
20.1%
|
|
Gross Margin
|
|
|
221.5
|
|
260.6
|
|
17.7%
|
|
901.3
|
|
898.6
|
|
(0.3)%
|
|
OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
126.9
|
|
197.9
|
|
55.9%
|
|
575.0
|
|
635.1
|
|
10.5%
|
|
Operating Margin
|
|
|
13.2%
|
|
15.3%
|
|
216bp
|
|
14.1%
|
|
13.0%
|
|
(113)bp
|
|
Depreciation and Amortization
|
|
|
(50.0)
|
|
(87.8)
|
|
75.6%
|
|
(180.1)
|
|
(247.3)
|
|
37.3%
|
|
EBITDA
|
|
|
176.9
|
|
285.7
|
|
61.5%
|
|
755.1
|
|
882.4
|
|
16.9%
|
|
EBITDA Margin
|
|
|
18.4%
|
|
22.1%
|
|
377bp
|
|
18.6%
|
|
18.1%
|
|
(50)bp
|
|
ONSHORE/OFFSHORE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
1,513.6
|
|
1,525.6
|
|
0.8%
|
|
5,220.1
|
|
5,844.1
|
|
12.0%
|
|
Gross Margin
|
|
|
192.1
|
|
132.0
|
|
(31.3)%
|
|
703.8
|
|
615.6
|
|
(12.5)%
|
|
OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
101.5
|
|
47.9
|
|
(52.8)%
|
|
351.4
|
|
276.2
|
|
(21.4)%
|
|
Operating Margin
|
|
|
6.7%
|
|
3.1%
|
|
(357)bp
|
|
6.7%
|
|
4.7%
|
|
(201)bp
|
|
Depreciation and Amortization
|
|
|
(10.9)
|
|
(8.2)
|
|
(24.8)%
|
|
(37.7)
|
|
(36.0)
|
|
(4.5)%
|
|
CORPORATE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
(24.7)
|
|
(22.6)
|
|
(8.5)%
|
|
(91.9)
|
|
(86.7)
|
|
(5.7)%
|
|
Depreciation and Amortization
|
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fourth Quarter
|
|
Full Year
|
|
€ million
|
|
|
2013
As published
|
|
2013
As published
|
|
SUBSEA
|
|
|
|
|
|
|
Revenue
|
|
|
963.1
|
|
4,083.0
|
|
Gross Margin
|
|
|
212.6
|
|
903.9
|
|
Operating Income from Recurring Activities
|
|
|
130.0
|
|
584.6
|
|
Operating Margin
|
|
|
13.5%
|
|
14.3%
|
|
Depreciation and Amortization
|
|
|
(53.3)
|
|
(195.0)
|
|
EBITDA
|
|
|
183.3
|
|
779.6
|
|
EBITDA Margin
|
|
|
19.0%
|
|
19.1%
|
|
ONSHORE/OFFSHORE
|
|
|
|
|
|
|
Revenue
|
|
|
1,521.7
|
|
5,253.1
|
|
Gross Margin
|
|
|
196.3
|
|
713.5
|
|
Operating Income from Recurring Activities
|
|
|
101.9
|
|
351.8
|
|
Operating Margin
|
|
|
6.7%
|
|
6.7%
|
|
Depreciation and Amortization
|
|
|
(11.4)
|
|
(38.5)
|
|
CORPORATE
|
|
|
|
|
|
|
Operating Income from Recurring Activities
|
|
|
(24.7)
|
|
(91.9)
|
|
Depreciation and Amortization
|
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
ANNEX I (d)
ADJUSTED REVENUE BY GEOGRAPHICAL AREA
|
|
|
|
|
|
|
|
|
|
|
|
Fourth Quarter
Not audited
|
|
Full Year
Audited
|
|
€ million
|
|
|
2013
|
|
2014
|
|
Change
|
|
2013
|
|
2014
|
|
Change
|
|
Europe, Russia, Central Asia
|
|
|
686.6
|
|
801.7
|
|
16.8%
|
|
2,722.7
|
|
3,348.9
|
|
23.0%
|
|
Africa
|
|
|
280.5
|
|
404.5
|
|
44.2%
|
|
784.5
|
|
1,219.7
|
|
55.5%
|
|
Middle East
|
|
|
244.1
|
|
254.7
|
|
4.3%
|
|
959.9
|
|
1,199.9
|
|
25.0%
|
|
Asia Pacific
|
|
|
573.0
|
|
507.0
|
|
(11.5)%
|
|
1,946.8
|
|
1,962.5
|
|
0.8%
|
|
Americas
|
|
|
692.1
|
|
848.0
|
|
22.5%
|
|
2,871.2
|
|
2,993.5
|
|
4.3%
|
|
TOTAL
|
|
|
2,476.3
|
|
2,815.9
|
|
13.7%
|
|
9,285.1
|
|
10,724.5
|
|
15.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ANNEX II
ADJUSTED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dec. 31, 2013
Audited
|
|
Dec. 31, 2014
Audited
|
|
Dec. 31, 2013
As published
|
|
€ million
|
|
|
|
|
|
Fixed Assets
|
|
|
5,976.9
|
|
6,414.2
|
|
6,136.5
|
|
Deferred Tax Assets
|
|
|
260.1
|
|
391.0
|
|
274.8
|
|
Non-Current Assets
|
|
|
6,237.0
|
|
6,805.2
|
|
6,411.3
|
|
Construction Contracts – Amounts in Assets
|
|
|
405.0
|
|
756.3
|
|
405.0
|
|
Inventories, Trade Receivables and Other
|
|
|
3,172.1
|
|
3,297.0
|
|
3,189.7
|
|
Cash & Cash Equivalents
|
|
|
3,205.4
|
|
3,738.3
|
|
3,241.0
|
|
Current Assets
|
|
|
6,782.5
|
|
7,791.6
|
|
6,835.7
|
|
Assets Classified as Held for Sale
|
|
|
4.0
|
|
3.2
|
|
4.0
|
|
Total Assets
|
|
|
13,023.5
|
|
14,600.0
|
|
13,251.0
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ Equity (Parent Company)
|
|
|
4,156.8
|
|
4,363.4
|
|
4,156.8
|
|
Non-Controlling Interests
|
|
|
17.3
|
|
11.8
|
|
17.3
|
|
Shareholders’ Equity
|
|
|
4,174.1
|
|
4,375.2
|
|
4,174.1
|
|
Non-Current Financial Debts
|
|
|
2,214.3
|
|
2,356.6
|
|
2,403.4
|
|
Non-Current Provisions
|
|
|
261.5
|
|
232.9
|
|
261.8
|
|
Deferred Tax Liabilities and Other Non-Current Liabilities
|
|
|
247.7
|
|
249.1
|
|
254.1
|
|
Non-Current Liabilities
|
|
|
2,723.5
|
|
2,838.6
|
|
2,919.3
|
|
Current Financial Debts
|
|
|
159.5
|
|
256.4
|
|
174.5
|
|
Current Provisions
|
|
|
218.2
|
|
328.3
|
|
220.9
|
|
Construction Contracts – Amounts in Liabilities
|
|
|
1,721.4
|
|
2,258.2
|
|
1,721.4
|
|
Trade Payables & Other
|
|
|
4,026.8
|
|
4,543.3
|
|
4,040.8
|
|
Current Liabilities
|
|
|
6,125.9
|
|
7,386.2
|
|
6,157.6
|
|
Total Shareholders’ Equity & Liabilities
|
|
|
13,023.5
|
|
14,600.0
|
|
13,251.0
|
|
|
|
|
|
|
|
|
|
|
Net Cash Position
|
|
|
831.6
|
|
1,125.3
|
|
663.1
|
|
|
|
|
|
|
|
|
|
|
Adjusted Statement of Changes in Shareholders’ Equity (Parent
Company)
|
|
Audited (€ million):
|
|
Shareholders’ Equity as of December 31, 2013
|
|
|
|
4,156.8
|
|
2014 Net Income
|
|
|
|
436.6
|
|
2014 Other Comprehensive Income
|
|
|
|
(4.4)
|
|
Capital Increase
|
|
|
|
11.7
|
|
Treasury Shares
|
|
|
|
(21.6)
|
|
Dividends Paid
|
|
|
|
(206.5)
|
|
Other
|
|
|
|
(9.2)
|
|
Shareholders’ Equity as of December 31, 2014
|
|
|
|
4,363.4
|
|
|
|
|
|
|
|
ANNEX III (a)
ADJUSTED CONSOLIDATED STATEMENT OF CASH FLOWS
|
|
|
|
|
|
|
|
|
|
Full Year
Audited
|
|
€ million
|
|
|
2013
|
|
2014
|
|
Net Income/(Loss) of the Parent Company
|
|
|
563.1
|
|
|
|
436.6
|
|
|
|
Depreciation & Amortization of Fixed Assets
|
|
|
217.8
|
|
|
|
283.3
|
|
|
|
Stock Options and Performance Share Charges
|
|
|
46.0
|
|
|
|
40.0
|
|
|
|
Non-Current Provisions (including Employee Benefits)
|
|
|
22.9
|
|
|
|
(35.4)
|
|
|
|
Deferred Income Tax
|
|
|
12.1
|
|
|
|
21.4
|
|
|
|
Net (Gains)/Losses on Disposal of Assets and Investments
|
|
|
(18.7)
|
|
|
|
(7.1)
|
|
|
|
Non-Controlling Interests and Other
|
|
|
43.2
|
|
|
|
23.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Generated from/(used in) Operations
|
|
|
886.4
|
|
|
|
762.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in Working Capital Requirements
|
|
|
419.2
|
|
|
|
104.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Generated from/(used in) Operating Activities
|
|
|
|
|
1,305.6
|
|
|
|
867.5
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Expenditures
|
|
|
(575.2)
|
|
|
|
(375.6)
|
|
|
|
Proceeds from Non-Current Asset Disposals
|
|
|
79.3
|
|
|
|
86.0
|
|
|
|
Acquisitions of Financial Assets
|
|
|
-
|
|
|
|
(36.7)
|
|
|
|
Acquisition Costs of Consolidated Companies, Net of Cash acquired
|
|
|
(8.2)
|
|
|
|
(58.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Generated from/(used in) Investing Activities
|
|
|
|
|
(504.1)
|
|
|
|
(385.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Increase/(Decrease) in Borrowings
|
|
|
501.1
|
|
|
|
80.0
|
|
|
|
Capital Increase
|
|
|
25.6
|
|
|
|
11.7
|
|
|
|
Dividends Paid
|
|
|
(186.0)
|
|
|
|
(206.5)
|
|
|
|
Share Buy-Back and Other
|
|
|
(40.0)
|
|
|
|
(44.6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Generated from/(used in) Financing Activities
|
|
|
|
|
300.7
|
|
|
|
(159.4)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Effects of Foreign Exchange Rate Changes
|
|
|
|
|
(138.3)
|
|
|
|
211.4
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Increase/(Decrease) in Cash and Cash Equivalents
|
|
|
|
|
963.9
|
|
|
|
534.4
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank Overdrafts at Period Beginning
|
|
|
(0.3)
|
|
|
|
(2.4)
|
|
|
|
Cash and Cash Equivalents at Period Beginning
|
|
|
2,239.4
|
|
|
|
3,205.4
|
|
|
|
Bank Overdrafts at Period End
|
|
|
(2.4)
|
|
|
|
(0.9)
|
|
|
|
Cash and Cash Equivalents at Period End
|
|
|
3,205.4
|
|
|
|
3,738.3
|
|
|
|
|
|
|
|
|
963.9
|
|
|
|
534.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ANNEX III (b)
ADJUSTED CASH & FINANCIAL DEBTS
|
|
|
|
|
|
|
|
|
|
|
€ million
|
|
|
Dec. 31, 2013
Audited
|
|
Dec. 31, 2014
Audited
|
|
Dec. 31, 2013
As published
|
|
Cash Equivalents
|
|
|
1,562.4
|
|
1,809.4
|
|
1,580.4
|
|
Cash
|
|
|
1,643.0
|
|
1,928.9
|
|
1,660.6
|
|
Cash & Cash Equivalents (A)
|
|
|
3,205.4
|
|
3,738.3
|
|
3,241.0
|
|
Current Financial Debts
|
|
|
159.5
|
|
256.4
|
|
174.5
|
|
Non-Current Financial Debts
|
|
|
2,214.3
|
|
2,356.6
|
|
2,403.4
|
|
Gross Debt (B)
|
|
|
2,373.8
|
|
2,613.0
|
|
2,577.9
|
|
Net Cash Position (A – B)
|
|
|
831.6
|
|
1,125.3
|
|
663.1
|
|
|
|
|
|
|
|
|
|
|
ANNEX IV (a)
BACKLOG BY BUSINESS SEGMENT
|
|
|
|
|
|
|
|
|
|
|
|
|
€ million
|
|
|
As of
Dec. 31, 2013
Audited
|
|
As of
Dec. 31, 2014
Audited
|
|
Change
|
|
As of
Dec. 31, 2013
As published
|
|
Subsea
|
|
|
7,542.7
|
|
9,727.8
|
|
29.0%
|
|
8,642.1
|
|
Onshore/Offshore
|
|
|
7,932.7
|
|
11,208.4
|
|
41.3%
|
|
7,938.9
|
|
Total
|
|
|
15,475.4
|
|
20,936.2
|
|
35.3%
|
|
16,581.0
|
|
|
|
|
|
|
|
|
|
|
|
ANNEX IV (b)
CONTRACT AWARDS
Not audited
The main contracts we announced during fourth quarter 2014 were
the following:
Subsea Segment:
-
Large Engineering, Procurement, Construction and Installation (EPCI)
contract for the Kraken development covering various project
management engineering and installation works, including the
fabrication and pipelay of approximately 50 kilometers of rigid pipe
and the installation of 3 umbilicals totalling 14 kilometers: EnQuest
Britain Limited, Scotland,
-
Substantial contract for the Bangka development located approximately
70 kilometers offshore the province of East Kalimantan covering
engineering, procurement, construction, installation, commissioning
and pre-commissioning of flexibles, umbilical and subsea structures:
Chevron, Rapak PSC area, Indonesia,
-
5-year frame agreement for the supply and installation of flexible
pipes for EPCI or supply-only projects: Petronas Carigali, Malaysia,
-
Contract for the K2 Riser Base Gas Lift project including project
management and engineering; design, fabrication, installation of
pipeline end manifolds and pipeline end termination; and installation
of flowline, jumpers at a water depth of approximately 1,300 meters: Anadarko
Petroleum Corporation, Green Canyon 608, Gulf of Mexico,
-
Contract for the ongoing development of the Iracema North field, which
covers the supply of 114 kilometers of flexible pipes, including gas
lift, gas injection and gas export lines: Petrobras, Santos Basin
pre-salt area, Brazil,
-
Important contract for the Gullfaks Rimfaksdalen Marine Operations
Pipelay and Subsea Installation project. The scope consists of a
subsea tie-back to a new Wye piece on an existing pipeline close to
the Gullfaks A platform: Statoil ASA, Northwest of Bergen, Norway.
Onshore/Offshore Segment:
-
Substantial services contract for engineering, procurement and
construction management of the Utility, Interconnecting and Offsite
(UIO) of the Refinery and Petrochemical Integrated Development (RAPID)
project: Petronas, State of Johor, Malaysia,
-
Contract to provide engineering, procurement, and construction
management (EP&Cm) for a world scale ethane cracker and derivatives
complex: Sasol, Lake Charles, Louisiana, USA,
-
Contract to provide engineering and procurement (EP) for eight
proprietary Ultra Selective Conversion (USC®) furnaces for a
world-scale ethane cracker and derivatives complex: Sasol, Lake
Charles, Louisiana, USA,
-
Contract to supply its proprietary ethylene technology for a
world-class grassroots ethane cracker for the proposed ASCENT
(Appalachian Shale Cracker Enterprise) petrochemical complex:
Odebrecht and Braskem, West Virginia, USA,
-
Contract for Project Management Consultancy services for the Nasr
Phase II Full Field Development project. The scope of work covers the
overall management of the EPC phases under execution in United Arab
Emirates, Singapore and South Korea: Abu Dhabi Marine Operating
Company, United Arab Emirates,
-
Contract to provide detailed engineering and procurement services to
expand the recovery section of Westlake’s Petro 1 ethylene plant at
its complex in Sulphur: Westlake Chemical Corporation, Louisiana,
USA,
-
Contract of approximately €100 million for Engineering, Procurement,
Construction and Commissioning (EPCC) to build a 6 million standard
cubic meters-per-day onshore terminal at Odalarevu in Andhra Pradesh,
as part of the Integrated Development of the Vashishta & S1 fields:
Oil and Natural Gas Corporation Limited, India.
Since December 31, 2014, Technip has also announced the award of
the following contracts, which were included in the backlog as of
December 31, 2014:
Subsea Segment:
-
Substantial contract for the Glenlivet project. This award is an
additional scope of the parallel Edradour Subsea Development located
nearby: Total E&P UK, approximately 75 km North West of Shetlands,
United Kingdom.
Onshore/Offshore Segment:
-
Contract to provide the technology, engineering, selected critical
equipment and technical services for a 500 KTA ethylbenzene styrene
monomer plant to be located in Dongjiakou Port Industrial Zone Park: Qingdao
Soda Ash Industrial New Material & Technology Company, Shandong
Province, People’s Republic of China,
-
Substantial contract to develop the engineering, procurement and
construction of a new ammonia production unit in the existing
fertilizer complex located in Sal’a. The new unit will have a capacity
of 1,600 tons per day of ammonia. It will incorporate the most
advanced engineering and technological solutions for minimum energy
consumption and reduction of pollutants emissions: Duslo a.s,
Slovakia.
Since December 31, 2014, Technip has also announced the
award of the following contracts, which were not included in the
backlog as of December 31, 2014:
Subsea Segment:
-
Two contracts for the Amethyst field. The first includes the detailed
engineering, procurement, fabrication, assembly and testing of a
5-inch production static riser. The second covers the installation of
the pipe as a tieback to the Pompano fixed platform located on
Mississippi Canyon 26, in approximately 395 meters of water depth: Stone
Energy Corporation, Gulf of Mexico.
****
The annex V presents the full year IFRS consolidated financial
statements and a reconciliation to the adjusted basis.
****
|
ANNEX V (a)
CONSOLIDATED STATEMENT OF INCOME
Audited
|
|
|
|
|
|
|
€ million
|
|
|
Full Year
|
|
(Except Diluted Earnings per Share, and Diluted Number of Shares)
|
|
|
2013
IFRS
|
|
2014
IFRS
|
|
Change
|
|
|
Adjustments
|
|
2014
Adjusted
|
|
Revenue
|
|
|
8,847.7
|
|
10,073.9
|
|
13.9%
|
|
|
650.6
|
|
10,724.5
|
|
Gross Margin
|
|
|
1,586.7
|
|
1,467.6
|
|
(7.5)%
|
|
|
46.6
|
|
1,514.2
|
|
Research & Development Expenses
|
|
|
(75.5)
|
|
(82.6)
|
|
9.4%
|
|
|
-
|
|
(82.6)
|
|
SG&A and Other
|
|
|
(694.2)
|
|
(625.1)
|
|
(10.0)%
|
|
|
(0.1)
|
|
(625.2)
|
|
Share of Income/(Loss) of Equity Affiliates
|
|
|
35.2
|
|
40.3
|
|
14.5%
|
|
|
(22.1)
|
|
18.2
|
|
OIFRA after Income/(Loss) of Equity Affiliates
|
|
|
852.2
|
|
800.2
|
|
(6.1)%
|
|
|
24.4
|
|
824.6
|
|
Non-Current Operating Result
|
|
|
-
|
|
(73.6)
|
|
nm
|
|
|
-
|
|
(73.6)
|
|
Operating Income
|
|
|
852.2
|
|
726.6
|
|
(14.7)%
|
|
|
24.4
|
|
751.0
|
|
Financial Result
|
|
|
(81.6)
|
|
(127.3)
|
|
56.0%
|
|
|
(1.2)
|
|
(128.5)
|
|
Income/(Loss) before Tax
|
|
|
770.6
|
|
599.3
|
|
(22.2)%
|
|
|
23.2
|
|
622.5
|
|
Income Tax Expense
|
|
|
(200.6)
|
|
(156.9)
|
|
(21.8)%
|
|
|
(23.2)
|
|
(180.1)
|
|
Non-Controlling Interests
|
|
|
(6.9)
|
|
(5.8)
|
|
(15.9)%
|
|
|
-
|
|
(5.8)
|
|
Net Income/(Loss) of the Parent Company
|
|
|
563.1
|
|
436.6
|
|
(22.5)%
|
|
|
-
|
|
436.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Number of Shares
|
|
|
124,777,476
|
|
125,270,614
|
|
0.4%
|
|
|
|
|
|
|
Diluted Earnings per Share (€)
|
|
|
4.68
|
|
3.65
|
|
(22.0)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ANNEX V (b)
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
Audited
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dec. 31 2013
|
|
Dec. 31 2014
|
|
|
|
Dec. 31 2014
|
|
€ million
|
|
|
IFRS
|
|
IFRS
|
|
Adjustments
|
|
Adjusted
|
|
Fixed Assets
|
|
|
6,038.1
|
|
6,452.5
|
|
(38.3)
|
|
6,414.2
|
|
Deferred Tax Assets
|
|
|
246.6
|
|
366.0
|
|
25.0
|
|
391.0
|
|
Non-Current Assets
|
|
|
6,284.7
|
|
6,818.5
|
|
(13.3)
|
|
6,805.2
|
|
Construction Contracts – Amounts in Assets
|
|
|
383.2
|
|
755.1
|
|
1.2
|
|
756.3
|
|
Inventories, Trade Receivables and Other
|
|
|
3,076.2
|
|
3,157.4
|
|
139.6
|
|
3,297.0
|
|
Cash & Cash Equivalents
|
|
|
2,989.1
|
|
2,685.6
|
|
1,052.7
|
|
3,738.3
|
|
Current Assets
|
|
|
6,448.5
|
|
6,598.1
|
|
1,193.5
|
|
7,791.6
|
|
Assets Classified as Held for Sale
|
|
|
4.0
|
|
3.2
|
|
-
|
|
3.2
|
|
Total Assets
|
|
|
12,737.2
|
|
13,419.8
|
|
1,180.2
|
|
14,600.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ Equity (Parent Company)
|
|
|
4,156.8
|
|
4,363.4
|
|
-
|
|
4,363.4
|
|
Non-Controlling Interests
|
|
|
17.3
|
|
11.8
|
|
-
|
|
11.8
|
|
Shareholders’ Equity
|
|
|
4,174.1
|
|
4,375.2
|
|
-
|
|
4,375.2
|
|
Non-Current Financial Debts
|
|
|
2,214.3
|
|
2,356.6
|
|
-
|
|
2,356.6
|
|
Non-Current Provisions
|
|
|
260.2
|
|
231.6
|
|
1.3
|
|
232.9
|
|
Deferred Tax Liabilities and Other Non-Current Liabilities
|
|
|
252.4
|
|
236.8
|
|
12.3
|
|
249.1
|
|
Non-Current Liabilities
|
|
|
2,726.9
|
|
2,825.0
|
|
13.6
|
|
2,838.6
|
|
Current Financial Debts
|
|
|
159.5
|
|
256.4
|
|
-
|
|
256.4
|
|
Current Provisions
|
|
|
216.2
|
|
326.3
|
|
2.0
|
|
328.3
|
|
Construction Contracts – Amounts in Liabilities
|
|
|
1,499.1
|
|
1,256.1
|
|
1,002.1
|
|
2,258.2
|
|
Trade Payables & Other
|
|
|
3,961.4
|
|
4,380.8
|
|
162.5
|
|
4,543.3
|
|
Current Liabilities
|
|
|
5,836.2
|
|
6,219.6
|
|
1,166.6
|
|
7,386.2
|
|
Total Shareholders’ Equity & Liabilities
|
|
|
12,737.2
|
|
13,419.8
|
|
1,180.2
|
|
14,600.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Statement of Changes in Shareholders’ Equity (Parent Company)
|
|
IFRS, Audited (€ million):
|
|
Shareholders’ Equity as of December 31, 2013
|
|
|
4,156.8
|
|
2014 Net Income
|
|
|
436.6
|
|
2014 Other Comprehensive Income
|
|
|
(4.4)
|
|
Capital Increase
|
|
|
11.7
|
|
Treasury Shares
|
|
|
(21.6)
|
|
Dividends Paid
|
|
|
(206.5)
|
|
Other
|
|
|
(9.2)
|
|
Shareholders’ Equity as of December 31, 2014
|
|
|
4,363.4
|
|
|
|
|
|
|
ANNEX V (c)
CONSOLIDATED STATEMENT OF CASH FLOWS
Audited
|
|
|
|
|
|
|
|
|
|
Full Year
|
|
€ million
|
|
|
2013 IFRS
|
|
2014 IFRS
|
|
Adjustments
|
|
2014 Adjusted
|
|
Net Income/(Loss) of the Parent Company
|
|
|
563.1
|
|
|
|
436.6
|
|
|
|
-
|
|
|
|
436.6
|
|
|
|
Depreciation & Amortization of Fixed Assets
|
|
|
217.8
|
|
|
|
283.3
|
|
|
|
-
|
|
|
|
283.3
|
|
|
|
Stock Options and Performance Share Charges
|
|
|
46.0
|
|
|
|
40.0
|
|
|
|
-
|
|
|
|
40.0
|
|
|
|
Non-Current Provisions (including Employee Benefits)
|
|
|
22.7
|
|
|
|
(35.4)
|
|
|
|
-
|
|
|
|
(35.4)
|
|
|
|
Deferred Income Tax
|
|
|
23.4
|
|
|
|
1.8
|
|
|
|
19.6
|
|
|
|
21.4
|
|
|
|
Net (Gains)/Losses on Disposal of Assets and Investments
|
|
|
(18.7)
|
|
|
|
(7.1)
|
|
|
|
-
|
|
|
|
(7.1)
|
|
|
|
Non-Controlling Interests and Other
|
|
|
4.2
|
|
|
|
3.1
|
|
|
|
20.7
|
|
|
|
23.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Generated from/(used in) Operations
|
|
|
858.5
|
|
|
|
722.3
|
|
|
|
40.3
|
|
|
|
762.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in Working Capital Requirements
|
|
|
282.7
|
|
|
|
(597.3)
|
|
|
|
702.2
|
|
|
|
104.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Generated from/(used in) Operating Activities
|
|
|
|
|
1,141.2
|
|
|
|
125.0
|
|
|
|
742.5
|
|
|
|
867.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Expenditures
|
|
|
(575.2)
|
|
|
|
(375.0)
|
|
|
|
(0.6)
|
|
|
|
(375.6)
|
|
|
|
Proceeds from Non-Current Asset Disposals
|
|
|
79.3
|
|
|
|
85.9
|
|
|
|
0.1
|
|
|
|
86.0
|
|
|
|
Acquisitions of Financial Assets
|
|
|
0.0
|
|
|
|
(36.7)
|
|
|
|
-
|
|
|
|
(36.7)
|
|
|
|
Acquisition Costs of Consolidated Companies, Net of Cash acquired
|
|
|
(8.2)
|
|
|
|
(58.8)
|
|
|
|
-
|
|
|
|
(58.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Generated from/(used in) Investing Activities
|
|
|
|
|
(504.1)
|
|
|
|
(384.6)
|
|
|
|
(0.5)
|
|
|
|
(385.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Increase/(Decrease) in Borrowings
|
|
|
501.1
|
|
|
|
80.0
|
|
|
|
-
|
|
|
|
80.0
|
|
|
|
Capital Increase
|
|
|
25.6
|
|
|
|
11.7
|
|
|
|
-
|
|
|
|
11.7
|
|
|
|
Dividends Paid
|
|
|
(186.0)
|
|
|
|
(206.5)
|
|
|
|
-
|
|
|
|
(206.5)
|
|
|
|
Share Buy-Back & other
|
|
|
(40.0)
|
|
|
|
(44.6)
|
|
|
|
-
|
|
|
|
(44.6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Generated from/(used in) Financing Activities
|
|
|
|
|
300.7
|
|
|
|
(159.4)
|
|
|
|
-
|
|
|
|
(159.4)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Effects of Foreign Exchange Rate Changes
|
|
|
|
|
(130.1)
|
|
|
|
117.0
|
|
|
|
94.4
|
|
|
|
211.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Increase/(Decrease) in Cash and Cash Equivalents
|
|
|
|
|
807.7
|
|
|
|
(302.0)
|
|
|
|
836.4
|
|
|
|
534.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank Overdrafts at Period Beginning
|
|
|
(0.3)
|
|
|
|
(2.4)
|
|
|
|
-
|
|
|
|
(2.4)
|
|
|
|
Cash and Cash Equivalents at Period Beginning
|
|
|
2,179.3
|
|
|
|
2,989.1
|
|
|
|
216.3
|
|
|
|
3,205.4
|
|
|
|
Bank Overdrafts at Period End
|
|
|
(2.4)
|
|
|
|
(0.9)
|
|
|
|
-
|
|
|
|
(0.9)
|
|
|
|
Cash and Cash Equivalents at Period End
|
|
|
2,989.1
|
|
|
|
2,685.6
|
|
|
|
1,052.7
|
|
|
|
3,738.3
|
|
|
|
|
|
|
|
|
807.7
|
|
|
|
(302.0)
|
|
|
|
836.4
|
|
|
|
534.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|