Knot Offshore Partners Lp · NYSE:KNOP
Knot Offshore Partners Lp — Q4 2015 Earnings Presentation
18 slides from Knot Offshore Partners Lp's earnings presentation, Feb 18, 2016
Slide 1: Fourth Quarter 2015 Results
Fourth Quarter 2015 Results February 18, 2016
Slide 2: Notice to Recipients
Notice to Recipients This presentation is not a prospectus and is not an offer to sell, nor a solicitation of an offer to buy, securities. Except for the historical information contained herein, the matters discussed in this presentation include forward-looking statements that involve risks and unce
Slide 3: Financial Highlights
Financial Highlights Highest quarterly revenues of $42.4 million Highest quarterly Adjusted EBITDA(1) of $33.8 million Highest quarterly net income of $17.6 million Highest quarterly earnings per unit of $0.62 Highest Distributable cash flow(1) of $18.1 million, with a coverage ratio 1.2
Slide 4: Recent Commercial Events
Recent Commercial Events Very strong operational performance in Q4: 99.9% utilisation of the fleet (YTD: 99.9%) In October 2015, Windsor Knutsen commenced on a two-year time charter with BG Group, the charter also includes six one-year extension options – The hire rate for the Windsor Knutsen is
Slide 5: Income Statement
Income Statement Unaudited, USD in thousands 4Q 2015 3Q 2015 2Q 2015 FY 2015 FY 2014 Time charter and bareboat revenues 42,417 39,281 36,981 154,750 112,784 Other income 120 3 2 274 57 Total revenues 42,537 39,284 36,983 155,024 112,841 Vessel operating expenses 7,636 5,936 7,164 27,543 23,879 Depre
Slide 6: Adjusted EBITDA
Adjusted EBITDA Unaudited, USD in thousands 4Q 2015 3Q 2015 2Q 2015 FY2015 FY2014 Net income 17,567 8,802 6,887 40,443 27,392 Interest income (5) 0 (2) (8) (13) Interest expense 4,731 4,322 4,212 17,451 15,271 Depreciation 13,464 12,420 11,560 48,844 34,322 Goodwill impairment charge — — 6,217 6,217
Slide 7: Distributable cash flow
Distributable cash flow Unaudited, USD in thousands 4Q 2015 3Q 2015 2Q 2015 FY2015 FY2014 Net income 17,567 8,802 6,887 40,442 27,392 Add: Depreciation 13,464 12,420 11,560 48,844 34,322 Goodwill impairment charge — — 6,217 6,217 — Other non-cash items; deferred costs amortization 289 289 287 1,149
Slide 8: Stable and predictable cash development
Stable and predictable cash development 100 90 80 70 60 50 40 30 20 10 0 8
Slide 9: Balance Sheet - Assets
Balance Sheet - Assets Unaudited, USD in thousands At December 31, At December 31, 2015 2014 Current assets: Cash and cash equivalents 23,573 30,746 Other current assets 3,856 5,003 Total current assets 27,429 35,749 Long-term assets: Vessels and equipment: 1,192,927 1,021,857 Goodwill — 6,217 Defer
Slide 10: Balance Sheet - Liabilities and Partners’ Equity
Balance Sheet - Liabilities and Partners’ Equity Unaudited, USD in thousands At December 31, At December 31, 2015 2014 Current liabilities: Current portion of long-term debt 49,684 38,718 Derivative liabilities 5,138 7,450 Contract liabilities 1,518 1,518 Other current liabilities 10,345 12,345 Tota
Slide 11: Stable operational performance result in stable financial performance
Stable operational performance result in stable financial performane UTILIZATION (%) REVENUE (USD million) 41,2 39,3 100% 99,7% 99,7% 99,9% 100% 99,6% 99,9% 36,2 37 99,2% 99,3% 99,4% 98,9% 34,3 34,7 20,5 22,2 21,8 22,1 17,3 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2013 2014
Slide 12: Long-term Contracts Backed by Leading Energy Companies
Long-term Contracts Backed by Leading Energy Companies Name Area 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 (1) Windsor Knutsen Brazil (1) Bodil Knutsen N. Sea Fortaleza Knutsen Brazil Recife Knutsen Brazil Carmen Knutsen Brazil Hilda Knutsen N. Sea Torill Knutsen N.
Slide 13: Significant fleet growth since IPO
Significant fleet growth since IPO 13
Slide 14: Dropdown inventory: Five potential acquisitions
Dropdown inventory: Five potential acquisitions Name Area 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Raquel Knutsen Brazil H2816 Brazil H2817 Brazil H686 Brazil H2818 Brazil Fixed contract periods for the dropdown fleet are 5.9(1)years on average Charterers also have
Slide 15: Summary
Summary Solid contract base – Revenue backlog of $ 850 million and 1 average contract duration of 5.6 years(1) Modern shuttle tanker fleet, average age 4.1 years vs. industry 2 average of 10.3 years(1) 13 Excellent operating results – 99.6% average utilisation since IPO Large sponser asset base – pr
Slide 16: Thank you, any questions ?
KNOT Offshore Partners LP Thank you, any questions ?
Slide 17: Appendix
KNOT Offshore Partners LP Appendix
Slide 18: Non-GAAP Financial Measures
Non-GAAP Financial Measures Adjusted EBITDA Adjusted EBITDA refers to earnings before interest, other financial items, taxes, non-controlling interest, depreciation and amortization. Adjusted EBITDA is a non-GAAP financial measure used by investors to measure our performance. The Partnership believe
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