RISH First Quarter 2018 Bergen 25 May 2018 GC RIEBER SHIPPING

Transcription

1 RISH First Quarter 2018 Bergen 25 May 2018 GC RIEBER SHIPPING

2 Agenda Highlights Q Operational Review Financial Review Outlook and Summary

3 Highlights Q Restructuring process successfully concluded Total loss of NOK 59.1 million, compared with a loss of NOK 66.3 million in Q Fleet utilisation of 68 percent Contract backlog of NOK 562 million as of 1 April 2018 Several new charter contracts secured in a prevailing 2 challenging market, contract coverage of 93 percent for the remaining of Excluding marine seismic 2 Excluding options and marine seismic

4 Contract updates Highlights Q Time charter agreement with DeepOcean BV for the SURF vessel «Polar Onyx» for a fixed period of three years with options to extend by up to two years. The contract commenced in February Time charter agreement with a European offshore client for the CSV vessel «Polar Queen» for a fixed period of four months with options to extend by up to one month. Commencement will be in May Shearwater GeoServices («Shearwater») was awarded a marine seismic acquisition services contract in Myanmar by Total and Eni with commencement in February The survey is expected to take about five months. Contract updates after the end of the period Time charter agreement for approximately four weeks with an undisclosed European offshore client for the CSV vessel «Polar Queen», with commencement in April. Shearwater has been awarded several new contracts for 3D and 4D marine seismic acquisition projects, resulting in a confirmed backlog of more than 15 vessel months to be performed over the next two quarters. The contracts include projects for clients such as TGS and Premier Oil to name a few.

5 Highlights Q Key financial figures REVENUES NOK million EBITDA NOK million NET PROFIT NOK million Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q1 2018

6 Operational Review Q1 2018

7 Total contract backlog of MNOK 562 million* per 1 April 2018 CONTRACT COVERAGE* Utilisation rate CONTRACT BACKLOG* NOK million 100% 93% % 60% 71% % 34% % 0% From 1 April From 1 April *Excluding marine seismic Excluding options

8 Subsea Segment Fleet utilisation of 48 percent in Q1 2018, compared with 45 percent in Q «Polar Onyx» on charter from February 2018 «Polar King» on charter for the entire period «Polar Queen» idle in the period Outlook «Polar Onyx» commenced a three year charter with DeepOcean from February 2018, with options for two more years «Polar King» continues on a fixed charter with Nexans until the end of August 2019 KEY FIGURES NOK million % % 86 % % % Q Q Q Q Q «Polar Onyx» «Polar King» «Polar Queen» SURF vessel, built 2014 LOA: 130m Crane: 250mt VLS-tower: 275mt Accommodation: 130 CSV vessel, built 2011 LOA: 111m Crane: 150 mt Accommodation: 112 CSV vessel, built 2011 LOA: 111m Crane: 150 mt Accommodation: 119 «Polar Queen» commences a four month charter in May with options to extend up to one month for W2W duties for a European offshore client Operating income Fleet utilisation (%) EBITDA

9 Ice/Support Segment Fleet utilisation of 100 percent in Q1 2018, compared with 100 percent in Q «Ernest Shackleton» on bareboat charter to British Antarctic Survey until August 2019 KEY FIGURES NOK million % 100 % 100 % 100 % 100 % «Ernest Shackleton» Polar research and subsea support vessel LOA: 80m 50 berths, large decks & cranes allows for multiple tasks Used as Arctic research vessel Q Q Q Q Q Operating income Fleet utilisation (%) EBITDA

10 Joint Ventures Ice/Support Ice/Support Fleet utilisation of 97 percent in Q1 2018, compared with 100 % in Q «Polar Pevek» on charter to Exxon Neftegas (ENL) until 2021 «Polar Baikal» and «Polar Piltun» on charter to Sakhalin Energy Investment Corporation until end of 2019 Share of profit in Q of NOK 3 million * «Polar Baikal» and «Polar Piltun» only operate for half the year, in the winter season the vessels are cold stacked KEY FIGURES* NOK million Q Q Q Q Q Share of profit 12 3 «Polar Pevek» «Polar Baikal» «Polar Piltun» Ice breaking tug with towing anchor handling capacity LOA: 74m Oil spill drip tray and oil containment system installed Crew supply vessel LOA: 29m Used for crew transport between shore and installation in North Eastern Russia Pax: 70 Crew supply vessel LOA: 35m Used for crew transport between shore and installation in North Eastern Russia Pax: 70

11 Joint Ventures Marine Seismic (Shearwater) Marine Seismic (Shearwater) Following an industry wide tough first quarter 2018, Shearwater achieved a fleet utilization of 93 percent in the period for its three active vessels GC Rieber Shipping s share of profit was negative NOK 10 million Outlook Shearwater has fully booked the capacity for its three active vessels in the fleet through Q3 Some awards for Q4 has been booked and the market activity is increasing KEY FIGURES NOK million Q Q Q Q Q Share of profit «Polar Empress» «Polar Duchess» «Polar Marquis» «Polar Duke» Advanced 22 streamer 3D seismic survey vessel Built: 2015 LOA: 113m Accommodation: 70 ICE class 1A* High speed 14 streamer 3D seismic survey vessel Built: 2011 LOA: 107m Accommodation: (+ 2) streamer 3D seismic survey vessel Built: 2000 (upgraded in 2014) LOA: 118.5m Accommodation: 70 High speed 14 streamer 3D seismic survey vessel Built: 2010 LOA: 107m Accommodation: 70 «Polar Duke» is cold stacked

12 Financial Review Q1 2018

13 Income statement NOK mill Q Q Operating income EBITDA EBIT Net financial income and expenses Profit before tax Net profit Normalised profit before tax (1) Earnings per share Number of shares (in million) (1) Profit bef. tax adjusted for unrealised currency gains/losses, profit from disposals and write-downs.

14 Balance sheet NOK million Total balance NOK 2,276.9 million Fixed assets Equity Long-term liabilities Equity ratio 49.1 percent Cash position NOK million Long term receivables include restricted cash of NOK 58.3 million Net debt NOK million Cash & liquid 68 Assets Other current assets assets Equity & Liabilities Current liabilities

15 Liquidity and financing The company has secured a three year financial runway after the successful NOK 100 million Rights Issue and certain debt amendments agreed with the lending banks In combination with the successful establishment of Shearwater GeoServices in December 2016, this concludes the refinancing process initiated during the spring of 2016

16 Outlook and Summary Q1 2018

17 Outlook Market view short term After the steady increase in the oil price during the second half of 2017, the price has fluctuated between USD 60 and 70 per barrel during the first quarter of 2018 and the market sentiment is more positive than experienced in the recent years Expected trends in markets Subsea: Some uptick in activity, but continued rate pressure. However, 2018 is assumed levelled or above 2017 Marine seismic: Improvement in activities, but continued rate pressure Ice/support: Stable and unchanged activities and rates in a gradually improving market

18 Summary The result in the first quarter of 2018 is affected by a continued challenging market Even in a challenging market, several new charter contracts have been secured, bringing the contract coverage for the remaining of 2018 up to 93 percent for the subsea and ice/support vessels Shearwater has been successful in securing new contracts, with 93 percent utilisation for the active fleet in the first quarter of 2018, and a fully booked second and third quarter of 2018

19 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.