Saipem, the Italian energy industry contractor, disclosed a positive net result of 57 million euros for the first quarter of 2024, a turnaround from the breakeven recorded in the corresponding period of 2023.
The announcement came following the approval of the group’s interim management report by Saipem’s Board of Directors as of March 31, 2024.
The first-quarter results, as per a company statement, outlined Saipem’s continued enhancement in operational and financial performance.
Saipem field development ship conducting installation for Exxon’s next big oil project | OilNOW
Revenues for the period totaled three billion euros, a notable increase from 2.6 billion euros reported in Q1 2023. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) surged to 268 million euros, up from 191 million euros in the same period last year. The improvement is predominantly attributed to gains in the offshore sectors.
Despite a slight dip in new orders, with acquisitions totaling two billion euros in Q1 2024 compared to 2.7 billion euros in Q1 2023, Saipem maintains a robust order book valued at 29 billion euros. The company said the existing order backlog, coupled with a strong commercial pipeline, ensures exceptional visibility into future activity, aligning seamlessly with the strategic plan’s objectives.
Moreover, Saipem demonstrated robust cash generation, amounting to 68 million euros, resulting in a consequential decrease in net financial debt, including leasing liabilities, by 52 million euros.
Saipem recently received authorization from ExxonMobil Guyana and its Stabroek Block co-venturers to proceed with the execution of the giant Whiptail development project.
Saipem is set to occupy 81,000 square meters (m2) of the Vreed-en-Hoop Shore Base Inc facility, which would allow it to fabricate “more complex” subsea structures.
Saipem has been contracted for subsea work on all ExxonMobil’s projects at the Stabroek Block.
