Summary
TechnipFMC plc (FTI) reported a significant increase in revenue for the third quarter and the first nine months of 2023 compared to the prior year, driven primarily by the Subsea segment. Total revenue for the three months ended September 30, 2023, was $2.06 billion, up 18.7% year-over-year, while nine-month revenue reached $5.75 billion, an increase of 14.8%. This growth is attributed to a strong backlog, particularly in Subsea, and increased activity in key regions like Brazil and Norway. The company achieved a substantial improvement in profitability, with net income attributable to TechnipFMC plc for the third quarter of $90.0 million, a dramatic turnaround from a net loss of $10.3 million in the same period last year. The nine-month net income was $3.2 million, compared to a loss of $69.9 million in the prior year. This improved financial performance reflects higher revenues, improved gross profit margins driven by volume and favorable mix, and effective cost management, despite increased selling, general, and administrative expenses. The company also announced a new quarterly cash dividend of $0.05 per share and continued its share repurchase program.
Financial Highlights
48 data points| Revenue | $2.06B |
| R&D Expenses | $17.50M |
| SG&A Expenses | $183.80M |
| Operating Expenses | $1.90B |
| Operating Income | $211.00M |
| Interest Expense | $30.70M |
| Net Income | $90.00M |
| EPS (Basic) | $0.21 |
| EPS (Diluted) | $0.20 |
| Shares Outstanding (Basic) | 436.90M |
| Shares Outstanding (Diluted) | 450.30M |
Key Highlights
- 1Revenue surged by 18.7% year-over-year to $2.06 billion in Q3 2023, and by 14.8% for the nine months to $5.75 billion, driven by strong performance in the Subsea segment.
- 2Net income attributable to TechnipFMC plc turned positive, reaching $90.0 million in Q3 2023, a significant improvement from a net loss of $10.3 million in Q3 2022. The nine-month net income was $3.2 million, recovering from a $69.9 million loss in the same period last year.
- 3Subsea segment revenue increased by 20.7% in Q3 and 14.5% for the nine months, supported by a substantial backlog and increased project activity, particularly in Brazil and Norway.
- 4Surface Technologies segment revenue grew by 9.6% in Q3 and 16.3% for the nine months, with notable contributions from the Middle East and North America.
- 5The company's order backlog reached $13.23 billion as of September 30, 2023, an increase of nearly 42% from December 31, 2022, primarily due to a significant rise in Subsea orders.
- 6TechnipFMC strengthened its liquidity position by amending its revolving credit facility to $1.25 billion and also entered into a new $500 million performance letters of credit facility.
- 7The company declared a quarterly cash dividend of $0.05 per share and continued its share repurchase program, authorizing up to an additional $400 million.