In This Article:
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Revenue: EUR6.9 billion, a 14% increase year-over-year.
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EBITDA: EUR608 million, a 13% increase.
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EPS: EUR2.16 per share, a 33% increase.
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Order Intake: Over EUR10 billion, marking the second consecutive year surpassing this milestone.
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Backlog: Approaching EUR20 billion, a 25% year-over-year increase.
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Free Cash Flow: EUR519 million with an 85% cash conversion from EBITDA.
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Gross Cash: EUR4.1 billion at year-end.
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Dividend Proposal: Near 50% increase in annual dividend.
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Project Delivery Revenue: EUR4.1 billion, a 19% increase year-over-year.
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TPS Revenue: Close to EUR2 billion.
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Recurring EBIT: EUR496 million, an 11% increase.
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Net Financial Income: EUR120 million.
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Return on Equity: 19%.
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Scope 1 and 2 Emissions Reduction: 41% reduction compared to 2021.
Release Date: February 27, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Technip Energies NV (THNPF) reported a 14% increase in revenue for 2024, reaching EUR6.9 billion, surpassing the top end of the upgraded guidance range.
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The company achieved a 13% increase in EBITDA to EUR608 million, translating to its highest-ever levels of EBIT and earnings per share.
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Order intake exceeded EUR10 billion for the second consecutive year, driving the backlog to an all-time high approaching EUR20 billion.
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Technip Energies NV (THNPF) proposed a near 50% increase in annual dividend, reflecting strong confidence in its business outlook.
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The company achieved a 41% reduction in Scope 1 and 2 emissions compared to 2021 and raised its emissions reduction targets from 30% to 45% by 2025.
Negative Points
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Project Delivery margins saw a 50-basis point contraction due to the rebalancing of the project portfolio with increased revenue contribution from early phase projects.
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The effective tax rate was at 30.2%, which is on the higher end of the guidance range of 29% to 33%.
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There are concerns about potential tariff threats in the US LNG market, which could complicate modularized construction approaches.
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The Neste project faced delays and higher investment requirements, although Technip Energies NV (THNPF) is not financially impacted due to its service model.
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The timeline for final investment decisions on some projects, such as Reju, is contingent on securing feedstock and offtake agreements, which could delay project execution.
Q & A Highlights
Q: Congrats on the results. Regarding transition projects, you booked the significant Net Zero Teesside award in 4Q. Do you see any change to the outlook or timeline for BP's low carbon hydrogen facility? Also, can you give an indication on the scale of the award relative to Net Zero Teesside? A: Net Zero Teesside is not threatened by BP's recent announcements. The project is well under execution with no change to the plan. The FEED for BP H2Teesside continues, and the FID will depend on securing offtake for blue hydrogen. The scale of the award for BP's hydrogen facility is expected to be much smaller than Net Zero Teesside.