TechnipFMC plc

NOTE 12. INVESTMENTS

Equity Method Investments

The equity method of accounting is used to account for investments in unconsolidated affiliates where we have the ability to exert significant influence over the affiliates operating and financial policies.

Our equity investments were as follows as of December 31, 2024 and 2023:

Our income from equity affiliates for the years ended December 31, 2024, 2023, and 2022, was $21.7 million, $34.4 million, and $44.6 million, respectively, and included within our Subsea segment.

We assess investments for impairment whenever events or changes in circumstances indicate that the carrying value of an investment may not be recoverable. During 2024,2023 and 2022, wedidnot record any impair ments of our equity method investments.

Our major equity method investment is as follows:

Dofcon Brasil AS is an affiliated company in the form of a joint venture between TechnipFMC and DOF Subsea and was founded in 2006. The joint venture is composed of three legal entities: Dofcon Brasil AS, Techdof Brasil AS, and Dofcon Navegacao Ltda. Dofcon Brasil AS is the joint venture holding company and is owned 50% by DOF and 50% by TechnipFMC. Dofcon Brasil AS owns 100% of both Dofcon Navegacao Ltda and Techdof Brasil AS. All joint venture entities are collectively referred to as “Dofcon.” Dofcon provides Pipe-Laying Support Vessels for work in oil and natural gas fields offshore Brazil. Dofcon is considered a VIE because it does not have sufficient equity to finance its activities without additional subordinated financial support from other parties. We are not the primary beneficiary of the VIE. As such, we have accounted for our 50% investment using the equity method of accounting with results reported in our Subsea segment.

In June 2023, Dofcon Brasil AS declared a $170.0 million dividend to its joint venture partners. The dividend receivable was recorded within other current assets on our consolidated balance sheets until December 2023 when the joint venture partners agreed and signed the agreement to convert their outstanding dividend receivable into a long-term loan receivable from Dofcon. As a result of this conversion, we converted our 50% share of this dividend receivable into a long-term loan receivable that has a due date of June 26, 2028 and is included in other assets on our consolidated balance sheets as of December 31, 2024.

In the fourth quarter of 2024, Dofcon Brasil AS declared and distributed a dividend of $100.0 million to its joint venture partners and we received our 50% share of $50.0 million.

Dofcon Navegacao Ltda and Techdof Brasil AS have debts related to loans on its vessels. TechnipFMC and DOF Subsea provide guarantees for the debts and our share of the guaran tees was$319.2 million as of December 31, 2024.

TechDof Brasil AS owns and operates the Skandi Buzios vessel. During June 2023, a fire occurred onboard the vessel alongside Porto do Açu in Brazil. Repairs on the vessel have been completed, and the vessel was returned to service in the third quarter of 2024. We did not record an impairment on the carrying value of our investment as we did not note any impairment indicators from the incident.

Serimax Holdings SAS (“Serimax”) - is an affiliated company in the form of a joint venture between TechnipFMC and Vallourec SA and was founded in 2016. Serimax is headquartered in Paris, France and provides rigid pipe welding services for work in oil and natural gas fields around the world. We have accounted for our 20% investment using the equity method of accounting with results reported in our Subsea segment.

Other includes Magnora Offshore Wind AS - During the first quarter of 2022, we entered into Magnora Offshore Wind AS, a partnership with Magnora ASA, in order to develop floating offshore wind projects. As of December 31, 2024, the 20% ownership equity method investment balance was $2.8 million.

NOTE 13. RELATED PARTY TRANSACTIONS

Receivables, payables, revenues, and expenses which are included in our consolidated financial statements for all transactions with related parties, defined as entities related to our directors, officers, and main shareholders as well as the partners of our consolidated joint ventures, were as follows:

Loan receivables as of December 31, 2024 and 2023 include $85.0 million due from Dofcon for which interest income of $7.1 million and $3.4 million, respectively has been recorded for the years ended December 31, 2024 and 2023. Interest receivables as of December 31, 2024 and 2023 is $10.5 million and $3.4 million.

Expenses consisted of amounts to following related parties:

Receivables, payables and revenues, which are included in our consolidated financial statements for all transactions with related parties, were not material for the years ended December 31, 2024 and 2023.

NOTE 14. PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment consisted of the following:

Depreciation expense was $280.4 million, $288.1 million, and $285.2 million in 2024, 2023, and 2022, respectively. The amount of interest cost capitalized was not material for the years presented.

During 2024, 2023, and 2022, we determined the carrying amount of certain of our long-lived assets exceeded their fair value and immaterial impairments were recorded.

NOTE 15. INTANGIBLE ASSETS

The components of intangible assets were as follows:

We recorded $94.5 million, $89.7 million, and $92.0 million in amortization expense related to intangible assets during the years ended December 31, 2024, 2023, and 2022, respectively. During the years 2025 and 2026, annual amortization expense is expected to be$87.1 million each for each year and$34.8 million in each of the three years 2027 through 2029.