Technip’s Third Quarter 2014 Results: Solid delivery against our objectives

THIRD QUARTER 2014 RESULTS

• Order intake of €2.2 billion
• Revenue of €2.8 billion up 18%
• Operating income from recurring activities¹: Subsea €193 million and Onshore/Offshore €70 million
• Net income of €158 million before, and €132 million after non-current items

OBJECTIVES UNCHANGED FOR 2014 AND 2015 (see text in section III)

• Subsea 2014: Revenue between €4.6 and €4.9 billion, operating margin of at least 12%
• Subsea 2015: Revenue well above €5 billion, operating margin between 15% and 17%
• Onshore/Offshore 2014: Revenue between €5.55 and €5.80 billion, base case operating margin 5% to 6%
• Onshore/Offshore 2015: Revenue around €6 billion with stable operating margin versus 2014

PARIS--(BUSINESS WIRE)--Regulatory News:

Technip (Paris:TEC) (ISIN:FR0000131708) (ADR:TKPPY):

On October 28, 2014, Technip’s Board of Directors approved the third quarter 2014 consolidated financial statements.

€ million (except Diluted Earnings per Share)	3Q 13*	3Q 14	Change	9M 13*	9M 14	Change
Revenue	2,397.9	2,824.7	17.8%	6,808.8	7,908.6	16.2%
EBITDA^2	278.8	305.1	9.4%	787.7	788.7	0.1%
EBITDA Margin	11.6%	10.8%	(83)bp	11.6%	10.0%	(160)bp
OIFRA after Income/(Loss) of Equity Affiliates^1	219.5	241.5	10.0%	630.8	601.4	(4.7)%
Operating Margin^3	9.2%	8.5%	(60)bp	9.3%	7.6%	(166)bp
Operating Income After Non-current Items	219.5	207.7	(5.4)%	630.8	561.1	(11.0)%
Net Income of the Parent Company	150.0	131.6	(12.3)%	428.6	356.5	(16.8)%
Diluted Earnings per Share^4 (€)	1.24	1.10	(11.4)%	3.56	2.98	(16.4)%
Order Intake	2,290	2,211		7,898	12,069
Backlog	14,739	19,306		14,739	19,306

* restated for retrospective application of IFRS 10, 11 & 12
¹ Operating income from recurring activities after Income/(Loss) of Equity Affiliates.
² Operating income from recurring activities after Income/(Loss) of Equity Affiliates before depreciation and amortization.
³ Operating income from recurring activities after Income/(Loss) of Equity Affiliates, divided by revenue.
⁴ As per IFRS, diluted earnings per share are calculated by dividing profit or loss attributable to the Parent Company’s Shareholders, restated for financial interest related to dilutive potential ordinary shares, by the weighted average number of outstanding shares during the period, plus the effect of dilutive potential ordinary shares related to the convertible bonds, dilutive stock options and performance shares calculated according to the “Share Purchase Method” (IFRS 2), less treasury shares. In conformity with this method, anti-dilutive stock options are ignored in calculating EPS. Dilutive options are taken into account if the subscription price of the stock options plus the future IFRS 2 charge (i.e. the sum of annual charge to be recorded until the end of the stock option plan) is lower than the average market share price during the period.

Thierry Pilenko, Chairman and CEO, commented: “The third quarter showed solid delivery against our objectives, with business won across our segments and geographies. We can report a quarter of sales and profit growth, strong order intake, momentum in our cost reduction and good cash generation.

Third quarter performance

Subsea delivered revenue growth of 24%, with profitability at 14.3%. Project activity was good across our regions, in line with normal seasonality. The Deep Blue completed its planned maintenance and returned to new projects in the US Gulf of Mexico. The summer offshore campaign in the North Sea moved forward satisfactorily and in Angola installation progressed well on Block 15/06. Fleet optimization actions taken over the last 18 months resulted in a high level of utilization – 86% compared to 75% a year ago. The Açu flexible pipe plant in Brazil ramped up well this quarter.

Subsea order intake in the third quarter was robust and diversified, including Kodiak in the US Gulf of Mexico, Edradour and Kraken in the North Sea, and Bangka in Indonesia. We continue to see a busy bidding pipeline.

For the Onshore/Offshore segment we delivered revenue growth of 13% and €70 million of operating profit. We continued to mobilize well on the Yamal project in Russia, and first steel was cut on modules in China. Construction was nearly complete for the Burgas refinery in Bulgaria, while the Heidelberg Spar sailed away for the US Gulf of Mexico.

We grew our Project Management Consultancy (PMC) business winning the RAPID PMC contract in Malaysia. PMC gives us long-term visibility with a good risk/reward profile. We continue to win projects, notably in the flourishing North American market, based around our technology footprint.

Our net cash position improved compared to end-June, to €747 million, reflecting both project progress and our solid order intake.

We maintained our focus on costs. SG&A was €21 million lower in the quarter and €43 million lower year-to-date, reflecting restructuring and reorganisation initiatives, lower start-up costs and the divestment of non-core activities. In the third quarter, we completed the divestment of our Indian diving business. Capex fell to €77 million compared to €157 million a year ago, as the investment in Açu was almost completed. We continue to invest modestly in key areas such as flexible pipes in Le Trait, France.

Outlook and strategy

Our full year guidance is unchanged compared to what we said in July. Looking further ahead, although there remain reasons to be cautious (such as the lower oil price and the factors we highlighted in the second quarter), we expect to build on the opportunities that we see for Technip to expand its leadership:

• The ability to work early with our clients across our activities to devise a project approach that meets their needs to reduce cost and complexity in their projects, as evidenced by the Juniper award,
• The continued attraction of North America as a region of upstream (LNG) and downstream growth (refining and petrochemical), as evidenced by our technology awards such as ASCENT and Sasol,
• The success of the PMC service capabilities acquired with Stone & Webster, as highlighted by our involvement for the RAPID project in Malaysia, and
• The strong demand in Brazil for high-end flexible pipes driven by the planned arrival of FPSOs for the pre-salt fields.

To conclude, our solid backlog of €19.3 billion to which a growing number of reimbursable and long-term service and charter contracts can be added, gives us good visibility. We will maintain our focus on excellence in project execution, on our capital and cost discipline, on cash flow and return on capital. This will enable us to pursue our strategy of providing sustainable growth and predictable dividends for our shareholders, whilst broadening Technip’s industry leadership in oil services to better serve our clients.”

I. PORTFOLIO OF PROJECTS

1. Third Quarter 2014 Order Intake

During third quarter 2014, Technip’s order intake was €2.2 billion. The breakdown by business segment was as follows:

Order Intake (€ million)	3Q 2013*	3Q 2014
Subsea	907	1,272
Onshore/Offshore	1,383	939
Total	2,290	2,211

* restated for retrospective application of IFRS 10, 11 & 12

Subsea order intake comprised a substantial contract for the Juniper field located offshore Trinidad, including the provision of flexible flowlines to be manufactured at our Flexi France facility in Le Trait, rigid pipelines to be installed by the G1200, subsea equipment, and an extensive diving campaign. This award also has an offshore scope (see below) and illustrates Technip’s ability to deploy expertise across a broad range to assist clients.

In the North Sea, Technip was awarded two large contracts, one for the development of the Edradour field and the other for the Kraken field. For both projects, pipelines will be fabricated at our spoolbase in Evanton, UK, and installed by vessels including the Deep Energy, while umbilicals will be manufactured in our recently upgraded facility in Newcastle, UK.

In the US Gulf of Mexico, a contract was awarded for the development of the Kodiak field, including fabrication and installation of a reeled bi-metallic flowline, capable of withstanding demanding operating conditions at a water depth of up to 1,710 meters.

Technip also won a substantial contract in the Bangka development, our second project won this year in Indonesia, for which flexible pipes will be fabricated in our Asiaflex plant in Malaysia and installed by the Deep Orient.

Onshore/Offshore order intake included the offshore scope of the Juniper field development which consists of the design, detailed engineering, procurement, construction and load out of a topside and a jacket, to be fabricated, as per client requests, in Trinidad to deliver high local content.

In Bahrain, Technip was awarded a significant contract to develop the Front-End Engineering Design (FEED) of new units aimed at enhancing the refinery configuration.

In the USA, Technip was awarded a contract to supply its proprietary ethylene technology for a world-class grassroots ethane cracker to be located in West Virginia.

In India, a contract was awarded to provide engineering, procurement and construction management for a new industrial gas complex in Kochi.

In Malaysia, Technip also won a substantial services contract for engineering, procurement and construction of the Utility, Interconnecting and Offsite (UIO) of the Refinery and Petrochemical Integrated Development (RAPID).

Listed in annex IV (b) are the main contracts announced since July 2014 and their approximate value if publicly disclosed.

2. Backlog by Geographic Area

At the end of third quarter 2014, Technip’s backlog was €19.3 billion, compared with €19.9 billion at the end of second quarter 2014 and €14.7 billion at the end of third quarter 2013, restated for retrospective application of IFRS 10, 11 & 12.

The geographic split of the backlog is set out in the table below:

Backlog (€ million)	June 30, 2014	September 30, 2014	Change
Europe, Russia, Central Asia	7,554	7,708	2.0%
Africa	4,776	4,529	(5.2)%
Middle East	1,188	1,060	(10.8)%
Asia Pacific	2,843	2,522	(11.3)%
Americas	3,499	3,487	(0.4)%
Total	19,860	19,306	(2.8)%

3. Backlog Scheduling

Approximately 13% of the backlog is estimated to be scheduled for execution in 2014.

Backlog Estimated Scheduling^1 as of September 30, 2014 (€ million)	Subsea	Onshore/Offshore	Group
2014 (3 months)	1,080	1,367	2,447
2015	4,349	4,145	8,494
2016 and beyond	4,033	4,332	8,365
Total	9,462	9,844	19,306

¹Long-term charters not included, reflects the new application of IFRS 10, 11 & 12

II. THIRD QUARTER 2014 OPERATIONAL & FINANCIAL HIGHLIGHTS

1. Subsea

Subsea main operations for the quarter were as follows:

• In the Americas:
  • In the US Gulf of Mexico, the Deep Blue completed offshore works on Hadrian South. On the Delta House project the G1200 completed its work, while the Deep Blue finished its first installation trip in July, before going into planned maintenance. The G1200 was then mobilized on Starfish to install rigid pipelines. At the same time, engineering and procurement continued on Stones and Julia projects.
  • In Brazil, production continued for the flexible pipes dedicated to the Iracema Sul, Sapinhoá & Lula Nordeste and Sapinhoá Norte pre-salt fields in our manufacturing plants at Vitoria and Açu, for which ramp-up continues. Coral do Atlantico, one of our two new 550-ton pipelay vessels, has now arrived in Brazil and has just started operations.
  • In Canada, the Apache II and the Wellservicer successfully completed flexible installation on the South White Rose Extension project.

• In the North Sea, our pipelay vessel the Deep Energy completed the pipeline installation on Bøyla in Norway and installed production flowlines on Quad 204 in Scotland. At the same time, offshore phases continued on the Åsgard Subsea Compression project in Norway, mobilizing the North Sea Atlantic, recently delivered to Technip by North Sea Shipping.
• In West Africa, the Deep Pioneer continued the installation of flexible pipes for the Block 15/06 development. Engineering and procurement phases moved forward on other large projects, including Moho Nord in Congo, T.E.N. in Ghana, and Kaombo in Angola. Engineering continued on the steel tube umbilicals for the Egina project in Nigeria.
• In Asia Pacific, the Deep Orient has completed offshore works on Laila and D12, in Malaysia. In China, the Panyu project was completed. Meanwhile, engineering and procurement continued on the Malikai and Prelude projects, in Malaysia and Australia respectively. Early manufacturing work started at our Asiaflex plant for the Jangkrik project in Indonesia.
• In Middle East, the installation campaign of the Jalilah B pipelines by the G1201 was finalized in the United Arab Emirates.

Overall, the Group vessel utilization rate for the third quarter of 2014 was 86%, compared with 75% for the third quarter 2013, and 88% in the second quarter of 2014. The Deep Blue is now back to work after planned maintenance.

Subsea financial performance is set out in the following table:

€ million	3Q 2013*	3Q 2014	Change
Subsea
Revenue	1,088	1,348	23.9%
EBITDA	207	247	18.9%
EBITDA Margin	19.0%	18.3%	(77)bp
OIFRA after Income/(Loss) of Equity Affiliates	158	193	22.0%
Operating Margin	14.5%	14.3%	(22)bp

* restated for retrospective application of IFRS 10, 11 & 12

2. Onshore/Offshore

Onshore/Offshore main operations for the quarter were as follows:

• In the Middle East, construction progressed on the Halobutyl elastomer facility in Saudi Arabia. The first steel cutting ceremony was held in China for the FMB platform to be fabricated for Qatar, while the PMP project was ready for start-up. In Abu Dhabi, engineering and procurement activities moved forward on the Umm Lulu complex and construction works progressed on the Upper Zakum 750 EPC1. In Bahrain, construction continued on the Sulfur Recovery Unit modification project.

• In Asia Pacific, construction of the Petronas FLNG 1 and Prelude FLNG progressed, with the first topsides module lifted for both. Engineering and procurement activities progressed on the Maharaja Lela & Jamalulalam South gas development in Brunei, while construction of the platform started on the block SK316 in Malaysia. Engineering and procurement activities progressed on the JBF Mangalore PTA plant in India.
• In the Americas, engineering and procurement activities continued for the CPChem polyethylene plants in Texas, while FEED work progressed on a GTL plant in Lake Charles, Louisiana. In Mexico, construction works continued on the Ethylene XXI petrochemical complex. At the same time, engineering and procurement activities progressed on the P-76 FPSO topsides in Brazil.
• Elsewhere, construction was nearly complete for the Burgas refinery in Bulgaria. First steel was cut in South Korea for the Martin Linge platform to be installed offshore in Norway, while the sail away ceremony for the Heidelberg Spar took place in Finland. Engineering and procurement activities ramped up on the Yamal LNG project and the first steel was cut on modules in China.

Onshore/Offshore financial performance is set out in the following table:

€ million	3Q 2013*	3Q 2014	Change
Onshore/Offshore
Revenue	1,310	1,476	12.7%
OIFRA after Income/(Loss) of Equity Affiliates	87	70	(20.2)%
Operating Margin	6.7%	4.7%	(194)bp

* restated for retrospective application of IFRS 10, 11 & 12

3. Group

The Group’s Operating Income From Recurring Activities after Income/(Loss) of Equity Affiliates, including Corporate charges of €21 million, is set out in the following table:

€ million	3Q 2013*	3Q 2014	Change
Group
Revenue	2,397.9	2,824.7	17.8%
OIFRA after Income/(Loss) of Equity Affiliates	219.5	241.5	10.0%
Operating Margin	9.2%	8.5%	(60)bp

* restated for retrospective application of IFRS 10, 11 & 12

In the third quarter of 2014, compared to a year ago, the estimated translation impact from foreign exchange was negative €17 million on revenue and positive €4 million on operating income from recurring activities after income/(loss) of equity affiliates.

4. Non-Current Items and Group Net Income

Operating income including non-current items was €208 million in the third quarter 2014, versus €220 million a year ago, restated*. Non-current items of €33.8 million reflect mainly the sale of India diving business and, upon completion of current commitments expected to be before the end of 2014, the closure of the Offshore Wind business.

Financial result in the third quarter of 2014 included €17.8 million of interest expense on long-term debt and a €4.8 million positive impact from changes in foreign exchange rates and fair market value of hedging instruments (compared with a €11.4 million negative impact in the third quarter of 2013, restated*).

The variation in Diluted Number of Shares is mainly due to performance shares granted to Technip employees, more than offset by share repurchases.

€ million (except Diluted Earnings per Share and Diluted Number of Shares)	3Q 2013*	3Q 2014	Change
OIFRA after Income/(Loss) of Equity Affiliates	219.5	241.5	10.0%
Non-Current Operating Result	-	(33.8)	nm
Financial Result	(27.2)	(19.1)	(29.8)%
Income Tax Expense	(40.8)	(55.4)	35.8%
Effective Tax Rate	21.2%	29.4%	816bp
Non-Controlling Interests	(1.5)	(1.6)	6.7%
Net Income of the Parent Company	150.0	131.6	(12.3)%
Diluted Number of Shares	125,466,978	124,840,404	(0.5)%
Diluted Earnings per Share (€)	1.24	1.10	(11.4)%

* restated for retrospective application of IFRS 10, 11 & 12

5. Cash Flow and Statement of Consolidated Financial Position

As of September 30, 2014 the net cash position of €747 million includes the application of IFRS 10, 11 & 12 and compares with €611 million as of June 30, 2014.

Cash** as of June 30, 2014	3,020.6
Cash Generated from/(used in) Operating Activities	200.6
Cash Generated from/(used in) Investing Activities	(100.2)
Cash Generated from/(used in) Financing Activities	202.1
FX Impacts	61.9
Cash** as of September 30, 2014	3,385.0

** cash and cash equivalents, including bank overdrafts

Capital expenditures for the third quarter 2014 were €77 million, compared to €157 million one year ago, restated*.

Shareholders’ equity of the parent company as of September 30, 2014, was €4,393 million, compared with €4,157 million as of December 31, 2013, restated*.

III. OBJECTIVES UNCHANGED FOR 2014 AND 2015

• Subsea 2014: Revenue between €4.6 and €4.9 billion, operating margin of at least 12%
• Subsea 2015: Revenue well above €5 billion, operating margin between 15% and 17%
• Onshore/Offshore 2014¹: Revenue between €5.55 and €5.80 billion, base case operating margin 5% to 6%
• Onshore/Offshore 2015: Revenue around €6 billion with stable operating margin versus 2014

¹ Our base case outlook implies a 5% to 6% margin for the full year 2014. There are three factors impacting our margin outlook – the continued impact of the mobilization on Yamal LNG, the expected impacts of the behavior of our customers and the risks to our business of interruptions caused by geopolitics including sanctions. If our assumptions on these issues were to prove insufficiently cautious, we estimate our margin to be about a percentage point less this year.

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The information package on Third Quarter 2014 results includes this press release and the annexes which follow, as well as the presentation published on Technip’s website: www.technip.com

NOTICE

Today, Thursday, October 30, 2014, Chairman and CEO Thierry Pilenko, along with CFO Julian Waldron, will comment on Technip’s results and answer questions from the financial community during a conference call in English starting at 10:00 a.m. CET.

To participate in the conference call, you may call any of the following telephone numbers approximately 5 - 10 minutes prior to the scheduled start time:

France / Continental Europe:	[phone]
UK:	[phone]
USA:	[phone]

The conference call will also be available via a simultaneous, listen-only audio-cast on Technip’s website.

A replay of this conference call will be available approximately two hours following the conference call for 90 days on Technip’s website and for two weeks at the following telephone numbers:

	Telephone Numbers	Confirmation Code
France / Continental Europe:	[phone]	289672#
UK:	[phone]	289672#
USA:	[phone]	289672#

Cautionary note regarding forward-looking statements

This presentation contains both historical and forward-looking statements. These forward-looking statements are not based on historical facts, but rather reflect our current expectations concerning future results and events, and generally may be identified by the use of forward-looking words such as “believe”, “aim”, “expect”, “anticipate”, “intend”, “foresee”, “likely”, “should”, “planned”, “may”, “estimates”, “potential” or other similar words. Similarly, statements that describe our objectives, plans or goals are or may be forward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to differ materially from the anticipated results, performance or achievements expressed or implied by these forward-looking statements. Risks that could cause actual results to differ materially from the results anticipated in the forward-looking statements include, among other things: our ability to successfully continue to originate and execute large services contracts, and construction and project risks generally; the level of production-related capital expenditure in the oil and gas industry as well as other industries; currency fluctuations; interest rate fluctuations; raw material (especially steel) as well as maritime freight price fluctuations; the timing of development of energy resources; armed conflict or political instability in the Arabian-Persian Gulf, Africa or other regions; the strength of competition; control of costs and expenses; the reduced availability of government-sponsored export financing; losses in one or more of our large contracts; U.S. legislation relating to investments in Iran or elsewhere where we seek to do business; changes in tax legislation, rules, regulation or enforcement; intensified price pressure by our competitors; severe weather conditions; our ability to successfully keep pace with technology changes; our ability to attract and retain qualified personnel; the evolution, interpretation and uniform application and enforcement of International Financial Reporting Standards (IFRS), according to which we prepare our financial statements as of January 1, 2005; political and social stability in developing countries; competition; supply chain bottlenecks; the ability of our subcontractors to attract skilled labor; the fact that our operations may cause the discharge of hazardous substances, leading to significant environmental remediation costs; our ability to manage and mitigate logistical challenges due to underdeveloped infrastructure in some countries where we are performing projects.

Some of these risk factors are set forth and discussed in more detail in our Annual Report. Should one of these known or unknown risks materialize, or should our underlying assumptions prove incorrect, our future results could be adversely affected, causing these results to differ materially from those expressed in our forward-looking statements. These factors are not necessarily all of the important factors that could cause our actual results to differ materially from those expressed in any of our forward-looking statements. Other unknown or unpredictable factors also could have material adverse effects on our future results. The forward-looking statements included in this release are made only as of the date of this release. We cannot assure you that projected results or events will be achieved. We do not intend, and do not assume any obligation to update any industry information or forward-looking information set forth in this release to reflect subsequent events or circumstances.

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This presentation does not constitute an offer or invitation to purchase any securities of Technip in the United States or any other jurisdiction. Securities may not be offered or sold in the United States absent registration or an exemption from registration. The information contained in this presentation may not be relied upon in deciding whether or not to acquire Technip securities.

This presentation is being furnished to you solely for your information, and it may not be reproduced, redistributed or published, directly or indirectly, in whole or in part, to any other person. Non-compliance with these restrictions may result in the violation of legal restrictions of the United States or of other jurisdictions.

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Technip is a world leader in project management, engineering and construction for the energy industry.

From the deepest Subsea oil & gas developments to the largest and most complex Offshore and Onshore infrastructures, our 40,000 people are constantly offering the best solutions and most innovative technologies to meet the world’s energy challenges.

Present in 48 countries, Technip has state-of-the-art industrial assets on all continents and operates a fleet of specialized vessels for pipeline installation and subsea construction.

Technip shares are listed on the NYSE Euronext Paris exchange, and its ADR is traded in the US on the OTCQX marketplace as an American Depositary Receipt (OTCQX: TKPPY).

Euronext	OTCQX
NYSE Euronext	OTC ADR ISIN: US8785462099
ISIN: FR0000131708	OTCQX: TKPPY

ANNEX I (a) CONSOLIDATED STATEMENT OF INCOME IFRS, not audited
	Third Quarter			9 Months
€ million (except Diluted Earnings per Share and Diluted Number of Shares)	2013*	2014	Change	2013*	2014	Change
Revenue	2,397.9	2,824.7	17.8%	6,808.8	7,908.6	16.2%
Gross Margin	407.8	408.2	0.1%	1,191.5	1,121.6	(5.9)%
Research & Development Expenses	(20.4)	(21.2)	3.9%	(51.1)	(57.2)	11.9%
SG&A and Other	(170.0)	(149.4)	(12.1)%	(518.3)	(475.6)	(8.2)%
Share of Income/(Loss) of Equity Affiliates	2.1	3.9	85.7%	8.7	12.6	44.8%
OIFRA after Income/(Loss) of Equity Affiliates	219.5	241.5	10.0%	630.8	601.4	(4.7)%
Non-Current Operating Result	-	(33.8)	nm	-	(40.3)	nm
Operating Income After Non-current Items	219.5	207.7	(5.4)%	630.8	561.1	(11.0)%
Financial Result	(27.2)	(19.1)	(29.8)%	(44.4)	(60.8)	36.9%
Income/(Loss) before Tax	192.3	188.6	(1.9)%	586.4	500.3	(14.7)%
Income Tax Expense	(40.8)	(55.4)	35.8%	(154.6)	(140.9)	(8.9)%
Non-Controlling Interests	(1.5)	(1.6)	6.7%	(3.2)	(2.9)	(9.4)%
Net Income/(Loss) of the Parent Company	150.0	131.6	(12.3)%	428.6	356.5	(16.8)%
Diluted Number of Shares	125,466,978	124,840,404	(0.5)%	124,720,328	125,006,534	0.2%
Diluted Earnings per Share (€)	1.24	1.10	(11.4)%	3.56	2.98	(16.4)%

* restated for retrospective application of IFRS 10, 11 & 12

€ million (except Diluted Earnings per Share and Diluted Number of Shares)	Third Quarter 2013 As published	9 Months 2013 As published
Revenue	2,411.9	6,851.3
Gross Margin	412.8	1,208.5
Research & Development Expenses	(20.4)	(51.1)
SG&A and Other	(170.6)	(520.1)
Operating Income from Recurring Activities	221.8	637.3
Non-Current Operating Result	-	-
Operating Income	221.8	637.3
Financial Result	(29.4)	(48.4)
Share of Income/(Loss) of Equity Affiliates	0.7	0.8
Income/(Loss) before Tax	193.1	589.7
Income Tax Expense	(41.6)	(157.9)
Non-Controlling Interests	(1.5)	(3.2)
Net Income/(Loss) of the Parent Company	150.0	428.6
Diluted Number of Shares	125,466,978	124,720,328
Diluted Earnings per Share (€)	1.24	3.56

ANNEX I (b) FOREIGN CURRENCY CONVERSION RATES IFRS, not audited
	Closing Rate as of		Average Rate of
	Dec. 31, 2013	Sept. 30, 2014	3Q 2013	3Q 2014	9M 2013	9M 2014
USD for 1 EUR	1.38	1.26	1.32	1.33	1.32	1.36
GBP for 1 EUR	0.83	0.78	0.85	0.79	0.85	0.81
BRL for 1 EUR	3.26	3.08	3.03	3.01	2.79	3.10
NOK for 1 EUR	8.36	8.12	7.93	8.27	7.66	8.28

ANNEX I (c) ADDITIONAL INFORMATION BY BUSINESS SEGMENT IFRS, not audited
	Third Quarter			9 Months
€ million	2013*	2014	Change	2013*	2014	Change
SUBSEA
Revenue	1,088.3	1,348.3	23.9%	3,102.3	3,590.1	15.7%
Gross Margin	229.7	255.3	11.1%	679.8	638.0	(6.1)%
OIFRA after Income/(Loss) of Equity Affiliates	158.2	193.0	22.0%	448.1	437.2	(2.4)%
Operating Margin	14.5%	14.3%	(22)bp	14.4%	12.2%	(227)bp
Depreciation and Amortization	(49.1)	(53.5)	9.0%	(130.1)	(159.5)	22.6%
EBITDA	207.3	246.5	18.9%	578.2	596.7	3.2%
EBITDA Margin	19.0%	18.3%	(77)bp	18.6%	16.6%	(202)bp
ONSHORE/OFFSHORE
Revenue	1,309.6	1,476.4	12.7%	3,706.5	4,318.5	16.5%
Gross Margin	178.1	152.9	(14.1)%	511.7	483.6	(5.5)%
OIFRA after Income/(Loss) of Equity Affiliates	87.2	69.6	(20.2)%	249.9	228.3	(8.6)%
Operating Margin	6.7%	4.7%	(194)bp	6.7%	5.3%	(146)bp
Depreciation and Amortization	(10.2)	(10.1)	(1.0)%	(26.8)	(27.8)	3.7%
CORPORATE
OIFRA after Income/(Loss) of Equity Affiliates	(25.9)	(21.1)	(18.5)%	(67.2)	(64.1)	(4.6)%
Depreciation and Amortization	-	-	-	-	-	-

* restated for retrospective application of IFRS 10, 11 & 12

	Third Quarter	9 Months
€ million	2013 As published	2013 As published
SUBSEA
Revenue	1,094.4	3,119.9
Gross Margin	233.7	691.3
Operating Income from Recurring Activities	160.8	454.6
Operating Margin	14.7%	14.6%
Depreciation and Amortization	(52.7)	(141.7)
EBITDA	213.5	596.3
EBITDA Margin	19.5%	19.1%
ONSHORE/OFFSHORE
Revenue	1,317.5	3,731.4
Gross Margin	179.1	517.2
Operating Income from Recurring Activities	86.9	249.9
Operating Margin	6.6%	6.7%
Depreciation and Amortization	(10.3)	(27.1)
CORPORATE
Operating Income from Recurring Activities	(25.9)	(67.2)
Depreciation and Amortization	-	-

ANNEX I (d) REVENUE BY GEOGRAPHICAL AREA IFRS, not audited
	Third Quarter			9 Months
€ million	2013*	2014	Change	2013*	2014	Change
Europe, Russia, Central Asia	842.5	837.6	(0.6)%	2,036.1	2,547.2	25.1%
Africa	183.3	335.5	83.0%	504.0	815.2	61.7%
Middle East	191.2	290.3	51.8%	715.8	945.2	32.0%
Asia Pacific	465.1	543.5	16.9%	1,373.8	1,455.5	5.9%
Americas	715.8	817.8	14.2%	2,179.1	2,145.5	(1.5)%
TOTAL	2,397.9	2,824.7	17.8%	6,808.8	7,908.6	16.2%

* restated for retrospective application of IFRS 10, 11 & 12

ANNEX II CONSOLIDATED STATEMENT OF FINANCIAL POSITION IFRS
€ million	Dec. 31, 2013* (not audited)	Sept. 30, 2014 (not audited)	Dec. 31, 2013 As published
Fixed Assets	5,976.9	6,228.3	6,136.5
Deferred Tax Assets	260.1	304.1	274.8
Non-Current Assets	6,237.0	6,532.4	6,411.3
Construction Contracts – Amounts in Assets	405.0	675.7	405.0
Inventories, Trade Receivables and Other	3,172.1	3,770.5	3,189.7
Cash & Cash Equivalents	3,205.4	3,387.4	3,241.0
Current Assets	6,782.5	7,833.6	6,835.7
Assets Classified as Held for Sale	4.0	-	4.0
Total Assets	13,023.5	14,366.0	13,251.0
Shareholders’ Equity (Parent Company)	4,156.8	4,392.7	4,156.8
Non-Controlling Interests	17.3	4.8	17.3
Shareholders’ Equity	4,174.1	4,397.5	4,174.1
Non-Current Financial Debts	2,214.3	2,330.1	2,403.4
Non-Current Provisions	261.5	295.9	261.8
Deferred Tax Liabilities and Other Non-Current Liabilities	247.7	253.7	254.1
Non-Current Liabilities	2,723.5	2,879.7	2,919.3
Current Financial Debts	159.5	310.8	174.5
Current Provisions	218.2	172.5	220.9
Construction Contracts – Amounts in Liabilities	1,721.4	1,963.7	1,721.4
Trade Payables & Other	4,026.8	4,641.8	4,040.8
Current Liabilities	6,125.9	7,088.8	6,157.6
Total Shareholders’ Equity & Liabilities	13,023.5	14,366.0	13,251.0
Net Cash Position	831.6	746.5	663.1

* restated for retrospective application of IFRS 10, 11 & 12

Statement of Changes in Shareholders’ Equity (Parent Company)
not audited (€ million):
Shareholders’ Equity as of December 31, 2013*	4,156.8
9 Months 2014 Net Income	356.5
9 Months 2014 Other Comprehensive Income	61.0
Capital Increase	11.5
Treasury Shares	(20.4)
Dividends Paid	(206.5)
Other	33.8
Shareholders’ Equity as of September 30, 2014	4,392.7

* restated for retrospective application of IFRS 10, 11 & 12

ANNEX III (a) CONSOLIDATED STATEMENT OF CASH FLOWS IFRS, not audited
	9 Months
€ million	2013*		2014
Net Income/(Loss) of the Parent Company	428.6		356.5
Depreciation & Amortization of Fixed Assets	156.8		187.3
Stock Options and Performance Share Charges	35.9		29.1
Non-Current Provisions (including Employee Benefits)	22.6		14.6
Deferred Income Tax	34.4		25.3
Net (Gains)/Losses on Disposal of Assets and Investments	(5.5)		6.8
Non-Controlling Interests and Other	23.5		15.6
Cash Generated from/(used in) Operations	696.3		635.2
Change in Working Capital Requirements	(251.1)		(225.8)
Net Cash Generated from/(used in) Operating Activities		445.2		409.4
Capital Expenditures	(424.8)		(263.0)
Proceeds from Non-Current Asset Disposals	12.7		29.6
Acquisitions of Financial Assets	-		(35.6)
Acquisition Costs of Consolidated Companies, Net of Cash acquired	(8.2)		(5.9)
Net Cash Generated from/(used in) Investing Activities		(420.3)		(274.9)
Net Increase/(Decrease) in Borrowings	150.7		185.2
Capital Increase	24.7		11.5
Dividends Paid	(186.0)		(206.5)
Share Buy-Back	(40.0)		(41.8)
Net Cash Generated from/(used in) Financing Activities		(50.6)		(51.6)
Net Effects of Foreign Exchange Rate Changes		(79.2)		99.1
Net Increase/(Decrease) in Cash and Cash Equivalents		(104.9)		182.0
Bank Overdrafts at Period Beginning	(0.3)		(2.4)
Cash and Cash Equivalents at Period Beginning	2,239.4		3,205.4
Bank Overdrafts at Period End	(0.7)		(2.4)
Cash and Cash Equivalents at Period End	2,134.9		3,387.4
		(104.9)		182.0

* restated for retrospective application of IFRS 10, 11 & 12

ANNEX III (b) CASH & FINANCIAL DEBTS IFRS
€ million	Dec. 31, 2013* (not audited)	Sept. 30, 2014 (not audited)	Dec. 31, 2013 As published
Cash Equivalents	1,562.4	1,625.1	1,580.4
Cash	1,643.0	1,762.3	1,660.6
Cash & Cash Equivalents (A)	3,205.4	3,387.4	3,241.0
Current Financial Debts	159.5	310.8	174.5
Non-Current Financial Debts	2,214.3	2,330.1	2,403.4
Gross Debt (B)	2,373.8	2,640.9	2,577.9
Net Cash Position (A – B)	831.6	746.5	663.1

* restated for retrospective application of IFRS 10, 11 & 12

ANNEX IV (a) BACKLOG by Business Segment not audited
€ million	As of Sept. 30, 2013*	As of Sept. 30, 2014	Change	As of Sept. 30, 2013 As published
Subsea	6,880.8	9,461.9	37.5%	7,981.3
Onshore/Offshore	7,858.3	9,843.9	25.3%	7,869.2
Total	14,739.1	19,305.8	31.0%	15,850.5

* restated for retrospective application of IFRS 10, 11 & 12

ANNEX IV (b)
CONTRACT AWARDS
not audited

The main contracts we announced during third quarter 2014 were the following:

Subsea Segment:

• Large contract for the fabrication and installation of production pipelines destined for the Edradour Subsea Development located approximately 75 kilometers North West of the Shetland Islands, in approximately 300 meters of water: Total E&P, Scotland,
• Framework agreement for subsea services, including diving and remote operations using the Group’s dedicated diving support vessels (DSVs) and/or construction vessels: Statoil, Exxon Mobil & Gassco,
• Contract for the development of the Kodiak field located in Mississippi Canyon Block 727 and 771 at water depths ranging from 1,472 meters to 1,710 meters: Deep Gulf Energy II LLC, US Gulf of Mexico.

Onshore/Offshore Segment:

• Contract in a consortium with PT Wijaya Karya (Persero) Tbk (WIKA) including the engineering, procurement, construction and installation of gas well pads, flowlines, pipelines, a central processing plant and related infrastructure for the Matindok Gas Development project: PT Pertamina EP, Central Sulawesi, Indonesia,
• Contract through the global hydrogen alliance between Technip and Air Products to provide project management, engineering, procurement and construction management services for a new industrial gas complex located in the state of Kerala: Bharat Petroleum Corporation Ltd – Kochi Refinery, India,
• Substantial contract for engineering, procurement, installation and construction dedicated to the development of the Juniper project. The scope covers notably the topside and the jacket of the platform for the Offshore part as well as flexible flowlines for the Subsea part: BP Trinidad and Tobago LLC, off South East coast of Trinidad,
• Significant contract to develop Front-End Engineering Design (FEED) for new units in order to increase throughput from 267,000 to 360,000 barrels per day, and to improve product slate and profitability: The Bahrain Petroleum Company, Kingdom of Bahrain.

Since September 30, 2014, Technip has also announced the award of the following contracts, which were included in the backlog as of September 30, 2014:

Subsea Segment:

• Large contract for the Kraken development, which covers various project management engineering and installation works, including the fabrication and pipelay of approximately 50 kilometers of rigid pipe and the installation of 14 kilometers of umbilicals: EnQuest Britain Limited, Scotland,
• Substantial contract for the Bangka development located approximately 70 kilometers offshore the province of East Kalimantan, which covers engineering, procurement, construction, installation, commissioning and pre-commissioning of flexibles, umbilical and subsea structures: Chevron, Rapak PSC area, Indonesia.

Onshore/Offshore Segment:

• Substantial services contract for engineering, procurement and construction management of the Utility, Interconnecting and Offsite (UIO) of the Refinery and Petrochemical Integrated Development (RAPID) project: Petronas, State of Johor, Malaysia,
• Contract to supply its proprietary ethylene technology for a world-class grassroots ethane cracker for the proposed ASCENT (Appalachian Shale Cracker Enterprise) petrochemical complex: Odebrecht and Braskem, West Virginia, USA,
• Contract to provide engineering and procurement (EP) for eight proprietary Ultra Selective Conversion (USC) furnaces for a world-scale ethane cracker and derivatives complex: Sasol, Lake Charles, Louisiana, USA.

Since September 30, 2014, Technip has also announced the award of the following contracts, which were not included in the backlog as of September 30, 2014:

Subsea Segment:

• Contract for the ongoing development of the Iracema North field, which covers the supply of 114 kilometers of flexible pipes, including gas lift, gas injection and gas export lines: Petrobras, Santos Basin pre-salt area, Brazil,
• 5-year frame agreement for the supply and installation of flexible pipes for EPCI or supply-only projects: Petronas Carigali, Malaysia,

Onshore/Offshore Segment:

• Contract to provide engineering, procurement, and construction management (EP&CM) for a world scale ethane cracker and derivatives complex: Sasol, Lake Charles, Louisiana, USA.