Slide 1: Annual General Meeting
May 9th, 2017 Annual General Meeting
Slide 2: Retiring CFO
Retiring CFO @ SHAWCOR Gary S. Love
Slide 3: CEO Remarks
® SHAWCOR May 9', 2017 CEO Remarks
Slide 4: Disclaimer
Disclaimer This presentation contains forward-looking information within the meaning of applicable securities laws. The forward-looking information is based on assumptions, estimates and analysis made in light of the company’s experience and its perception of trends, current conditions and expected
Slide 5: A Global Energy Services Company
S H A W C O R T O D AY A Global Energy Services Company Broad product and service offering – a powerful competitive advantage 5
Slide 6: Industry Dynamics
Industry Dynamics CAPEX Spend/ 2 2014 vs. 2015 2015 vs. 2016 2016 vs. 2017 3 Budget North America (37%) (30%) +32% International (19%) (13%) +3% Total (24%) (17%) +12% North American Rig Count & Oil Spot price 2500 140 3/31/17 Highest Rig Lowest Rig 3/31/17 Lowest Rig count Count Count WTI WTI 120 2
Slide 7: 2016 Highlights
2016 Highlights Revenue $ 1.21 billion EBITDA (Adj.) $ 56.5 million Backlog $ 650 million Operating Cash Flow $132 million TRCF* 4.5 * Total Recordable Case Frequency Per Million Person Hours Worked Tactical Alignment Strategic Positioning • Projects - Bid, Win, Execute • Portfolio Expansion • Cost
Slide 8: Long Term Fundamentals Remain Strong
Long Term Fundamentals Remain Strong Impact of Depletion Natural Gas Consumption Forecast Pipeline Aging Depletion drives need for Gap between new sources Aging infrastructure drives new supply of supply and demand drive investments in pipeline investment maintenance and rehabilitation Increasing Pu
Slide 9: Q1 Highlights
Q1 Highlights Revenue $ 359.7 million EBITDA $ 42.9 million Backlog $ 648 million Net Income $ 15.0 million EPS $ 0.22 Dividend $ 0.15 per share 9
Slide 10: Near Term - Elements of the Business
Near Term - 3 Elements of the Business CAPITAL SPENDING NA UPSTREAM LARGE PROJECTS Overall Oil and Gas capital North America drilling and Large greenfield projects spending expected to completion activity has by exception increase. North America strengthened Those driven by domestic followed
Slide 11: Strong Foundation in Place, Transitioning to Growth
Transitioning to Growth 1 Strong Foundation in Place – Award of $350M Sur de Texas – Tuxpan project in July 2016 – Order backlog >$ 648M at March 31, 2017 – Company-wide cost reductions have reduced breakeven levels – Strong balance sheet, cash position $145M 2 Strategic Growth Investments Continue
Slide 12: Long Term Financial Goals Remain Unchanged
Long Term Financial Goals Remain Unchanged Last 6 Years Goal Average ROIC over a business 8.9% 15% cycle EPS annual growth over a -ve 15% business cycle Dividend per share 15.3%* 15% annual growth *6-year compounded annual growth rate, excluding impairments to 12/31/16 Near Term Goals ROIC > 10% Cur
Slide 13: Annual General Meeting
May 9th, 2017 Annual General Meeting