Hyundai Merchant Marine Co., Ltd. Company overview

Transcription

1 Hyundai Merchant Marine Co., Ltd. Company overview November 2009 Hyundai Merchant Marine Co.,Ltd. 1

2 Important Notice This presentation contains forward-looking statements, that are based on Hyundai Merchant Marine s current expectations, prospects, assumptions, market view and strategies. These statements are subject to risks and uncertainties as various factors may cause actual results to differ materially. We undertake no duty to update or revise any forward looking statements, whether as a results of new information, future events, or otherwise.

3 Table of Contents Ⅰ. Company Overview 1. Business portfolio 2. Investment 3. Financial Statements Ⅱ. Performance Review (2009-1H) 3

4 Ⅰ. Company Overview 1. Business portfolio Diversified portfolio enable HMM to generate stable earnings. Revenue Breakdown (Based on FY2009 Q3 results) Transpacific service Asia-Europe service Intra-Asia service 66.6% Total Revenue $3,439 Mn 0.4% 13.0% Others Capesize Panamax Supramax 20.0% Crude Tanker Product Tanker Chemical Tanker LNG Carrier LPG Carrier 4

5 Ⅰ. Company Overview 1. Business portfolio With diversified operating fleet, our balanced revenue mix won t change in near term. (As of November 1st, 2009) Owned Chartered Total No. 1,000 Dwt Capacity No. 1,000 Dwt Capacity No. 1,000 Dwt Capacity Container* 22 1, , , Gas carrier** ,371 Wet Bulk Crude tanker 10 2, , ,147 Other tanker Wet bulk total 19 3, , ,689 Dedicated 10 1, ,492 Dry Bulk Dry Bulk , ,333 Dry bulk total 10 1, , ,825 Total 51 6, , ,411 * Container capacity : 1,000 TEU ** Gas carrier capacity : 1,000 CBM (Owned and Chartered over one year) 5

6 Ⅰ. Company Overview 2. Strategic investment We are currently pursuing for long-term charters under our investment strategy Consistent fleet acquisition program and Dispersion of capital against potential depression. Vessel Type Size Own Charter Own Charter Own Charter Container 6,300 TEU 4 1 8,600 TEU 4 VLCC 2 Tanker Chemical (20K) 3 MR (50K) 3 Capesize Dry Bulk Panamax 1 Handymax 1 Handy 2 3 Total No. of new vessels (Owned and chartered more than five years) 6

7 Ⅰ. Company Overview 2. Strategic investment Investment on terminals for premium services and cost reduction. MV2 WUT CUT Busan Kaohsiung Terminal Capacity Remarks California United Terminal (CUT) Washington United Terminal (WUT) Kaohsiung Terminal 950K TEU 650K TEU 430K TEU Busan New Port 2-2 2,000K TEU Open in 2010 Massvlakte 2 - (Consortium) 4,400K TEU Open in

8 Ⅰ. Company Overview 3. Summary financial statements Balance Sheet Income Statement ( ) (Unit KRW Mn) ( ~ ) (Unit KRW Mn) Classification Amount Classification Amount Total assets 8,301,751 Sales 4,545,184 Current assets 1,753,515 Cost of sales 4,933,534 Fixed assets 6,548,236 Gross profit -388,350 Total liabilities 5,967,742 Operating profit -483,575 Current liabilities 1,378,844 Pre-tax profit -713,395 Long-term liabilities 4,588,898 Net income -724,247 Total Stockholders' equity 2,334,009 Capital stock 765,366 Capital surplus 855,653 Retained earnings -188,934 Accumulated Other Comprehensive income 545,233 Capital Adjustments 356,691 Debt-to-Equity 255.7% Net Debt-to-Equity 187.0% Net D/E =(Interest bearing debt - Cash & Cash equivalents)/equity 8

9 Table of Contents Ⅰ. Company Overview Ⅱ. Performance Review (2009-Q3) 1. Overall 2. Container 3. Wet Bulk 4. Dry Bulk 9

10 Ⅱ. Performance Review 1. Overall Results Revenue Operating Profit & Margin Container Wet Bulk Dry Bulk 2009 Q Q Q3 1, ,433 1,420 17% 8% , % -14% -18% -13% -6% -10% -19% -17% -24% -34% Q Q Q (Unit : KRW Bn) Division Q Q Q QoQ Container 1, % Wet Bulk % Dry Bulk % HMM 1,693 1,433 1, % (USD Mn) $1,180 $1,110 $1, % Container Wet Bulk Dry Bulk HMM (Unit : KRW Bn) Division 2009 Q Q Q3 Container Wet Bulk Dry Bulk HMM OP margin -5.6% -10.2% -17.1% 10

11 Ⅱ. Performance Review 2. Container Since 2 nd quarter, trade volume showed recovery. HMM s Volume Trade QoQ Q3 YoY 9 Month Transpacific 7.7% 12.9% 14.1% Asia-Europe 4.8% 1.0% 4.1% Intra-Asia 9.8% 8.6% 10.3% Total 7.6% 8.4% 8.9% 2008 Q Q Q Q Q Q Q Q4 HMM s Volume data, (Unit : 000 teu) 11

12 Ⅱ. Performance Review 2. Container We see market restoration trend through increase in freight rate and improvement in utilization ratio. HMM Freight Rate Trend 200 Transpacific E/B Asia Europe W/B Intra Asia W/B HMM Utilization Ratio 125% Transpacific E/B Asia Europe W/B Intra Asia W/B % % 50 50% Source: HMM data Source: HMM data 12

13 Ⅱ. Performance Review 3. Wet Bulk Tanker market was slow in Q3. Although long-term contracts generated profit, SPOT business was the loss maker. Composition of Wet Bulk Business WS(Left) and HMM Tanker Index(Right) (Unit : pt) WS (L) Tanker (R) (Unit : $/MT) Crude Tanker 61% Total Revenue $ 688 Mn Gas carrier 27% Product Tanker 12% Based on 2009 Q3 accumulated revenue (USD) Source: Clarkson YTD, HMM data 13

14 Ⅱ. Performance Review 4. Dry Bulk Still in red but operating loss was reduced by BDI increase in Q3. Composition of Dry Bulk Business BDI(Left) vs HMM Bulk Index(Right) (Unit : pt) BDI (L) Dry Bulk (R) (Unit : $/MT) 12, Capesize 26% 10, Supramax 51% Total Revenue $ 447 Mn 7,500 5,000 2, Panamax 23% 0 0 Based on 2009 Q3 accumulated revenue (USD) Source: Clarkson YTD, HMM data 14

15 Investor contact HMM Business Management Team (IR) Contact Sam Yoon Ellie Jung Bex Jung Suk-Won Kang