View
2
Download
0
Category
Preview:
Citation preview
| GC RIEBER SHIPPING ASA |
/ 1
/ FIRST QUARTER 2012 PRESENTATION
Bergen, May 15 2012
/May 15 2012 / 1
| GC RIEBER SHIPPING ASA |
/ 2
/ GC RIEBER SHIPPING’S BUSINESS IDEA
• Industrial company with business within offshore shipping
• Owns and operates multi-purpose built vessels
• Focus on project development and portfolio management
• Unique competence on offshore operations in harsh environment
/May 15 2012
| GC RIEBER SHIPPING ASA |
/ 3
/ FIRST QUARTER 2012
1. Highlights in the first quarter
2. Financial & Operational review
3. Outlook & Summary
/ 3/May 15 2012
| GC RIEBER SHIPPING ASA |
/KEY MESSAGE Q1 2012
/ 4
”The result for the first quarter of 2012 shows a significant improvement compared to last year, but is affected by losses in associated company. We are focusing on how to exploit attractive market trends.”
/May 15 2012
| GC RIEBER SHIPPING ASA |
/ 5
/ HIGHLIGHTS IN THE FIRST QUARTER 2012
/ 5
Financials
Events in the quarter / post-quarter
• Fleet fully booked
• Rebuilding of ”Polar Duchess” completed – started on contract with Dolphin geophysical in April
• Good fleet utilisation in Marine Seismic and Ice/support, but some off hire incidents in Subsea segment
• Associated company Reef Subsea upgraded two new vessels – awarded contracts with Talisman
• Post-Quarter: Voluntary offer to acquire all outstanding shares in Armada Seismic
• EBITDA of NOK 69.4 million
• Share of profit from associated companies of NOK -22.5 million
• Net profit of NOK - 8.8 million
• Normalized profit before taxes of NOK 6.2 million
• Liquid assets of NOK 397.3 million; net interest bearing debt of NOK 1217 million
• Equity ratio of 50%; Solid cash position and low gearing
• Contract backlog close to NOK 2 billion
/ 5/ 5/May 15 2012
| GC RIEBER SHIPPING ASA |
/ 6
FINANCIAL & OPERATIONAL REVIEW
/ 6/May 15 2012
| GC RIEBER SHIPPING ASA |
/ 7/ 7/ 7/ 7
/ HIGHLIGHTS FROM THE INCOME STATEMENT
• Operating income in Q1 2012 is 65% higher than in Q1 2011
• EBITDA NOK 69.4 mill. in Q1 2012 vs. NOK 26.8 mill. in Q1 2011
• Improved performance YoY explained by “Protector” and three new buildings; “Polar King”, “Polar Duke” and “Polar Queen” all on charter in quarter
• Off hire in subsea segment due to technical issues explains the decrease in operating income compared to previous quarter
• Normalized profit in the quarter is negatively affected by results in associated companies
-50
0
50
100
150
200
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12
Operating income EBITDA Normalised pretax profit *
NOK million
* Pretax profit adjusted for unrealized currency gain (loss), sales gains/losses and write-downs
/ 7/May 15 2012 / 7
| GC RIEBER SHIPPING ASA |
/ 8/ 8
/ BALANCE SHEET (UNAUDITED)
Assets Equity & Liabilities
16 45
23343068
614
397 219242
0500
1000150020002500300035004000
31.03.2012 31.03.2011.
Other currentassetsCash & liquidassetsFixed assets
Intangibleassets
17061871
317363
11901489
0500
1000150020002500300035004000
31.03.2012 31.03.2011.
Long termliabilitiesCurrentliabilitiesShareholdersequity
NOK million NOK million
• As of 31.03.2012:• Net debt position of NOK 1217 million• Equity ratio 50%
/ 8/May 15 2012 / 8
| GC RIEBER SHIPPING ASA |
/ GC RIEBER SHIPPING – BUSINESS AREA OVERVIEW – MAY 2012
/ 9
SUBSEA (39%)*
ICE / SUPPORT (23%)*
MARINE SEISMIC (38%)*
SUBSEA VESSELS/ Owns and operates three vessels
BUSINESS AREAS ACTIVITIES / ASSETS STAKE
SUBSEA SUPPORT REEF SUBSEA is an international group providing specialist subsea services to the oil & gas and renewable industries
ICE / SUPPORT/ Owns and operates three vessels
Oil support – Sakhalin; Research – Antarctica./ Two crew boats operating in the Sakhalin II field
100%
50%
50-100%
SHIP MANAGEMENT/ Operates offshore vessels for other owners
100%
CATEGORY
CORE
VALUE CHAIN
CORE
CORE
SEISMIC VESSELS/ Owns and operates two vessels (3D and 2D/Ice)
ARMADA SEISMIC/ Two high capacity seismic vessels (3D)
CORE100%
RESERVOIR MONITORING (IOR)OCTIO GROUP is a company providing integrated reservoir monitoring and subsea surveillance
61%VALUE CHAIN
65%
/ 9*% of operating revenue in Q1 2012
/May 15 2012
| GC RIEBER SHIPPING ASA |
/ 10/ 10/ 10/ 10
/ SUBSEA
4557
7281
64
12 14
34 3023
0102030405060708090
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12
Operating income EBITDA
Quarterly development• Operating income and EBITDA margin in Q1 2012 improved with NOK 19 million and NOK 11 million respectively, compared to Q1 2011
• Full employment in subsea fleet, with “Polar King” and “Polar Queen” in operation from May and November 2011 respectively
• “Protector” reported in the ice/support segment from medio April 2011 subsequently reducing subsea income
• Fleet utilization in segment 79% due to docking of “Polar Prince” and off hire incidents caused by technical issues
424 405440
294255
187134 106 88 90
0
100
200
300
400
500
2007 2008 2009 2010 2011
Operating income EBITDA
Annual development
NOK million
NOK million
Note that Q4 and Q1 are seasonally weaker than Q2 and Q3, as Ernest Shackleton operate as an offshore support vessel 120 days during Q2/Q3 /May 15 2012
| GC RIEBER SHIPPING ASA |
/ 11/ 11/ 11/ 11
/ MARINE SEISMIC
38
80
6456
64
3
47
25 1919
0102030405060708090
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12
Operating income EBITDA
Quarterly development
• Operating income of NOK 64 million and EBITDA of NOK 19 million in Q1 2012 compared to NOK 38 million and NOK 3 million respectively in Q1 2011
• All vessels on contract with customers Dolphin Geophysical (3) and Fugro (1)
• Fleet utilization 97 %
95 106
151
195
238
1038
94
8 200
50
100
150
200
250
2007 2008 2009 2010 2011
Operating income EBITDA
Annual development
NOK million
NOK million
/ 11/May 15 2012 / 11
| GC RIEBER SHIPPING ASA |
/ 12/ 12/ 12/ 12
/ ICE & SUPPORT
18
34 35
46
38
12
23 24 2528
0
10
20
30
40
50
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12
Operating income EBITDA
Quarterly development
• Operating income of NOK 38 million in the quarter and EBITDA of NOK 28 million compared to NOK 18 million and NOK 12 million same quarter last year
• YoY increase primarily explained by “Protector”on contract with Ministry of Defence
• Decrease in operating income compared to last quarter a programmed seasonal effect as crew boats is not in operation Q1
• Fleet utilization 100 %
• Solid long term contracts in segment creates stable income
62 6178 73
133
44 44 51 49
83
020406080
100120140
2007 2008 2009 2010 2011
Operating income EBITDA
Annual development
NOK million
NOK million
Note that Q4 and Q1 are seasonally stronger than Q2 and Q3, as Ernest Shackleton operate as an offshore support vessel 120 days during Q2/Q3 / 12/May 15 2012 / 12
| GC RIEBER SHIPPING ASA |
/ 13/ 13
/ SHIPOWNING - GOOD BALANCE SHORT VS. LONG TERM CONTRACTS
Ernest Shackleton Polar Pevek
Protector
Polar Prince Polar Duchess
Vessel Built (year) Type Charterer Contract end
Polar Explorer 1988/2004 2D/source Dolphin Geophysical 2013Ernest Shackleton 1995 Ice/subsea IMR British Antarctic Survey 2014Polar Prince 1999 Subsea IMR & light CSV Technocean 2012Geo Atlantic 2000/2006 3D/4D, 10 streamers Fugro 2013Protector 2001 Ice/offshore UK Ministry of Defence 2014Polar Pevek 2006 Ice/tug Exxon Neftegas 2021Polar King 2011 Subsea IMR & CSV Technocean 2014Polar Duke 2011 3D/4D, 14 streamers Dolphin Geophysical 2016Polar Queen 2011 Subsea IMR & CSV Oceanografia 2014Polar Duchess 2012 3D/4D, 14 streamers Dolphin Geophysical 2015
Polar Piltun 1998/2009 Crew boat Sakhalin Energy Inv. Comp.
2013Polar Baikal 2000/2009 Crew boat Sakhalin Energy Inv.
Comp.2013
Geo Atlantic
Polar King
Polar Duke
/ 13/May 15 2012 / 13
| GC RIEBER SHIPPING ASA |
”POLAR DUCHESS” COMPLETED THE INVESTMENT PROGRAM 2009 - 2011
/May 15 2012 / 14
• In production from April 2012, well received by customers
| GC RIEBER SHIPPING ASA |
/ 15/ 15
/ CONTRACT BACKLOG
/ 15
• Total contract backlog of close to NOK 2.0 billion
/ 15/May 15 2012
2012 2013 2014 2015 2016VesselPolar PrincePolar ExplorerGeo Atlantic Option (until Oct. 2017)Polar QueenPolar King OptionProtector Option (until March 2017)Ernest Shackleton Option (until end 2019)Polar Duchess Option (8x1 yr)Polar Duke Option (6x1 yr)Polar Pevek Contract until 2021
Polar Piltun OptionPolar Baikal Option
Q3 Q4Q2 Q3 Q4 Q1 Q2Q1 Q2 Q3 Q4 Q1Q1 Q4Q2 Q3 Q4 Q1 Q2 Q3
| GC RIEBER SHIPPING ASA |
/ 16/ 16
/ FLEET UTILISATION
0 %
20 %
40 %
60 %
80 %
100 %
Q106
Q206
Q306
Q406
Q107
Q207
Q307
Q407
Q108
Q208
Q308
Q408
Q109
Q209
Q309
Q409
Q110
Q210
Q310
Q410
Q111
Q211
Q311
Q411
Q112
• High quality fleet and operations:
• Historical technical downtime = 0.8%
/ 16/ 16/May 15 2012 / 16
| GC RIEBER SHIPPING ASA |
/ 17/ 17
/ CONTRACT COVERAGE
Contract coverage
• Whole fleet fully booked from April 2012
• Average contract length: 2.5 years
• Good coverage shortterm – flexibility medium and long term
/ 17/ 17/May 15 2012 / 17
| GC RIEBER SHIPPING ASA |
OFFER TO MINORITY SHAREHOLDERS IN ARMADA SEISMIC
• Voluntary offer to aquire all outstanding shares in Armada Seismic
• Share price in offer NOK 26 per share, a premium of 30 % of investment
• Offer conditional of 90 % acceptance
/May 15 2012 / 18
| GC RIEBER SHIPPING ASA |
/ THE VALUE CHAIN INVESTMENTS
• Reef Subsea had a loss in first quarter, contributing negatively with NOK 22.5 million primarily due to upgrading of vessels “Reef Larissa”and “Reef Despina”
• Vessels awarded contracts with Talisman in the North Sea • Operations and results expected to improve during rest of the year
• Octio still in early phase• Increased market attention on reservoir monitoring• Bidding on several commercial contracts
/May 15 2012 / 19
| GC RIEBER SHIPPING ASA |
/ 20
OUTLOOK & SUMMARY
/May 15 2012
| GC RIEBER SHIPPING ASA |
/ MARKET OUTLOOK
• Overall market drivers, E&P spending and oil price; favourable for 2012, despite uncertainties in the world economy
• Expected trends in segments:• Subsea: Improvement
• Marin Seismic: Improvement
• Ice/Support: Stable
/May 15 2012 / 21
| GC RIEBER SHIPPING ASA |
SUBSEA: STRONGER GROWTH EXPECTED WITHIN HARSH&DEEPWATER SEGMENT
• Harsh & Deepwater (H&D) demand expected to grow 11% p.a. up to 2016 • Shallow & Benign (S&B) demand expected to grow 7.5% p.a. up to 2016
-
100
200
300
400
500
600
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Vess
el y
ears
(30
0 da
ys b
asis
)
Offshore pipelay & support demand forecastS&B support (DP2+)
S&B pipelay
H&D support
H&D pipelay
Source: IHS 2012
/May 15 2012 22
| GC RIEBER SHIPPING ASA |
MARINE SEISMIC: ALL GROWTH RELATED TO HIGH CAPACITY 3D VESSELS – SHORT TERM
‐
5
10
15
20
25
30
35
40
45
1q‐08 3q‐08 1q‐09 3q‐09 1q‐10 3q‐10 1q‐11 3q‐11 1q‐12
Vessel years
Offshore seismic demand
Streamers >= 10 Streamers 8‐9 Streamers = 10 streamers
3D 6‐9 streamers
3D
| GC RIEBER SHIPPING ASA |
SUMMARY
• Satisfying development in core business, but still upside• Related investment Reef Subsea set for improvement• A balanced contract portfolio gives good revenue visibility • Market trends reduce counterparty risk short term and
create new opportunities medium and long term• Strong financial position and a good basis for chasing new
opportunities
25/May 15 2012
| GC RIEBER SHIPPING ASA |
/ 26
/THANK YOU FOR LISTENING !
/May 15 2012
| GC RIEBER SHIPPING ASA |
/ 27
/ DISCLAIMER
• This quarter Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forward-looking information and statements are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for GC Rieber Shipping ASA and its subsidiaries. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for GC Rieber Shipping’s businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time. Although GC Rieber Shipping ASA believes that its expectations and the information in this Presentation were based upon reasonable assumptions at the time when they were made, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in this Presentation. GC Rieber Shipping ASA nor any other company within the GC Rieber Shipping Group is making any representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the information in the Presentation, and neither GC Rieber Shipping ASA, any other company within the GC Rieber Shipping Group nor any of their directors, officers or employees will have any liability to you or any other persons resulting from your use of the information in the Presentation. GC Rieber Shipping ASA undertakes no obligation to publicly update or revise any forward-looking information or statements in the Presentation.
/May 15 2012
Recommended