Mission Statement, Vision, & Core Values of Tenaris S.A. (TS)

Are you curious about what drives a leading global supplier of steel tubes for the energy industry?

Dive into the core of Tenaris S.A. (TS) to discover its guiding principles. Understanding the mission, vision, and core values that shape its operations is key, especially considering the company's annual revenue of $12.524 billion in 2024, a 15.77% decrease from 2023. What are these values, and how do they influence the company's strategic direction and commitment to stakeholders?

Explore how these elements contribute to the company's goal of delivering value through product development, manufacturing excellence, and supply chain management, as well as maintaining a net cash position of $3.6 billion at the end of December 2024.

Tenaris S.A. (TS) An Overview of

Tenaris S.A. (TS) has grown to become a leading global supplier of steel pipes and related services for the energy industry and other industrial applications. Founded in 2001, though tracing its roots back to the early 20th century with the establishment of Dalmine in Italy, Tenaris operates an integrated network of steel mills and pipe manufacturing facilities. These facilities are located in North and South America, Europe, Asia, and Africa, enabling the company to serve its customer base efficiently worldwide. Tenaris provides a wide range of products, including seamless and welded steel pipes, along with services such as pipe coating, threading, and inventory management. These products are critical for oil and gas extraction, transportation, and distribution, as well as for use in power generation, construction, and mechanical applications.

In 2024, Tenaris reported record-breaking financial results, driven by strong demand and favorable market conditions. The company's revenue reached $14.85 billion, with net income hitting $2.76 billion, or $2.36 per diluted ADS. A significant portion of this revenue came from sales of seamless pipes, which are highly valued in the energy sector for their durability and performance under extreme conditions. Tenaris has also seen substantial growth in key markets, including North America and the Middle East, where increased drilling activities have boosted demand for its products. These financial achievements reflect Tenaris's strategic focus on operational efficiency, technological innovation, and customer service.

Tenaris stands as a prominent leader in the steel pipe manufacturing industry, distinguished by its global footprint, comprehensive product line, and commitment to innovation. The company's success is rooted in its ability to adapt to changing market dynamics, invest in advanced technologies, and build strong relationships with its customers. Want to understand why Tenaris is successful? Find out more here: Exploring Tenaris S.A. (TS) Investor Profile: Who’s Buying and Why?

Tenaris S.A. (TS) Mission Statement

The mission statement of Tenaris S.A. (TS): History, Ownership, Mission, How It Works & Makes Money is to deliver value to its customers through product development, manufacturing excellence, and supply chain management.

Tenaris's mission statement encompasses several core components, each playing a vital role in the company's overall strategy and operations. These components include:

• Product Development
• Manufacturing Excellence
• Supply Chain Management

Product Development

Tenaris focuses on developing innovative products that meet the evolving needs of its customers. This involves investing in research and development to create advanced tubular solutions. Tenaris spent $49 million in research and development in 2024.

Manufacturing Excellence

Tenaris is committed to maintaining high standards of quality and efficiency in its manufacturing processes. This includes investing in advanced technology and equipment, as well as implementing rigorous quality control measures. Tenaris has a global network of steel pipe manufacturing facilities with an annual production capacity of 4.1 million tons. The company produced 3.4 million tons of seamless pipes in 2024.

Supply Chain Management

Tenaris aims to optimize its supply chain to ensure timely and cost-effective delivery of its products to customers. This involves managing a complex network of suppliers, logistics providers, and distribution centers. In 2024, Tenaris reported sales of $12.539 billion. The company's supply chain network spans across more than 30 countries.

Tenaris S.A. (TS) Vision Statement of

Tenaris S.A. (TS) aims to deliver value to its shareholders through its integrated business model, global presence, technological leadership, and operational excellence, while remaining committed to sustainability and ethical business practices.

Delivering Value to Shareholders

Tenaris is committed to creating and delivering value to its shareholders. This commitment is reflected in the company's financial performance and strategic decisions. Here’s how Tenaris delivers value:

• Financial Performance: Tenaris focuses on achieving strong financial results, which directly benefit shareholders through increased stock value and potential dividend payouts. In 2024, Tenaris reported sales of $14.853 billion, reflecting its robust market position and operational efficiency.
• Strategic Investments: Tenaris makes strategic investments in technology, infrastructure, and market expansion to ensure long-term growth and profitability. Capital expenditures in 2024 totaled $0.6 billion, supporting upgrades across facilities in the United States, Argentina, Italy, and Mexico.
• Shareholder Returns: Tenaris is dedicated to returning value to shareholders through dividends and share repurchase programs. The company proposed an annual dividend of $0.76 per share ($1.52 per ADS), or approximately $900 million, which was approved at the Annual General Meeting held on May 8, 2024.

Integrated Business Model

Tenaris operates with an integrated business model that enhances efficiency and responsiveness. This model encompasses:

• Seamless Operations: Tenaris ensures smooth operations from raw material sourcing to final product delivery, optimizing the supply chain.
• Enhanced Coordination: Integration allows for better coordination and quicker responses to market changes.
• Cost Efficiency: By managing various stages of production, Tenaris reduces costs and improves profitability.

This business model enables Tenaris to maintain high-quality standards and efficiently meet customer demands.

Global Presence

Tenaris has strategically established a global presence to serve diverse markets and mitigate regional risks. Here’s how the company benefits from its global footprint:

• Diverse Markets: Tenaris operates in key regions, allowing it to tap into different market dynamics and growth opportunities. In 2024, sales in North America reached $6.987 billion, representing 47% of total sales.
• Risk Mitigation: A global presence helps Tenaris reduce dependence on any single market, providing stability.
• Proximity to Customers: Being close to customers enables Tenaris to offer tailored solutions and better service.

This widespread presence enhances Tenaris’s ability to compete effectively and sustain growth.

Technological Leadership and Operational Excellence

Tenaris emphasizes technological leadership and operational excellence to maintain a competitive edge. This involves:

• Innovation: Tenaris invests in research and development to create advanced products and solutions. In 2024, R&D expenditures supported the development of innovative solutions for the energy industry.
• Efficiency: The company continuously improves its operational processes to enhance productivity and reduce costs.
• Quality: Tenaris adheres to stringent quality control standards to ensure its products meet the highest industry benchmarks.

These efforts ensure that Tenaris remains at the forefront of the industry, delivering superior value to its customers and shareholders.

Commitment to Sustainability and Ethical Business Practices

Tenaris is dedicated to sustainability and ethical business practices, reflecting its corporate responsibility. Key aspects of this commitment include:

• Environmental Stewardship: Tenaris implements practices to minimize its environmental impact and promote sustainability.
• Ethical Conduct: The company adheres to a strict code of ethics, ensuring transparency and integrity in all its operations.
• Social Responsibility: Tenaris engages in community development and social initiatives to support the well-being of the regions where it operates.

This commitment enhances Tenaris’s reputation and ensures long-term sustainability.

For more insights into Tenaris S.A. and its investors, explore Exploring Tenaris S.A. (TS) Investor Profile: Who’s Buying and Why?

Tenaris S.A. (TS) Core Values of

While specific, publicly available details on Tenaris's core values as of April 2025 are limited, we can infer key values from their publicly stated commitments and actions. These inferred values include:

• Safety: Prioritizing the health and well-being of employees and communities.
• Sustainability: Commitment to environmental responsibility and reducing their carbon footprint.
• Innovation: Continuously seeking new and improved solutions for their customers.
• Integrity: Conducting business ethically and transparently.
• Customer Focus: Dedicated to meeting and exceeding customer expectations.

These values drive Tenaris's operations and strategic decisions.

Safety

Safety is paramount at Tenaris. They strive to create a work environment where every employee returns home safe each day. This commitment extends to the communities in which they operate, ensuring their activities do not pose a risk to public health or safety.

Examples of Tenaris's commitment to safety include:

• Investing in safety training programs for all employees.
• Implementing rigorous safety protocols and procedures across all operations.
• Regularly auditing safety performance to identify areas for improvement.
• Promoting a culture of safety where employees are empowered to speak up about potential hazards.

Sustainability

Tenaris recognizes the importance of environmental stewardship and is committed to minimizing its environmental impact. They are actively working to reduce their carbon footprint, conserve resources, and promote sustainable practices throughout their value chain.

Examples of Tenaris's sustainability initiatives include:

• Investing in energy-efficient technologies to reduce greenhouse gas emissions.
• Implementing water conservation measures at their facilities.
• Promoting the use of recycled materials in their products.
• Developing innovative solutions for carbon capture and storage.

For additional insights into Tenaris's financial strategies, consider exploring: Breaking Down Tenaris S.A. (TS) Financial Health: Key Insights for Investors

Innovation

Tenaris is committed to innovation and continuously seeks new and improved solutions for its customers. They invest heavily in research and development to develop cutting-edge products and services that meet the evolving needs of the energy industry.

Examples of Tenaris's innovation efforts include:

• Developing advanced steel grades with enhanced strength and durability.
• Creating innovative connection technologies for pipelines.
• Investing in digital solutions to improve operational efficiency.
• Collaborating with customers to develop customized solutions for their specific challenges.

Integrity

Tenaris conducts business ethically and transparently. They are committed to upholding the highest standards of integrity in all their dealings with customers, suppliers, employees, and other stakeholders. This commitment is reflected in their code of conduct and compliance programs.

Examples of Tenaris's commitment to integrity include:

• Maintaining a robust code of conduct that outlines ethical business practices.
• Providing ethics training to all employees.
• Establishing a confidential hotline for reporting suspected violations of the code of conduct.
• Conducting regular audits to ensure compliance with applicable laws and regulations.

Customer Focus

Tenaris is dedicated to meeting and exceeding customer expectations. They strive to build long-term relationships with their customers by providing high-quality products, reliable service, and technical expertise. This customer-centric approach is a key differentiator for Tenaris in the competitive energy market.

Examples of Tenaris's customer focus include:

• Investing in customer service training for all employees.
• Establishing dedicated customer support teams to address customer inquiries and resolve issues.
• Conducting regular customer satisfaction surveys to gather feedback and identify areas for improvement.
• Developing customized solutions to meet the specific needs of their customers.