Technip Q1
Omzet van 2,5 mld naar 2,9 mld
EBIT van 120 naar 172 mln
Orderboek Q1 van 2,8 mld naar 1,5 mld
Backlog van 15,4mld naar 20,6 mld
Outlook
"Concerning our 2015 objectives, our expectations for the Group overall remain unchanged but, recognizing that at this point Subsea is outperforming and Onshore/Offshore underperforming, we raise our expectation for adjusted operating profit for Subsea to the top of the announced range at around €840 million and lower Onshore/Offshore to around the bottom of the announced range, so around €250 million.
More broadly, we confirm our views on the market situation expressed in our full year results in mid-February: we continue to expect the slowdown to be prolonged and harsh. The sharp fall in oil prices has had a substantial impact on our clients' behaviour, NOCs and IOCs alike. New projects are of course being deferred as clients assess their investment priorities in a durably changed economic environment. Projects launched in 2014 and earlier continue to progress but tension along the supply chain is exacerbated by the lack of financial flexibility from some clients and, as we said as early as second quarter last year, negotiations are protracted on contract changes and variations, in particular on Onshore/Offshore projects.
However, even as clients put pressure on their supply chain, they also seek innovative and collaborative ways to decrease the cost of their investments; whilst new projects obviously have to be viable to move forward, investment is needed to avoid a dramatic reduction in production in the years to come. With this in mind, we signed during the quarter a groundbreaking alliance with FMC Technologies. Having started discussions a year ago, we quickly found a common conviction that, with early involvement in design, the two companies could significantly reduce development costs for offshore and subsea developments. In short, our alliance with FMC Technologies is an enabler for new projects. As of today, the set-up of the alliance and its Forsys Subsea joint venture is progressing as expected and the joint team is being put in place.
Our operational priorities for the rest of the year remain unchanged; on the one hand, maintain momentum on our strong backlog of Subsea projects, reinforce our actions including with clients on our Onshore/Offshore projects, selectively renew our backlog and cut our costs; on the other hand, intensify the work with our clients to optimize their projects through early stage involvement deploying Technip’s know-how and technology.”