Saipem — Investor Presentation 2022

Oct 27, 2022

NINE MONTHS 2022 RESULTS

October 27th, 2022

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 and other factors beyond the Company' control that are difficult to predict because 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, commodity price volatility, credit and liquidity risks, HSE risks, the levels of capital expenditure in the oil and gas industry and other sectors, 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), the Coronavirus outbreak (including its impact across our business, worldwide operations and supply chain); 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. The Company therefore caution against relying on any of these forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, economic conditions globally, the impact of competition, political and economic developments in the countries in which the Company operates, and regulatory developments in Italy and internationally. 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 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.

9M results: highlights

Financial performance

Operational update

Closing remarks

Appendix

215 M€ +22% vs 2Q Group Adjusted EBITDA in line with deleveraging target 0.09 B€ Net Debt pre-IFRS 16² 3.0 B€ +21% vs 2Q Group Revenues ~ 70% in offshore >13 B€ Order Intake year-to-date3

• 1. Revenue, adjusted EBITDA and order intake include discontinued operations (Drilling Onshore)
• 1. Net Debt post IFRS 16 is 0.43 B€
• 4 3. Order intake YTD (inc. discontinued operations) includes ~ 8.6 B€ in 9M 2022 (pre-cancellations of ~ 1 B€ backlog in 1Q 2022) + new awards announced in 4Q 2022 of ~ 4.6 B€, as of 26 October 2022. Out of > 13 B€, ~ 61% was in E&C Offshore (~ 8 B€), ~ 7% in Drilling Offshore (~ 0.9 B€), ~ 27% in E&C Onshore (~ 3.5 B€) and ~ 5% in Drilling Onshore (discontinued operations, ~ 0.7 B€). Order intake year-to-date net of order cancellations is ~ 12 B€

Upgrade of FY2022 guidance

FY 2022

New guidance

>9 B€ (without Drilling Onshore² )

Revenues Adjusted EBITDA Net Debt¹

>550 M€

(without Drilling Onshore² )

~300 M€

(post cash-in from sale of Drilling Onshore³ )

FY 2022 Former guidance (March 22)

n.a.

>500 M€ (with Drilling Onshore) ~ 800 M€ (with Drilling Onshore)

1. Net Debt post IFRS 16

2. Revenue and adjusted EBITDA exclude discontinued operations (Drilling Onshore)

3. First closing expected by the end of October 2022

Performance backed by supercycle, client entrustment and backlog execution in line with plans

Offshore activity, Saipem's sweet spot, kicking-in:

• 13B€ awards to-date, o/w ~ 70% offshore¹

• Drilling offshore fleet 74%² booked in 2023

• No E&C offshore vessel idleness in Q3

• Good backlog execution returns record-quarterly revenue, highest level since 4Q 2015

• Progress of offshore wind projects in backlog review at 59%³

• Cost efficiencies of > 150M€ in FY 2022 on track

• 9M results ahead of Plan

• Achieved a third of E&C offshore Plan acquisitions in first 10 months⁴
• Short-term⁵ E&C commercial pipeline ~ 41 B€ (~ 70% offshore)
• Drilling Onshore sale first closing confirmed by end-October 2022
• 1. Order intake YTD (incl. discontinued operations) includes ~ 8.6 B€ in 9M 2022 (pre-cancellations of ~ 1 B€ backlog in 1Q 2022) + new awards announced in 4Q 2022 of ~ 4.6 B€, as of 26 October 2022. Out of > 13 B€, ~ 61% was in E&C Offshore (~ 8 B€), ~ 7% in Drilling Offshore (~ 0.9 B€), ~ 27% in E&C Onshore (~ 3.5 B€) and ~ 5% in Drilling Onshore (discontinued operations, ~ 0.7 B€). Order intake year-to-date net of order cancellations is ~ 12 B€
• 1. % of billable time, including optional periods
• 1. "Offshore wind projects in backlog review" refers to projects with a negative economic impact in 4Q 2021, in the context of the backlog review. Average work-weighted physical progress (e.g. engineering, procurement, fabrication, drilling, installation)
• 1. E&C offshore acquisitions to-date ~ 8 B€ vs ~ 24 B€ 2022-25 target for E&C offshore
• 1. Six quarters ahead, starting from 4Q 2022, based on company data

9M results: highlights

Financial performance

Operational update

Closing remarks

Appendix

9M 2022 group results Revenues and adjusted¹ EBITDA, including discontinued operations² (M€)

Drilling Onshore (discontinued operations² )

1. Excluding special items

8 2. Drilling Onshore has been classified as discontinued operations following the sale agreement with KCA Deutag (announced on 1 June 2022). See slide 28 in the appendix for special items and slide 11 for reported results

9M 2022 results – E&C (M€)

E&C Offshore E&C Onshore

• Revenue increased by 85% YoY; 3Q strong acceleration with substantially no vessel idleness
• Higher volumes across all regions, driven by Middle East
• Oil & gas project progress more than offset offshore wind, driving adjusted EBITDA up

• Results in 9M 2021 impacted by execution issues in specific wind farm project and fabrication bottlenecks in Far East also due to pandemic

• Revenue increase YoY driven by project progress in Asia Pacific, Americas, Middle East and Sub-Saharan (Nigeria); Mozambique decreased due to suspension from April 2021

• Adjusted EBITDA driven by higher progress in Middle East, higher profitability in APAC and positive outcome from negotiations
• Backlog review impact weighed on adjusted EBITDA margin
• 9 • Mozambique project still suspended with residual backlog at 3.5 B€

9M 2022 results – Drilling (M€)

Drilling Offshore Drilling Onshore

• Revenue boosted by zero idleness and the start of operations of new drillship Santorini
• Adjusted EBITDA reflects revenue increase and higher fleet utilization
• Performance improvement driven by business recovery and increasing rates

Discontinued operations¹

• Revenue increase due to higher activity mainly in Middle East and partly in Latin America
• Adjusted EBITDA and margin reflect revenue trend
• Restart of further rigs in Middle East expected to further support margin
• 10 1. Drilling Onshore has been classified as discontinued operations following the sale agreement with KCA Deutag (announced on 1 June 2022). Closing confirmed by 31 October 2022 for Middle East and by 31 March 2023 for Americas

11

9M 2022 results – P&L YoY comparison

	Adjusted1 Group – Income Statement
M€	9M 21	9M 22	Var.
Revenue	4,821	7,043	2,222
Total costs	(5,165)	(6,598)	(1,433)
EBITDA	(344)	445	789
margin	n.m.	6.3%
D&A	(294)	(331)	(37)
EBIT	(638)	114	752
Financial expenses	(86)	(116)	(30)
Result from equity investments	(10)	(24)	(14)
EBT	(734)	(26)	708
Income taxes	(82)	(98)	(16)
Minorities	0	0	0
Discontinued operations	(46)	23	69
Net Result	(862)	(101)	761

Group – Reported
Income Statement
9M 21	9M 22
4,821	7,043
(5,323)	(6,631)
(502)	412
n.m.	5.8%
(389)	(331)
(891)	81
(86)	(116)
(10)	(24)
(987)	(59)
(82)	(98)
0	0
(52)	19

1. Excluding special items of 37 M€ mainly related to Covid-19 costs (16 M€) and redundancy costs (21 M€). Out of 37 M€, 33 M€ is at EBITDA level and 4 M€ in discontinued operations. See slide 28 for special items

3Q 2022 Net Debt Evolution

(B€)

1. Net proceeds from capital increase are net of right issue expenses and do not include Eni's share of the capital increase advance payment for 458 M€

2. "Others" includes cash special items, repayment of lease liabilities, cash flow from own funds and exchange differences

Debt maturity profile and liquidity Analysis as of 30 September 2022

Billion €	9M 22
Gross Debt o/w	2.76
Banks	0.64
Bonds	2.00
Accruals and other financial debt	0.12
(Total liquidity)	(2.67)
Net Debt (pre IFRS 16)	0.09
IFRS 16	0.34
Net Debt (post IFRS 16)	0.43

Bonds and banking facilities maturities (M€)

Liquidity as of 30 September 2022 (B€)

Note: average cost of debt ~ 5% in first 9M 2022, including treasury hedging and fees; average tenor at 30 September 2022 ~ 2.7 years

1. Restricted liquidity mainly related to projects and local currencies

2. ~ 0.5 B\$ at first closing (activities in Middle East)

Agenda

9M results: highlights

Financial performance

Closing remarks

Appendix

Offshore wind projects update

Overall offshore wind projects progress¹

• NNG (UK): jackup (Blue Tern) mobilized as per schedule; first batch of 10 jackets delivered
• Fécamp (France): installation of all the GBS completed as per schedule, final backfilling works under execution ✓
• Courseulles-sur-Mer (France): manufacturing at good stage of progress, in view of installation campaign
• Saint-Brieuc T&I (France): completed ✓
• Formosa 2 (Taiwan): all jackets delivered to client ✓

Significant acceleration year-to-date, in line with revised schedules

Selective commercial strategy brought > 13 B€ of awards year-to-date¹

~ 4.6 B€ order intake announced after 3Q 2022

NFPS Compression Complexes Project – EPC 2 in Qatar

Achieved a third of E&C Offshore Plan acquisitions in first 10 months²

Awards concentrated in Saipem's sweet spots:

• ~ 70% in offshore (E&C and drilling)
• In preferred countries, with top-tier clients

Drilling offshore fleet 74%³ booked in 2023

• 1. Order intake YTD (inc. discontinued operations) includes ~ 8.6 B€ in 9M 2022 (pre-cancellations of ~ 1 B€ backlog in 1Q 2022) + new awards announced in 4Q 2022 of ~ 4.6 B€, as of 26 October 2022. Out of > 13 B€, ~ 61% was in E&C Offshore (~ 8 B€), ~ 7% in Drilling Offshore (~ 0.9 B€), ~ 27% in E&C Onshore (~ 3.5 B€) and ~ 5% in Drilling Onshore (discontinued operations, ~ 0.7 B€). Order intake year-to-date net of order cancellations is ~ 12 B€
• 1. E&C offshore acquisitions to-date ~ 8 B€ vs ~ 24 B€ 2022-25 target for E&C offshore
• 1. % of billable time, including optional periods

Backlog portfolio evolution – Shift towards offshore is proceeding

IFRS Backlog portfolio

Nota: 545 M€ Non-consolidated backlog @ 30 September 2022, of which 435M€ in Russia (~ 0.8 B€ of non-consolidated projects in Russia removed, see slide 23) 1. Backlog as of 30 September 2022 + new awards announced in 4Q 2022 of ~ 4.6 B€, as of 26 October 2022

Sizeable opportunity set in the short-term¹ worth ~ 41 B€ Project pipeline strong increase, weighed towards offshore

1. Six quarters ahead, starting from Q4 2022

2. From 29 B€ in 2Q 2022 presentation to 41 B€ in 3Q 2022 presentation

Asset valorization and quick cash actions are being delivered Sale of Drilling Onshore for 550 M\$ + 10% in KCA Deutag on track

Note: consideration subject to customary closing adjustments

• 1. Delivery of most of activities in Middle East
• 1. Delivery of activities in Americas and remaining jurisdictions
• 1. Saipem's Drilling Onshore Adjusted EBITDA. KCA Deutag Adjusted EBITDA has been exchanged in € equivalents using Saipem's accounting average exchange rates for the periods
• 1. KCA Deutag Net Debt at 30 June 2022 was 302 M€ pre-IFRS 16 and 404 M€ post-IFRS 16 (exchanged in € equivalents using Saipem's accounting end of period exchange rate)

Agenda

9M results: highlights

Financial performance

Operational update

Appendix

Closing remarks

Robust performance in 3Q with acceleration of revenues and adjusted EBITDA, leading to FY 2022 guidance upgrade

Strong order intake YTD¹ (> 13 B€), ~ 70% in high-margin offshore segments, confirming Saipem competitive positioning

Offshore wind project execution back on track, onshore drilling disposal nearing completion

Focus on delivery of Strategic Plan, leveraging the O&G supercycle

Delivery on track, strategic update planned at FY22 results presentation

²¹ 1. Order intake YTD (incl. discontinued operations) includes ~ 8.6 B€ in 9M 2022 (pre-cancellations of ~ 1 B€ backlog in 1Q 2022) + new awards announced in 4Q 2022 of ~ 4.6 B€, as of 26 October 2022

Agenda

9M results: highlights

Financial performance

Operational update

Closing remarks

Update on Russian backlog

• Orderly exit from existing consolidated projects¹ in Russia completed
• Orderly exit ongoing on 2 non-consolidated projects² , almost entirely removed from backlog @end of September 2022 (removed ~ 0.8B€)
• No new acquisitions in Russia in 2022-25 Strategic Plan
• Monitoring the continuous evolution of the geopolitical context and sanctioning framework

^1. Modernization of the Moscow refinery and the drilling activity relating to the Perro Negro 8 vessel have been terminated

²³ 2. The conclusion of the activities related to the two projects for the customer Arctic LNG2 (GBS + Topsides) is ongoing consistently with the provisions and timeframe of the sanctioning framework

3Q 2022 group results

QoQ comparison - Revenues and adjusted¹ EBITDA, including discontinued operations² (M€)

Drilling Onshore (discontinued operations² )

1. Excluding special items; see slide 28 in the appendix for special items

3Q 2022 results by division QoQ comparison (M€)

1. Excluding special items

9M 2022 backlog distribution Sizeable backlog provides support for the mid-term

Non-consolidated Backlog By Year Of Execution

2022	2023	2024+
240	296	9	M€

9M 2022 Net Debt evolution

1. Others including cash special items, repayment of lease liabilities, cash flow from own funds and exchange differences

9M 2022 Net Result - Reconciliation Adjusted vs Reported

Net Result (M€)

Drilling Onshore (discontinued operations² )

Costs from Covid-19

Cost mainly related to management of pandemic and safeguarding people's health

• o Cost of personnel on stand-by
• o Personal protective equipment
• o Sanitising work areas

• FY2022 expected broadly in line with FY2020

Drilling offshore fleet booking on the rise

Drilling Vessel Engagement Map (2022-24)

			2022	2023	2024	Client	Area
er v. at n w E h p- ars e e D H a d Ultr n a		Saipem 12000			to 2025	Eni	Africa
		Saipem 10000				Eni	Egypt/Italy
		Santorini1				Eni	US GoM
		Scarabeo 9				Eni, Azule	Angola
		Scarabeo 8			to 2025	Wintershall, Aker BP	Norway
	Deep-W.	Scarabeo 52				Eni	Angola
er at w w- o all h S		Perro Negro 8	Rig preparation3	TO 2024>	to 2027	Saudi Aramco	Saudi Arabia
		Perro Negro 7				Saudi Aramco	Saudi Arabia
	c e p S Hi	Pioneer1				Eni	Mexico
		Sea Lion 71				Saudi Aramco	Saudi Arabia
		Perro Negro 91				Saudi Aramco	Saudi Arabia
		Perro Negro 111	Note 3		to 2027	Saudi Aramco	Saudi Arabia
	D T S	Perro Negro 4				Petrobel	Egypt
4 New awards Optional period Committed					4. Awards year-to-date

Asset schedule substantially covered in 2022

→ New leased high-spec. jackup

• 1. Leased vessel; new leased jackup to join the fleet during 2022
• 1. Engagement for production support
• 30 3. Rig under contract in preparation

Onshore drilling fleet utilisation improved