SAIPEM: Board announces 2014 preliminary consolidated results

San Donato Milanese, February 16, 2015 - Today, the Board of Directors of Saipem S.p.A. reviewed the Saipem Group preliminary consolidated results as at December 31, 2014 (not yet submitted to the Company Statutory Auditors and Independent Auditors), which have been prepared in compliance with the International Financial Reporting Standards (EU approved IFRS). 

Full Year 2014:
• Revenues: €12,873 million, driven by strong contribution from E&C Offshore
• Adjusted EBIT: back to profit at €465 million, including a €130 million write off of pending revenues 
• EBIT: €55 million, impacted by non-cash item of € 410 million in Q4 following impairment test
• Adjusted net profit: €180 million
• Net profit: -€230 million
• Investments: €694 million (€902 million in 2013)
• Net debt reduction for the first time since 2011 to €4,424 million (€4,760 million at December 31, 2013), thanks to improvement in working capital and resolution of some pending revenue negotiations
• Excellent order intake with new contracts worth €17,971 million (€10,062 million in 2013), in line with strict commercial discipline
• Strong backlog of €22,147 million (€17,065 million at December 31, 2013) 
Q4 2014:
• Revenues: €3,398 million  
• Adjusted EBIT: €22 million  
• EBIT: -€388 million;  
• Adjusted net profit: -€32 million
• Net profit: -€442 million  
• New contracts: €2,983 million

Guidance 2015:
• Revenues: between €12 and €13 billion  • EBIT:  between €500 and €700 million  
• Net profit:  between €200 and €300 million  
• Investments: approximately ~€650 million  
• Net debt: <€4 billion

Umberto Vergine, Saipem CEO commented:  
“In 2014 we progressed well in delivering the recovery of Saipem’s business and achieved a number of our goals for this year of transition.  
 The business returned to profitability, we delivered a reduction in net debt for the first time in three years and had a year of excellent order intake. Clearly, Saipem is not immune to the oil price drop which occurred in Q4 and to the deterioration of our industry scenario. This led to an impairment on some assets with an impact on our reported results.  
 The business will continue to face industry headwinds as we move through 2015. The tough market environment may affect the timing of resolution of ongoing negotiations on legacy contracts, the scope of existing projects and the timing of future contract awards.  
 Saipem’s strong and diverse backlog has improved our resilience and we still see significant new opportunities to pursue in line with our commercial strategy. Given this backdrop, we believe 2015 will be another challenging year, but we are confident Saipem is well positioned to continue on its path of recovery”. 


Saipem operates in the Engineering & Construction and Drilling businesses, with a strong bias towards oil & gas-related activities in remote areas and deep-waters. Saipem is a leader in the provision of engineering, procurement, project management and construction services with distinctive capabilities in the design and execution of large-scale offshore and onshore projects, and technological competences such as gas monetization and heavy oil exploitation.

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SAIPEM: Board announces 2014 preliminary consolidated results

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