Slide 1: First-quarter results 2014
Preferred partner 1Q First-quarter results 2014 Fornebu, April 30, 2014 Øyvind Eriksen and Leif Borge © 2014 Aker Solutions Slide 1 April 30, 2014 First-quarter results 2014 Preferred partner
Slide 2: Agenda | 1Q 2014
Agenda | 1Q 2014 Introduction Øyvind Eriksen Executive chairman Financials Leif Borge President & CFO Q&A session Øyvind Eriksen Leif Borge Q&A © 2014 Aker Solutions Slide 2 April 30, 2014 First-quarter results 2014 Preferred partner
Slide 3: 1Q 2014 | Key figures
1Q 2014 | Key figures1 Revenue and EBITDA Order intake and backlog NOK billion NOK billion Revenue EBITDA2 Intake Backlog 14 1,4 30 80 12 1,2 25 60 10 1,0 11.2 20 1.0 8 0,8 55.6 15 40 6 0,6 10 4 0,4 20 5 8.7 2 0,2 0 0,0 0 0 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 2013 2014 2013 2
Slide 4: 1Q 2014 | By business area
1Q 2014 | By business area Revenue Profitability NOK million EBITDA margin (percent) SUB 3 497 SUB 11,5 3 023 10,6 MMO 2 801 MMO 6,2 2 863 6,6 2 506 9,1 DRT 2 344 DRT 10,0 984 ENG 8,7 ENG 1133 7,2 607 8,2 UMB UMB 397 -15,9 535 5,0 PRS 436 PRS 7,3 1Q 2014 394 1Q 2013 10,4 OMA 105 OMA -51,4 © 2014 Ake
Slide 5: Order intake per business area
Order intake per business area 1Q 2014 order intake of NOK 8.7 billion NOK million Order intake fuelled by: SUB SUB 3,925 Subsea products and DRT DRT 1,883 services demand Drilling orders for single equipment and services MMO MMO 1,375 UMB UMB 713 ENG ENG 458 OMA OMA 262 PRS PRS 245 © 2014 Aker
Slide 6: Outlook
Outlook ■ Slowdown in Norway’s MMO market and parts of global drilling industry ■ Healthy demand for most of our products and services ■ Robust tender activity in key markets ■ Well-positioned in fast-growing subsea and deepwater markets ■ Alliance with Baker Hughes supports subsea factory strategy
Slide 7: Agenda | 1Q 2014
Agenda | 1Q 2014 Introduction Øyvind Eriksen Executive chairman Financials Leif Borge President & CFO Q&A session Øyvind Eriksen Leif Borge Q&A © 2014 Aker Solutions Slide 7 April 30, 2014 First-quarter results 2014 Preferred partner
Slide 8: Consolidated income statement
Consolidated income statement (NOK million) 1Q 14 1Q 13 2013 2012 Operating revenues and other income 11,229 10,312 42,900 41,632 EBITDA 1,047 767 3,503 4,171 Of which related to non-recurring items - - 3251 Of which related to hedging 32 (3) (124) 36 Depreciation and amortisation (360) (269) (1,618
Slide 9: 1Q 2014 | Consolidated cashflow, capex and NCOA
1Q 2014 | Consolidated cashflow, capex and NCOA ■ Cashflow from operations negative NOK 758 million in the quarter ■ NCOA of NOK 3.9 billion (4Q 2013: NOK 2.6 billion) Cashflow Net current operating assets (NCOA)1 NOK million NOK million 5 000 800 500 -5500 8300 4 000 3 000 4100 2 000 1 000 0 -1 000
Slide 10: 1Q 2014 | Financial position
1Q 2014 | Financial position ■ Net debt of NOK 4.1 billion (4Q 2013: NOK 8.3 billion) ■ Liquidity buffer of NOK 9.5 billion ■ Received NOK 5.5 billion in cash in January 2014 from divestments of WIS and MLS Debt maturity profile LTM EBITDA, NIBD and NIBD/LTM EBITDA NOK million NOK million Note: Revo
Slide 11: Product Solutions: Subsea and Umbilicals
Product Solutions Subsea Umbilicals ■ Revenue growth of 16% from vs. last year ■ Revenue growth of 53% vs. last year ■ The EBITDA margin improved to 11.5%, from 10.6% a year ■ The EBITDA margin improved to 8.2%, from negative 15.9% a earlier year earlier. ■ Order intake of NOK 3.9 billion, mainly dr
Slide 12: Product Solutions: Drilling Technologies and Process Systems
Product Solutions Drilling Technologies Process Systems ■ Revenue growth of 7% vs. last year ■ Revenues growth of 23% vs. last year ■ The EBITDA margin narrowed to 9.1 % from 10.0 % amid weak ■ The EBITDA margin was 5.0 % in the quarter, compared with execution and progress on some projects 7.3% a y
Slide 13: Engineering Field-Life Solutions
Engineering Field-Life Solutions Engineering MMO ■ Revenues fell to NOK 984 million in the quarter from NOK ■ Reduced volume in Norway was partly offset by increased 1,133 million a year earlier. volume from the UK and Brunei ■ The EBITDA margin was 8.7%, improving from 7.2% a year ■ The EBITDA and
Slide 14: Field-Life Solutions
Field-Life Solutions Oilfield Services and Marine Assets Asset values Total NOK 4.9 bn Skandi Aker (Total) ■ Earnings in the first quarter were below target due to some 500 one-off costs related to maintenance and repair, and low Aker Oilfield Services 500 revenue utilization ■ First quarter revenue
Slide 15: Order backlog and order intake
Order backlog and order intake1 Order backlog by execution date Order backlog adjusted for Cat B2 NOK billion NOK billion 80 Cat B 23 Adjusted 19 70 13 60 2014 2015 Later 50 Order backlog of NOK 55.6 bn 40 NOK million 70 ENG DRT SUB MMO Other 1,2 30 60 50 20 40 30 20 10 10 0 1Q 12 2Q 12 3Q 12 4Q 12
Slide 16: Agenda | 1Q 2014
Agenda | 1Q 2014 Introduction Øyvind Eriksen Executive chairman Financials Leif Borge President & CFO Q&A session Øyvind Eriksen Leif Borge Q&A © 2014 Aker Solutions Slide 16 April 30, 2014 First-quarter results 2014 Preferred partner
Slide 17: © 2014 Aker Solutions Slide 17 April 30, 2014
© 2014 Aker Solutions Slide 17 April 30, 2014 First-quarter results 2014 Preferred partner
Slide 18: Additional information
Preferred partner 1Q Additional information © 2014 Aker Solutions Slide 18 April 30, 2014 First-quarter results 2014 Preferred partner
Slide 19: Consolidated cash flow
Consolidated cash flow NOK million Cash flow 1Q 2012 2Q 2012 3Q 2012 4Q 2012 FY 12 1Q 2013 2Q 2013 3Q 2013 4Q 2013 FY 13 1Q 2014 EBITDA continuing operations 1,040 1,357 1,122 1,220 4,739 868 946 1,074 615 3,503 1,047 Change in cash flow from operating activities (1,162) (1,844) (1,173) 1,223 (2,956
Slide 20: Consolidated assets & debt and equity
Consolidated assets & debt and equity NOK million Assets 1Q 12 2Q 12 3Q 12 4Q 12 1Q 13 2Q 13 3Q 13 4Q 13 1Q 14 Property, plant and equipment 7,732 8,179 8,518 10,041 10,418 10,557 10,802 9,815 9,728 Intangible assets 6,776 7,040 7,162 7,454 8,693 8,950 9,267 8,842 8,869 Financial assets (non-current
Slide 21: Split per business area
Split per business area NOK million Revenues Q1 2012 Q2 2012 Q3 2012 Q4 2012 FY 12 Q1 2013 Q2 2013 Q3 2013 Q4 2013 FY 13 Q1 2014 Product Solutions 5,104 6,343 5,972 6,816 24,235 6,177 7,113 6,550 7,475 27,315 7,093 Field Life Solutions 2,707 3,172 3,109 3,101 12,089 2,968 2,996 2,768 3,229 11,961 3,
Slide 22: Split per business segment in Aker Solutions
Split per business segment in Aker Solutions NOK million Revenues 1Q 2012 2Q 2012 3Q 2012 4Q 2012 FY 12 1Q 2013 2Q 2013 3Q 2013 4Q 2013 FY 13 1Q 2014 Subsea 2,445 3,401 2,899 3,429 12,174 3,023 3,535 3,289 3,687 13,534 3,497 Umbilicals 413 506 518 561 1,998 397 519 488 632 2,036 607 Drilling Technol
Slide 23: Split per business segment in Aker Solutions
Split per business segment in Aker Solutions NOK million Order intake 1Q 2012 2Q 2012 3Q 2012 4Q 2012 FY 12 1Q 2013 2Q 2013 3Q 2013 4Q 2013 FY 13 1Q 2014 Subsea 2,423 3,203 1,908 2,348 9,882 17,835 3,771 2,607 1,955 26,168 3,925 Umbilicals 297 790 500 31 1,618 1,074 103 902 966 3,045 713 Drilling Te
Slide 24: © 2014 Aker Solutions Slide 24 April 30, 2014
© 2014 Aker Solutions Slide 24 April 30, 2014 First-quarter results 2014 Preferred partner
Slide 25: Copyright and disclaimer
Copyright and disclaimer Copyright Copyright of all published material including photographs, drawings and images in this document remains vested in Aker Solutions and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any for