TechnipFMC plc — Investor Presentation 2019

Mar 25, 2019

TechnipFMC Scotia Howard Weil Presentation

LONDON & PARIS & HOUSTON – (BUSINESS WIRE) – 25 March 2019

TechnipFMC plc (“TechnipFMC”) (NYSE: FTI) (Paris: FTI) (ISIN: GB00BDSFG982) announces the availability of its Scotia Howard Weil Presentation on Monday, 25 March 2019 to discuss Company expectations for integrated EPCI (iEPCI™) awards in 2019 as well as commentary related to client reception to Subsea 2.0™ technologies.

A copy of the Scotia Howard Weil Presentation can also be accessed on TechnipFMC’s website (www.technipfmc.com).

About TechnipFMC

TechnipFMC is a global leader in subsea, onshore/offshore, and surface projects. With our proprietary technologies and production systems, integrated expertise, and comprehensive solutions, we are transforming our clients’ project economics.

We are uniquely positioned to deliver greater efficiency across project lifecycles from concept to project delivery and beyond. Through innovative technologies and improved efficiencies, our offering unlocks new possibilities for our clients in developing their oil and gas resources.

Each of our more than 37,000 employees is driven by a steady commitment to clients and a culture of purposeful innovation, challenging industry conventions, and rethinking how the best results are achieved.

To learn more about us and how we are enhancing the performance of the world’s energy industry, go to TechnipFMC.com and follow us on Twitter @TechnipFMC.

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Contacts

Investor relations

Matt Seinsheimer
Vice President Investor Relations
Tel: +1 281 260 3665
Email: Matt Seinsheimer

Phillip Lindsay
Director Investor Relations Europe
Tel: +44 203 429 3929
Email: Phillip Lindsay

Media relations

Christophe Belorgeot
Senior Vice President Corporate Engagement
Tel: +33 1 47 78 39 92
Email: Christophe Belorgeot

Delphine Nayral
Director Public Relations
Tel: +33 1 47 78 34 83
Email: Delphine Nayral

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TechnipFMC

47th Annual Scotia Howard Weil Energy Conference

Doug Pferdehirt, Chief Executive Officer

March 25, 2019

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Disclaimer

Forward-looking statements

We would like to caution you with respect to any "forward-looking statements" made in this presentation as defined in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. The words such as "believe," "expect," "anticipate," "plan," "intend," "foresee," "should," "would," "could," "may," "estimate," "outlook" and similar expressions are intended to identify forward-looking statements, which are generally not historical in nature.

Such forward-looking statements involve significant risks, uncertainties and assumptions that could cause actual results to differ materially from our historical experience and our present expectations or projections, including the following known material factors: risks related to review of our internal controls over certain information technology general controls and over period-end financial reporting and any resulting financial restatements, filing delay, regulatory non-compliance or litigation and the risk that additional information may arise during such review that would require us to make additional adjustments or identify additional material weaknesses; competitive factors in our industry; risks related to our information technology infrastructure and intellectual property; risks related to our business operations and products; risks related to third parties with whom we do business; our ability to hire and retain key personnel; risks related to legislation or governmental regulations affecting us; international, national or local economic, social or political conditions; risks associated with being a public listed company; conditions in the credit markets; risks associated with litigation or investigations; risks associated with accounting estimates, currency fluctuations and foreign exchange controls; risks related to integration; tax-related risks; and such other risk factors as set forth in our filings with the United States Securities and Exchange Commission.

We caution you not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any of our forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise, except to the extent required by law.

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Integration propels record quarterly orders

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2019 Inbound orders off to strong start

Q1 2019e Subsea inbound orders
vs.
Historical peak of Subsea inbound orders (TechnipFMC)

Inbound order strength across all sectors

• Subsea
• Anticipate third consecutive year of order growth

• Increased iEPCI™ activity

• Onshore/Offshore

• Diverse order intake; awards in offshore and downstream, including large reimbursable

• Greater visibility on inbound outlook driven by LNG

• Surface

• International growth supported by increased activity in the Middle East
• Momentum builds for new technologies, integrated model

> Expect record quarterly Subsea inbound orders

iEPCI™: integrated engineering, procurement, construction and installation

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iFEED™ is an enabler, drives momentum

Integrated FEEDs continue to grow

• New iFEED™ studies nearly doubled in 2018 (YoY)
• Maturing portfolio of integrated studies
• iFEED™ conversion drives iEPCI™ momentum

iEPCI™ acceleration

iFEED™: integrated front end engineering and design

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iEPCI™ continues to take share and drive growth

Growing and maturing iFEED™ portfolio inspires confidence in 2019 and beyond

Anticipate increased value of iEPCI™ awards in 2019e

Strong customer qualification and adoption of new technology – Subsea 2.0™

2017

2018
% of FTI Subsea orders
iEPCI™ • All Other

2019e

> Integrated projects likely to exceed 25% of 2019e Subsea inbound orders

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Subsea 2.0™: Deploying next generation technology

Successful adoption

60% of Subsea FEED studies include Subsea 2.0™ products since January 2018

Subsea 2.0™ trees to be tendered in 2019 by client type

Growing client acceptance

• Client acceptance and qualification growing for Subsea 2.0™
• Actively tendering Subsea 2.0™ production systems
• Successful deployment of Subsea 2.0™ with major deepwater clients

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Strengthening our competitive position through collaboration

Investing in the future

Mozambique

• First oil and gas engineering center opened with ENHL, furthering strategic partnership
• Development of national content through knowledge transfer
• 90% of staff comprised of local workforce

Guyana

• New location to support second phase of Liza project and future projects
• First mover advantage leveraged through development of local apprentice program
• Trained Guyanese employees transitioning into operational teams

Strategic alliances

Four new iEPCI™ alliances

• Agreements in place to develop cost-effective, integrated Subsea projects
• Early engagement through concept selection key to project success
• Full scope of products and services available

Saudi Aramco agreements

• Long-Term Offshore Agreement
• Joint Development Collaboration Agreement - Catalytic Crude to Chemicals Technology
• State-of-the-art manufacturing, aftermarket and training facility for Surface Technologies

> First mover advantage and commitment to sustainability create differentiation for TechnipFMC

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Well-positioned for the unfolding wave of LNG activity

| Focused on
select LNG
opportunities | Targeting | Across | With |
| --- | --- | --- | --- |
| | 5
Projects globally | 5
Continents | 7
Strategic partners |
| LNG leadership | |
| --- | --- |
| 90^{Mtpa}
Global production
delivered | 50 year track record in LNG
• World’s first LNG Algeria (1964)
• World’s largest LNG trains Qatar
• Largest Arctic project Yamal |
| >20%
Of operating LNG
capacity^{(1)} | Pioneer in floating LNG (FLNG)
• World’s first FLNG delivered for Petronas Satu in Malaysia
• World’s largest floating vessel Shell Prelude in Australia
• New frontier Eni Coral in Mozambique |
| 7.8^{Mtpa}
World’s largest LNG
trains delivered | |

(1) Percentage is based on 71.5 / 340.2 Mtpa (million tonnes per annum) of TechnipFMC delivered and operating / industry operating capacity as of December 31, 2017; source: IHS.

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Capital discipline fully aligned with shareholder interests

Disciplined capital spend

• 2019e capital expenditures of $350M
• Reduced 13% versus initial guidance

• Remains below depreciation

• Expenditures include targeted growth spend focused on value-enhancing opportunities

[ Capex reduced 13% ]

Shareholder distributions

• Quarterly cash dividend: $0.13/share
• Current dividend yield¹ of 2.3%

• Retain flexibility to grow over time

• Active share repurchase

• Completed initial $500 million share repurchase; announced new $300 million program (Dec 2018)

[ Returned $681 million (2018) ]

Management compensation

• Long-term incentive compensation aligned with shareholders
• 60% of incentive pay is performance-based equity

• Targets include stock performance, return on invested capital (ROIC)

• Compensation plan extends to senior leadership and business units

[ Incentivized to drive returns ]

¹ Public market quote from Bloomberg LLP; share price as of March 22, 2019

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TechnipFMC