Viridien : 2024 Q1 Quarterly Report

27, avenue Carnot

91300 Massy

France

(33) 1 64 47 30 00

CONDENSED INTERIM FINANCIAL REPORT

First quarter 2024 Results

May 14, 2024

- 1 - CGG

TABLE OF CONTENTS

OPERATING AND FINANCIAL REVIEW	8
BUSINESS OUTLOOK	3
2024 Q1 OPERATING RESULTS	3
FORWARD LOOKING STATEMENTS	8

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS	9
UNAUDITED INTERIM CONSOLIDATED STATEMENT OF OPERATIONS	9
UNAUDITED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (LOSS)	10
UNAUDITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION	11
UNAUDITED CONSOLIDATED STATEMENT OF CASH FLOWS	12
UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY	14
NOTES TO THE UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS	15

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OPERATING AND FINANCIAL REVIEW

Business outlook

Overall, activity is strong across all our businesses and across all geographic locations.

Exploration activities are picking up globally, including IOCs with many large projects.

To respond to projected supply / demand balance, our clients are also continuing to accelerate their field development programs and OBN technology is becoming a must in many sedimentary basins.

Finaly interesting to notice that CGG is more and more recognized as a key technology for Minerals and Mining exploration projects but also for CCUS.

2024 Q1 OPERATING RESULTS

PARIS, France - May 14, 2024 - CGG (ISIN: FR0013081864), a world leader in Geoscience, announced today its first quarter 2024 non-audited results.

Sophie Zurquiyah, Chief Executive Officer of CGG, commented:

"I am very pleased with our first quarter financial performance. At $273m, we delivered the best first quarter revenue since our strategic decision to become an asset light company. The first quarter cash generation and the recent upgrade of our long-term debt from S&P are positive milestones of our financial trajectory and balance sheet deleveraging. CGG's

backlog recent recovery and particularly in GEO, the broader demand for our EDA data and a sustained demand for our OBN equipment give us confidence to deliver our 2024 financial targets."

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Results of operation

Financial information is presented under IFRS standards, some sections of this report contain non-IFRS financial measures as EBITDAs and Net Cash Flow which are fully described in the glossary of the 2023 annual consolidated financial statements.

This operating and financial review and prospects should be read in conjunction with our consolidated interim financial statements and the notes thereto.

Our significant accounting policies are fully described in note 1 to our 2023 consolidated annual financial statements

Statement of income

		Q1 2024			Q1 2023			% Change
(In millions of US$)		Segment		As reported			Segment		As Reported		Segment		As reported
	Figures				Figures			Figures
DDE Revenues		184.7		159.8		144.0			112.4	28%	42%
SMO Revenues		88.8		88.8		65.7			65.7	35%	35%
Eliminated revenues and others		0.0		0.0		0.0			0.0	-	-
Total Operating Revenues		273.5		248.6		209.7			178.1	30%	40%
DDE EBITDAs		103.0		78.1		70.9			39.3	45%	99%
SMO EBITDAs		9.9		9.9		(0.4)			(0.4)	> 100%	> 100%
Eliminations and Other		(7.9)		(7.9)		(4.7)			(4.7)	68%	68%
EBITDAs		105.0		80.1		65.8			34.2	60%	134%
EBITDAs margin %		38%		32%		31%			19%
Earth Data surveys amortization &		(55.9)		(39.0)		(36.6)			(11.3)	53%	245%
impairment
Depreciation and amortization		(24.2)		(24.2)		(20.2)			(20.2)	20%	20%
(excl. Earth Data surveys)
Depreciation and amortization		3.8		3.8		4.7			4.7	(19)%	(19)%
capitalized to Earth Data surveys
Share-based compensation		(0.9)		(0.9)		(0.8)			(0.8)	13%	13%
expenses
Operating income		27.8		19.8		12.9			6.6	115%	200%
Operating income margin %		10%		8%		6%			4%
Net income (loss) from equity		(0.2)		(0.2)		0.1			0.1	> 100%	> 100%
affiliates
EBIT		27.6		19.6		13.0			6.7	112%	193%
Financial income and expenses		(24.3)		(24.3)		(21.0)			(21.0)	16%	16%
Income taxes		2.1		2.1		(1.4)			(1.4)	> 100%	> 100%
Net income from continuing		5.4		(2.6)		(9.4)			(15.7)	(158)%	(84)%
operations
Net income from discontinuing		(0.0)		(0.0)		(0.2)			(0.2)	(84)%	(84)%
operations
Net income		5.4		(2.6)		(9.6)			(15.9)	(156)%	(84)%

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IFRS15 adjustment impact

For internal reporting purposes CGG's management continues to apply the pre-IFRS 15 revenue recognition

principles, with Earth Data prefunding revenues recorded based on percentage of completion method.

				Q1 2024							Q1 2023
(In millions of US dollars)
	Segment		IFRS 15		As reported			Segment		IFRS 15		As reported
		Figures		adjustment					Figures		adjustment
Revenue		273.5		(24.8)		248.6		209.7	(31.6)	178.1
of which
Earth Data Prefunding revenue		57.7		(24.8)		32.9		35.0	(31.6)	3.4
Operating expenses		(245.7)		16.8		(228.9)		(196.8)	25.3	(171.5)
of which
Earth Data surveys amortization		(55.9)		16.8		(39.1)		(36.6)	25.3	(11.3)
Operating income		27.8		(8.0)		19.7		12.9	(6.3)	6.6
Net income		5.4		(8.0)		(2.6)		(9.6)	(6.3)	(15.9)

Q1 2024 revenue is reported to US$249 million, of which Earth Data prefunding revenue is reported to US$33 million following the completion of surveys offshore Brazil. We recognized US$58 million of segment revenues mainly related to programs in Gulf of Mexico (US), North Sea and

Asia. According to IFRS 15 standards, we recorded a negative adjustment of the revenue for US$25 million, and a positive adjustment of US$17 million on the amortization costs. A negative net impact of US$8 million was booked at the net income level.

Business segments highlights

The Group continues to present its financial information under two reporting segments, Data, Digital & Energy Transition (DDE) and Sensing & Monitoring (SMO) as described in Note 8 to our 2023 consolidated annual financial statements.

Data, Digital & Energy Transition (DDE)

Seasonality - We have historically benefited from higher levels of activity during the fourth quarter since our clients seek to fully spend their annual budget before year-end. Sensing and Monitoring deliveries and Earth Data after-sales usually reflect this pattern.

		Q1 2024			Q1 2023			% Change
(In millions of US$)		Segment		As reported			Segment		As			Segment		As reported
	Figures				Figures		Reported		Figures
Geoscience		87.8		87.8		79.3			79.3	11%	11%
Earth Data		96.8		72.0		64.7			33.1	50%	118%
DDE Revenue		184.7		159.8		144.0			112.4	28%	42%
DDE EBITDAs		103.0		78.1		70.9			39.3	45%	99%
DDE EBITDAs margin %		56%		49%		49%			35%
DDE OPINC		34.6		26.7		24.6			18.3	41%	46%
DDE OPINC margin %		19%		17%		17%			16%

Geoscience (GEO)

Geoscience operating revenues as reported were up 11% year-on-yearto US$88 million in 2024 compared to US$80 million in 2023.

Our Geoscience global activity remains strong sustained by demand for high-end large projects and NOCs increasing.

The level of commercial activity continues to be solid and order intake was up 48% year-on-year at the end of March sustained by continuing adoption of disruptive imaging technologies.

- 5 - CGG

Earth-Data (EDA)

Earth Data operating revenues as reported from EDA was up 118% to US$72 million in 2024 from US$33 million in 2023. Excluding IFRS 15 adjustment, EDA business was up 50% to US$97 million sustained by broader geographical demand.

Prefunding revenues as reported strongly increased to US$33 million in 2024 from US$3 million last year. Excluding IFRS 15 adjustment, prefunding revenue of our multi-client Earth data projects was US$58 million, up 65% year-on-year and with a 116% cash prefunding rate this quarter compared to 126% in 2023.

Q1 key headlines - Data, Digital & Energy (DDE)

CGG and C-Questra Sign CCUS Cooperation Agreement

- January 9,

CGG and C-Questra, an independent European operator specializing in the CO2 storage value chain, have signed a commercial cooperation agreement in carbon capture, utilization, and sequestration (CCUS).

CGG and Trinidad-Tobago Sign Multi-Client Reimaging Program Agreement - January 24,

CGG has announced the signature of an agreement with the Ministry of Energy and Energy Industries of Trinidad and

Sensing & Monitoring (SMO)

Earth Data cash capex was US$50 million, up 25% year-on- year with two marine streamer programs (one completed in offshore Malaysia, and another started in Australia), one OBN program in the central Gulf of Mexico (US) and a few reprocessing projects.

After-sales were at US$39 million up 32% year-on-year from US$30 million in 2023.

US$20 million contractual fees from vessel commitments were incurred at the end of March.

Tobago to reimage vintage 3D seismic data from blocks offshore Trinidad.

CGG Adds New Southeast Asia Carbon Storage Study to Growing CCUS Library - February 20,

CGG has announced the release of a Southeast Asia Carbon Storage Study to support and accelerate the screening process for all players in the region's fast-growing CCUS market.

(In millions of US$)	Q1 2024	Q1 2023	% Change
SMO Revenue	88.8	65.7	35%
SMO EBITDAs	9.9	(0.4)	> 100%
SMO EBITDAs margin %	14%	(1)%
SMO OPINC	1.8	(7.1)	> 100%
SMO OPINC margin %	2%	(11)%

SMO operating revenue was up 37% year-on-year to US$89 million, driven by high deliveries of land equipment:

• Land equipment sales represented 44% of SMO revenue, compared to 20% in 2023, up 194% year-on- year. Land equipment sales were US$39 million in 2024 from US$13 million in 2023 with strong level of land delivery for MENA (Middle East and North Africa) and wireless nodes for geothermal applications in Europe.
• Marine equipment sales represented 38% of SMO revenue, compared to 52% in 2023, down 2% year-on-

year. Marine equipment sales remained at US$34 million in 2024 with significant delivery of GPR300 nodes in Europe.

• Downhole equipment sales were US$5 million, up 9% year-on-year.
• Beyond the Core revenues were at US$11 million, up 19% year-on-year, with delivery of multiple Railway and Mine monitoring solutions and the sale of a Marlin™ Vessel Monitoring & Alert Solution in Latin America.

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Q1 key headlines - Sensing & Monitoring (SMO)

Sercel Unveils New 528 and VE564 Solutions to Optimize Mega-Crew Surveys - January 16,

CGG announced today that Sercel has launched its next generation 528TM land acquisition system and VE564TM

vibrator electronics to improve recording capacity, reliability, productivity, and data fidelity to meet the latest challenging survey requirements.

Other financial items

Net income from equity affiliates was close to zero.	Income taxes amounted to an income of US$2 million, which
Net financial income and expenses was a US$24 million	included US$5 million of deferred tax income and
US$3 million of current tax expenses.
expense, mostly associated with the cost of our financial	Net income from discontinued operations was close to
debt.
	zero for the first 2024 quarter.

Liquidity and Capital Resources

Cash flow statement

			Q1 2024			Q1 2023
(In millions of US$)		Segment		As reported			Segment	As reported
	figures					figures
EBITDAs		105.0			80.1			65.8	34.2
Income tax paid		(3.2)			(3.2)		(7.1)	(7.1)
Change in working capital & Provisions		(0.3)			24.6		(3.6)	28.0
Other items calculated		(0,8)			(0.8)		-	-
Net cash flow provided by operating activities		100.7			100.7		55.1	55.1
Investments in Earth Data surveys		(49.9)			(49.9)		(27.8)	(27.8)
Industrial capital expenditures & Capitalized		(8.3)			(8.3)		(24.5)	(24.5)
development costs (excl. Earth Data surveys)
Net proceeds and acquisitions		0.5			0.5		-	-
Dividends received from affiliates		0.2			0.2		-	-
Variation in subsidies for capital expenditures		-			-		-	-
Lease repayments		(11.8)			(11.8)		(12.5)	(12.5)
Payments and/or proceeds net from asset financing		(0.2)			(0.2)		14.0	14.0
transactions
Financial expenses paid		2.0			2.0		1.0	1.0
Net cash flow incurred by continuing operations		33.2			33.2		5.3	5.3
Net cash flows incurred by discontinued		(2.9)			(2.9)		(4.8)	(4.8)
operations
Net cash flow		30.3			30.3		0.5	0.5

Expenditures on Earth Data surveys were up by US$22 million to US$50 million in 2024.

Net Cash flow from continuing operations was a US$33 million inflows in this quarter from a US$5 million inflows in 2023.

Net Cash flow from discontinued operations represented outflows US$3 million mainly composed of Idle Vessel Compensation.

- 7 - CGG

Financial debt

(In millions of US dollars)	March 31, 2024	December 31, 2023
Bank overdrafts	-	-
Current portion of financial debt	83.3	60.4
Financial debt	1,232.3	1,188.8
Gross financial debt	1,315.6	1,249.2
Less cash and cash equivalents	(349.9)	(298.0)
Net financial debt	965.7	951.2

Liquidity

Group Liquidity of US$440 million on March 31, 2024 includes US$350 million of cash and US$90 million of

FORWARD LOOKING STATEMENTS

This document includes "forward-looking statements". We have based these forward-looking statements on our current views and assumptions about future events.

All of the Company's forward-looking statements involve risks and uncertainties (some of which are significant or beyond the Company's control) and assumptions that could cause actual results to differ materially from the Company's historical experience and the Company's present expectations or projections.

Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those set forth in the forward-looking statements.

Some of these risks or uncertainties are discussed in this Interim Management Report. Other factors are discussed in the Company's 2023 Annual Report including in section 2.2.

undrawn RCF. (For a discussion regarding RCF, refer to note 13 of our 2023 consolidated annual financial statements)

Main Risk Factors and Control Measures and in sections 3.1. ESG Strategy and 5. Operating and Financial Review where the Company's material risks are discussed. These provide a discussion of the factors that could affect the Company's future performance and the markets in which the Company operates. Additional risks currently not known to the Company or that the Company has not considered material as of the date of this Interim Financial Report could also cause the forward-looking events discussed in this Interim Management Report not to occur.

Forward-looking statements involve inherent risks and uncertainties and speak only as of the date they are made. The Company undertakes no duty to and will not necessarily update any of the forward-looking statements in light of new information or future events, except to the extent required by applicable laws.

.

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CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

Unaudited Interim Consolidated statement of operations - Year-to-Date

		Three months ended March 31,
(In millions of US$, except per share data)	Notes	2024	2023
Operating revenues	4	248.6	178.1
Other income from ordinary activities		0.1	0.1
Total income from ordinary activities		248.7	178.2
Cost of operations		(192.8)	(138.2)
Gross profit		55.9	40.0
Research and development expenses - net		(4.9)	(6.9)
Marketing and selling expenses		(8.8)	(9.0)
General and administrative expenses		(21.3)	(16.5)
Other revenues (expenses) - net	5	(1.1)	(1.0)
Operating income (loss)	4	19.8	6.6
Expenses related to financial debt		(27.4)	(25.8)
Income provided by cash and cash equivalents		3.1	2.0
Cost of financial debt, net		(24.3)	(23.8)
Other financial income (loss)	6	(0.0)	2.8
Income (loss) before incomes taxes		(4.5)	(14.4)
Income taxes		2.1	(1.4)
Net income (loss) from consolidated companies before share of		(2.4)	(15.8)
income (loss) in companies accounted for under the equity method
Share of income (loss) in companies accounted for under the equity		(0.2)	0.1
method
Net income (loss) from continuing operations		(2.6)	(15.7)
Net income (loss) from discontinued operations	3	0.0	(0.2)
Net income (loss)		(2.6)	(15.9)
Attributable to :
Owners of CGG S.A	$	(3.0)	(15.6)
Non-controlling interests	$	0.4	(0.3)
Net income (loss) per share
Basic	$	(0.00)	(0.02)
Diluted	$	(0.00)	(0.02)
Net income (loss) from continuing operations per share
Basic	$	(0.00)	(0.02)
Diluted	$	(0.00)	(0.02)
Net income (loss) from discontinued operations per share
Basic	$	-	-
Diluted	$	-	-

See the notes to the Unaudited Interim Consolidated Financial Statements

- 9 - CGG

Unaudited Interim Consolidated statement of comprehensive income (loss) - Year-to-Date

		Three months ended March 31,
(In millions of US$)		2024			2023
Net income (loss) from statements of operations		(2.6)			(15.9)
Net gain (loss) on cash flow hedges		0.3			-
Exchange differences on translation of foreign operations		(5.8)			5.8
Net other comprehensive income (loss) to be reclassified in profit (loss) in		(5.5)			5.8
subsequent period (1)
Net gain (loss) on actuarial changes on pension plan		0.0			-
Net other comprehensive income (loss) not to be reclassified in profit (loss)		0.0			-
in subsequent period (2)
Total other comprehensive income (loss) for the period, net of taxes (1) + (2)		(5.5)			5.8
Total comprehensive income (loss) for the period		(8.1)			(10.1)
Attributable to :
Owners of CGG S.A.		(8.4)			(10.4)
Non-controlling interests		0.3			0.3

- 10 - CGG