Dht Holdings, Inc. · NYSE:DHT
Dht — Q4 2023 Earnings Presentation
16 slides from Dht's earnings presentation, Feb 7, 2024
Slide 1: February 7, 2024
February 7, 2024
Slide 2: Disclaimer
DISCLAIMER Forward Looking Statements This presentation contains certain forward-looking statements and information relating to the Company that are based on beliefs of the Company's management as well as assumptions, expectations, projections, intentions and beliefs about future events, in particul
Slide 3: Balance Sheet Highlights
Q4’23 Financials BALANCE SHEET HIGHLIGHTS As per As per $ Thousands 31.12.2023 31.12.2022 Total liquidity of $268 million Cash $ 74,738 $ 125,948 Cash $ 74.7 million RCF availability $ 193.0 million Other current assets $ 125,760 $ 109,641 Vessels $ 1,283,720 $ 1,266,581 Other assets $ 8,005 $ 6
Slide 4: P&L Highlights
Q4’23 Financials P&L HIGHLIGHTS Q4 2023 $ Thousands, except per share Average TCE Q4 2023 Revenues on TCE basis $ 94,521 $42,800/d Vessel operating expenses $ (18,718) $43,600/d Spot G&A $ (3,993) $39,600/d Time-charter EBITDA $ 72,894 Interest expenses $ (9,194) Net Income / (loss) after tax
Slide 5: P&L Highlights
Q4’23 Financials P&L HIGHLIGHTS Q4 2023 2023 $ Thousands, except per share Average TCE 2023 Revenues on TCE basis $ 94,521 $ 390,408 $47,500/d Vessel operating expenses $ (18,718) $ (75,429) $51,200/d Spot G&A $ (3,993) $36,400/d Time Charter $ (17,448) EBITDA $ 72,894 $ 302,012 Interest expen
Slide 6: Q4 2023 Cash Flow Highlights
Q4’23 Financials Q4 2023 CASH FLOW HIGHLIGHTS Cash Bridge Q4 2023 $m 200 175 72.9 -8.8 150 -7.1 -30.6 23.9 -23.7 125 -2.2 -22.9 100 -0.8 75 138.0 130.9 50 100.3 98.1 98.1 98.1 73.9 73.9 75.3 74.5 74.7 25 0 30/09/23 Cash EBITDA Debt Cash interest Dividend Maintenance Issuance of Prepayment of Change
Slide 7: Capital Allocation
Q4’23 Financials CAPITAL ALLOCATION Cash dividend of $0.22 per share Equals capital allocation policy: 100% of ordinary net income The 56th consecutive quarterly cash dividend The shares will trade ex-dividend 20 February, 2024 Cash dividend for calendar year 2023 $0.99/sh Quarterly cash div
Slide 8: Robust Spot Earnings
Business Update ROBUST SPOT EARNINGS DHT average spot earnings $/d 75,000 $63,800 $64,800 65,000 $55,900 $54,600 55,000 $44,700 $43,600 45,000 $41,400 $40,100 35,000 25,000 15,000 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 DHT avg. spot DHT Spot booked QTD Q1 2024 VLCC 25-year historical averag
Slide 9: Capital Allocation Potential
Business Update CAPITAL ALLOCATION POTENTIAL P&L and cash breakeven 2024, Estimated EPS 2024 based on estimated discretionary cash flow average spot VLCC rate scenarios $/d $/sh $30,000 $3.00 $2.65 $25,000 $2.50 $8,900/d $20,000 $2.00 $1.85 $15,000 $27,400 $1.50 $24,800 $10,000 $1.04 $18,500 $1.00 $
Slide 10: Q1 Outlook
Business Update Q1 OUTLOOK Estimated Q1 2024 Total term time-charter days 455 Average term time-charter rate ($/day)* $36,600 Total spot days for the quarter 1,630 Spot days booked to date / % of total spot days 1,270 / 78% Average spot rate booked to date ($/day) $55,900 Spot P&L break-even for the
Slide 11: Rapidly Aging Fleet
Market Update RAPIDLY AGING FLEET VLCCs average age vs orderbook Assumes no scrapping and no new orders Total Vessel Age Scheduled years 16 VLCC Fleet Fleet 20Y + 15+ Delivery end-2024 910 156 / 17% 321 / 35% 2 15 50% end-2025 915 185 / 20% 380 / 42% 5 14 end-2026 926 203 / 22% 445 / 48% 11 40% 13 #
Slide 12: Orderbook Lagging
Market Update ORDERBOOK LAGGING Orderbook activity Expected deliveries vs. 20/25 yr old VLCCs #VLCCs #VLCCs 20 14 10 11 12 5 6 0 2 10 -10 -18 -28 -29 -29 -20 -38 8 -17 -30 -8 6 -40 -25 -32 -50 4 -34 -60 2 -70 0 -80 2024 2025 2026 2027 2028 Expected delivery VLCCs turning 20 yrs VLCCs turning 25 year
Slide 13: Clean Fuel Transition
Market Update CLEAN FUEL TRANSITION NB adoption rates of ammonia vessels by segment NB adoption rates of methanol vessels by segment % of NB % of NB Orderbook Orderbook 50% 50% 78 45% 45% 141 40% 40% 35% 35% 30% 30% 25% 25% 20% 20% 15% 15% 10% 10% 5% 5% 0% 0% 2023 2024 2025 2026 2027 2028 2029 2030
Slide 14: Dislocation in Supply and Demand
Market Update DISLOCATION IN SUPPLY AND DEMAND 0.3 0.5 Russian production declines to weigh 0.2 1.0 0.3 on exports 0.1 0.8 0.1 0.0 0.6 (0.1) (0.1) 0.4 (0.2) (0.3) 0.2 0.0 (0.3) (0.5) (0.2) 23 24 25 26 27 28 29 30 23 24 25 26 27 28 29 30 (0.4) 23 24 25 26 27 28 29 30 US and European 2.0 0.2 capacity
Slide 15: Summary
Summary SUMMARY Attractive fundamentals: Continued oil demand growth Longer transportation distances Limited supply of new shipping capacity against a rapidly aging fleet Disciplined strategic execution and respectable corporate governance Structured for cyclical and volatile markets S
Slide 16: Q&A
Q&A February 7, 2024 16