How did TechnipFMC perform in Q1 2025 compared with the prior quarter and prior year?

Revenue was $2.23 billion, down 5.6% sequentially but up 9.4% year-over-year. Adjusted EBITDA was $343.8 million, down 2.1% sequentially but up 36.1% year-over-year. GAAP net income attributable to the company was $142.0 million ($0.33 per diluted share), down from $224.7 million ($0.52) in Q4 2024 and up from $157.1 million ($0.35) in Q1 2024.

What drove the strength in orders and backlog?

Subsea inbound orders were $2.79 billion, with notable awards including Shell's Gato do Mato iEPCI project offshore Brazil (a major contract over $1 billion) and Equinor's Johan Sverdrup Phase 3 iEPCI project in Norway (a large contract of $500 million to $1 billion). Backlog reached $15.8 billion, including a $578 million favorable foreign exchange impact on Subsea backlog. Management also cited a Subsea Opportunities List of more than $26 billion over the next 24 months.

Is the 2025 guidance changing?

Free cash flow guidance was raised to $1.0–1.15 billion from $850 million–$1.0 billion. Subsea inbound guidance (more than $10 billion for 2025) and the midpoint of adjusted EBITDA guidance were left unchanged. The Subsea revenue guidance is $8.4–8.8 billion with a 19–20% adjusted EBITDA margin, and Surface Technologies revenue guidance is $1.2–1.35 billion with a 15–16% margin.

What is the exposure to tariffs and U.S. land market weakness?

Management said tariff exposure is largely limited to product-related revenue from U.S. land and U.S. Gulf operations, and that the impact on 2025 adjusted EBITDA should be less than $20 million after mitigation efforts. It also estimated that 95% of 2025 total company revenue will come from outside the U.S. land market, reducing exposure to lower commodity prices in that region.

What is the balance sheet and capital return position?

Cash and cash equivalents were $1.19 billion, and net cash improved to $281.9 million from $272.5 million at year-end 2024. The company repurchased 8.9 million shares for $250.1 million and paid $21 million in dividends. Total debt was about $905 million, with short-term debt rising to $494 million from $278 million at year-end 2024.

FTI 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed April 24, 2025. Cited figures are marked; the original filing is the authoritative source.

TechnipFMC (FTI) reported first-quarter 2025 results on April 24, 2025, with total revenue of $2.23 billion^a, down 5.6% sequentially but up 9.4% year-over-year.

GAAP net income attributable to the company was $142.0 million^b, or $0.33 per diluted share, versus $0.52 in the prior quarter. Adjusted EBITDA was $343.8 million (15.4% margin), and excluding a $12.1 million foreign exchange loss it was $355.9 million, up roughly 38% year-over-year on that basis. The quarter's standout items were order intake and cash generation: total inbound orders were $3.09 billion (Subsea $2.79 billion, book-to-bill 1.4x), backlog reached $15.8 billion, and free cash flow was $380 million, which management highlighted as strong given typical first-quarter seasonality.

Subsea remained the engine of the business, with revenue of $1.94 billion^c (up 11.6% year-over-year), operating profit of $247.9 million, and an adjusted EBITDA margin of 17.3%. Surface Technologies was weaker, with revenue of $297 million (down 3.2% year-over-year), an operating margin of 10.2% versus 33.7% a year earlier (which benefited from a one-time Measurement Solutions gain), and inbound orders that rebounded 34.9% sequentially. Management kept its Subsea inbound outlook of more than $10 billion for 2025 and its full-year adjusted EBITDA guidance midpoint unchanged, while raising free cash flow guidance to $1.0–1.15 billion from $850 million–$1.0 billion.

Management also estimated that tariff exposure would reduce 2025 adjusted EBITDA by less than $20 million^d. For investors, the key takeaways are the strong Subsea order momentum, the rising free cash flow outlook, and continued shareholder returns, including $250 million of share repurchases in the quarter. Watch-points include the sequential revenue decline, the sharp drop in Surface Technologies margins, and the modest GAAP earnings decline from the prior quarter, which was flattered by a higher tax benefit in Q4 2024.

02—Key points

Key Highlights

Total inbound orders of $3.09 billion, with Subsea at $2.79 billion for a 1.4x book-to-bill; Subsea has exceeded revenue in eight of the last nine quarters.
Total backlog of $15.8 billion (up 17.2% year-over-year), with Subsea backlog at $14.9 billion.
Free cash flow of $380 million on operating cash flow of $442 million; full-year 2025 FCF guidance raised to $1.0–1.15 billion from $850 million–$1.0 billion.
Adjusted EBITDA of $343.8 million (15.4% margin), or $355.9 million excluding a $12.1 million FX loss, up 36.1% year-over-year on the reported basis.
GAAP diluted EPS of $0.33, down from $0.52 sequentially and $0.35 a year ago; adjusted EPS of $0.33 versus $0.54 in Q4 2024.
Surface Technologies operating margin fell to 10.2% from 33.7% a year ago (which included a $75.2 million Measurement Solutions disposal gain), though orders rose 34.9% sequentially to $303.6 million.
Shareholder distributions of $271 million in the quarter, including $250 million of share repurchases; management said the tariff impact on 2025 adjusted EBITDA should be under $20 million.

03—Questions

Frequently Asked Questions

How did TechnipFMC perform in Q1 2025 compared with the prior quarter and prior year?
Revenue was $2.23 billion, down 5.6% sequentially but up 9.4% year-over-year. Adjusted EBITDA was $343.8 million, down 2.1% sequentially but up 36.1% year-over-year. GAAP net income attributable to the company was $142.0 million ($0.33 per diluted share), down from $224.7 million ($0.52) in Q4 2024 and up from $157.1 million ($0.35) in Q1 2024.
What drove the strength in orders and backlog?
Subsea inbound orders were $2.79 billion, with notable awards including Shell's Gato do Mato iEPCI project offshore Brazil (a major contract over $1 billion) and Equinor's Johan Sverdrup Phase 3 iEPCI project in Norway (a large contract of $500 million to $1 billion). Backlog reached $15.8 billion, including a $578 million favorable foreign exchange impact on Subsea backlog. Management also cited a Subsea Opportunities List of more than $26 billion over the next 24 months.
Is the 2025 guidance changing?
Free cash flow guidance was raised to $1.0–1.15 billion from $850 million–$1.0 billion. Subsea inbound guidance (more than $10 billion for 2025) and the midpoint of adjusted EBITDA guidance were left unchanged. The Subsea revenue guidance is $8.4–8.8 billion with a 19–20% adjusted EBITDA margin, and Surface Technologies revenue guidance is $1.2–1.35 billion with a 15–16% margin.
What is the exposure to tariffs and U.S. land market weakness?
Management said tariff exposure is largely limited to product-related revenue from U.S. land and U.S. Gulf operations, and that the impact on 2025 adjusted EBITDA should be less than $20 million after mitigation efforts. It also estimated that 95% of 2025 total company revenue will come from outside the U.S. land market, reducing exposure to lower commodity prices in that region.
What is the balance sheet and capital return position?
Cash and cash equivalents were $1.19 billion, and net cash improved to $281.9 million from $272.5 million at year-end 2024. The company repurchased 8.9 million shares for $250.1 million and paid $21 million in dividends. Total debt was about $905 million, with short-term debt rising to $494 million from $278 million at year-end 2024.

04—Continue

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