Tenaris S.A. Reports 2024 First Quarter Results

TL;DR

Tenaris dropped Q1 2024 results on 4/29. Check the press release for details.

AI Summary

Tenaris S.A. filed a 6-K report on April 29, 2024, to announce its 2024 First Quarter Results. The report includes a press release detailing the company's performance for the period ending March 31, 2024. Giovanni Sardagna, Investor Relations Officer, signed the report on behalf of Tenaris.

Why It Matters

This filing provides investors with the latest financial performance data for Tenaris, a key player in the steel industry, allowing them to assess the company's current health and future prospects.

Risk Assessment

Risk Level: low — This is a routine financial results disclosure, not indicating any unusual risks.

Key Players & Entities

• TENARIS SA (company) — Filer of the report
• Giovanni Sardagna (person) — Investor Relations Officer who signed the report
• 2024 First Quarter Results (event) — Subject of the press release

FAQ

Key Financial Figures

• $750 m — any extraordinary effects, declined to $750 million, or 22% of sales. During the qua
• $715 million — quarter, our free cash flow amounted to $715 million and, after spending $311 million on sha
• $311 million — ted to $715 million and, after spending $311 million on share buybacks, our positive net cas
• $3.9 billion — positive net cash position increased to $3.9 billion at March 31, 2024. 1 Market Backgrou
• $769 million — bular products and services amounted to $769 million in the first quarter of 2024, compared
• $780 million — the first quarter of 2024, compared to $780 million in the previous quarter and $1,312 mill
• $1,312 million — 780 million in the previous quarter and $1,312 million in the first quarter of 2023. Operating
• $25 million — the quarter includes gains amounting to $25 million from positive legal claim’s resol
• $160 million — year on year. Quarterly sales included $160 million from the coating business acquired in t
• $508 m — trative expenses , or SG&A, amounted to $508 million, or 14.8% of net sales, in the fi
• $471 m — the first quarter of 2024, compared to $471 million, 13.8% in the previous quarter an
• $487 m — lion, 13.8% in the previous quarter and $487 million, 11.8% in the first quarter of 20
• $93 million — quarter of 2024, compared to a gain of $93 million in the previous quarter and a gain of $
• $21 million — n in the previous quarter and a gain of $21 million in the first quarter of 2023. The loss
• $68 million — of the quarter is mainly explained by a $68 million loss from the change in fair value of U

Filing Documents

• f6k_042524.htm (6-K) — 205KB
• hdr1.jpg (GRAPHIC) — 13KB
• hdr2.jpg (GRAPHIC) — 2KB
• 0001171843-24-002303.txt ( ) — 227KB

From the Filing

FORM 6 - K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Report of Foreign Private Issuer Pursuant to Rule 13a - 16 or 15d - 16 of the Securities Exchange Act of 1934 As of April 25, 2024 TENARIS, S.A. (Translation of Registrant's name into English) 26, Boulevard Royal, 4th floor L-2449 Luxembourg (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or 40-F. Form 20-F _ Ö _ Form 40-F ___ The attached material is being furnished to the Securities and Exchange Commission pursuant to Rule 13a-16 and Form 6-K under the Securities Exchange Act of 1934, as amended. This report contains Tenaris’s Press Release announcing 2024 First Quarter Results. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Date: April 25, 2024 Tenaris, S.A. By: /s/ Giovanni Sardagna Giovanni Sardagna Investor Relations Officer Giovanni Sardagna Tenaris 1-888-300-5432 www.tenaris.com Tenaris Announces 2024 First Quarter Results The financial and operational information contained in this press release is based on unaudited consolidated condensed interim financial statements presented in U.S. dollars and prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standard Board and adopted by the European Union, or IFRS. Additionally, this press release includes non-IFRS alternative performance measures i.e., EBITDA, Net cash / debt, Free Cash Flow and Operating working capital days. See exhibit I for more details on these alternative performance measures. Luxembourg, April 25, 2024. - Tenaris S.A. (NYSE and Mexico: TS and EXM Italy: TEN) (“Tenaris”) today announced its results for the quarter ended March 31, 2024 in comparison with its results for the quarter ended March 31, 2023. Summary of 2024 First Quarter Results (Comparison with fourth and first quarter of 2023) 1Q 2024 4Q 2023 1Q 2023 Net sales ($ million) 3,442 3,415 1 % 4,141 (17 %) Operating income ($ million) 812 819 (1 %) 1,351 (40 %) Net income ($ million) 750 1,146 (35 %) 1,129 (34 %) Shareholders’ net income ($ million) 737 1,129 (35 %) 1,129 (35 %) Earnings per ADS ($) 1.27 1.92 (34 %) 1.91 (34 %) Earnings per share ($) 0.64 0.96 (34 %) 0.96 (34 %) EBITDA ($ million) 987 975 1 % 1,477 (33 %) EBITDA margin (% of net sales) 28.7 % 28.6 % 35.7 % Net sales, operating income and EBITDA remained in line with our results for the fourth quarter of last year despite lower OCTG prices in the Americas. This reflected a solid performance across our business lines and included an increase in Rig Direct Ò shipments in North America and the realization of a major coating project in Mexico at our newly acquired TenarisShawcor business. Net income, which did not include any extraordinary effects, declined to $750 million, or 22% of sales. During the quarter, our free cash flow amounted to $715 million and, after spending $311 million on share buybacks, our positive net cash position increased to $3.9 billion at March 31, 2024. 1 Market Background and Outlook Demand for oil and gas continues to grow to meet the needs of developing countries and secure affordable energy during the energy transition. Although oil prices have risen, there has been no pick up in drilling activity in the USA so far this year and in North America it remains below last year’s level. At the same time, OCTG imports increased which is delaying price stabilization. In the rest of the world, offshore projects are proceeding in line with our expectations and demand in the Middle East remains at a good level. In Latin America, however, political and economic volatility is affecting activity. For the second quarter, as anticipated, our sales and margins will be lower than the first quarter reflecting the ongoing decline in OCTG prices in the Americas. In the third quarter, we will have stoppages at many of our mills, including at our Siderca steel shop where we will install a new furnace that will improve our environmental footprint, and this will lead to a further decline in sales and margins in the quarter. 2 Analysis of 2024 First Quarter Results Tubes Sales volume (thousand metric tons) 1Q 2024 4Q 2023 1Q 2023 Seamless 777 760 2 % 840 (8 %) Welded 269 246 9 % 283 (5 %) Total 1,046 1,006 4 % 1,123 (7 %) Tubes 1Q 2024 4Q 2023 1Q 2023 (Net sales - $ million) North America 1,488 1,501 (1 %) 2,229 (33 %) South America 614 590 4 % 975 (37 %) Europe 226 302 (25 %) 252 (10 %) Asia Pacific, Middle East and Africa 804 805 0 % 519 55 % Total net sales ($ million) 3,132 3,198 (2 %) 3,975 (21 %) Operating income ($ mi

View Full Filing

View this 6-K filing on SEC EDGAR