Wallenius Wilhelmsen Asa · OSL:WAWI
Wallenius Wilhelmsen Asa — Q2 2025 Earnings Presentation
37 slides from Wallenius Wilhelmsen Asa's earnings presentation, Aug 12, 2025
Slide 1: Wallenius Wilhelmsen ASA Q2 2025
Wallenius Wilhelmsen ASA Q2 2025
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking information and statements relating to the business, financial performance and results of the Group, and/or the industry and markets in which it operates. Forward-looking statements are statements that are not historical facts and may be identifi
Slide 3: Agenda
Agenda 1. Highlights 2. Market update 3. Business update 4. Sustainability update 5. Financial update 6. Prospects & Q&A 3
Slide 4: A strong quarter in a volatile environment
A strong quarter in a volatile environment Delivered an EBITDA of USD 472m, up 2% QoQ despite significant market volatility Experienced firm demand for ocean transport, in particular out of Asia Resolved to pay a dividend of USD 1.10 per share, based on 50% of H1 2025 underlying EPS combined with th
Slide 5: Agenda
Agenda 1. Highlights 2. Market update 3. Business update 4. Sustainability update 5. Financial update 6. Prospects & Q&A 5
Slide 6: 1% growth in deep-sea volumes expected for 2025, with diverging trends across trade lanes
1% growth in deep-sea volumes expected for 2025, with diverging trends across trade lanes Annual global deep-sea volumes split by trade1 Million light vehicles AS-NA AS-EU AS-ME EU-NA EU-AS Intra-Asia AS-SA Other 1% YoY growth 6% 13% 15.6 15.8 13% -5% -3% 14.8 13.7 3.6 13.1 3.7 12% 12.1 3.6 3.4 0.6
Slide 7: Despite modest growth in deep-sea volumes, rising East-West imbalance boosts underlying demand for tonnage
Despite modest growth in deep-sea volumes, rising East-West imbalance boosts underlying demand for tonnage Development of passenger car volumes ex. East Development of passenger car volumes ex. West Million light vehicles Million light vehicles China Japan Korea USA UK EU 11.2 11.4 3.1 3.1 -12% 3.0
Slide 8: US production 4% down in the quarter relative to last year
US production 4% down in the quarter relative to last year Monthly motor vehicle production in the US Million vehicles Light trucks1 Auto2 Heavy and medium trucks3 YoY growth -4% 2.8 2.8 2.8 2.7 0.1 2.7 0.1 2.7 2.6 2.6 2.5 0.1 2.6 2.5 2.4 2.5 0.1 0.1 2.4 0.1 0.1 0.1 0.4 0.1 0.4 0.4 0.1 0.1 -23% 0.1
Slide 9: The global fleet expected to grow by 13% in 2025 and 7% in 2026
The global fleet expected to grow by 13% in 2025 and 7% in 2026 Development of global fleet capacity1 Million CEU 7% 5.3 5.2 0.1 5.1 0.1 5.0 0.1 13% 4.9 0.2 21 vessels delivered in Q2, 4.8 0.1 38 deliveries YTD 0.1 4.6 0.0 5.2 5.1 5.0 0.2 4.4 4.9 4.8 4.3 0.1 4.6 0.1 4.4 4.3 4.2 0.0 Q4-24 Q1-25 Q2-25
Slide 10: Agenda
Agenda 1. Highlights 2. Market 3. Business 4. Sustainability 5. Financial results 6. Prospects & Q&A 12
Slide 11: Key market implications for Wallenius Wilhelmsen
Key market implications for Wallenius Wilhelmsen • Well positioned for the continued growth in Asian exports • Able to manage the volatility in US import and production volumes • Experience a continued balanced Shipping market, despite increased vessel deliveries 13
Slide 12: Q2 2025 financials
Strong group EBITDA of USD 472m Shipping services Logistic services Government services Q2 2025 financials 1,033 USD m in revenues 411 USD m of adj. EBITDA 273 USD m in revenues 32 USD m of adj. EBITDA 106 USD m in revenues 41 USD m of adj. EBITDA +6% QoQ Adj. EBITDA, USD m -14% QoQ -12% QoQ 409 416
Slide 13: Shipping volumes rebounded sharply QoQ
Shipping services Logistic services Government services Shipping volumes rebounded sharply QoQ Shipping services volume and H&H share (mill cbm1 and % H&H/BB of total2) Auto H&H/BB Share of H&H/BB 18 Prior to Red Sea avoidance -2% 15 14.0 13.7 +8% • High cargo activity from Asia led to 12.7 12 a sha
Slide 14: Continued strong volumes from Asia while more muted for Europe/North America
Shipping services Logistic services Government services Continued strong volumes from Asia while more muted for Europe/North America Shipping service volumes ex-East (million cbm) +26% 9.4 8.2 8.3 8.4 8.2 8.2 8.2 +15% 7.8 8.1 7.8 7.4 7.5 7.5 7.6 • The trade imbalance between Asia (ex-East) and Europ
Slide 15: H&H volumes up 22% QoQ but not yet a sign of a market rebound
Shipping services Logistic services Government services H&H volumes up 22% QoQ but not yet a sign of a market rebound High & Heavy volumes (cbm)1 H&H H&H/BB share, unprorated in % -9% 25% 24% • H&H and BB's share of volumes rose to 24%, driven by frontloading and our 21% customers' market outperform
Slide 16: Net rate down 2% QoQ due to customer mix
Shipping services Logistic services Government services Net rate down 2% QoQ due to customer mix Net freight rate/cbm and estimated net TCE earning/day1 Net freight rate/cbm bridge for QoQ and YoY (USD) Estimated net TCE earnings/day (USD 000) Net freight rate per CBM (USD) -2% +7% -2% 66.2 0.0 -1.5
Slide 17: Activity level for Logistic services impacted by tariffs and sale of MIRRAT
Shipping services Logistic services Government services Activity level for Logistic services impacted by tariffs and sale of MIRRAT Volumes handled at our facilities Auto EBITDA margin 14% 15% 15% 15% 15% 14% 11% 12% 11% 8% • Auto volumes remained fairly stable QoQ 5% 6% 6% -3% 2% • Contract renewal
Slide 18: Around USD 500m worth of contract backlog added in quarter
Shipping services Logistic services Government services Around USD 500m worth of contract backlog added in quarter % of Shipping volume based on contract Estimated contract revenue split for Total contract backlog startup1 Logistic services (USD m)2 Estimated 2025 lifting capacity 6% Shipping Logist
Slide 19: Other key developments in quarter
Shipping services Logistic services Government services Other key developments in quarter • Sold a 30-year-old vessel with delivery to new owner in Q3 and exercised two purchase options for existing tonnage • Agreed on a new JV with Bertel O. Steen for a new VPC in Drammen, Norway - cementing our Lo
Slide 20: Agenda
Agenda 1. Highlights 2. Market update 3. Business update 4. Sustainability update 5. Financial update 6. Prospects & Q&A 22
Slide 21: Improved LTIF QoQ and within annual target threshold
Improved LTIF QoQ and within annual target threshold LTIF for Shipping, Government and Logistics services Target LTIF 1.12 1.02 Shipping & Govt.1 0.70 • LTIF Shipping2 is at 0.20 for Q2, down from 1.02 in Q1 2025 0.22 0.21 0.18 0.20 • LTIF Logistics2 is at 11.04 for Q2, down Q1 24 Q2 24 Q3 24 Q4 24
Slide 22: Absolute emissions slightly up QoQ while emissions intensity remains above target
Absolute emissions slightly up QoQ while emissions intensity remains above target due to change in trading pattern Absolute emissions (tonnes CO2e, thousands) CO2e intensity – gCO2e / tonne nm (EEOI) Tank-to-wake Well-to-tank CO2e intensity target Actual CO2e intensity +5.9% -4.5% 64.5 58.4 61.2 64.
Slide 23: Preparing the Shaper class for a multi-fuel future
Preparing the Shaper class for a multi-fuel future • In Q2, engine configuration for seven vessels was changed to dual fuel LNG with fuel tanks capable of carrying ammonia • The Shaper class will have seven dual fuel methanol and seven dual fuel LNG (Ammonia prepared) vessels • Through the Shaper cl
Slide 24: Agenda
Agenda 1. Highlights 2. Market update 3. Business update 4. Sustainability update 5. Financial update 6. Prospects & Q&A 26
Slide 25: Financial targets updated with ROCE (over the cycle) target increased from 8% to 12%
Financial targets updated with ROCE (over the cycle) target increased from 8% to 12% Financial targets1 ROCE (over the cycle) Leverage ratio Wallenius Wilhelmsen remains committed to strong capital discipline and financial targets Increased from 8% to 12% Reduced from <3.5x to <3.0x are actively mon
Slide 26: Financial highlights – Q2 2025
Financial highlights – Q2 2025 USD m, per cent and multiples Q2-24 Q1-25 Q2-25 YoY/QoQ Financial targets1 ROCE > 12% Revenue 1,359 1,297 1,350 +1.0 19.9% -0.6 Adj. EBITDA 507 462 472 Equity ratio > 35% +5.2 Net profit 315 246 403 40.9% +6.5 Operating Leverage ratio < 3.0x cash flow 388 450
Slide 27: Shipping services EBITDA of USD 411m, up 6% QoQ on increased volumes
Shipping services EBITDA of USD 411m, up 6% QoQ on increased volumes Revenue (USD m) Adj. EBITDA development QoQ (USD m) 3% 7% +6% 0 1 001 1 010 968 1 033 970 15 16 1 9 3 1 10 -30 411 48 Adj. EBITDA (USD m) 387 +1% +6% 409 416 411 371 387 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q1-25 adj. Net Fuel Other Cargo
Slide 28: Logistics services EBITDA of USD 32, down 12% QoQ due to sale of MIRRAT
Logistics services EBITDA of USD 32, down 12% QoQ due to sale of MIRRAT Revenue (USD m) Adj. EBITDA development QoQ (USD m) -12% -13% -3% 37 315 294 296 281 273 4 32 -1 Adj. EBITDA (USD m) 1 -8 -46% -12% 60 47 44 37 32 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q1-25 adj. EBITDA Revenue Manufacturing cost Other
Slide 29: Government services delivered solid results in Q2 with EBITDA of USD 41m
Government services delivered solid results in Q2 with EBITDA of USD 41m Revenue (USD m) Adj. EBITDA development QoQ (USD m) -14% -2% -1% 47 117 108 110 107 106 -2 -3 1 0 41 Adj. EBITDA (USD m) 0 -3 -15% -14% 52 48 49 47 41 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q1-25 adj. Revenue Fuel Cargo Operating Charte
Slide 30: Liquidity remains strong on solid operational performance
Liquidity remains strong on solid operational performance Cash flow and liquidity development (USD m) • Cash and cash equivalents at quarter end -18% was USD 1,363m, down 18% QoQ due to (43) material debt repayments and the 228 0 (21) 0 (64) (310) dividend payment in April 2025 Comments 472 1 666 (5
Slide 31: Continued strong financial position with a solid balance sheet and liquidity position
Continued strong financial position with a solid balance sheet and liquidity position Equity (USD bn) NIBD (USD bn) Liquidity reserves (USD bn) Book equity Equity ratio Bank/bond debt Cash balance Cash balance Leasing debt Leverage ratio RCF 9% 11% -4% +5% 1.0x 0.9x 0.9x 39.5% 40.9% 0.9x 35.7% 0.8x
Slide 32: USD 465m in cash dividend approved
USD 465m in cash dividend approved Declared dividends (USD) Ordinary dividend per share Share of net profit2 • On August 11, 2025, the Board resolved to Extraordinary dividend per share Total dividend (USD m) pay a total dividend of USD 465 million, Last tranche of 2023 dividend equivalent to USD 1.
Slide 33: Attractive financing in place for 10 out of 14 Shaper Class vessels
Attractive financing in place for 10 out of 14 Shaper Class vessels Newbuild capex schedule as of end Q2 2025 (USD m) 270 • In Q2, WW Ocean secured USD 300m post- delivery financing for four Shaper Class vessels at attractive terms: • USD 150m term loan structured as green (subject to final EU Taxon
Slide 34: Agenda
Agenda 1. Shipping update 2. Logistics update 3. Sustainability update 4. Financial update 5. Prospects & Q&A 36
Slide 35: Prospects
Prospects Strong demand and utilization, in particular for shipping, have continued into Q3 and we maintain our financial outlook for the year, expecting 2025 adjusted EBITDA to be in line with 2024
Slide 36: Q&A
Q&A 38
Slide 37: Thank you!
Thank you!