Global Ship Lease Inc New · NYSE:GSL
Global Ship Lease Inc New — Global Ship Lease — Q2 2013 Earnings Presentation
17 slides from Global Ship Lease Inc New's earnings presentation, 2013
Slide 1: Second Quarter 2013 Results Presentation
Second Quarter 2013 Results Presentation
Slide 2: Safe Harbor Statement
Safe Harbor Statement This communication contains forward-looking statements. Forward-looking statements provide Global Ship Lease’s current expectations or forecasts of future events. Forward-looking statements include statements about Global Ship Lease’s expectations, beliefs, plans, objectives, i
Slide 3: Disclaimer
Disclaimer The financial information and data contained in this communication is unaudited and does not conform to the U.S. Securities and Exchange Commission Regulation S-X. Accordingly, such information and data may not be included in, may be adjusted in or may be presented differently in, Global
Slide 4: Q2 2013 Highlights: Stable Revenues and Cash Flow; Strengthened Balance Sheet
Global Ship Lease: Q2 2013 Highlights: Generated Stable Revenues and Cash Flow; Strengthened Balance Sheet Revenues – $35.9 million generated for second quarter 2013; $71.1 million for the six months ended June 30, 2013 Adjusted EBITDA – $22.9 million generated for second quarter 2013; $45.1 mil
Slide 5: GSL Continues to Demonstrate Robust Performance Throughout the Cycle
Global Ship Lease: Q2 2013 GSL Continues to Demonstrate Robust Performance Throughout the Cycle 250 Timecharter Rate Index Average Jan-2008 Through Jun-2013 Market Timecharter Index 200 Market Cycle 150 100 50 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 ‘08 ‘08 ‘08 ‘08 ‘09 ‘0
Slide 6: Stable Platform: Mainly Mid-Size & Smaller Tonnage with Good Contract Coverage
Global Ship Lease: Q2 2013 Stable Platform: Mainly Mid-Size & Smaller Tonnage with Good Contract Coverage $1.0 billion contracted revenue; charters are non-cancelable & industry-standard, with 7.0 years¹ average remaining duration Weighted average vessel age of 9.3 years¹, out of economic life o
Slide 7: Aggressive De-Levering Continues; Insulated from Asset Value Volatility
Global Ship Lease: Q2 2013 Aggressive De-Levering Continues; Insulated from Asset Value Volatility GSL Debt Amortization: Historic & Forecast ($ Million) Commentary Debt Q-End ($ Million) GSL continues to de-lever aggressively 600 – ~$199.0 million debt prepaid since Q4 2009 500 33% ● Debt reduced
Slide 8: Charter Market Dynamics are Shaped by Fundamentals over Long Term
Global Ship Lease: Q2 2013 Charter Market Dynamics are Shaped by Fundamentals over Long Term Interplay Between Charter Rates and Growth in GDP, Containerized Trade and Fleet Supply 20% 300 16.6% 15% 13.8% 250 13.4% 13.1% 13.1% 11.4% 12.0% 11.6% 11.4% 11.2% 9.8% 10.5% 10.5% 10.6% 10.8% 9.7% Time Char
Slide 9: Emerging Markets Still Driving Growth, but Prospective Recovery in Developed World Too
Global Ship Lease: Q2 2013 Emerging Markets Still Driving Growth, but Prospective Recovery in Developed World Too GDP & Trade Growth Forecasts¹ Containerized Trade Share & Growth, by Tradelane² Share 13% 13% 4% 13% 17% 40% 100% Y-o-Y Growth 2012 2013F 12.0% 3.6% 5.6% 6.6% Global GDP 3.1% 3.1% (IMF)
Slide 10: Orderbook Continues to be Weighted Towards Larger Tonnage
Global Ship Lease: Q2 2013 Orderbook Continues to be Weighted Towards Larger Tonnage Fleet Composition & Orderbook-to-Fleet Ratio Orderbook Composition & Ratios, by Vessel Size Segment¹ 1.4 Overall Orderbook to 71% 80% 18 12,000 + TEU 90% Fleet Ratio: 19% 1.2 70% Orderbook to Fleet Ratio 7,600-11,99
Slide 11: Liners Implementing GRIs and Peak Season Surcharges; Prospects Hard to Call
Global Ship Lease: Q2 2013 Liners Implementing GRIs and Peak Season Surcharges; Prospects Hard to Call Freight Rate & Timecharter Indices Through 2Q13¹ Liner Operators’ Operating Margins 1Q2009 – 1Q2013² 160 20% 3Q10: 15.0% 140 CMA CGM: 15% CMA CGM: FY12: 6.3% 1Q13: 5.1% Index (100 = January, 2011)
Slide 12: Q2 2013 Financials
Q2 2013 Financials oF GLOBAL SHIP LEASE
Slide 13: Financial Results (Unaudited): Income Statement
Financial Results (Unaudited): Income Statement Three months ended June 30, Six months ended June 30, 2013 2012 2013 2012 Operating Revenues Time charter revenue $ 35,867 $ 39,233 $ 71,076 $ 77,583 Operating Expenses Vessel operating expenses 11,609 11,220 23,154 22,877 Depreciation 10,126 10,165 20
Slide 14: Financial Results (Unaudited): Balance Sheet
Financial Results (Unaudited): Balance Sheet June 30, December 31, 2013 2012 Assets Cash and cash equivalents $ 30,957 $ 26,145 Restricted cash 3 3 Accounts receivable 6,417 14,417 Prepaid expenses 422 795 Other receivables 984 1,165 Deferred financing costs 1,440 1,493 Total current assets 40,223 4
Slide 15: Financial Results (Unaudited): Cash Flow Statement
Financial Results (Unaudited): Cash Flow Statement Three months ended June 30, Six months ended June 30, 2013 2012 2013 2012 Cash Flows from Operating Activities Net income $ 10,128 $ 7,514 $ 17,361 $ 15,464 Adjustments to Reconcile Net income to Net Cash Provided by Operating Activities Depreciatio
Slide 16: Concluding Remarks
Global Ship Lease: Q2 2013 Concluding Remarks Fleet remains fully chartered through to April 2014 – No further expirations until late 2016 – Contracted revenue of $1.0 billion with weighted average remaining contract term of 7.1 years – Stable costs and contracted revenue provide significant visib
Slide 17: Q&A
Q&A oF GLOBAL SHIP LEASE