Saipem reports on strong second quarter

The Board of Directors of Saipem S.p.A. has reviewed Saipem’s second quarter results and consolidated Six-Month Report at 30 June 2014.

Financial results – Q2 2014

• Revenues: €3.075 billion.
• EBIT: €166 million.
• Net profit: €75 million.

Financial results – first half of 2014

• Revenues: €5.966 billion.
• EBIT: €293 million.
• Net profit: €136 million.
• Investments: €329 million (€490 million in the first half of 2013).
• Net debt: €5.104 billion (€4.760 billion at 31 December 2013).
• New contracts: €13.132 billion (€6.704 billion in the first half of 2013).
• Backlog: €24.215 billion at 30 June 2014 (€17.065 billion at 31 December 2013).

Guidance for 2014

• Revenues: approximately €13 billion.
• EBIT: between €600 and €700 million.
• Net profit: between €280 and €330 million.
• Capex: approximately €750 million.
• Net debt: between €4.2 and €4.5 billion.

Umberto Vergine, Saipem CEO, commented on the results: “The strong start we made in the first quarter, in terms of winning new business in line with our strict commercial criteria, accelerated even further with a record €9.2 billion of new awards during the second quarter. Saipem continues to be committed and is making progress in the execution and negotiation of legacy contracts. This remains our highest priority, as we work to strengthen our balance sheet and reduce our debt levels. The task of restoring Saipem to full health is not yet complete, but the components for a recovery are in place as we work towards realising the company’s potential in the medium term”.

Adapted from press release by Rosalie Starling

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