TechnipFMC said this week it was able to deliver its strongest operational results in the third quarter of 2020 mainly due to notable projects in Norway and South America, including a major contract awarded by ExxonMobil for its Payara Development offshore Guyana.
According to the company’s Q3 results, total revenue was $3,335.7 million while net loss was $3.9 million, or $0.01 per diluted share. These results included after-tax charges and credits totaling $76.1 million of expense, or $0.17 per diluted share. Adjusted net income was $72.2 million, or $0.16 per diluted share.
Adjusted EBITDA, which excludes pre-tax charges and credits, was $321.2 million and included a foreign exchange gain of $5.6 million; adjusted EBITDA margin was 9.6 percent.
Doug Pferdehirt, Chairman and CEO of TechnipFMC said the results were achieved by working collaboratively with clients, where the company’s innovative solutions, demonstrated execution excellence and financial strength enabled its project portfolio to progress through a challenging period.
“As our clients continue to re-prioritize their portfolio investments, we have seen an increase in our award activity,” Pferdehirt said. “Inbound orders of more than $2.2 billion represent our strongest quarter of the year and a sequential increase of 45 percent, largely driven by Subsea where we were awarded notable projects in South America and Norway.”
He said with the services and project activity forecast for the remainder of the year, TechnipFMC remains confident in achieving $4 billion of subsea inbound orders for 2020.
The company will manufacture and deliver the subsea production system, including 41 enhanced vertical deep-water trees and associated tooling, six flexible risers and ten manifolds along with associated controls and tie-in equipment for the Payara Development.
“We are delighted to take the next step in the partnership established with ExxonMobil and the country of Guyana for their subsea developments,” Arnaud Pieton, President Subsea said in announcing the contract award. “As a continuation from Liza phase 1 and 2, this award is a tribute to the value created through this partnership and will also lead to growing further TechnipFMC’s local presence in Guyana.”
Payara is located approximately 193 km (120 miles) offshore Guyana with water depths of 1,500 m (4,900 ft) to 1,900 m (6,200 ft).