Loading...
•
Jun 30, 2020
TechnipFMC Q2 2020 Earnings Report
TechnipFMC reported strong execution in a challenging environment, maintained a resilient backlog, and demonstrated increased net liquidity.
Key Takeaways
TechnipFMC announced second quarter 2020 results, highlighting strong execution amidst a challenging environment. The company's resilient backlog stood at $20.6 billion, with $14.9 billion scheduled for 2021 and beyond. Net liquidity increased sequentially by $1.2 billion to $6.8 billion. The company is on track to deliver targeted cost savings exceeding $350 million by year-end and has updated financial guidance for all segments, while also initiating a free cash flow outlook.
Strong execution despite the challenging environment in the quarter
Resilient backlog of $20.6 billion; $14.9 billion scheduled for 2021 and beyond
Net liquidity of $6.8 billion, an increase of $1.2 billion sequentially
On track to deliver targeted cost savings that exceed $350 million by year-end
Revenue by Segment
Forward Guidance
TechnipFMC has increased visibility and confidence in their full-year guidance for all business segments, supported by the acceleration of business transformation initiatives.
Positive Outlook
- Subsea revenue in a range of $5.3 - 5.6 billion
- Subsea EBITDA margin at least 8.5% (excluding charges and credits)
- Technip Energies revenue in a range of $6.3 - 6.8 billion
- Technip Energies EBITDA margin at least 10% (excluding charges and credits)
- Surface Technologies revenue in a range of $950 - 1,150 million
Challenges Ahead
- Corporate expense, net $130 - 150 million
- Net interest expense $80 - 90 million (excluding the impact of revaluation of partners’ mandatorily redeemable financial liability)
- Tax provision, as reported $80 - 90 million
- Capital expenditures approximately $300 million
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...