Teekay Tankers Ltd. · NYSE:TNK
Teekay Tankers — Q2 2014 Earnings Presentation
13 slides from Teekay Tankers's earnings presentation, Aug 7, 2014
Slide 1: Second Quarter 2014 Earnings Presentation
Second Quarter 2014 Earnings Presentation August 7, 2014 TEEKAY TANKERS
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) which reflect management’s current views with respect to certain future events and performance, including statements regarding: the crude oi
Slide 3: Recent Highlights
Recent Highlights • Q2-14 Results – Reported adjusted net loss of $0.05 per share – Generated Cash Available for Distribution (CAD)(1) of $0.11 per share – Declared quarterly fixed dividend of $0.03 per share • In Q2-14, TNK realized a $10 million gain on the sale of two 2010-built VLCCs • In Q2-14,
Slide 4: Increasing Spot Market Exposure
Increasing Spot Market Exposure Fixed-Rate Coverage Fixed-Rate Coverage 12 months ended Q2-13 Estimated Next 12 Months 26% 47% 74% 53% Spot Coverage (Owned Vessels) Spot Coverage (Owned Vessels) Spot Coverage (In-chartered Vessels) Spot Coverage (In-chartered Vessels) Fixed-Rate Coverage Fixed-Rate
Slide 5: Stronger Crude Tanker Rates Better Year-on-Year
Stronger Crude Tanker Rates Better Year-on-Year TNK Spot Rates Q2-2013 vs. Q2-2014 Global Spot Crude Tanker Rates Q2-2013 Q2-2014 45 18 Aframax Suezmax 40 16 35 14 +25% +32% ‘000 USD / Day 30 ‘000 USD / Day 12 25 10 8 20 6 15 4 10 2 5 0 0 Aframax Suezmax Apr-14 May-14 Jun-14 Jul-14 Source: Internal
Slide 6: Strength in Mid-Size Tanker Demand
Strength in Mid-Size Tanker Demand Suezmaxes Trading Longer Haul Y-O-Y Change in Suezmax Spot Fixtures • Increase in WAF-Asia crude oil movements on Suezmaxes +9% +21% • European refiners replacing lost Libyan volumes with WAF crude • More Suezmaxes on MEG-East +16% Source: SSY trade, limiting Atlan
Slide 7: A Shrinking Mid-Size Crude Tanker Fleet
A Shrinking Mid-Size Crude Tanker Fleet Suezmax Fleet Growth Aframax* Fleet Growth 50 10% 50 5.0% 40 40 8% 30 3.0% Number of Vessels Number of Vessels 30 6% 20 20 4% 10 1.0% 0 10 2% -10 -1.0% 0 0% -20 -10 -2% -30 -3.0% -40 -20 -4% -50 -5.0% 2010 2011 2012 2013 2014E 2015E 2016E 2010 2011 2012 2013 2
Slide 8: Q3-14 Spot Earnings Update
Q3-14 Spot Earnings Update • Overall, average spot bookings for Q3-14 to-date are higher than Q2-14 and Q3-13 (based on approximately 43% and 68% of days booked in the quarter for Suezmax/Aframax and LR2 segments, respectively) $25,000 $19,600 $20,000 $18,600 $16,100 $15,500 $15,000 $ per day $13,80
Slide 9: 2014 Investor Day
2014 Investor Day TEEKAY TANKERS 9
Slide 10: Appendix
Appendix TEEKAY TANKERS 10
Slide 11: TNK 2014 Drydock Schedule
TNK 2014 Drydock Schedule Teekay Tankers March 31, 2014 (A) June 30, 2014 (A) September 30, 2014 (E) December 31, 2014 (E) Total 2014 Total Total Total Total Total Vessels Vessels Vessels Vessels Vessels Off-hire Off-hire Off-hire Off-hire Off-hire Off-hire Off-hire Off-hire Off-hire Off-hire Segmen
Slide 12: Fleet Employment
Fleet Employment Aframax Aframax Aframax Aframax Aframax Aframax Aframax In-chartered Vessels LR2 LR2 Avg. Afra rate = $15,600 LR2 LR2 Avg. LR2 rate = $15,975 LR2 LR2 LR2 Trading in Suezmax Teekay Pools Suezmax Fixed-Rate Coverage (estimated) Suezmax Suezmax 12-month (Q3-14 to Q2-15) 26% Suezmax Fis
Slide 13: TEEKAY TANKERS
TEEKAY TANKERS 13