Tenaris SA (NYSE:TS) Q2 2023 Results Conference Call August 3, 2023 8:00 AM ET Good day, and thank you for standing by. Welcome to Q2 2023 Tenaris S.A. Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-answer session. [Operator Instructions]. Please be advised that today's conference is being recorded. Before passing over the call to Paolo for his opening remarks, I would like to briefly comment our quarterly result ...

Tenaris SA (NYSE:TS) Q1 2023 Earnings Conference Call April 27, 2023 9:00 AM ET Company Participants Giovanni Sardagna - IR Director Paolo Rocca - Chairman & CEO Gabriel Podskubka - COO Luca Zanotti - President of United States Conference Call Participants Alessandro Pozzi - Mediobanca Marc Bianchi - TD Cowen Stephen Gengaro - Stifel, Nicolaus & Company Daniel Thomson - BNP Paribas Exane Arun Jayaram - JPMorgan Chase & Co. James Winchester - Bank of America Merrill Lynch David Anderson - Barclays Bank Gugli ...

Financial Performance - Sales grew 80% to USD 11.8 billion, with EBITDA rising to USD 3.6 billion and net income reaching USD 2.5 billion, representing 22% of net sales[18]. - Total net sales for the company amounted to $11,763 million in 2022, a significant increase from $6,521 million in 2021[201]. - Sales to North America accounted for 61% of tubular products and services sales in 2022, up from 54% in 2021[204]. Production and Capacity - The company produced over 3.5 million tons of steel pipes globally, maintaining high production levels despite complex logistics[19]. - Tenaris's effective annual production capacity for seamless tubes was 4,715 thousand tons in 2022, with actual production reaching 3,347 thousand tons, representing a utilization rate of approximately 71%[141]. - The company produced 3,746 thousand tons of steel bars in 2022, with an effective capacity of 4,485 thousand tons, indicating a utilization rate of around 83%[141]. - The Veracruz facility in Mexico has an effective annual production capacity of approximately 1,230,000 tons of seamless steel pipes and 1,200,000 tons of steel bars[146]. - The Bay City facility in Texas, with an investment of $1.8 billion, has a capacity of approximately 650,000 tons per year for seamless pipes[152]. - The effective annual production capacity for welded pipe production in the United States is 1,430,000 tons, while seamless pipe production capacity is 1,015,000 tons[159]. - The principal manufacturing facility in Argentina has an effective annual production capacity of approximately 900,000 tons of seamless steel pipe and 1,300,000 tons of steel bars[167]. Market Demand and Trends - The company expects global OCTG demand to reach around 16 million tons in 2023, the highest level since 2014, driven by increased drilling activity[27]. - The oil and gas industry is a major consumer of steel pipe products, with demand historically being volatile and dependent on drilling activities and market conditions[46]. - Demand for OCTG products in the U.S. and Canada collapsed in 2020 but began recovering towards the end of that year, continuing through 2022[211]. - The level of investment in offshore exploration and production by oil and gas companies significantly affects sales, influenced by government regulations and oil price movements[214]. Safety and Community Commitment - The lost time injury frequency rate declined by 10% to 0.9 per million man hours worked, reflecting a strong safety performance[20]. - The company is committed to community development, focusing on education and technical training initiatives[30]. Environmental and Regulatory Factors - Approximately 30% of capital expenditures are directed towards projects aimed at reducing carbon emissions intensity by 30% by 2030[25]. - Climate change legislation and increasing regulatory requirements may reduce demand for fossil fuels, impacting the company's products and services[47]. - The EU aims for zero GHG emissions by 2050, while the U.S. Inflation Reduction Act targets a 40% reduction in carbon emissions by 2030, influencing market dynamics[48]. - The company is developing products for cleaner energy sources, including hydrogen and carbon dioxide transportation systems[24]. Challenges and Risks - Increases in raw material and energy costs, along with supply disruptions, may hurt profitability and lead to production cutbacks[56]. - The company faced challenges in hiring qualified workforce during the post-pandemic recovery period, particularly at its Bay City mill[58]. - Economic and political conditions in Argentina, including high inflation rates and state intervention, could adversely affect demand for the company's products and overall financial results[62]. - The armed conflict in Ukraine has led to increased energy and commodity prices, potentially raising production costs and affecting profitability[64]. - The company may face increased operational disruptions due to labor conflicts, particularly in countries like Argentina and Brazil where inflationary pressures are significant[73]. - The company does not carry business interruption insurance, which may expose it to financial risks from production delays or damages[75]. Strategic Initiatives and Acquisitions - Multi-year agreements with major clients, including ExxonMobil and Petrobras, are expected to support future sales growth[29]. - The company terminated its joint venture with JFE Holdings in November 2022, which may impact its strategic initiatives[67]. - The acquisition agreement for Benteler Steel & Tube Manufacturing Corporation was unilaterally terminated by Benteler in February 2023, preventing the transaction from proceeding[67]. - Tenaris's strategic investments and acquisitions have included companies like Ternium and Usiminas, aimed at expanding operations and enhancing competitive positioning[122]. Cybersecurity and Operational Resilience - The company has experienced an increase in cyberattack attempts, with seven incidents reported in 2022, none of which led to breaches of business-critical IT systems[100]. - The company is committed to improving cybersecurity controls and has adopted cyber-resilience as part of its strategy to mitigate risks[100]. - The company does not currently maintain cybersecurity insurance, which may leave it vulnerable to financial losses from cyber threats[101]. Competitive Landscape - The global market for steel pipe products is highly competitive, with significant excess production capacity, particularly for standard grades[51]. - Antidumping and countervailing duty investigations may restrict access to important export markets, adversely impacting sales[52]. - Local content requirements in countries like Saudi Arabia and Brazil could negatively affect the company's competitive position[53]. - Trade regulations, including tariffs and sanctions, can materially impact operations and revenues, as seen with the U.S. Section 232 tariffs[55].

Tenaris S.A. (NYSE:TS) Q4 2022 Earnings Conference Call February 16, 2023 9:00 AM ET Company Participants Giovanni Sardagna - IR, Director Paolo Rocca - Chairman & CEO Gabriel Podskubka - President of Eastern Hemisphere Luca Zanotti - President of United States Operations Conference Call Participants Marc Bianchi - Cowen Alessandro Pozzi - Mediobanca Stephen Gengaro - Stifel Nicolaus Frank McGann - Bank of America Luke Lemoine - Piper Sandler Luigi De Bellis - Equita Operator Good day, and thank you for sta ...

Financial Data and Key Metrics Changes - Sales in Q3 2022 reached almost $3 billion, up 70% year-over-year and 6% sequentially, driven by pricing gains that offset lower shipments [6] - EBITDA increased 17% sequentially to $946 million, with an EBITDA margin of around 32% [6] - Net income for the quarter was $606 million, slightly down sequentially due to non-operating items [7] - Free cash flow for the quarter was $113 million after capital expenditures of $129 million, with a net cash position of $700 million at the end of the quarter [7] Business Line Data and Key Metrics Changes - Average selling prices in the Tubes operating segment increased by 54% compared to Q3 2021 and 12% sequentially [6] - The company reported a strong performance in the deepwater market, with expectations for increased sales in upcoming quarters [15][28] Market Data and Key Metrics Changes - The company highlighted a strong position in the U.S. oil and gas industry, with a focus on meeting growing demand [12] - In the Middle East, there is an acceleration in oil and gas production capacity expansion plans, which Tenaris is well-positioned to support [14] Company Strategy and Development Direction - Tenaris aims to increase investment in energy to meet growing demand, emphasizing the need for oil and gas investments [10] - The company is focused on enhancing its competitiveness in various markets, including Canada and the Middle East, through new facilities and long-term agreements [13][14] - Tenaris is committed to reducing production bottlenecks and improving operational efficiency while addressing environmental impacts [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continuing to build on strong financial results, despite geopolitical and macroeconomic risks [16] - The company is prepared to adapt to the outcomes of trade cases and is focused on increasing domestic production capacity in the U.S. [31][32] Other Important Information - The Board of Directors approved an interim dividend of $0.17 per share, a 30% increase compared to the previous year [7] - The company is investing in local facilities to support its operations and enhance service delivery [14] Q&A Session All Questions and Answers Question: Will the trade case impact imports? - Management confirmed a commitment to increase production in U.S. facilities and stated that the impact on margins would be marginal [20][21] Question: What is the Rig Direct sales percentage internationally? - Globally, Rig Direct sales account for approximately 60% of OCTG sales, with higher percentages in the U.S. [24][25] Question: How will the anti-dumping ruling affect Brazil strategy? - Management indicated a strong position in Brazil with a 50% share in casing and conductor contracts, and no immediate changes to strategy [41] Question: What is the outlook for working capital? - Working capital increased in Q3 due to higher inventory and receivables, with expectations for continued growth in sales [41][42] Question: What are the expectations for deepwater revenues? - Management did not disclose specific percentages but indicated that deepwater revenues are significant for overall business [42]

Tenaris SA (NYSE:TS) Q1 2022 Earnings Conference Call April 28, 2022 9:00 AM ET Company Participants Giovanni Sardagna - IR Director Paolo Rocca - Chairman & CEO Gabriel Podskubka - President, Eastern Hemisphere Luca Zanotti - President, United States Operations Conference Call Participants Connor Lynagh - Morgan Stanley Alan Spence - Jefferies Frank McGann - Bank of America Merrill Lynch Arun Jayaram - JPMorgan Chase & Co. Marc Bianchi - Cowen and Company Carsten Riek - Crédit Suisse Alessandro Pozzi - Med ...

Investor Presentation Disclaimer This presentation contains "forward-looking statements." Forward-looking statements are based on management's current views and assumptions and involve known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied by those statements. These statements include information regarding management strategy, investment plans, development and growth of the steel pipe and oil and gas industries, trends and other pr ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F (Mark One) Registration statement pursuant to Section 12(b) or 12(g) of the Securities Exchange Act of 1934 or Annual report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the fiscal year ended December 31, 2021 or Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 or Shell company report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Com ...

Tenaris S.A. (NYSE:TS) Q4 2021 Earnings Conference Call February 16, 2022 10:00 AM ET Company Participants Giovanni Sardagna - Investor Relations Paolo Rocca - Chairman & Chief Executive Officer Luca Zanotti - President of U.S. operations Gabriel Podskubka - President of Eastern Hemisphere Operations Conference Call Participants Ian MacPherson - Piper Sandler Vaibhav Vaishnav - Coker Palmer Connor Lynagh - Morgan Stanley Nikolaos Konstantakis - BNP Paribas Exane Alan Spence - Jefferies Frank McGann - Bank o ...

Tenaris S.A. (NYSE:TS) Q3 2021 Earnings Conference Call November 4, 2021 11:00 AM ET Company Participants Giovanni Sardagna - Investor Relations Paolo Rocca - Chairman and Chief Executive Officer Alicia Mondolo - Chief Financial Officer Guillermo Vogel - Vice Chairman and Board of Directors German Cura - Vice Chairman and Board of Directors Gabriel Podskubka - President, Eastern Hemisphere Operations Luca Zanotti - President, U.S. operations Conference Call Participants Ian MacPherson - Piper Sandler Connor ...