Dampskibsselskabet Norden A/s · OMXCOP:DNORD
Dampskibsselskabet Norden A/s — Norden — Q1 2013 Earnings Presentation
23 slides from Dampskibsselskabet Norden A/s's earnings presentation, May 15, 2013
Slide 1: NORDEN Results 1st quarter of 2013
NORDEN RESULTS 1st quarter of 2013 Hellerup, Denmark 15 May 2013 NORDEN 1st quarter of 2013 results | 1 Our business is global tramp shipping
Slide 2: Agenda
AGENDA Group highlights Financial highlights Market update Full year financial guidance Q & A NORDEN 1st quarter of 2013 results | 2 Our business is global tramp shipping
Slide 3: Q1 Highlights
Q1 HIGHLIGHTS EBITDA (USDm) Key messages Group EBITDA of USD 10 mill. 50 44 Cash flow from operations of 31 USD -20 mill. 23 Still high cash position and 10 financial flexibility Cash and securities of USD 498 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 mill. Cash and securities (USDm) Undrawn
Slide 4: Q1 Financials
Q1 FINANCIALS Comments USDm Q1 2012 Q4 2012 Q1 2013 Y/Y % Q/Q % CM II Group 63 57 22 -65% -61% Tanker earnings in line with expectations O/A Group -13 -13 -13 -3% -3% EBITDA 50 44 10 -81% -78% Dry Cargo performance Group impacted by a weak EBITDA Dry Cargo 40 35 1 -97% -97% market and positionin
Slide 5: Fleet Values
FLEET VALUES NAV of USD 1.6 bn. - DKK 220 per share NAV increased by 3% primarily due to currency changes Value development (DKK per share) 227 Excluding TC-fleet, cover and options 225 220 215 213 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 NORDEN 1st quarter of 2013 results | 5 Our business is glo
Slide 6: Dry Cargo Market
DRY CARGO MARKET Continued weak market in Q1 China Dry Cargo Import (Mt) 350 Baltic Dry Index: Lowest 300 quarterly average in 27 years 250 200 China’s dry cargo imports down 150 100 5% Q/Q, but up 6% Y/Y 50 0 Record harvest in Latin America Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 7: Dry Cargo Market
DRY CARGO MARKET Supply growth slowing down 21m dwt. delivered in Q1 – 30% less than a year ago Continued high rate of scrapping – 7.5m dtw. in Q1 Fleet development (million dwt.) 35 5% 30 Expected net fleet growth: 4% - 7% 4% 25 20 3% 15 2% 10 5 1% - 0% -5 -10 -1% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q
Slide 8: Tanker Market
TANKER MARKET Good activity in the Western market due to Latin American demand and refinery outages Surprisingly strong Eastern market Strong Japanese and Indonesian imports Congestion in Australia and East Africa MR West CPP (USD/day) MR East CPP (USD/day) MR DPP (USD/day) 30.000 30.000 30.
Slide 9: Tanker Market
TANKER MARKET Stabilising fleet growth Highest fleet growth expected for the MRs Counterbalanced by negative fleet growth in Handysize Fleet development (millions dwt.) 135 5,0% 4,6% 130 4,0% 125 3,3% 3,1% 3,0% Mill. dwt 120 2,9% 2,7% 115 2,0% 1,8% 110 1,0% 105 100 0,0% 2011 2012 2013E 2014E 2
Slide 10: 2013 Full Year Guidance
2013 FULL YEAR GUIDANCE Outlook Key assumptions USDm Dry Cargo Tanker Total Guidance based on current EBITDA 0 25-45 15-45 capacity and coverage Profit from 3 Open capacity in Tankers vessel sales employed at rates of USD CAPEX 120-140 13,100 - 13,800 per day Only known and confirmed vessel sa
Slide 11: Forward Looking Statements
This presentation contains certain forward-looking statements reflecting the management’s present judgment of future events and financial results. Statements relating to the remainder of 2013 and subsequent years are subject to uncertainty, and NORDEN’s actual results may therefore differ from the p
Slide 12: Thank You For Your Attention
THANK YOU FOR YOUR ATTENTION Get mobile version of NORDEN’s website. Scan and add to home screen. Or go to m.ds-norden.com Dampskibsselskabet NORDEN A/S 52, Strandvejen DK-2900 Hellerup Denmark Phone: +45 3315 0451 www.ds-norden.com NORDEN 1st quarter of 2013 results | 12 Our business is global tram
Slide 13: Back Up
BACK UP FORWARD LOOKING STATEMENTS NORDEN 1st quarter of 2013 results | 13 Our business is global tramp shipping
Slide 14: A Leading Global Tramp Operator
A LEADING GLOBAL TRAMP OPERATOR Dry cargo Capesize Post-Panamax Panamax Handymax Handysize Total active fleet 228 40 Dry Cargo Tanker Tanker MR Handysize One of the most modern fleets in our industry Global network of offices and port captains Pools in Dry Cargo (Handysize, Post-Panamax) and T
Slide 15: Asset Light Business Model
ASSET LIGHT BUSINESS MODEL Active fleet can quickly be adjusted to demand and market conditions Fleet employment based on portfolio view Significant asset upside through purchase options Flexible fleet Coverage and customer focus Capacity Employment Sale and purchase Customer relations Con
Slide 16: Last 5 Years Performance
LAST 5 YEARS PERFORMANCE Earnings per share (USD) Return on equity 16,7 47,0% 5,2 5,8 2,1 12,4% 12,9% 4,4% -6,8 -15,1% 2008 2009 2010 2011 2012 2008 2009 2010 2011 2012 Cash flows, operations and investments Dividend yield 7,1% Excel. share buy back of 2% 541 7 298 160 120 122 -57 -80 4,0% -380 -355
Slide 17: Financial Strength = Future Growth
FINANCIAL STRENGTH = FUTURE GROWTH Strong capital structure Net committed cash Strong focus on cash flow USDm Q1 2013 Q4 2012 generation Adjusted Net Interest Bearing 353 362 Assets* Cash in low-risk deposit T/C obligations** -1.700 -1.646 accounts and securities Newbuilding installments less -2
Slide 18: Dry Cargo Fleet Overview
DRY CARGO FLEET OVERVIEW NORDEN's Dry Cargo fleet and values at 31 March 2013 Vessel type Capesize Post-Panamax Panamax Handymax Handysize Total Vessels in operation Owned vessels 3.0 4.0 3.0 4.0 11.0 25.0 Chartered vessels with purchase option 1.0 4.0 10.0 16.0 10.0 41.0 Total active core fleet 4.0
Slide 19: Tanker Fleet Overview
TANKER FLEET OVERVIEW NORDEN's Tanker fleet and values at 31 March 2013 Vessel type MR Handysize Total Vessels in operation Owned vessels 4.0 11.0 15.0 Chartered vessels with purchase option 8.0 0.0 8.0 Total active core fleet 12.0 11.0 23.0 Chartered vessels without purchase option 10.5 6.5 17.0 To
Slide 20: Fleet Values and NAV
FLEET VALUES AND NAV Fleet values at 31 March 2013 USD million Owned (active and newbuildings) Broker estimated Broker Carrying value of estimated amount/ owned value of Dry Cargo Number cost vessels* charter party Added value Capesize 3.0 78 70 7 -1 Post-Panamax 4.0 131 99 -32 Panamax 5.0 109 105 2
Slide 21: Coverage and Capacity – Dry Cargo
COVERAGE AND CAPACITY – DRY CARGO Capacity and coverage, Dry Cargo, at 31 March 2013 2013 2014 2015 2013 2014 2015 Owned vessels Ship days Capesize 825 1,095 1,095 To increase the transparency of the chartered fleet, Post-Panamax 1,100 1,460 1,460 the table now exhibits time charter capacity Panamax
Slide 22: Coverage and Capacity – Tanker
COVERAGE AND CAPACITY – TANKER Capacity and coverage, Tankers, at 31 March 2013 2013 2014 2015 2013 2014 2015 To increase the transparency of the chartered Owned vessels Ship days fleet, the table now exhibits time charter MR 1,716 2,619 3,777 capacity separately. Capacity and coverage for the years
Slide 23: The Share (DNORD)
THE SHARE (DNORD) Master data Composition of shareholders end 2012 16,297 registered shareholders Shareholder capital DKK 43,000,000 owning 91.4% Number of shares and 43,000,000 shares of Approx. 40% international denomination DKK 1 ownership Classes of shares 1 Voting and ownership restrictions