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United Kingdom
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001-37983
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98-1283037
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(State or other jurisdiction of incorporation)
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(Commission File Number)
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(I.R.S. Employer Identification No.)
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Securities registered pursuant to Section 12(b) of the Act:
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||||
Title of Each Class
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Trading Symbol
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Name of Each Exchange on Which Registered
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Ordinary shares, $1.00 par value per share
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FTI
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New York Stock Exchange
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Securities registered pursuant to Section 12(g) of the Act: None.
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☐
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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☐
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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☐
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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☐
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Item 2.02
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Results of Operations and Financial Condition
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Item 5.02
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Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
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Item 9.01
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Financial Statements and Exhibits
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Exhibit No.
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Description
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99.1
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News Release issued by the Company dated April 22, 2020
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104
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Inline XBRL for the cover page of this Current Report on Form 8-K
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Exhibit Number
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Exhibit Description
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99.1
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104
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Inline XBRL for the cover page of this Current Report on Form 8-K
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TechnipFMC plc
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By: /s/ Maryann T. Mannen
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Dated:
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April 22, 2020
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Name: Maryann T. Mannen
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Title: Executive Vice President and Chief Financial Officer
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•
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Backlog of $22 billion, $5.6 billion in cash and liquidity
|
•
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Cost savings target increased and will now exceed $350 million
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•
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Executive salaries and Directors’ retainer reduced up to 30% through year-end
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•
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Dividend distribution for 2020 reduced by 75% versus the prior year
|
•
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Updated outlook reflects uncertainty related to COVID-19 and customer spend
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•
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U.S. GAAP diluted loss per share was $7.28
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•
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Includes total after-tax charges, net of credits, of $7.17 per diluted share, primarily driven by non-cash impairment charges
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•
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Adjusted diluted loss per share, excluding charges and credits, was $0.11
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•
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Includes foreign exchange losses of $0.10 per diluted share
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•
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Includes expense resulting from increased liability to joint venture partners of $0.08 per diluted share
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Three Months Ended
(In millions, except per share amounts)
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March 31,
2020
|
March 31,
2019
|
Change
|
||
Revenue
|
$3,130.3
|
$2,913.0
|
7.5%
|
||
Net income (loss)
|
$(3,256.1)
|
$20.9
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n/m
|
||
Diluted earnings (loss) per share
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$(7.28)
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$0.05
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n/m
|
||
|
|
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||
Adjusted EBITDA
|
$220.2
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$295.8
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(25.6%)
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||
Adjusted EBITDA margin
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7.0
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%
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10.2
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%
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(320 bps)
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Adjusted net income (loss)
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$(49.1)
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$27.3
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n/m
|
||
Adjusted diluted earnings (loss) per share
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$(0.11)
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$0.06
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n/m
|
||
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||
Inbound orders
|
$2,099.0
|
$6,184.5
|
(66.1%)
|
||
Backlog
|
$21,962.1
|
$17,777.6
|
23.5%
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TechnipFMC.com
|
Page 1 of 28
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•
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Non-cash impairment and other charges totaling $3,159.9 million for goodwill and other assets in the Subsea and Surface Technologies segments;
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•
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Separation costs, restructuring and other charges, purchase price accounting adjustments and a tax benefit from a valuation allowance totaling $40.3 million; and
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•
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Direct COVID-19 expenses totaling $6.8 million. These expenses do not capture the disruption related to overhead absorption, utilization and other operational impacts.
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•
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$43.3 million of foreign exchange losses included in corporate expense, or $0.10 per diluted share on an after-tax basis; and
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•
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$35.5 million of expense resulting from increased liability payable to joint venture partners included in interest expense, or $0.08 per diluted share on an after-tax basis.
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TechnipFMC.com
|
Page 2 of 28
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TechnipFMC.com
|
Page 3 of 28
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Subsea
|
Three Months Ended
(In millions)
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March 31,
2020
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March 31,
2019
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Change
|
||
Revenue
|
$1,253.1
|
$1,185.3
|
5.7%
|
||
Operating profit (loss)
|
$(2,750.7)
|
$49.9
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n/m
|
||
Adjusted EBITDA
|
$104.8
|
$139.7
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(25.0%)
|
||
Adjusted EBITDA margin
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8.4
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%
|
11.8
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%
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(340 bps)
|
|
|
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|
||
Inbound orders
|
$1,172.1
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$2,677.6
|
(56.2%)
|
||
Backlog
|
$7,773.5
|
$7,477.3
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4.0%
|
•
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Goodwill impairment charge of $2,747.5 million due to the decline in the Company’s market capitalization with no further goodwill attributable to the segment; and
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•
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Fixed asset impairment charges totaling $29 million primarily driven by lower projected demand for certain installation and service equipment.
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TechnipFMC.com
|
Page 4 of 28
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•
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BP Atlantis Phase 3 iEPCI™ (Gulf of Mexico)
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•
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ExxonMobil Liza Phase 1 (Guyana)
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•
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Energean Deepwater Well Services (Israel)
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•
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BP Platina iEPCI™ Project (Angola)
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•
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Woodside Lambert Deep and Greater Western Flank iEPCI™ Project (Australia)
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TechnipFMC.com
|
Page 5 of 28
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Subsea
Estimated Backlog Scheduling as of March 31, 2020
(In millions)
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Consolidated backlog1,2
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Non-consolidated backlog3
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2020 (9 months)
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$3,100
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$106
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2021
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$2,800
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$132
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2022 and beyond
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$1,874
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$524
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Total
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$7,774
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$762
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1 Backlog in the period was reduced by a foreign exchange impact of $644 million.
|
||
2 Backlog does not capture all revenue potential for subsea services.
|
||
3 Non-consolidated backlog reflects the proportional share of backlog related to joint ventures that is not consolidated due to our minority ownership position.
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TechnipFMC.com
|
Page 6 of 28
|
Technip Energies
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Three Months Ended
(In millions)
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March 31,
2020
|
March 31,
2019
|
Change
|
||
Revenue
|
$1,547.7
|
$1,335.1
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15.9%
|
||
Operating profit
|
$151.2
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$155.7
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(2.9%)
|
||
Adjusted EBITDA
|
$167.1
|
$194.8
|
(14.2%)
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||
Adjusted EBITDA margin
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10.8
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%
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14.6
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%
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(380 bps)
|
|
|
|
|
||
Inbound orders
|
$560.6
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$3,138.9
|
(82.1%)
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Backlog
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$13,766.6
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$9,862.7
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39.6%
|
•
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ENI Coral South FLNG (Mozambique)
|
•
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Arctic LNG 2 (Russia)
|
•
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Energean Karish FPSO (Israel)
|
•
|
ENOC Refinery (Dubai)
|
•
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ZheJiang Petroleum & Chemical Co. Ethylene Plant (China)
|
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TechnipFMC.com
|
Page 7 of 28
|
•
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Partnership with Neste for future NEXBTL™ technology-based projects
|
•
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Alliance extension with BP Petrochemicals to BP Infinia technology
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TechnipFMC.com
|
Page 8 of 28
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Surface Technologies
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Three Months Ended
(In millions)
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March 31,
2020
|
March 31, 2019
|
Change
|
||
Revenue
|
$329.5
|
$392.6
|
(16.1%)
|
||
Operating profit (loss)
|
$(424.0)
|
$10.5
|
n/m
|
||
Adjusted EBITDA
|
$24.5
|
$30.1
|
(18.6%)
|
||
Adjusted EBITDA margin
|
7.4
|
%
|
7.7
|
%
|
(30 bps)
|
|
|
|
|
||
Inbound orders
|
$366.3
|
$368.0
|
(0.5%)
|
||
Backlog
|
$422.0
|
$437.6
|
(3.6%)
|
•
|
Goodwill impairment charge of $335.9 million due to the decline in the Company’s market capitalization with no further goodwill attributable to the segment; and
|
•
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Fixed asset impairment charges totaling $75.6 million primarily driven by expectations for lower stimulation activity in North America.
|
•
|
ADNOC (United Arab Emirates)
|
•
|
ROSO Technologies (China)
|
|
TechnipFMC.com
|
Page 9 of 28
|
•
|
Dana Petroleum Unity Project (Netherlands)
|
|
TechnipFMC.com
|
Page 10 of 28
|
|
Three Months Ended
|
(In millions)
|
March 31,
2020
|
Corporate expense, reported
|
$112.2
|
Less charges and (credits) [Exhibit 9]
|
$30.7
|
Corporate expense, adjusted
|
$81.5
|
Less foreign exchange losses
|
$43.3
|
Corporate expense, adjusted and excluding foreign exchange losses
|
$38.2
|
|
TechnipFMC.com
|
Page 11 of 28
|
|
TechnipFMC.com
|
Page 12 of 28
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2020 Guidance *Updated April 22, 2020
|
||||
|
||||
Subsea
|
||||
In lieu of specific revenue and EBITDA margin guidance, we provide the following:
|
||||
|
||||
● $3.1 billion of backlog to be converted into revenue for remainder of the year
|
||||
|
||||
● Inbound orders to be down as much as 50% versus 2019
|
||||
|
||||
● Subsea Services revenue to be approximately $1 billion for the full year
|
||||
|
||||
● Installation campaigns extend to 2021; limited flexibility to mitigate near-term costs
|
||||
|
||||
Technip Energies
|
||||
Revenue in a range of $6.3 - 6.8 billion
|
||||
|
||||
EBITDA margin at least 10% (excluding charges and credits)
|
||||
|
||||
Surface Technologies
|
||||
In lieu of specific revenue and EBITDA margin guidance, we provide the following:
|
||||
|
||||
● International market to represent ~60% of revenue mix
|
||||
|
||||
● Vertical integration and technology differentiation benefits internationally
|
||||
|
||||
● Aggressive actions to North America cost base; expect to be modestly profitable
(excluding charges and credits)
|
||||
|
||||
TechnipFMC
|
||||
Corporate expense, net $165 - 175 million for the full year (excluding the impact of foreign currency fluctuations)
|
||||
|
||||
Net interest expense $80 - 90 million for the full year (excluding the impact of revaluation of partners’ mandatorily redeemable financial liability)
|
||||
|
||||
Capital expenditures approximately $300 million for the full year
|
|
TechnipFMC.com
|
Page 13 of 28
|
|
TechnipFMC.com
|
Page 14 of 28
|
•
|
risks associated with disease outbreaks and changes in, and the administration of, treaties, laws, and regulations, including the response to public health issues, such as COVID-19;
|
•
|
risks associated with our ability to consummate our proposed separation and spin-off;
|
•
|
unanticipated changes relating to competitive factors in our industry;
|
•
|
demand for our products and services, which is affected by changes in the price of, and demand for, crude oil and natural gas in domestic and international markets;
|
•
|
our ability to develop and implement new technologies and services, as well as our ability to protect and maintain critical intellectual property assets;
|
•
|
potential liabilities arising out of the installation or use of our products;
|
•
|
cost overruns related to our fixed price contracts or capital asset construction projects that may affect revenues;
|
•
|
our ability to timely deliver our backlog and its effect on our future sales, profitability, and our relationships with our customers;
|
•
|
our reliance on subcontractors, suppliers and joint venture partners in the performance of our contracts;
|
•
|
our ability to hire and retain key personnel;
|
•
|
piracy risks for our maritime employees and assets;
|
•
|
the potential impacts of seasonal and weather conditions;
|
•
|
the cumulative loss of major contracts or alliances;
|
|
TechnipFMC.com
|
Page 15 of 28
|
•
|
U.S. and international laws and regulations, including existing or future environmental regulations, that may increase our costs, limit the demand for our products and services or restrict our operations;
|
•
|
disruptions in the political, regulatory, economic and social conditions of the countries in which we conduct business;
|
•
|
risks associated with The Depository Trust Company and Euroclear for clearance services for shares traded on the NYSE and Euronext Paris, respectively;
|
•
|
the United Kingdom’s withdrawal from the European Union;
|
•
|
risks associated with being an English public limited company, including the need for “distributable profits”, shareholder approval of certain capital structure decisions, and the risk that we may not be able to pay dividends or repurchase shares in accordance with our announced capital allocation plan;
|
•
|
compliance with covenants under our debt instruments and conditions in the credit markets;
|
•
|
downgrade in the ratings of our debt could restrict our ability to access the debt capital markets;
|
•
|
the outcome of uninsured claims and litigation against us;
|
•
|
the risks of currency exchange rate fluctuations associated with our international operations;
|
•
|
risks related to our acquisition and divestiture activities;
|
•
|
failure of our information technology infrastructure or any significant breach of security, including related to cyber attacks, and actual or perceived failure to comply with data security and privacy obligations;
|
•
|
risks associated with tax liabilities, changes in U.S. federal or international tax laws or interpretations to which they are subject; and
|
•
|
such other risk factors as set forth in our filings with the U.S. Securities and Exchange Commission and in our filings with the Autorité des marchés financiers or the U.K. Financial Conduct Authority.
|
|
TechnipFMC.com
|
Page 16 of 28
|
Contacts
Investor relations
Matt Seinsheimer
Vice President Investor Relations
Tel: +1 281 260 3665
Email: Matt Seinsheimer
Phillip Lindsay
Director Investor Relations (Europe)
Tel: +44 (0) 20 3429 3929
Email: Phillip Lindsay
|
Media relations
Christophe Bélorgeot
Senior Vice President Corporate Engagement
Tel: +33 1 47 78 39 92
Email: Christophe Belorgeot
Brooke Robertson
Public Relations Director
Tel: +1 281 591 4108
Email: Brooke Robertson
|
|
TechnipFMC.com
|
Page 17 of 28
|
|
(Unaudited)
|
||||||
|
Three Months Ended
|
||||||
|
March 31,
|
||||||
|
2020
|
|
2019
|
||||
|
|
|
|
||||
Revenue
|
$
|
3,130.3
|
|
|
$
|
2,913.0
|
|
Costs and expenses
|
6,266.3
|
|
|
2,778.2
|
|
||
|
(3,136.0
|
)
|
|
134.8
|
|
||
|
|
|
|
||||
Other (expense) income, net
|
0.3
|
|
|
(12.3
|
)
|
||
|
|
|
|
||||
Income (loss) before net interest expense and income taxes
|
(3,135.7
|
)
|
|
122.5
|
|
||
Net interest expense
|
(72.3
|
)
|
|
(88.2
|
)
|
||
|
|
|
|
||||
Income (loss) before income taxes
|
(3,208.0
|
)
|
|
34.3
|
|
||
Provision (benefit) for income taxes
|
37.7
|
|
|
14.5
|
|
||
|
|
|
|
||||
Net Income (loss)
|
(3,245.7
|
)
|
|
19.8
|
|
||
Net (income) loss attributable to noncontrolling interests
|
(10.4
|
)
|
|
1.1
|
|
||
|
|
|
|
||||
Net income (loss) attributable to TechnipFMC plc
|
$
|
(3,256.1
|
)
|
|
$
|
20.9
|
|
|
|
|
|
||||
Income (loss) per share attributable to TechnipFMC plc:
|
|
|
|
||||
Basic
|
$
|
(7.28
|
)
|
|
$
|
0.05
|
|
Diluted
|
$
|
(7.28
|
)
|
|
$
|
0.05
|
|
|
|
|
|
||||
Weighted average shares outstanding:
|
|
|
|
||||
Basic
|
447.5
|
|
|
450.1
|
|
||
Diluted
|
447.5
|
|
|
453.3
|
|
||
|
|
|
|
||||
Cash dividends declared per share
|
$
|
0.13
|
|
|
$
|
0.13
|
|
|
TechnipFMC.com
|
Page 18 of 28
|
|
(Unaudited)
|
||||||
|
Three Months Ended
|
||||||
|
March 31,
|
||||||
|
2020
|
|
2019
|
||||
Revenue
|
|
|
|
||||
|
|
|
|
||||
Subsea
|
$
|
1,253.1
|
|
|
$
|
1,185.3
|
|
Technip Energies
|
1,547.7
|
|
|
1,335.1
|
|
||
Surface Technologies
|
329.5
|
|
|
392.6
|
|
||
|
$
|
3,130.3
|
|
|
$
|
2,913.0
|
|
|
|
|
|
||||
Income (loss) before income taxes
|
|
|
|
||||
|
|
|
|
||||
Segment operating profit (loss)
|
|
|
|
||||
Subsea
|
$
|
(2,750.7
|
)
|
|
$
|
49.9
|
|
Technip Energies
|
151.2
|
|
|
155.7
|
|
||
Surface Technologies
|
(424.0
|
)
|
|
10.5
|
|
||
Total segment operating profit (loss)
|
(3,023.5
|
)
|
|
216.1
|
|
||
|
|
|
|
||||
Corporate items
|
|
|
|
||||
Corporate expense (1)
|
(112.2
|
)
|
|
(93.6
|
)
|
||
Net interest expense
|
(72.3
|
)
|
|
(88.2
|
)
|
||
Total corporate items
|
(184.5
|
)
|
|
(181.8
|
)
|
||
|
|
|
|
||||
Income (loss) before income taxes (2)
|
$
|
(3,208.0
|
)
|
|
$
|
34.3
|
|
(1)
|
Corporate expense primarily includes corporate staff expenses, legal reserve, share-based compensation expenses, other employee benefits, certain foreign exchange gains and losses, merger transaction integration and separation expenses.
|
(2)
|
Includes amounts attributable to noncontrolling interests.
|
|
TechnipFMC.com
|
Page 19 of 28
|
|
Three Months Ended
|
||||||
Inbound Orders (1)
|
March 31,
|
||||||
|
2020
|
|
2019
|
||||
|
|
|
|
||||
Subsea
|
$
|
1,172.1
|
|
|
$
|
2,677.6
|
|
Technip Energies
|
560.6
|
|
|
3,138.9
|
|
||
Surface Technologies
|
366.3
|
|
|
368.0
|
|
||
Total inbound orders
|
$
|
2,099.0
|
|
|
$
|
6,184.5
|
|
Order Backlog (2)
|
March 31,
|
||||||
|
2020
|
|
2019
|
||||
|
|
|
|
||||
Subsea
|
$
|
7,773.5
|
|
|
$
|
7,477.3
|
|
Technip Energies
|
13,766.6
|
|
|
9,862.7
|
|
||
Surface Technologies
|
422.0
|
|
|
437.6
|
|
||
Total order backlog
|
$
|
21,962.1
|
|
|
$
|
17,777.6
|
|
(1)
|
Inbound orders represent the estimated sales value of confirmed customer orders received during the reporting period.
|
(2)
|
Order backlog is calculated as the estimated sales value of unfilled, confirmed customer orders at the reporting date.
|
|
TechnipFMC.com
|
Page 20 of 28
|
|
(Unaudited)
|
||||||
|
March 31,
2020 |
|
December 31,
2019 |
||||
|
|
|
|
||||
Cash and cash equivalents
|
$
|
4,999.4
|
|
|
$
|
5,190.2
|
|
Trade receivables, net
|
2,208.8
|
|
|
2,287.1
|
|
||
Contract assets
|
1,402.9
|
|
|
1,520.0
|
|
||
Inventories, net
|
1,347.5
|
|
|
1,416.0
|
|
||
Other current assets
|
1,871.5
|
|
|
1,473.1
|
|
||
Total current assets
|
11,830.1
|
|
|
11,886.4
|
|
||
|
|
|
|
||||
Property, plant and equipment, net
|
2,852.5
|
|
|
3,162.0
|
|
||
Goodwill
|
2,461.0
|
|
|
5,598.3
|
|
||
Intangible assets, net
|
1,049.5
|
|
|
1,086.6
|
|
||
Other assets
|
1,734.5
|
|
|
1,785.5
|
|
||
Total assets
|
$
|
19,927.6
|
|
|
$
|
23,518.8
|
|
|
|
|
|
||||
Short-term debt and current portion of long-term debt
|
$
|
586.7
|
|
|
$
|
495.4
|
|
Accounts payable, trade
|
2,551.2
|
|
|
2,659.8
|
|
||
Contract liabilities
|
4,616.4
|
|
|
4,585.1
|
|
||
Other current liabilities
|
2,616.3
|
|
|
2,398.1
|
|
||
Total current liabilities
|
10,370.6
|
|
|
10,138.4
|
|
||
|
|
|
|
||||
Long-term debt, less current portion
|
3,823.9
|
|
|
3,980.0
|
|
||
Other liabilities
|
1,608.8
|
|
|
1,671.2
|
|
||
Redeemable noncontrolling interest
|
39.5
|
|
|
41.1
|
|
||
TechnipFMC plc stockholders’ equity
|
4,056.4
|
|
|
7,659.3
|
|
||
Noncontrolling interests
|
28.4
|
|
|
28.8
|
|
||
Total liabilities and equity
|
$
|
19,927.6
|
|
|
$
|
23,518.8
|
|
|
TechnipFMC.com
|
Page 21 of 28
|
|
(Unaudited)
|
||||||
|
Three Months Ended
|
||||||
March 31,
|
|||||||
2020
|
|
2019
|
|||||
Cash provided (required) by operating activities
|
|
|
|
||||
Net income (loss)
|
$
|
(3,245.7
|
)
|
|
$
|
19.8
|
|
Adjustments to reconcile net income to cash provided (required) by operating activities
|
|
|
|
||||
Depreciation
|
89.5
|
|
|
88.9
|
|
||
Amortization
|
30.9
|
|
|
30.5
|
|
||
Impairments
|
3,188.0
|
|
|
0.9
|
|
||
Employee benefit plan and share-based compensation costs
|
18.3
|
|
|
20.9
|
|
||
Deferred income tax provision (benefit), net
|
(54.3
|
)
|
|
(90.8
|
)
|
||
Unrealized loss on derivative instruments and foreign exchange
|
105.6
|
|
|
29.2
|
|
||
Income from equity affiliates, net of dividends received
|
(25.4
|
)
|
|
(9.9
|
)
|
||
Other
|
47.2
|
|
|
72.7
|
|
||
Changes in operating assets and liabilities, net of effects of acquisitions
|
|
|
|
||||
Trade receivables, net and contract assets
|
(50.5
|
)
|
|
131.8
|
|
||
Inventories, net
|
(30.2
|
)
|
|
(61.5
|
)
|
||
Accounts payable, trade
|
(4.2
|
)
|
|
(148.6
|
)
|
||
Contract liabilities
|
144.4
|
|
|
186.1
|
|
||
Income taxes payable (receivable), net
|
(10.0
|
)
|
|
20.8
|
|
||
Other current assets and liabilities, net
|
(338.1
|
)
|
|
(126.3
|
)
|
||
Other noncurrent assets and liabilities, net
|
162.4
|
|
|
(43.1
|
)
|
||
Cash provided by operating activities
|
27.9
|
|
|
121.4
|
|
||
|
|
|
|
||||
Cash provided (required) by investing activities
|
|
|
|
||||
Capital expenditures
|
(83.5
|
)
|
|
(178.2
|
)
|
||
Payment to acquire debt securities
|
—
|
|
|
(59.7
|
)
|
||
Cash received from divestiture
|
2.5
|
|
|
—
|
|
||
Proceeds from sale of assets
|
7.5
|
|
|
0.9
|
|
||
Cash required by investing activities
|
(73.5
|
)
|
|
(237.0
|
)
|
||
|
|
|
|
||||
Cash required by financing activities
|
|
|
|
||||
Net increase in short-term debt
|
87.0
|
|
|
114.5
|
|
||
Net decrease in commercial paper
|
(578.5
|
)
|
|
(450.4
|
)
|
||
Proceeds from revolving credit facility
|
500.0
|
|
|
—
|
|
||
Proceeds from issuance of long-term debt
|
—
|
|
|
96.2
|
|
||
Purchase of ordinary shares
|
—
|
|
|
(33.0
|
)
|
||
Payments related to taxes withheld on share-based compensation
|
(3.2
|
)
|
|
—
|
|
||
Settlements of mandatorily redeemable financial liability
|
(4.2
|
)
|
|
(174.9
|
)
|
||
Cash required by financing activities
|
1.1
|
|
|
(447.6
|
)
|
||
Effect of changes in foreign exchange rates on cash and cash equivalents
|
(146.3
|
)
|
|
(11.5
|
)
|
||
Decrease in cash and cash equivalents
|
(190.8
|
)
|
|
(574.7
|
)
|
||
Cash and cash equivalents, beginning of period
|
5,190.2
|
|
|
5,540.0
|
|
||
Cash and cash equivalents, end of period
|
$
|
4,999.4
|
|
|
$
|
4,965.3
|
|
|
TechnipFMC.com
|
Page 22 of 28
|
|
March 31,
|
||
|
2020
|
||
Held by joint ventures
|
$
|
3.2
|
|
Operating cash and cash equivalents
|
1.8
|
|
|
Total cash and cash equivalents
|
$
|
5.0
|
|
|
TechnipFMC.com
|
Page 23 of 28
|
|
March 31,
|
||
|
2020
|
||
Contract liabilities
|
$
|
1,184.6
|
|
Mandatorily redeemable financial liability
|
300.1
|
|
|
Three Months Ended
|
||
|
March 31,
|
||
|
2020
|
||
Cash provided by operating activities
|
$
|
(30.2
|
)
|
Settlements of mandatorily redeemable financial liability
|
(4.2
|
)
|
|
TechnipFMC.com
|
Page 24 of 28
|
|
Three Months Ended
|
||||||||||||||||||||||||||
|
March 31, 2020
|
||||||||||||||||||||||||||
|
Net income (loss) attributable to TechnipFMC plc
|
|
Net income (loss) attributable to noncontrolling interests
|
|
Provision (benefit) for income taxes
|
|
Net interest expense
|
|
Income (loss) before net interest expense and income taxes (Operating profit)
|
|
Depreciation and amortization
|
|
Earnings before net interest expense, income taxes, depreciation and amortization (EBITDA)
|
||||||||||||||
TechnipFMC plc, as reported
|
$
|
(3,256.1
|
)
|
|
$
|
10.4
|
|
|
$
|
37.7
|
|
|
$
|
72.3
|
|
|
$
|
(3,135.7
|
)
|
|
$
|
120.4
|
|
|
$
|
(3,015.3
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Charges and (credits):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Impairment and other charges
|
3,159.9
|
|
|
—
|
|
|
28.1
|
|
|
—
|
|
|
3,188.0
|
|
|
—
|
|
|
3,188.0
|
|
|||||||
Restructuring and other charges
|
8.6
|
|
|
—
|
|
|
2.8
|
|
|
—
|
|
|
11.4
|
|
|
—
|
|
|
11.4
|
|
|||||||
Direct COVID-19 expenses
|
6.8
|
|
|
—
|
|
|
2.2
|
|
|
—
|
|
|
9.0
|
|
|
—
|
|
|
9.0
|
|
|||||||
Separation costs
|
20.2
|
|
|
—
|
|
|
6.9
|
|
|
—
|
|
|
27.1
|
|
|
—
|
|
|
27.1
|
|
|||||||
Purchase price accounting adjustment
|
6.5
|
|
|
—
|
|
|
2.0
|
|
|
—
|
|
|
8.5
|
|
|
(8.5
|
)
|
|
—
|
|
|||||||
Valuation allowance
|
5.0
|
|
|
—
|
|
|
(5.0
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Adjusted financial measures
|
$
|
(49.1
|
)
|
|
$
|
10.4
|
|
|
$
|
74.7
|
|
|
$
|
72.3
|
|
|
$
|
108.3
|
|
|
$
|
111.9
|
|
|
$
|
220.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Diluted earnings (loss) per share attributable to TechnipFMC plc, as reported
|
$
|
(7.28
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Adjusted diluted earnings per share attributable to TechnipFMC plc
|
$
|
(0.11
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
||||||||||||||||||||||||||
|
March 31, 2019
|
||||||||||||||||||||||||||
|
Net income (loss) attributable to TechnipFMC plc
|
|
Net income (loss) attributable to noncontrolling interests
|
|
Provision (benefit) for income taxes
|
|
Net interest expense
|
|
Income (loss) before net interest expense and income taxes (Operating profit)
|
|
Depreciation and amortization
|
|
Earnings before net interest expense, income taxes, depreciation and amortization (EBITDA)
|
||||||||||||||
TechnipFMC plc, as reported
|
$
|
20.9
|
|
|
$
|
(1.1
|
)
|
|
$
|
14.5
|
|
|
$
|
88.2
|
|
|
$
|
122.5
|
|
|
$
|
119.4
|
|
|
$
|
241.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Charges and (credits):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Impairment and other charges
|
0.5
|
|
|
—
|
|
|
0.2
|
|
|
—
|
|
|
0.7
|
|
|
—
|
|
|
0.7
|
|
|||||||
Restructuring and other severance charges
|
11.6
|
|
|
—
|
|
|
4.2
|
|
|
—
|
|
|
15.8
|
|
|
—
|
|
|
15.8
|
|
|||||||
Business combinations transaction and integration costs
|
8.9
|
|
|
—
|
|
|
3.2
|
|
|
—
|
|
|
12.1
|
|
|
—
|
|
|
12.1
|
|
|||||||
Reorganization
|
19.2
|
|
|
—
|
|
|
6.1
|
|
|
—
|
|
|
25.3
|
|
|
—
|
|
|
25.3
|
|
|||||||
Purchase price accounting adjustment
|
6.5
|
|
|
—
|
|
|
2.0
|
|
|
—
|
|
|
8.5
|
|
|
(8.5
|
)
|
|
—
|
|
|||||||
Valuation allowance
|
(40.3
|
)
|
|
—
|
|
|
40.3
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Adjusted financial measures
|
$
|
27.3
|
|
|
$
|
(1.1
|
)
|
|
$
|
70.5
|
|
|
$
|
88.2
|
|
|
$
|
184.9
|
|
|
$
|
110.9
|
|
|
$
|
295.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Diluted earnings (loss) per share attributable to TechnipFMC plc, as reported
|
$
|
0.05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Adjusted diluted earnings per share attributable to TechnipFMC plc
|
$
|
0.06
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TechnipFMC.com
|
Page 25 of 28
|
|
Three Months Ended
|
||||||||||||||||||
|
March 31, 2020
|
||||||||||||||||||
|
Subsea
|
|
Technip Energies
|
|
Surface Technologies
|
|
Corporate and Other
|
|
Total
|
||||||||||
Revenue
|
$
|
1,253.1
|
|
|
$
|
1,547.7
|
|
|
$
|
329.5
|
|
|
$
|
—
|
|
|
$
|
3,130.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating profit (loss), as reported (pre-tax)
|
$
|
(2,750.7
|
)
|
|
$
|
151.2
|
|
|
$
|
(424.0
|
)
|
|
$
|
(112.2
|
)
|
|
$
|
(3,135.7
|
)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Charges and (credits):
|
|
|
|
|
|
|
|
|
|
||||||||||
Impairment and other charges
|
2,776.5
|
|
|
—
|
|
|
411.5
|
|
|
—
|
|
|
3,188.0
|
|
|||||
Restructuring and other charges*
|
(6.9
|
)
|
|
2.9
|
|
|
11.8
|
|
|
3.6
|
|
|
11.4
|
|
|||||
Direct COVID-19 expenses
|
4.0
|
|
|
3.9
|
|
|
1.1
|
|
|
—
|
|
|
9.0
|
|
|||||
Separation costs
|
—
|
|
|
—
|
|
|
—
|
|
|
27.1
|
|
|
27.1
|
|
|||||
Purchase price accounting adjustments
|
8.5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
8.5
|
|
|||||
Subtotal
|
2,782.1
|
|
|
6.8
|
|
|
424.4
|
|
|
30.7
|
|
|
3,244.0
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted Operating profit (loss)
|
31.4
|
|
|
158.0
|
|
|
0.4
|
|
|
(81.5
|
)
|
|
108.3
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted Depreciation and amortization
|
73.4
|
|
|
9.1
|
|
|
24.1
|
|
|
5.3
|
|
|
111.9
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA
|
$
|
104.8
|
|
|
$
|
167.1
|
|
|
$
|
24.5
|
|
|
$
|
(76.2
|
)
|
|
$
|
220.2
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit margin, as reported
|
-219.5
|
%
|
|
9.8
|
%
|
|
-128.7
|
%
|
|
|
|
-100.2
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted Operating profit margin
|
2.5
|
%
|
|
10.2
|
%
|
|
0.1
|
%
|
|
|
|
3.5
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin
|
8.4
|
%
|
|
10.8
|
%
|
|
7.4
|
%
|
|
|
|
7.0
|
%
|
|
Three Months Ended
|
||||||||||||||||||
|
March 31, 2019
|
||||||||||||||||||
|
Subsea
|
|
Technip Energies
|
|
Surface Technologies
|
|
Corporate and Other
|
|
Total
|
||||||||||
Revenue
|
$
|
1,185.3
|
|
|
$
|
1,335.1
|
|
|
$
|
392.6
|
|
|
$
|
—
|
|
|
$
|
2,913.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Operating profit (loss), as reported (pre-tax)
|
$
|
49.9
|
|
|
$
|
155.7
|
|
|
$
|
10.5
|
|
|
$
|
(93.6
|
)
|
|
$
|
122.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Charges and (credits):
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Impairment and other charges
|
0.7
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
0.7
|
|
|||||
Restructuring and other severance charges
|
1.6
|
|
|
3.8
|
|
|
1.5
|
|
|
8.9
|
|
|
15.8
|
|
|||||
Business combination transaction and integration costs
|
—
|
|
|
—
|
|
|
—
|
|
|
12.1
|
|
|
12.1
|
|
|||||
Reorganization
|
—
|
|
|
25.3
|
|
|
—
|
|
|
—
|
|
|
25.3
|
|
|||||
Purchase price accounting adjustments - amortization related
|
8.5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
8.5
|
|
|||||
Subtotal
|
10.8
|
|
|
29.1
|
|
|
1.5
|
|
|
21.0
|
|
|
62.4
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Adjusted Operating profit (loss)
|
60.7
|
|
|
184.8
|
|
|
12.0
|
|
|
(72.6
|
)
|
|
184.9
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted Depreciation and amortization
|
79.0
|
|
|
10.0
|
|
|
18.1
|
|
|
3.8
|
|
|
110.9
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA
|
$
|
139.7
|
|
|
$
|
194.8
|
|
|
$
|
30.1
|
|
|
$
|
(68.8
|
)
|
|
$
|
295.8
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit margin, as reported
|
4.2
|
%
|
|
11.7
|
%
|
|
2.7
|
%
|
|
|
|
4.2
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted Operating profit margin
|
5.1
|
%
|
|
13.8
|
%
|
|
3.1
|
%
|
|
|
|
6.3
|
%
|
||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA margin
|
11.8
|
%
|
|
14.6
|
%
|
|
7.7
|
%
|
|
|
|
10.2
|
%
|
|
TechnipFMC.com
|
Page 26 of 28
|
|
Three Months Ended
|
||||||
|
March 31,
|
||||||
|
2020
|
|
2019
|
||||
Corporate expense, reported
|
$
|
112.2
|
|
|
$
|
93.6
|
|
Less charges and (credits) [Exhibit 9]
|
30.7
|
|
|
21.0
|
|
||
Corporate expense, adjusted
|
81.5
|
|
|
72.6
|
|
||
Less foreign exchange losses
|
43.3
|
|
|
11.6
|
|
||
Corporate expense, adjusted and excluding foreign exchange losses
|
$
|
38.2
|
|
|
$
|
61.0
|
|
|
TechnipFMC.com
|
Page 27 of 28
|
|
March 31,
2020 |
|
December 31,
2019 |
||||
Cash and cash equivalents
|
$
|
4,999.4
|
|
|
$
|
5,190.2
|
|
Short-term debt and current portion of long-term debt
|
(586.7
|
)
|
|
(495.4
|
)
|
||
Long-term debt, less current portion
|
(3,823.9
|
)
|
|
(3,980.0
|
)
|
||
Net cash
|
$
|
588.8
|
|
|
$
|
714.8
|
|
|
TechnipFMC.com
|
Page 28 of 28
|