1) scope of the analysis: companies assigned and their annual reports
The listed firm assigned to me is Saipem S.p.A. is an Italian oil and gas industry contractor (also “Saipem” hereafter). The firm is a subsidiary of ENI S.p.A., the largest Italian energy company, which currently holds a 42.93% share in Saipem.
The listed competitor of the firm assigned to me that I choose is Schlumberger Limited (also “Schlumberger” hereafter).
In the World’s Top 10 biggest oilfield services companies list, Schlumberger is the top 1 biggest company and Saipem is the top 3 biggest company; furthermore both companies are listed. For these reasons, we can consider those companies as proper peers.
We collected the 2014 Annual Report for both companies. The Annual Reports, retrieved from the Investors section in the related official websites, show the consolidated figures as of December 31, 2014 and the comparative data for the year 2013.
Saipem is one of the largest turnkey contractors in the oil and gas industry. Founded in 1957 as service provider to ENI, the company has made its name handling the oilfield services for a number of challenging projects both on and offshore. With over 30,000 employees, the company operates in all the major oil and gas producing nations, the company has earned a reputation in the industry for achieving results. Saipem own and operate over 50 vessels that deal with all aspects of offshore construction and services activities including drilling and pipe laying. The company has a number of high profile contracts in the Middle East and works with most major NOCs including Saudi Aramco, ADNOC and Sonatrach. Saipem has been listed on the Milan Stock Exchange since 1984.
Schlumberger was founded in France in 1926 and operates now in around 80 countries, with about 82,000 employees. The company, registered in the Dutch Antilles and headquartered in