Saipem: Results for the first half of 2017

FinancialSan Donato Milanese

San Donato Milanese, July 25, 2017 - The Board of Directors of Saipem S.p.A., chaired by Paolo Andrea Colombo, yesterday approved the Saipem Group’s consolidated Six-Month Report at June 30, 2017 [1].

Highlights

 Solid operational performance

 Reported results impacted by special items

 Net financial debt in line with expectations

 Backlog declining; good visibility for significant new contracts

 Additional measures to contain costs

 Updated guidance for 2017

Results for the first half of 2017:

 Revenues: €4,590 million (€5,275 million in the first half of 2016), of which €2,327million in the second quarter

 Adjusted EBITDA: €524 million (€669 million in the first half of 2016), of which €268 million in the second quarter

 Adjusted operating profit (EBIT): €260 million (€324 million in the first half of 2016), of which 138 in the second quarter

 Operating profit (EBIT): €124 million (€237 million in the first half of 2016), of which €12 million in the second quarter

 Adjusted net profit: €92 million (€140 million in the first half of 2016), of which €38 million in the second quarter

 Net profit: - €110 million (€53 million in the first half of 2016), of which - €157 million in the second quarter

 Capital expenditure: €147 million (€97 million in the first half of 2016), of which €64 million in the second quarter

 Net debt at June 30, 2017: €1,504 million (€1,450 million at December 31, 2016)

 New contracts: €2,088 million (€3,328 million in the first half of 2016)

 Backlog: €11,717 million (14,219 million at 31 December 2016)

Updated guidance for 2017

 Revenues: ~ €9.5 billion

 EBITDA: ~ €1 billion

 Adjusted net profit: ~ €200 million

 Capital expenditure: < €400 million

 Net debt: ~ €1.4 billion

Stefano Cao, Saipem CEO, commented:

In the first half of 2017, Saipem’s performance was solid from both an operational and management point of view. The rationalization and strengthening of the newly implemented organizational model continued and should lead to greater efficiency and effectiveness, as well as to a further reduction in operational costs. With these actions Saipem will be better positioned to meet the market upturn. Despite the persistence of a difficult market context, the Company has good visibility for significant order acquisitions in the near future.

 

 

[1 ] The Six-month Report has been prepared in compliance with the International Accounting Standard IAS 34 “Interim Financial Reporting” and is subject to a limited audit (near completion). The report is subject to review by the Company’s Statutory Auditors and Independent Auditors.

 

Saipem is one of the world leaders in drilling services, as well as in the engineering, procurement, construction and installation of pipelines and complex projects, onshore and offshore, in the oil & gas market. The company has distinctive competences in operations in harsh environments, remote areas and deepwater. Saipem provides a full range of services with “EPC” and “EPCI” contracts (on a “turn-key” basis) and has distinctive capabilities and unique assets with a high technological content.

Website: www.saipem.com

Switchboard: +39 0244231

 

Media relations

Tel: +39 0244234088

E-mail: media.relations@saipem.com

 

Brunswick Italy press office

Tel: +39 024678752;

E-mail: SAIPEMITALY@BrunswickGroup.com

 

Brunswick Group UK press office

Tel: + 44 020 7404 5959;

E-mail: SAIPEM@BrunswickGroup.com

 

Relations with institutional investors and financial analysts

Tel: +39 0244234653;

Fax: +39 0244254295

E-mail: investor.relations@saipem.com

 

Contact point for retail investors

E-mail: segreteria.societaria@saipem.com

 

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