Saipem

Earnings Release • Oct 24, 2024

Nine Months 2024 Results

24th October 2024

Disclaimer

This communication does not constitute an offer or an invitation to subscribe for or purchase any securities.

Forward-looking statements contained in this presentation regarding future events and future results are based on current expectations, estimates, forecasts and projections about the industries in which Saipem S.p.A. (the "Company") operates, as well as the beliefs and assumptions of the Company's management.

These forward-looking statements are only predictions and are subject to known and unknown risks, uncertainties, assumptions, contingencies and other factors beyond the Company's control that are difficult to predict as they relate to events and depend on circumstances that will occur in the future. These include, but are not limited to: forex and interest rate fluctuations, economic conditions globally, commodity price volatility, credit and liquidity risks, HSE risks, the levels of capital expenditure in the oil and gas industry and other sectors, social, economic, geographic and/or political instability in areas where the Group operates, actions by competitors, success of commercial transactions, risks associated with the execution of projects (including ongoing investment projects), regulatory developments in Italy and internationally, the outcome of legal proceedings involving the Company; in addition to changes in stakeholders' expectations and other changes affecting business conditions.

Therefore, the Company's actual results may differ materially and adversely from those expressed or implied in any forward-looking statements. They are neither statements of historical fact nor guarantees of future performance and undue reliance should not be placed on them. The Company therefore cautions against relying on any of these forward-looking statements. Any forward-looking statements made by or on behalf of the Company speak only as of the date they are made. The Company undertakes no obligation to update any forward-looking statements to reflect any changes in the Company's expectations with regard thereto or any changes in events, conditions or circumstances on which any such statement is based. Accordingly, readers should not place undue reliance on forward-looking statements due to the inherent uncertainty therein.

The Financial Reports contain analyses of some of the aforementioned risks.

Forward-looking statements neither represent nor can be considered as estimates for legal, accounting, fiscal or investment purposes. Forward-looking statements are not intended to provide assurances and/or solicit investment.

The Company, its advisors and its representatives decline all liability (for negligence or any other cause) for any loss or damage occasioned by the use of this presentation or its contents.

The Manager responsible for preparing the Company's financial reports declares, in accordance with art. 154- bis, para. 2, of the "Consolidated Financial Act" (Legislative Decree No. 58/1998), that the accounting information contained in this document corresponds to documentary records, ledgers and accounting entries.

Nine Months 2024 Results

Agenda

1 Highlights

2 Financial review

3 Closing remarks

4 Appendix

Highlights of 3Q 2024 results

Guidance for 2024 upgraded on the back of strong results and increased visibility

• 2024 Results 4 1) Y-on-Y refers to the delta between 3Q 2024 and 3Q 2023
  • 2) Q-on-Q refers to the delta between 3Q 2024 and 2Q 2024
  • 3) Net Cash Flow calculated as reduction in Net Financial Position (pre-IFRS 16) in 3Q 2024

Details of major awards in 3Q 2024

other subsea facilities

(e.g. PDMs, flowlines, wellhead topsides/jackets), pipelines and power cables

Legend

Oil Gas

Order intake exceeding 13 B€ in 9M 2024

Focus on Offshore E&C and Integrated Projects

Well diversified geographical mix Strengthening foothold in core markets and expansion into new markets

Record-high backlog grants excellent visibility

Backlog (B€) Datapoints

Dec-21 Mar-22 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24

≈ 61%

of backlog related to Asset Based Services projects (Offshore E&C)

Engineering

full utilisation¹ of capacity until mid-2026

Yards²

> 80% expected capacity utilisation for 2025-2026

E&C fleet³

fully booked in 2025-2026, and largely booked for 2027-2028

Resilient and diversified commercial pipeline

Courseulles-sur-Mer update

1

2

3

4

Key updates

Drilling test successfully performed in August in the designated testing area. The jack-up has then been permitted to move to the location of the first mono-pile

Final commissioning of drilling machine in September and October

Drilling of the first socket is ongoing. The first section of the socket has been successfully drilled with underreamer, and the casing has been landed. Few meters remaining to target depth

The Saipem 7000 vessel is currently preparing the mobilisation for the installation of the first mono-pile

Scarborough project completed by the Castorone

Pipeline length 433 Km Pipelaying activity ≈ 12 months Total pipes weight > 400k tons Pipes diameter 36 inches Max water depth c. 1,400 meters "Amongst the five longest offshore pipelines laid by Saipem"

Drilling offshore update

Nine Months 2024 Results

Agenda

1 Highlights

2 Financial review

3 Closing remarks

4 Appendix

9M 2024 results (M€)

9M 2024 results – Asset Based Services (M€)

Asset Based Services

Offshore E&C

Offshore Wind

• Growth supported by ramp-up of execution of recent Oil & Gas awards
• Revenue progression led by conventional and subsea projects
• EBITDA margin uplift thanks to a more favourable project mix

9M 2024 results – Drilling Offshore (M€)

9M 2024 results – Energy Carriers (M€)

Sustainable Infrastructures

Robotics & Industrialized Solutions

• Steady execution of backlog coupled with selective approach on new order intake leading to relatively stable
• Profitability affected by execution of low-margin projects awarded before 2022
• Sustainable Infrastructures marginally contributing to growth and profitability

9M 2024 results – Income Statement

	Group Income Statement
M€	9M 2023	9M 2024	Change
Revenue	8,363	10,130	1,767
Total costs	(7,723)	(9,225)
EBITDA	640	905	265
EBITDA margin	7.7%	8.9%
D&A	(336)	(488)
EBIT	304	417	113
Financial expenses	(133)	(104)
Result from equity investments	30	24
EBT	201	337	136
Income taxes	(117)	(131)
Discontinued operations results	(5)	-
Net Result	79	206	127

Net Debt evolution in 9M 2024

Debt and liquidity at the end of 3Q 2024

Committed RCF (undrawn)

Cash in JVs and other restricted cash

Available Cash

Nine Months 2024 Results

Agenda

1 Highlights

2 Financial review

3 Closing remarks

4 Appendix

Growth, margins and cash flow

Upgrade of 2024 guidance

Business lines

Asset Based Services (excluding Offshore Wind) accelerating compared to initial budget

Energy Carriers making steady progress on the execution of legacy projects

Drilling Offshore efficiently mitigating impact of temporary suspensions from Saudi Aramco

Dividend policy

Confirmed dividend policy of distributing ≈ 30-40% of Free Cash Flow (post Leases), with first dividend² expected to be paid in 2025 on the back of 2024 results

Closing remarks

Record level backlog provides excellent visibility

Substantial and resilient commercial pipeline

Acceleration of cash flow conversion and continuous deleveraging

Next appointment: FY 2024 results and 2025-2028 Strategic Plan to be presented in Feb-25

Q&A Session

Nine Months 2024 Results 24 Nine Months 2024 results

Nine Months 2024 Results

Agenda

1 Highlights

2 Financial review

3 Closing remarks

4 Appendix

Reporting according to business lines and IFRS 8

3Q 2024 results in context (M€)

Q-o-Q comparison

3Q 2024 results by reporting segments in context (M€)

Q-o-Q comparison

9M 2024 D&A and financial expenses

Net Debt evolution in 3Q 2024

Lease liabilities¹ in 2023 and 9M 2024

Average weighted duration of leases for construction vessels

Bank guarantees

Diversified pool of institutions providing guarantees Stock of financial guarantees by division

Backlog details (1/5)

Backlog details (2/5)

Backlog details (3/5)

2024 Results 35 1) Those mainly refer to Sustainable Infrastructures projects and other non-oil and gas clients 2) Referring mainly to Sustainable Infrastructures projects and fertilizing plants

Backlog details (4/5)

Top 20 projects by backlog Clients breakdown by backlog

33.2 B€ 30-Sep-24

Backlog¹ (as of 30-Sep-24): distribution by year of expected execution (B€)

Non-consolidated Backlog By Year Of Execution (M€)
Oct-Dec 2024	2025	2026	2027+
24	91	65	33

Backlog details (5/5)

Drilling offshore fleet

Drilling Vessel Engagement Map (2023-2025)

2024 Results 38 1) Leased vessels 2) Temporary suspended by Saudi Aramco for up to 12 months (temporary suspension starting in 2Q 2024 for PN10 and PN9 and in 1Q 2025 for PN7) 3) Performed between two different client contracts

E&C market near-term¹ opportunities worth ≈ 54 B€

2024 Results 39 1) Six quarters ahead, starting from 4Q 2024

Nine Months