Slide 1: Earnings Call Q3 2019
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Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Matters discussed in this presentation may constitute forward-looking statements under U.S. federal securities laws, including the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect the Company’s current views with respect to future events
Slide 3: Content
CONTENT 1. Q3 2019 HIGHLIGHTS 2. FINANCIAL REVIEW 3. CURRENT THEMES 4. OUTLOOK 5. Q&A 3
Slide 4: Highlights Q3 2019
HIGHLIGHTS Q3 2019 30000 VLCC 25000 P&L B/E Q3 20000 19 • Robust crude tanker fundamentals reflected in improving freight market • Euronav to pay quarterly dividends starting in 2020 Q3 USD/day 15000 • Very strong start to Q4 with VLCC rates booked at USD 60,900 per day so far 18 • Euronav has 90% o
Slide 5: Financial Highlights – Income
FINANCIAL HIGHLIGHTS – INCOME The most important key figures (unaudited) are: • Q3 drivers First (in thousands of USD) Semester Third quarter Year-to- Year-to- similar to Q2 2019 2019 Date 2019 Date 2018 with extended Revenue Other operating income 401,936 3,160 175,287 1,419 577,223 4,579 363,917 3
Slide 6: Financial Highlights – Balance Sheet
FINANCIAL HIGHLIGHTS – BALANCE SHEET HIGHLIGHTS 2019 2018 (in $ million) Sep-19 Dec-18 1 Leverage Cash 183.7 173.0 44% marked to market Restricted cash 0.0 0.1 Other current assets 467.7 348.0 (46% book value) Long term assets: Newbuildings Vessels 0.0 3,263.8 0.0 3,520.1 2 Fleet Development • No ou
Slide 7: Consolidation – Already Happening
CONSOLIDATION – ALREADY HAPPENING • Over 70 VLCCs on one platform from 2020 • Active commercial consolidation 7
Slide 8: Solid Foundations for Tanker Sector
VLCC 1 year TCE 100,000 10,000 20,000 30,000 40,000 60,000 70,000 80,000 90,000 50,000 0 Source: Clarksons Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16 Sep-16 Nov-16 Jan-17 Mar-17 May-17 Jul-17 Sep-17 Nov-17 Jan-18 Mar-18 May-18 1 year TCE VLCC Jul-18 Sep-18 Nov-18 Jan-19 Ma
Slide 9: Solid Foundations for Tanker Sector
VLCC 1 year TCE 100,000 10,000 20,000 30,000 40,000 60,000 70,000 80,000 90,000 50,000 0 Source: Clarksons Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16 Sep-16 Nov-16 Jan-17 Mar-17 May-17 Jul-17 Sep-17 Nov-17 Jan-18 Mar-18 May-18 1 year TCE VLCC Jul-18 Sep-18 Nov-18 Jan-19 Ma
Slide 10: Solid Foundations for Tanker Sector
SOLID FOUNDATIONS FOR TANKER SECTOR IMO INDUCED STORAGE PROVIDES CATALYST FOR FREIGHT RATES 100,000 90,000 80,000 70,000 long term fundamentals (Fleet age profile, VLCC 1 year TCE 60,000 Orderbook <10% fleet) 50,000 short term fundamentals 40,000 (IMO boost, storage on 30,000 VLCCs, 2h oil demand) 2
Slide 11: Solid Foundations for Tanker Sector
SOLID FOUNDATIONS FOR TANKER SECTOR IMO INDUCED STORAGE PROVIDES CATALYST FOR FREIGHT RATES 100,000 temporary factors 90,000 (Retrofits, Sanctions, Oil 80,000 supply outages) 70,000 long term fundamentals (Fleet age profile, VLCC 1 year TCE 60,000 Orderbook <10% fleet) 50,000 short term fundamentals
Slide 12: Euronav – Active Preparation for IMO 2020
EURONAV – ACTIVE PREPARATION FOR IMO 2020 Preparation Procurement & Testing Deployment 560 Procurement team 545 540 purchased LSFO • Security of Supply 520 • Safety & Reliability 500 $ per ton fuel cost • Quality Control • Lower Emissions 480 460 447 440 420 400 0.5% Fuel Oil Current LSFO price Sing
Slide 13: Outlook
OUTLOOK STRONG START TO Q4 – VESSEL SUPPLY UPGRADED Demand for Supply Ton miles & Vessel Euronav Oil IMO 2020 Supply Balance of Oil sheet Robust US v Saudi Positive IMO to help Flexibility from Q2 CHANGE Change No change No change No change No Change UPGRADE 13
Slide 14: Q&A
Q&A 14