Qatar Navigation Qsc · QSE:QNNS
Qatar Navigation Qsc — Qatar Navigation (Milaha) — FY2017 Earnings Presentation
16 slides from Qatar Navigation Qsc's earnings presentation, Mar 5, 2018
Slide 1: Full Year 2017 Financial Summary Conference Call
Full Year 2017 Financial Summary Conference Call March 5, 2018 Doha, Qatar 1
Slide 2: Interim Consolidated Income Statement – Full Year
Interim Consolidated Income Statement – Full Year (All amounts in QR Millions) 2015 2016 2017 Operating Revenue 2,984 2,551 2,491 Salaries, Wages and Other Benefits (682) (636) (576) Revenue Down (2)% Operating Supplies and Expenses (969) (851) (978) Rent Expenses (18) (16) (14) Operating Profit
Slide 3: Activities by Segment
Activities by Segment Maritime & Gas & Offshore Trading Capital Logistics Petrochem • Port Services • Vessel Charter & • LNG Transport • Heavy Equipment • Real Estate Operations and Truck Agency Development and • Container Shipping • LPG Transport Management • Diving & Subsea • Bunker Distribution •
Slide 4: Net Profit, by Segment – Full Year
Net Profit, by Segment – Full Year (All amounts in QR Millions) 50% %’s shown vs 2016 -65% -16% -63% -88% Unfavorable Favorable 4
Slide 5: Statement of Income, by Segment – Full Year 2017
Statement of Income, by Segment – Full Year 2017 (All amounts in QR Millions) Maritime & Gas & Eliminations/ Logistics Offshore Petrochem Trading Capital Corporate Adjustments Consolidated Operating Revenue 945 451 387 304 672 - (269) 2,491 Salaries, Wages and Other Benefits (140) (161) (101) (18) (
Slide 6: Statement of Income, by Segment – Full Year 2016
Statement of Income, by Segment – Full Year 2016 (All amounts in QR Millions) Maritime & Gas & Eliminations/ Logistics Offshore Petrochem Trading Capital Corporate Adjustments Consolidated Operating Revenue 1,004 573 456 312 409 - (202) 2,551 Salaries, Wages and Other Benefits (200) (178) (103) (19)
Slide 7: Segment Performance – Maritime & Logistics
Segment Performance – Full Year (All amounts in QR Millions) 2015 2016 2017 6% Decline in Revenue and 16% Decline in Net Profit Operating Revenue 1,166 1,004 945 o Revenue drop in Port unit due to change in P&L reporting Salaries, Wages and Other Benefits (199) (200) (140) • QTerminals share of resu
Slide 8: Segment Performance – Offshore
Segment Performance – Full Year (All amounts in QR Millions) 2015 2016 2017 21% Decline in Revenue and 63% Decline in Net Profit Operating Revenue 711 573 451 o Diving and Construction & Maintenance Services revenue declined Salaries, Wages and Other Benefits (229) (178) (161) due to rate & utilizat
Slide 9: Segment Performance – Gas & Petrochem
Segment Performance – Full Year (All amounts in QR Millions) 2015 2016 2017 15% Decline in Revenue and 65% Decline in Net Profit Operating Revenue 401 456 387 o Harbour Operations impacted by lower utilization of older vessels, Salaries, Wages and Other Benefits (95) (103) (101) and lower re-negotia
Slide 10: Segment Performance – Trading
Segment Performance – Full Year (All amounts in QR Millions) 2015 2016 2017 3% Decline in Revenue and 88% Decline in Net Profit Operating Revenue 421 312 304 o Drop in sales of heavy equipment and marine engine/lubricant Salaries, Wages and Other Benefits (19) (19) (18) sales, offset by higher bunke
Slide 11: Segment Performance – Capital
Segment Performance – Full Year (All amounts in QR Millions) 2015 2016 2017 64% Increase in Revenue and 50% Increase in Net Profit Operating Revenue 491 409 672 Salaries, Wages and Other Benefits (12) (8) (9) o Large increase in sales from Qatar Quarries associate; related Cost Operating Supplies an
Slide 12: Outlook
Outlook Macro: Expect to see the full year impact of higher volumes seen at Hamad port in H2 2017 Expect container feedering margins to be under pressure due to increases in the cost of bunker and competitive rate pressure Ramp-up of utilization at Al Thumama warehouses will contribute positiv
Slide 13: Outlook
Outlook Macro: Expect the fundamentals in the offshore market to gradually improve on the back of higher oil prices, declining OSV fleet supply and supply-demand imbalances. 13
Slide 14: Outlook
Outlook VLGCs: charter rates remain depressed; expect 2018 to be challenging Jointly & Fully owned LNG carriers: limited fluctuation versus 2017 due to long term fixed nature of contracts Fully-owned product tankers + 1 crude carrier: all trading in spot market. Market is very volatile but exp
Slide 15: Outlook
Outlook Expect a challenging year for this segment in 2018 15
Slide 16: Outlook
Outlook Listed portfolio performance strongly correlated to Qatar Exchange performance and volatility 16
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