Company: TNRSF
Filing Date: 2025-02-21
Form Type: 6-K
Source: 0001171843-25-000987
Chunk: 35

Company: TENARIS SA
Filing Date: 2025-02-21
Form: 6-K
Chunk 35
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 determined and analyzed on a contract by contract basis to ensure that all performance obligations are
fulfilled. In particular, Tenaris verifies customer acceptance of the goods, the satisfaction of delivery terms and any other applicable
condition.

For bill and hold transactions revenue is recognized only to the extent that (a) the reason for the bill and hold arrangement must be substantive (for example, the customer has requested the arrangement); (b) the products have been specifically identified and are ready for delivery; (c) the Company does not have the ability to use the product or to direct it to another customer; (d) the usual payment terms apply.

The Company’s contracts with customers do not provide any material
variable consideration, other than discounts, rebates and right of return. Discounts and rebates are recognized based on the most likely
value and rights of return are based on expected value considering past experience and contract conditions.

Where the contracts include multiple performance obligations, the transaction price is allocated to each performance obligation based on the stand-alone selling prices. Where these are not directly observable, they are estimated based on the expected cost plus margin.

There are no judgements applied by management that significantly affect
the determination of timing of satisfaction of performance obligations, nor the transaction price and amounts allocated to different performance
obligations.

Tenaris provides services primarily related to goods sold, which represent
a non-material portion of sales revenue and mainly include:

Pipe management services:This comprises mainly preparation of the
pipes ready to be run, delivery to the customer, storage services and rig return.

Field services:Comprises field technical support and running
assistance.

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| Consolidated Financial Statements                                                                           |
| For the years ended 2024, 2023 and 2022 - all amounts in thousands of U.S. dollars, unless otherwise stated |

These services are rendered in connection to the sales of goods and are
attached to contracts with customers for the sale of goods. A significant portion of service revenue is recognized in the same period
as the goods sold. There are no distinct uncertainties in the revenues and cash flows of the goods sold and services rendered as they
are included in the same contract, have the same counterparty and are subject to the same conditions.

The following inputs and outputs methods are applied to recognize revenue considering the nature
of service:

Storage services: the Company provides storage services in owned
or third-party warehouses, subject to a variable fee to be invoiced. This fee is determined based on the time that the customer