European Oil Services: 2Q Preview and Model Updates

Research evidence excerpt

European Oil Services: 2Q Preview and Model Updates

J P M O R G A N Europe Equity Research

10 July 2026

European Oil Services

2Q Preview and Model Updates

We fine tune our 2Q forecasts to reflect announced awards, normal seasonal trends, European Oil & Gas

ACand, where applicable, recent pre-close commentary. Overall, our revisions are Alejandra Magana

modestly constructive, driven primarily by higher order intake assumptions and (44-20) 3493-8031

improved execution visibility. Following these changes, we are 3.5% above alejandra.x.magana@jpmchase.com

Bloomberg consensus on 2Q EBITDA and 6% above on Net Income, while J.P. Morgan Securities plc

maintaining our ratings (Overweight on Saipem and Technip Energies; Neutral on Specialist Sales contact details:

Subsea 7 and Aker Solutions).

Ian Mitchell - Specialist Sales -

• Middle East execution improving, but not yet fully normalized. Recent pre- European(44-20) 7134-1356Energy

close commentary from both Saipem and Technip Energies suggests operating ian.e.mitchell@jpmorgan.com

conditions continue to improve, although execution risk has not been

eliminated. Saipem highlighted early signs of improvement in SoH transits

(two completed during the quarter) while noting that visibility remains

imperfect and there are some remaining large Qatar-bound equipment that still

needs to transit.Technip Energies’ tone was more constructive than in 1Q,

citing fewer operational stoppages and that highlighting that the burden of

costs has reduced since the company provided its new conditional guidance,

although certain discretionary “do the right thign” costs to keep employees safe

may not be recovered. costs. Overall, we got the sense that both companies are

leaning towards maintaining guidance with 2Q results but note an extension of