Knot Offshore Partners Lp · NYSE:KNOP

Knot Offshore Partners Lp — Q1 2022 Earnings Presentation

17 slides from Knot Offshore Partners Lp's earnings presentation, May 12, 2022

  1. Slide 1: First Quarter 2022 Results

    First Quarter 2022 Results May 12, 2022 (NYSE:KNOP)

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements This presentation contains certain forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) that reflect management’s current view and involve known and unknown risks and are based upon assumptions and estimates that are inh

  3. Slide 3: First Quarter 2022 and Subsequent Highlights

    First Quarter 2022 and Subsequent Highlights  Announced cash distribution in respect of the first quarter of $0.52 per common unit for the 27th consecutive time at this level under 1099 structure, and for the 36th consecutive time since the Partnership first listed in 2013.  Fleet operated with 99

  4. Slide 4: Income Statement

    Income Statement Unaudited, USD thousands 1Q 2022 4Q 2021 3Q 2021 2Q 2021 1Q 2021 FY 2021 Time charter and bareboat revenues 65,187 70,637 66,559 66,513 65,598 269,306 Loss of hire insurance recoveries — 1,154 17 4,397 5,882 11,450 Other income 9 342 3 27 1 373 Total revenues 65,196 72,133 66,579 70

  5. Slide 5: Adjusted EBITDA

    Adjusted EBITDA Unaudited, USD thousands 1Q 2022 4Q 2021 3Q 2021 2Q 2021 1Q 2021 FY 2021 Net income (loss) 26,780 23,133 13,527 (10,925) 28,141 53,876 Interest income (2) — (2) — — (2) Interest expense 6,725 6,646 7,243 6,804 7,372 28,065 Depreciation 25,937 25,974 26,070 23,831 23,684 99,559 Impair

  6. Slide 6: Balance Sheet

    Balance Sheet Unaudited, USD thousands At Mar 31, At Dec 31, At Mar 31, At Dec 31, 2022 2021 2022 2021 Current assets: Current liabilities: Cash and cash equivalents 41,287 62,293 Current portion of long-term debt 88,669 88,578 Inventories 3,862 3,306 Derivative liabilities 1,857 6,754 Amounts due f

  7. Slide 7: Distributable Cash Flow

    Distributable Cash Flow Unaudited, USD thousands 1Q 2022 4Q 2021 3Q 2021 2Q 2021 1Q 2021 FY 2021 Net income (loss) 26,780 23,133 13,527 (10,925) 28,141 53,876 Add: Depreciation 25,937 25,974 26,070 23,831 23,684 99,559 Impairment — — — 29,421 — 29,421 Other non-cash items; amortization of deferred 6

  8. Slide 8: Forward Contracted Revenue Backed by Leading Energy Companies

    Forward Contracted Revenue Backed by Leading Energy Companies Contracted period Charterer’s option x Next anticipated drydock, at vessel age (years) Remaining forward contracted revenue of $594 million (excluding options) Average remaining firm charters of 1.8 years, with charterers’ options to exte

  9. Slide 9: Dropdown Inventory at Sponsor – Potential Acquisitions

    Dropdown Inventory at Sponsor – Potential Acquisitions Average firm contracted charter length of 5.3 years (from charter commencement), with charterers’ options to extend by a further 7.3 years on average. Contracted period Charterer’s option x Next anticipated drydock, at vessel age (years) Notes:

  10. Slide 10: Brazil’s Drive to Increase Offshore Production Has Already Started

    Brazil’s Drive to Increase Offshore Production Has Already Started • Oil and gas sanctioning momentum in Brazil picked up in 2021 after stalling in 2020 due to the Covid-19 pandemic. • Several projects were approved in 2021, including pre-salt projects operated by Petrobras at Mero 4, and two more F

  11. Slide 11: Near-term Priorities

    Near-term Priorities  Continue to focus on safety as our number one priority, along with the maintenance of our distribution through the best utilization of our fleet and the targeting of stable cashflows.  Continue close dialogue with our customers to ensure we can respond flexibly to demand oppo

  12. Slide 12: Summary

    Summary  Utilization of 99.7% for scheduled operations.  Distributable cashflow of $14.5, with coverage of 0.80. The Partnership continues to believe that its longer-term cashflow prospects and near-term liquidity offer good support for its quarterly distribution.  As such, paid quarterly distrib

  13. Slide 13: Questions

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  14. Slide 14: Appendices

    Appendices 14

  15. Slide 15: Appendix A – KNOP Attributes – Our Investment Case

    Appendix A – KNOP Attributes – Our Investment Case  KNOP is classified as a corporation for U.S. federal income tax purposes. A U.S. holder of KNOP common units will receive a Form 1099 to report distributions received (not a Form K-1).  We are a market leader in the operation of shuttle tankers a

  16. Slide 16: Appendix B – Non-GAAP Financial Measures

    Appendix B – Non-GAAP Financial Measures Adjusted EBITDA Adjusted EBITDA refers to earnings before interest, depreciation, taxes, goodwill impairment charge and other financial items. Adjusted EBITDA is a non-GAAP financial measure used by investors to measure our performance. Adjusted EBITDA is use

  17. Slide 17: Appendix C – Petrobras FPSO Projects

    Appendix C – Petrobras FPSO Projects Source: November 30 , 2021 – Petrobras Day presentation 17

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