Dyna-Mac Holdings Ltd. 4Q and FY 2011 Results Briefing. 22 July 2011

Transcription

1 Dyna-Mac Holdings Ltd. 4Q and FY 2011 Results Briefing 22 July 2011

2 Photo: SBM Offshore Financial Review by Joyce Tiong, CFO 2

3 FY2011 Financial Highlights Revenue: -23.2% to S$167.9 million, from S$218.5 million Gross profit: -0.9% to S$50.3 million, from S$50.8 million Net profit after tax: -2.4% to S$24.8 million, from S$25.5 million Net margin: 14.8%, up from 11.6% EPS: 3.24 cents, from 3.56 cents ROE: 19.4%, from 85.0% Cash and cash equivalents: S$82.0 million, up from S$33.2 million 3

4 Revenue S$ million FY08 FY09 FY10 FY11 % Chg 4Q10 4Q11 % Chg Revenue (23.2) (3.2) Slowdown in activities due to moratorium by the US Government in the Gulf of Mexico in April

5 Revenue by Business FY10 Revenue: S$218.5m S$4.5m, 2% FY11 Revenue: S$167.9m S$2.5m, 1% Module Business Ad hoc Projects: Other services S$214.0m, 98% S$165.4m, 99% 5

6 Revenue by Markets FY10 Revenue: S$218.5m FY11 Revenue: S$167.9m S$5.2m, 2% S$76.8m, 46% Asia Pacific Europe USA S$91.0m, 42% S$122.3m, 56% S$91.1m, 54% 6

7 Profitability Gross Profit 4QFY10 4QFY11 % Chg FY10 FY11 % Chg Gross profit (S$ m) (5.7) (0.9) GP margin (%) (0.8) Net Profit 4QFY10 4QFY11 % Chg FY10 FY11 % Chg Net profit (S$ m) (2.4) NP margin (%) Improved gross profit margin in FY11 Better margins for completed projects Due to variation orders for several projects Reversal of contingent costs related to projects completed in previous years S$10.3 million 7

8 Financial indicators Balance Sheet (S$ million) FY2008 FY2009 FY2010 FY2011 Total assets Total liabilities Net Assets Cash Flow (S$ million) FY2008 FY2009 FY2010 FY2011 Cash flows from operating activities before working capital changes Net cash provided by operating activities Net cash used in investing activities (21.5) (18.4) (21.1) (8.9) Net cash provided by/(used in) financing activities (8.0) (12.3) (14.8) 33.9 Cash and cash equivalents at end of yr (excluding fixed deposits) Financial Ratios FY2008 FY2009 FY2010 FY2011 ROE (%) 87% 30% 85% 19% Gearing (times)

9 Use of IPO Proceeds Use of proceeds Amount Amount Balance allocated utilised amount ($'million) ($'million) ($'million) a. Expansion of yard facility at 13 Pandan Crescent b. Upgrading and expansion of yard facility at Main Yard c. Acquisition of additional equipment and machineries d. Expansion of operations overseas e. General working capital

10 Photo: SBM Offshore Business Review by John Varghese, COO 10

11 FY2011 Business Highlights Listed on SGX Mainboard in March 2011 Completed 147 topside modules since 1998 Order book of S$117 million as at to date Keppel IPT mandate approved at EGM in June Good progress on yard upgrading / expansion and acquisition of equipment Completion expected by end 2011 Proposing final cash dividend of S$0.02 per share Positive outlook in FPSO market going forward 11

12 Completed Projects in FY2011 Vessel Name Customer No. of Topsides Other work Total Weight (tons) Completion Date FPSO OKHA SBM 6-3, FPSO Skarv SBM 1 1 pipes FPSO PSVM Modec 17 5 pipe racks 15, FPSO PSVM VWS Westgarth Ltd 2-1, FPSO Aseng SBM 8-7, FPSO TGT Armada TGT Limited 4-2, ,894 Completed FPSO PSVM in Oct 2010, one of the world s largest FPSOs Dyna-Mac s largest value project for a single vessel Completed 17 topsides and 5 pipe racks in a record 12 months Landmark project: FPSO PSVM 12

13 Yard Capacity and Utilisation 30,000 25, % 99.2% , % 76.6% 80 15,000 10,000 21,000 19,200 24,200 24, , FY08 FY09 FY10 FY11 0 Max. Capacity (tons) Utilisation Rate (%) 13

14 Ongoing Projects Vessel Name Customer Approx. Project Value (S$ M) No. of Topsides Other work Expected Completion (Calendar year) FPSO Belia Azul SBM Q 2011 FPSO Belia Azul VWS Westgarth Q 2011 Projects Keppel Q

15 Photo: SBM Offshore Outlook and Strategy 15

16 Healthy Prospects for Floaters Geographical Breakdown Of the 194 Planned Floating Productions Systems < 1,000m water depth Deepwater 1,000-1,500m Ultra-deepwater > 1,500m' Source: IMA 28 March % or 49 units (SEA, Australia/NZ and China) of these orders are expected from Asia Pacific which accounted for over 50% of Dyna-Mac s revenue in FY10 and FY11 16

17 Order Feb 2011 to date S$117M Optimistic in securing more projects in the future Strong support from existing clients: SBM, Modec and Bumi Armada 17

18 Business Strategies Strengthen customer base Grow existing customers New business development team to prospect for new clients in markets such as Asia, Australia and Africa Organic growth Grow ad hoc projects business Upgrading and expansion Enhance capabilities to tender for a wider range of projects Carry out fabrication works more efficiently Strengthen market position Expand operations overseas to countries Exploring opportunities in Brazil and the PRC Ensure close proximity to customers 18

19 Dividend Proposed final cash dividend: S$0.02 / share Total annual dividend: S$18.6m Dividend yield 5.7% (of IPO price of S$0.35) 3.7% (of share price of 21 July 2011) 19

20 Thank You Q&A 20