Tidewater Inc. · NYSE:TDW
Tidewater — GHS 100 Energy Conference 2013
29 slides from Tidewater's conference presentation, Jun 28, 2013
Slide 1: GHS 100 Energy Conference
GHS 100 Energy Conference EVP & Chief IRO June 25, 2013 GHS 100 Energy Conference Joseph M. Bennett June 25, 2013 Exhibit 99.1
Slide 2: Forward-Looking Statements
601 Poydras Street, Suite 1500 New Orleans, LA 70130 FORWARD-LOOKING STATEMENTS In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the Company notes that certain statements set forth in this presentation provide other than historical information an
Slide 3: Key Takeaways
Key Takeaways Key Takeaways • Focus on safety, compliance & operating excellence • “The Tide is Turning”– continued improvement in working rig count is positively impacting deepwater and jackup support vessels globally • History of earnings growth and solid returns • Unmatched scale and scope of ope
Slide 4: Safety Record Rivals Leading Companies
Safety Record Rivals Leading Companies
Slide 5: Working Offshore Rig Trends
Working Offshore Rig Trends Working Offshore Rig Trends Source: ODS-Petrodata Note: 46 “Other” rigs, along with the Jackups and Floaters, provide a total working rig count of 707 in mid-June 2013.
Slide 6: Drivers of our Business: Peak to Present
July 2008 (Peak) Jan. 2011 (Trough) June 2013 Working Rigs 603 538 707 Rigs Under Construction 186 118 214 OSV Global Population 2,033 2,599 2,981 OSV’s Under Construction 736 367 450 OSV/Rig Ratio 3.37 4.83 4.22 Drivers of our Business Drivers of our Business “Peak to Present” “Peak to Present” Sou
Slide 7: The Worldwide OSV Fleet
Source: ODS-Petrodata and Tidewater As of May 2013, there are approximately 468 additional AHTS and PSV’s (~16% of the global fleet) under construction. Global fleet is estimated at 2,952 vessels, including ~750 vessels that are 25+ yrs old (26%). The Worldwide OSV Fleet The Worldwide OSV Fleet (Inc
Slide 8: Tidewater's Active Fleet
Tidewater’s Active Fleet Tidewater’s Active Fleet As of March 31, 2013 As of March 31, 2013 Year Built
Slide 9: Vessel Population by Owner
Vessel Population by Owner Vessel Population by Owner (AHTS and PSVs only) (AHTS and PSVs only) Estimated as of mid-June Source: ODS-Petrodata and Tidewater
Slide 10: History of Earnings Growth and Solid Through-Cycle Returns
History of Earnings Growth and Solid Through-Cycle Returns ** EPS in Fiscal 2004 is exclusive of the $.30 per share after tax impairment charge. EPS in Fiscal 2006 is exclusive of the $.74 per share after tax gain from the sale of six KMAR vessels. EPS in Fiscal 2007 is exclusive of $.37 per share o
Slide 11: Global Strength
Global Strength Global Strength Unique global footprint; 50+ years of Int’l experience Unmatched scale and scope of operations Strength of International business complements U.S. activity Secular growth Longer contracts Better utilization Higher day rates Solid customer base of NOC’s and IOC’s
Slide 12: Our Global Footprint
Our Global Footprint Our Global Footprint Vessel Distribution by Region Vessel Distribution by Region (excludes stacked vessels - as of 3/31/13) In 4Q FY 2013, ~9% of vessel revenue was generated in the U.S. by < 15 vessels; however, ~15 other U.S.-flagged vessels are currently operating in Internat
Slide 13: The Largest Modern OSV Fleet in the Industry
Vessel Count (2) Total Cost (2) Deepwater PSVs 88 $2,155m Deepwater AHTSs 11 $358m Towing Supply/Supply 109 $1,632m Other 56 $285m TOTALS: 264 $4,430m (1) (1) $3,830m (86%) funded through 3/31/13 (2) Vessel count and total cost is net of 24 vessel dispositions ($222m of original cost) The Largest Mo
Slide 14: ... and More to Come: Vessels Under Construction
Count Deepwater PSVs 21 Deepwater AHTSs - Towing Supply/Supply 6 Other 5 Total 32 Estimated delivery schedule – 11 in FY ’14, 15 in FY ’15 and 6 thereafter. CAPX of $311m in FY ’14, $219m in FY ‘15 and $69m in FY ’16. ….. and More to Come ….. and More to Come Vessels Under Construction* As of March
Slide 15: Strong Financial Position Provides Strategic Optionality
Cash & Cash Equivalents $41 million Total Debt $1,000 million Shareholders Equity $2,562 million Net Debt / Net Capitalization 27% Total Debt / Capitalization 28% Strong Financial Position Strong Financial Position Provides Strategic Optionality Provides Strategic Optionality As of March 31, 2013 ~$
Slide 16: Total Revenue and Margin
Total Revenue and Margin Total Revenue and Margin Fiscal 2008-2013 Fiscal 2008-2013 Note: Vessel operating margin is defined as vessel revenue less vessel operating expenses
Slide 17: New Vessel Trends by Vessel Type: Deepwater PSVs
New Vessel Trends by Vessel Type New Vessel Trends by Vessel Type Deepwater PSVs Deepwater PSVs $138 million, or 43%, of Vessel Revenue in Q4 Fiscal 2013
Slide 18: New Vessel Trends: Towing Supply/Supply Vessels
$114 million, or 35%, of Vessel Revenue in Q4 Fiscal 2013 New Vessel Trends by Vessel Type New Vessel Trends by Vessel Type Towing Supply/Supply Vessels Towing Supply/Supply Vessels
Slide 19: Potential for Future Earnings Acceleration
~$4.95 EPS ~$7.45 EPS ~$12.25 EPS Potential for Future Potential for Future Earnings Acceleration Earnings Acceleration Average Day rates $17,458 * $19,204 ( + 10% ) $21,124 ( + 10% ) 83.8%* 85.0% 90.0% 283 vessel assumption (231 current new vessels + 32 under construction + 20 additional new vessel
Slide 20: GHS 100 Energy Conference
GHS 100 Energy Conference EVP & Chief IRO June 25, 2013 GHS 100 Energy Conference Joseph M. Bennett June 25, 2013
Slide 21: Appendix
Appendix Appendix
Slide 22: Fleet Renewal & Expansion Funded by CFFO through Fiscal 2013
Fleet Renewal & Expansion Funded Fleet Renewal & Expansion Funded by CFFO through Fiscal 2013 by CFFO through Fiscal 2013 Over a 14-year period, Tidewater has invested $4.6 billion in CapEx, and paid out ~$1.2 billion through dividends and share repurchases. Over the same period, CFFO and proceeds f
Slide 23: New Vessel Trends: Deepwater AHTS
$29 million, or 9%, of Vessel Revenue in Q4 Fiscal 2013 New Vessel Trends by Vessel Type New Vessel Trends by Vessel Type Deepwater AHTS Deepwater AHTS
Slide 24: New Fleet Driving Results
New Fleet Driving Results New Fleet Driving Results Vessel Revenue ($) Average Fleet Count Average Active New Vessels in Q4 $325 million Vessel Revenue in Q4 2013 (93% from New Vessels)
Slide 25: Cyclical Upturn should Drive Margin Expansion
Cyclical Upturn should Cyclical Upturn should Drive Margin Expansion Drive Margin Expansion Vessel Cash Operating Margin ($) Vessel Cash Operating Margin (%) $139 million Vessel Margin in Q4 FY2013 (99% from New Vessels) Q4 FY2013 Vessel Margin: 43%
Slide 26: Vessel Utilization by Segment
Vessel Utilization by Segment Vessel Utilization by Segment
Slide 27: Vessel Dayrates by Segment
Vessel Dayrates by Segment Vessel Dayrates by Segment Impact of $7.4 million of retroactive revenue recorded in September 2012 quarter is excluded from 9/12 average dayrates and included in the respective March 2012 and June 2012 quarterly average dayrates.
Slide 28: Current Revenue Mix: Quality of Customer Base
Current Revenue Mix Current Revenue Mix Quality of Customer Base Quality of Customer Base Super Majors 38% NOC's 21% Others 41% Our top 10 customers in Fiscal 2013 (4 Super Majors, 2 NOC’s, 3 IOC’s and 1 independent) accounted for 58% of our revenue
Slide 29: Financial Strategy Focused on Creating Long-Term Shareholder Value
Financial Strategy Focused on Financial Strategy Focused on Creating Long-Term Creating Long-Term Shareholder Value Shareholder Value Maintain Maintain Financial Strength Financial Strength EVA-Based Investments EVA-Based Investments On Through-cycle Basis On Through-cycle Basis Deliver Results Deli