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Technip Energies Full Year 2024 Financial Results
TECHNIP ENERGIES FY 2024 FINANCIAL RESULTS
Delivering outstanding performance
Paris, Thursday, February 27, 2025. Technip Energies (the “ Company ”), a global technology & engineering powerhouse leading in energy and decarbonization infrastructure, today announces its unaudited financial results for full year 2024.
Arnaud Pieton, Chief Executive Officer of Technip Energies, commented:
“Technip Energies - T.EN - delivered an outstanding 2024 performance, setting new highs for both revenue and earnings. This success is a testament to the ingenuity and commitment of our teams in their pursuit of excellence. T.EN is a company in motion, and these results provide a springboard for the next chapter of our growth story. We reaffirm our 2025 guidance.”
“2024 was also a year of great commercial success with more than €10 billion of order intake across our markets including LNG and decarbonized power generation. Orders materially exceeded revenues for both business segments. As a result, backlog increased to a level approaching €20 billion, providing excellent, multi-year visibility and underpinning our earnings trajectory.”
“Of particular note, in December, we were awarded a major contract for Net Zero Teesside Power in the UK, the world's first gas-fired power station with carbon capture and storage. This award reinforces our carbon capture leadership, delivers on our innovation strategy with Canopy by T.EN , and, recognizes our capability to execute at scale.”
“Based on the strength of these results and confidence in our business outlook, we propose increasing our annual dividend by 49%.”
“At our Capital Markets Day in November, we set forth an ambitious growth plan for T.EN. In addition to the strength of our core business, we are diversifying and broadening our portfolio of solutions and customers, establishing our leadership in new domains. As such, T.EN is set to thrive in any energy scenario. Moreover, our balance sheet strength, and highly cash generative business model support growing shareholder returns and allow us to selectively deploy capital to drive further value creation.”
“We intend to build on the strong business momentum established in 2023 and 2024. Our complementary growth engines - Project Delivery and Technology, Products & Services - are poised to further capitalize on our robust outlook over the next 24 months, with sizable prospects in LNG and decarbonization, including blue molecule infrastructures, notably in North America.”
“Through continuous innovation, smart engineering and excellence in execution, T.EN is set to win the affordability battle, bridging prosperity and sustainability for a world designed to last.”
Key financials – adjusted IFRS
Key financials – IFRS
2025 full company guidance – adjusted IFRS
Conference call information
Technip Energies will host its FY 2024 results conference call and webcast on Thursday, February 27, 2025 at 13:00 CET. Dial-in details:
France: +33 1 70 91 87 04
United Kingdom: +44 121 281 8004
United States: +1 718 7058796
Conference Code: 880901
The event will be webcast simultaneously and can be accessed at: T.EN FY 2024 Webcast
Contacts
Investor Relations
Phillip Lindsay
Vice President, Investor Relations
Tel: +44 20 7585 5051
Email: Phillip Lindsay
Media Relations
Jason Hyonne
Manager, Press Relations & Social Media
Tel: +33 1 47 78 22 89
Email: Jason Hyonne
Operational and financial review
Order intake, backlog and backlog scheduling
Adjusted order intake for FY 2024 amounted to €10,011 million, equivalent to a book-to-bill of 1.5.
Adjusted order intake in the fourth quarter of 2024 included a major contract for the Net Zero Teesside Power project, which aims to be the world's first gas-fired power station with carbon capture and storage, a major contract with TotalEnergies for the topsides of GranMorgu Floating Production, Storage and Offloading vessel (FPSO) in Suriname, as well as other studies, services contracts and smaller projects.
For reference, commercial highlights for the first nine months of 2024 are included here: T.EN 9M 2024 financial results .
A “major” award for Technip Energies is a contract award representing above €1 billion of revenue.
Adjusted backlog increased by 24% to €19.6 billion compared to December 31, 2023, equivalent to 2.9x FY 2024 revenue.
The table below provides estimated backlog scheduling as of December 31, 2024.
Company financial performance
Adjusted statement of income
Business highlights
Project Delivery – adjusted IFRS
FY 2024 Adjusted revenue increased by 19% year-over-year to €4,857.5 million driven by an increasing contribution from Qatar NFS and Qatar NFE, as well as higher activity in offshore projects.
FY 2024 Adjusted recurring EBITDA increased by 12% year-over-year to €403.0 million and FY 2024 Adjusted recurring EBIT increased by 12% year-over-year to €356.1 million.
FY 2024 Adjusted recurring EBITDA / EBIT margin decreased year-over-year by 50 bps / 50 bps to 8.3% / 7.3%. Following a period of strong order intake during 2023 and 2024, the margins reflect a re-balancing of our portfolio of projects with increased revenue contribution from early-phase projects with limited margin recognition.
Q4 2024 Key operational milestones
(Please refer to Q1 2024, H1 2024 and 9M 2024 press releases for first nine months milestones )
QatarEnergy North Field Expansion (Qatar)
QatarEnergy North Field South (Qatar)
Marsa LNG (Oman)
bp Tortue gas FPSO (Senegal / Mauritania)
Midor refinery (Egypt)
Assiut Hydrocracking Complex (Egypt)
bp Net Zero Teesside Power Project (UK)
Q4 2024 Key commercial and strategic highlights
(Please refer to Q1 2024 and H1 2024 and 9M 2024 press releases for first nine months highlights)
Technip Energies and GE Vernova awarded a major* contract for the Net Zero Teesside Power project (UK)
Technip Energies awarded a major contract by TotalEnergies for the topsides of the GrandMorgu FPSO unit (Suriname)
Technology, Products & Services (TPS) – adjusted IFRS
FY 2024 Adjusted revenue increased year-over-year by 3% to €1,997.3 million, driven by renewable fuels services, Project Management Consultancy, and a higher volume of smaller projects and studies.
FY 2024 Adjusted recurring EBITDA increased year-over-year by 6% to €257.5 million and Adjusted recurring EBIT increased year-over-year by 3% to €192.0 million.
FY 2024 Adjusted recurring EBITDA margin increased by 30 bps to 12.9% benefiting from mix and performance improvement within services. Adjusted recurring EBIT margin remained stable at 9.6% due to increased depreciation and amortization expense associated with higher capital investment, including the impact of IFRS 16.
Q4 2024 Key operational milestones
(Please refer to Q1 2024, H1 2024 and 9M 2024 press releases for first nine months milestones )
INEOS Project One (Belgium)
Neste Renewable Products Refinery Expansion - Capacity Growth Project, Rotterdam (Netherlands)
AM Green Kakinada Project (India) - Rely
Numarligarh refinery expansion (India)
bp Net Zero Teesside Power Project - TPS scope (UK)
Reliance NMD and DMD Cracker (India)
Q4 2024 Key commercial and strategic highlights
(Please refer to Q1 2024 and H1 2024 and 9M 2024 press releases for first nine months highlights)
Technip Energies and Shell Catalysts & Technologies move towards an exclusive global alliance for carbon capture
Technip Energies and LanzaTech Awarded Funding from the U.S. Department of Energy for Commercializing Breakthrough CO to Ethylene Technology
Technip Energies, Alterra and Neste collaborate to offer standardized solution to build chemical recycling plants
Technip Energies and Enerkem formalize collaboration to advance waste-to-sustainable fuels and circular chemicals technology
Corporate and other items
Corporate costs, excluding non-recurring items, were €52.4 million for full year 2024.
Non-recurring expense amounted to €30.0 million and includes costs incurred relating to adjacent business models.
Net financial income of €120.2 million benefited from interest income generated from cash and cash equivalents, partially offset by interest expenses associated with the senior unsecured notes and the mark-to-market valuation impact of investments in traded securities.
Effective tax rate on an adjusted IFRS basis was 30.2% for the full year 2024, consistent with the updated guidance range of 29%-33% provided at Q3 2024.
Depreciation and amortization expense was €112.2 million, of which €71.5 million is related to IFRS 16.
Gross cash at December 31, 2024 was €4.1 billion, which compares to €3.6 billion at December 31, 2023. Gross debt was €0.7 billion at December 31, 2024.
Adjusted free cash flow was €748.3 million for the full year 2024. Adjusted free cash flow, excluding the working capital and provisions variance of €229.8 million, was €518.5 million benefiting from strong operational performance and consistently high conversion from Adjusted recurring EBITDA of 85% (conversion from Adjusted recurring EBIT was 105%). Free cash flow is stated after capital expenditures of €85.6 million. Adjusted operating cash flow was €833.9 million.
Liquidity
Adjusted liquidity of €4.7 billion at December 31, 2024 comprised of €4.1 billion of cash and €750 million of liquidity provided by the Company's undrawn revolving credit facility, offset by €80 million of outstanding commercial paper. The Company's revolving credit facility is available for general use and serves as a backstop for the Company's commercial paper program.
Capital allocation and shareholder returns
The strength of the Company's balance sheet, with more than €1.4 billion net cash (adjusted for project-associated cash), coupled with sustainable free cash flow generation, underpins T.EN's commitment to a disciplined and effective capital allocation that prioritizes shareholder returns and accretive investments while maintaining its investment grade balance sheet.
The Company's priorities are:
Subject to investment opportunities and market conditions, supplemental shareholder returns will be considered, including share buybacks.
In line with the Company's dividend policy, the Board of Directors will propose at the Annual Shareholder Meeting on May 6, 2025 the distribution of a cash dividend of €0.85 per share for the 2024 financial year. If payment of the cash dividend is approved by the shareholders, the ex-dividend date will be May 20, 2025, the record date for the dividend will be May 21, 2025, and the dividend will be paid on May 22, 2025.
Sustainability roadmap and scorecard
Sustainability is deeply embedded in T.EN's business strategy, with aspirations to achieve net zero emissions for Scope 1 and 2 by 2030, and Scope 3 by 2050. The company has achieved a 41% reduction in Scope 1 and 2 emissions compared to 2021, and, given this early success, has raised its emissions reduction targets from 30% to 45% by 2025. In 2024, T.EN also upheld its commitment to R&D with 100% of spend focused on solutions lowering emissions.
Diversity and inclusion remain key priorities, leading to tangible improvements in gender representation. Currently, 32% of our employees are women, and 24% of leadership positions are held by women. T.EN is cultivating a future-ready workforce and, on average, our employees completed more than 27 hours of learning in 2024, demonstrating progress towards our 2025 goal of 30 hours, with T.EN University programs remaining central to this upskilling journey.
Safety is embedded in T.EN's core values - 694 safety training sessions were conducted in 2024 with 10,000 participants. The Company continues to invest in prevention programs to foster a strong HSE culture and avoid incidents.
With the primary objective of contributing to the social and economic self-sufficiency of local communities, T.EN achieved more than 29,000 hours of volunteering globally in 2024, putting the Company on a strong path to reach its target of 30,000 volunteering hours by 2025.
In addition, T.EN successfully implemented processes to monitor key suppliers and subcontractors on sustainability matters, achieving a 64% monitoring rate, enhancing the sustainability, responsibility, and resilience of its supply chain. Regarding Human Rights due diligence, T.EN continued to implement mitigation plans for all eligible projects.
Moving forward, T.EN will continue pursuing its sustainability goals with a strong commitment to integrity, emphasizing robust governance, stakeholder engagement, and collaboration.
Forward-looking statements
This Press Release contains forward-looking statements that reflect Technip Energies' (the “ Company ”) intentions, beliefs or current expectations and projections about the Company's future results of operations, anticipated revenues, earnings, cashflows, financial condition, liquidity, performance, prospects, anticipated growth, strategies and opportunities and the markets in which the Company operates. Forward-looking statements are often identified by the words “believe”, “expect”, “anticipate”, “plan”, “intend”, “foresee”, “should”, “would”, “could”, “may”, “estimate”, “outlook”, and similar expressions, including the negative thereof. The absence of these words, however, does not mean that the statements are not forward-looking. These forward-looking statements are based on the Company's current expectations, beliefs and assumptions concerning future developments and business conditions and their potential effect on the Company. While the Company believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting the Company will be those that the Company anticipates.
All of the Company's forward-looking statements involve risks and uncertainties, some of which are significant or beyond the Company's control, and assumptions that could cause actual results to differ materially from the Company's historical experience and the Company's present expectations or projections. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those set forth in the forward-looking statements.
For information regarding known material factors that could cause actual results to differ from projected results, please see the Company's risk factors set forth in the Company's 2023 Annual Financial Report filed on March 8, 2024, and in the Company's 2024 Half-Year Report filed on August 1, 2024, with the Dutch Autoriteit Financiële Markten (AFM) and the French Autorité des Marchés Financiers (AMF) which include a discussion of factors that could affect the Company's future performance and the markets in which the Company operates.
Forward-looking statements involve inherent risks and uncertainties and speak only as of the date they are made. The Company undertakes no duty to and will not necessarily update any of the forward-looking statements in light of new information or future events, except to the extent required by applicable law.
APPENDIX
APPENDIX 1.0: ADJUSTED STATEMENT OF INCOME - FULL YEAR 2024
APPENDIX 1.1: ADJUSTED STATEMENT OF INCOME - FOURTH QUARTER 2024
APPENDIX 1.2: STATEMENT OF INCOME - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FULL YEAR 2024
APPENDIX 1.3: STATEMENT OF INCOME - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FULL YEAR 2023
APPENDIX 1.4: STATEMENT OF INCOME - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FOURTH QUARTER 2024
APPENDIX 1.5: STATEMENT OF INCOME - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FOURTH QUARTER 2023
APPENDIX 2.0: ADJUSTED STATEMENT OF FINANCIAL POSITION
APPENDIX 2.1: STATEMENT OF FINANCIAL POSITION - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FULL YEAR 2024
APPENDIX 2.2: STATEMENT OF FINANCIAL POSITION - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FULL YEAR 2023
APPENDIX 3.0: ADJUSTED STATEMENT OF CASH FLOWS
APPENDIX 3.1: STATEMENT OF CASH FLOWS - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FULL YEAR 2024
APPENDIX 3.2: STATEMENT OF CASH FLOWS - RECONCILIATION BETWEEN IFRS AND ADJUSTED - FULL YEAR 2023
APPENDIX 4.0: ADJUSTED ALTERNATIVE PERFORMANCE MEASURES - FULL YEAR 2024
APPENDIX 4.1: ADJUSTED ALTERNATIVE PERFORMANCE MEASURES - FOURTH QUARTER 2024
APPENDIX 5.0: ADJUSTED RECURRING EBIT AND EBITDA RECONCILIATION - FULL YEAR 2024
APPENDIX 5.1: ADJUSTED RECURRING EBIT AND EBITDA RECONCILIATION - FOURTH QUARTER 2024
APPENDIX 6.0: BACKLOG - RECONCILIATION BETWEEN IFRS AND ADJUSTED
APPENDIX 7.0: ORDER INTAKE - RECONCILIATION BETWEEN IFRS AND ADJUSTED
APPENDIX 8.0: Definition of Alternative Performance Measures (APMs)
Certain parts of this Press Release contain the following non-IFRS financial measures: Adjusted Revenue, Adjusted Recurring EBIT, Adjusted Recurring EBITDA, Adjusted net (debt) cash, Adjusted Backlog, and Adjusted Order Intake, which are not recognized as measures of financial performance or liquidity under IFRS and which the Company considers to be APMs. APMs should not be considered an alternative to, or more meaningful than, the equivalent measures as determined in accordance with IFRS or as an indicator of the Company's operating performance or liquidity.
Each of the APMs is defined below:
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Contacts
Investor Relations
Phillip Lindsay
Vice President, Investor Relations
Tel: +44 20 7585 5051
Email: Phillip Lindsay
Media Relations
Jason Hyonne
Manager, Press Relations & Social Media
Tel: +33 1 47 78 22 89
Email: Jason Hyonne
Attachment
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