Slide 1: SFL Corporation Ltd. Q1 2023 presentation
SFL Corporation Ltd. Q1 2023 presentation May 15, 2023 1
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward looking statements. These statements are based upon various assumptions, many of which are based, in turn, upon further assumptions, including SFL management's examination of historical operating trends, data contained in the Company’s re
Slide 3: Q1 2023 Highlights
Q1 2023 Highlights GROSS REVENUE(1) • Approximately 86% from long term charters $182m • Adjusted EBITDA(2) of $110m NET INCOME • Earnings per share of $0.05 $6.3m • One-off effects and temporary lower results during Hercules yard stay DIVIDEND • 77th consecutive quarterly dividend $0.24/share • 11%
Slide 4: Recent Events
Recent Events NEW PCTC • 3 year contracts for two PCTCs with Volkswagen Group CHARTERS • Added backlog of approximately $155m HERCULES • New $50m contract with Galp Energia in Namibia from Q4 2023 CONTRACT • Hercules employed through Q1 2024 NEW • $1 billion of financings secured in 2023 FINANCINGS
Slide 5: The SFL Portfolio
The SFL Portfolio PORTFOLIO(1) CONTRACTED REVENUE(2) Contract duration(3) 36 Container 6.7 years 6% 7 Car carrier 7.9 years 14% 14 Tanker 4.8 years 14% $3.7bn 49% 2 Energy 4.8 years 15 Dry bulk 5.4 years 17% CHARTER HIRE Q1 2023 Bareboat charter 7% Container Car carrier Tanker Energy Dry bulk Time c
Slide 6: Continuing To Add New High Quality Customers
Continuing To Add New High Quality Customers Customers with new / add on business since 2021 • World’s fifth • World’s • One of the • One of the • One of the • Leading liner • One of the • Leading car • One of the • Portuguese • MSC, world’s largest second world’s world's largest operator world’s ca
Slide 7: Rigs Perfectly Positioned For A Booming Market
Rigs Perfectly Positioned For A Booming Market KEY DETAILS AND EMPLOYMENT 2023 2024 2025 - 2028 Linus ConocoPhillips, Norway (market indexed rate resetting every six months) CJ70, HE jack up Hercules Exxon, Galp, SPS Canada Namibia Commercial discussions ongoing 6G UDW, HE TIGHTENING MARKET BALANCE
Slide 8: SFL Operational Performance
SFL Operational Performance ADJUSTED EBITDA Q1 2023 BREAKDOWN(1) In millions $19 $20 ($75) $47 $3 $182 $110 $97 Liner (inc. Tankers Dry bulk Energy Gross Operating and Other income Adj. EBITDA car carriers) revenue (incl. G&A expenses profit share) 1) Pro-forma illustration of cash flow is not as ac
Slide 9: Income Statement
Income Statement (in thousands of $ except per share data) Three months ended Mar 31, 2023 Dec 31, 2022 Q1 income Charter revenues: operating leases and revenue contracts 166,403 188,892 • $182m of charter hire, including Charter revenues: sales-type, direct financing and leaseback assets (excluding
Slide 10: Balance Sheet
Balance Sheet (in thousands of $) Mar 31, 2023 Dec 31, 2022 Cash and cash equivalents ASSETS • $185m at quarter end Short term Cash and cash equivalents 185,193 188,362 • $83m of senior financing on two Investment in marketable securities 7,100 7,283 Amount due from related parties 2,819 4,392 debt
Slide 11: Q1 2023 Summary
Q1 2023 Summary $3.7bn fixed revenue backlog 77th $185m consecutive Cash and cash quarterly equivalents dividend $0.24 Dividend per share $100m share buyback program 11