SBM Offshore Half Year 2020 Earnings

On target despite global disruption

August 6, 2020

Highlights

• Effective response to COVID-19 and oil price crises
• Successfully maintaining focus on health and safety of staff and business continuity
• Adapting the organization to ensure flexibility, performance and competitiveness
• Financial results in line with expectation
• 2020 Directional1 EBITDA guidance increased from “around” to “above” US$900 million
• 2020 Directional revenue guidance maintained at “around” US$2.3 billion

The 2020 Half Year Results and Interim Financial Statements are published on the Company’s website under https://www.sbmoffshore.com/investor-relations-centre/financial-information/financial-results/half-year-results/.

Bruno Chabas, CEO of SBM Offshore, commented:

“Over the last six months, SBM Offshore has successfully navigated a challenging period, having mitigated the COVID-19 crisis at our construction projects, in the fleet and through remote working. Our Lease and Operate team has not only kept the fleet’s uptime at historical highs but also created a COVID-19-free environment offshore. Our project teams in Turnkey are working together with client and supplier teams in order to mitigate impacts.

The financial results during the period and full year guidance remain in line with management expectation, which demonstrates the robustness of SBM Offshore’s business model and its effective response. At the same time, the COVID-19 crisis is having a profound impact on the energy industry, not only in the short term but expected also for the longer term future.

In today’s environment, clients require faster, lower carbon intensive and lower cost oil production. SBM Offshore’s emissionZEROTM program and our current technology offering bring lower carbon intensity and cost efficient solutions to our clients. Industry cycles are expected to become even shorter. In response to this reality, we are adapting SBM Offshore’s organization to ensure flexibility, performance and competitiveness, regardless of the phase in the cycle. Specialized centers will create local content and build on the Company’s experience while decreasing emissions and increasing cost competitiveness through standardization brought by the Fast4Ward® program.

SBM Offshore will continue to adapt while the energy market transforms. We are committed to delivering solutions to clients in order to make the energy transition a reality and to reduce the carbon intensity of our business.”

Financial Overview