Magnora Asa · OSL:MGN
Magnora Asa — Q3 2018 Earnings Presentation
12 slides from Magnora Asa's earnings presentation, Nov 27, 2018
Slide 1: Magnora ASA Third quarter 2018
Magnora ASA Third quarter 2018 Oslo, 27 November 2018 Reese McNeel, CEO/CFO 1
Slide 2: Important information
Important information • This presentation and its enclosures and appendices (hereinafter jointly referred to as the “presentation”) have been prepared by Magnora ASA (”Magnora” or the ”Company”) exclusively for information purposes. This presentation has not been reviewed or registered with any publ
Slide 3: Summary of key developments
Summary of key developments • The Sembcorp transaction was completed on September 4, 2018, and the company received the agreed cash consideration of USD 39 million • Following the transaction with Sembcorp former Sevan Marine ASA changed it’s name to Magnora ASA • Magnora retains its net cash positi
Slide 4: Financial reporting and revenue
Financial reporting and revenue • In accordance with IFRS, the remaining Magnora business is reported as continued operations while the disposed business is reported as discontinued operations from Q2 2018 • Revenue in continued operations: • Decrease in Dana Western Isles income to NOK 13.8 million
Slide 5: EBITDA
EBITDA • Adjusted EBITDA in continued operations of NOK 9.6 million, excluding one-off items • Continued operations EBITDA of NOK 1.5 million including one-off items: • Costs related to termination of Share Incentive Program of NOK 3.2 million • SembCorp related transaction costs of NOK 3.4 million
Slide 6: Western Isles field
Western Isles field • Magnora receiving USD 0.5 per produced barrel offloaded • Income in Q3 2018 of NOK 13.8 million versus NOK 15.0 million in Q2 2018 • Capacity production of some 40,000 barrels per day • Magnora has hedged USD 1.5 million at an average FX rate of NOK/USD 7.83 through December 20
Slide 7: Shell Penguins redevelopment
Shell Penguins redevelopment • Final investment decision taken in January 2018 • Sevan Marine has invoiced and received the first milestone payment of USD 2.625 million under the license agreement in Q1 2018 • Further payment milestones are (i) completion of the unit,(ii) start-up and (iii) successf
Slide 8: Outlook
Outlook • The Sembcorp transaction has realized value for shareholders • Combined with the Teekay transaction, Magnora has now resolved material legacy issues while leaving shareholders with a cash generating, stock exchange listed platform for future growth • Operating costs will decline with the r
Slide 9: Appendix
Magnora ASA Appendix
Slide 10: Profit & loss statement (as reported)
Profit & loss statement (as reported) NOK million Note Q3 18 Q2 18 YTD Q3 18 Q3 17 YTD Q3 17 2017 Continued operations Operating revenue 4 14.0 15.0 56.4 0.0 0.0 3.2 Operating expense -12.5 -10.1 -28.6 -18.8 -33.8 -38.3 EBITDA 1.5 4.9 27.8 -18.8 -33.8 -35.1 Depreciation, amortization and impairment
Slide 11: Balance Sheet (as reported)
Balance Sheet (as reported) NOK million Note 30.09.18 30.06.18 30.09.17 31.12.17 Fixed assets 0.0 0.0 0.2 0.1 Intangible assets 0.0 0.0 4.7 4.3 Other non-current assets 0.0 0.0 3.5 3.2 Total non-current assets 0.0 0.0 8.4 7.6 Trade and other receivables 3 31.6 16.1 52.3 16.1 Cash and cash equivalent
Slide 12: Cash flow statement (as reported)
Cash flow statement (as reported) NOK million Q3 18 Q2 18 YTD Q3 18 YTD Q3 17 2017 Cash flow s from operating activities Cash from operations -1.4 8.2 24.7 -57.9 -27.2 Taxes paid/repaid 0.0 0.0 0.0 31.7 31.7 Net cash generated from continued operating activi -1.4 8.2 24.7 -26.2 4.5 Net cash generate