Ultrapetrol (bahamas) Limited · OTC:ULTRF
Ultrapetrol (bahamas) — FY2009 Earnings Presentation
33 slides from Ultrapetrol (bahamas)'s earnings presentation, Mar 31, 2010
Slide 1: Fourth Quarter & FY 2009 Earnings Presentation
Fourth Quarter & FY 2009 Earnings Presentation March 31, 2010
Slide 2: Forward Looking Statements & EBITDA
Forward Looking Statements & EBITDA Our disclosure and analysis in this presentation concerning our operations, cash flows and financial position, including, in particular, the likelihood of our success in developing and expanding our business, include forward- looking statements. Statements that ar
Slide 3: Ultrapetrol's FY 2009 Highlights
Ultrapetrol’s FY 2009 Highlights Ø On August 7, 2009, we received delivery of our PSV UP Rubi which subsequently entered into a 4-year contract with Petrobras Ø Our Capesize vessel Princess Susana was sold and subsequently delivered on December 10, 2009 Ø On December 18, 2009, we entered into a cont
Slide 4: Ultrapetrol's 4Q 2009 & Subsequent Events Highlights
Ultrapetrol’s 4Q 2009 & Subsequent Events Highlights Ø Fully drew down BNDES 17-year loan facility on December 10, 2009: $18.7 million at a 3% fixed interest rate to partially post-finance the construction of our PSV UP Rubi Ø Our three PSVs, UP Topazio, UP Esmeralda and UP Safira operating in the N
Slide 5: River Business
River Business 5
Slide 6: River Business FY 2009 & 4Q Highlights
River Business FY 2009 & 4Q 09 Highlights § Paraguayan soybean production suffered in 2009 the worst drought in the last 50 years 30% reduction in volumes transported in 2009 § Lower volumes in Q4 09 due to low water levels of the Paraguay River à No shipments of iron ore in 4Q 08 ü During 2009 thro
Slide 7: FY 2009 vs FY 2008 - Breakdown per Ton Transported
FY 2009 vs FY 2008 - Breakdown per Ton Transported (In $ / Ton) FY 2009 FY 2008 Difference Average Freight Rate 23.74 27.53 -13.8% Difference -3.79 Of which Fuel adjustment explains -$3.91, or 103.3% Average price increases and cargo mix explain $0.12, or -3.3% Increase in Running Costs $1.28 or 15%
Slide 8: River Business Outlook Ready for 2010
River Business Outlook Ready for 2010 Record Crop Expected Wall Street Journal - March 22, 2010 + 3.1 MT “Increased planted area and favorable weather is expected to push output up 20% from Paraguay’s previous record, set in 2007-08” ü Our River Business operates the largest and most modern fleet in
Slide 9: River Business Outlook
River Business Outlook • Pro-Forma Assumptions: ü Pro-Forma EBITDA Margin: Average of 06-08 Actual Segment EBITDA Margin ie: 18.9% üPro-Forma Freight per Ton: Average of 06-08 Actual RB Average Freight Rate per Ton ie: $23.5 per ton ü Pro-Forma volume transported: Equal to 2008 ie: 4.3 Million Tons
Slide 10: Offshore Supply Business
ULTRAPETROIL Offshore Supply Business 10
Slide 11: Offshore Supply Business FY 2009 & 4Q Highlights
Offshore Supply Business FY 2009 & 4Q 09 Highlights Ø Our revenues in 2009 decreased 19% mainly as a result of lower earnings of our vessels operating in the North Sea. Average Spot rate in the North Sea decreased 64%, from £22,146 in 2008 to £8,012 in 2009(1) Ø Our three vessels operating in the No
Slide 12: Offshore Supply Business FY 2009 & 4Q Overview
Offshore Supply Business FY 2009 & 4Q 09 Overview Six vessels in Operation: Ø The North Sea market experienced lower spot rates during 2009 North Sea Spot Rates Average 08: £ 22,146 Average 09: £ 8,012 £ 35,900 £ 34,604 Our 3 vessels operating in the NS market were re-positioned to Brazil towards th
Slide 13: Offshore Supply Business Outlook - GPC
Offshore Supply Business Outlook - GPC Gross Profit Contribution (1) (2) (3) • Pro-Forma Assumptions: ü 6 vessels operational in Brazil ü At same average gross rates as obtained by Brazilian fleet operating in 4Q 09 ($28,961 / day minus $2,600 / day of tax retentions) ü At same average Running Costs
Slide 14: Offshore Supply Business Outlook
Offshore Supply Business Outlook Six vessels under construction Delivery dates (informed by Yards) (3) CHINA INDIA 2 PSVs 1 PSV 2 PSVs 1 PSV UP Jasper Bharati V-381 Bharati V-382 Bharati V-387 UP Turquoise Bharati V-386 2Q 10 3Q 10 4Q 10 1H 11 2H 11 UP Jasper and UP Turquoise (Chinese-built): Launch
Slide 15: Offshore Supply Fleet Overview
Offshore Supply Fleet Overview Fleet in Operation Fleet under Construction 15
Slide 16: Ocean Business
\ i ir \ ULTRAPETROL Ocean Business 16
Slide 17: Ocean Business FY 2009 & 4Q Highlights
Ocean Business FY 2009 & 4Q 09 Highlights Ø Decrease in revenues is mainly attributable to the lower time charter rates obtained by our four Capesize vessels in 2009. The average TC rate of the BCI in 2008 was $106,025 per day as compared to $42,656 in 2009 Ø Our FFAs coverage strategy proved to be
Slide 18: Capesize Fleet Overview and Outlook
Capesize Fleet Overview and Outlook 4 Capesize Time Charter Route Average(1) (2) Ø Our remaining Capesize vessel, Princess $56,500 FFA Coverage Katherine, will remain 100% covered with FFAs Remaining capesize vessel is fully covered with FFAs at an average of $56,500 per day Ø Our FFA hedging strate
Slide 19: Capesize Fleet Overview
Capesize Fleet Overview We have agreed to sell part of our Capesize vessels § Current orderbook for Capesize vessels represents 71% of current existing tonnage (or abt 670 vessels) § 51.7% of current existing tonnage to be delivered from March 2010 to December 2011 § We believe this orderbook will p
Slide 20: Tanker Fleet Overview and Outlook / New Acquisitions
Tanker Fleet Overview and Outlook / New Acquisitions Product Tanker Fleet Ø We operate a fleet of 5 product tankers Ø Our fleet is employed in South America on long term charters with Oil Majors Ø Local demand for modern capacity is very stable New Acquisitions Ø On February 26, 2010, we agreed to p
Slide 21: Ocean Fleet Overview
Ocean Fleet Overview (1) On February 17, 2010, we entered into an MOA for the sale of this vessel. (2) Expected delivery on Mid April, 2010. 21
Slide 22: Expected Expansion CAPEX Program
Expected Expansion CAPEX Program 2010-2011 Total CAPEX = $ 121.6 Million Ø Cash & Cash Equivalents as of December 31, 2009 of $53.2 million Ø Undrawn portion of DVB / Natixis Financing as of Dec 31, 2009: $69.5 million This table is provided as a general guide of expected Capital Expenditures under
Slide 23: Current Fleet List
Current Fleet List (1) On February 17, 2010, we entered into an MOA for the sale of this vessel. (2) Expected delivery Mid April, 2010 23
Slide 24: Year-on-Year Ultrapetrol's Income Statement
Year-on-Year Ultrapetrol’s Income Statement (1) A reconciliation of Adjusted EBITDA to US GAAP measures is available on the Appendix in this presentation
Slide 25: Year-on-Year Ultrapetrol's Income Statement
Year-on-Year Ultrapetrol’s Income Statement
Slide 26: Ultrapetrol's Balance Sheet
Ultrapetrol’s Balance Sheet 26
Slide 27: Debt Repayment Schedule
Debt Repayment Schedule Ø Balanced yearly principal repayments in the medium term Ø No refinancing in the short and medium term Ø Our $ 180.0 million note does not have any loan to value ratios to be maintained and has bullet repayment in 2014 Ø All of our long term loans are conservatively structur
Slide 28: Thank You Q & A
Thank You Q&A 28
Slide 29: Appendix
Appendix (1) Adjusted EBITDA consists of net income (loss) prior to deductions for interest expense and other financial gains and losses related to the financing of the Company, income taxes, depreciation of vessels and equipment and amortization of drydock expense, intangible assets, financial gain
Slide 30: Appendix (cont'd)
Appendix (cont’d) (sooo) Fourth Quarter Ended December 31, 2009 River Offshore Supply Ocean TOTAL Segment operating profit (loss) ($4.279) ($1.238) ($22,298) ($27.815) Depreciation and amortization 3,692 1,658 5.749 11,099 Non-Cash Loss on write-down of vessels 0 0 25,000 25,000 Investment in affili
Slide 31: Appendix (cont'd)
Appendix (cont'd) "s000) Fourth Quarter Ended December 31, 2008 River Offshore Supply Ocean TOTAL Segment operating profit (loss) ($2,337) $2,495 $16,957 S175 Depreciation and amortization 3,058 1,251 6,555 10,864 Investment in affiliates / Net loss attributable to (150) (365) (42) (557) noncontroli
Slide 32: Appendix (cont'd)
Appendix (cont'd) (S000) Year Ended December 31, 2009 River Offshore Supply Ocean TOTAL Segment operating profit (loss) ($9,651) $930 ($330) ($9,051) Depreciation and amortization 13,904 5,903 21,945 41,752 Non-Cash Loss on write-down of vessels 0 0 25,000 25,000 Investment in affiliates / Net incom
Slide 33: Appendix (cont'd)
Appendix (cont'd) (S000) Year Ended December 31, 2008 River Offshore Supply Ocean TOTAL Segment operating profit (loss) $2,736 $14,896 $64,964 $82,596 Depreciation and amortization 12,602 4,879 21,139 38,620 Investment in affiliates / Net loss attributable to (268) (1,228) (174) (1,670) noncontrolin