Bristow Group, Inc. · NYSE:VTOL
Bristow — Jefferies Industrials Conference 2022
28 slides from Bristow's conference presentation, Aug 9, 2022
Slide 1: Jefferies Industrials Conference
Jefferies Industrials Conference August 9, 2022
Slide 2: Cautionary Statement Regarding Forward-Looking Statements
Cautionary Statement Regarding Forward-Looking Statements This presentation contains “forward-looking statements.” Forward-looking statements represent Bristow Group Inc.’s (the “Company”) current expectations or forecasts of future events. Forward-looking statements generally can be identified by t
Slide 3: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation Non-GAAP In addition to financial results calculated in accordance with U.S. generally accepted accounting principles (“GAAP”), this presentation includes certain non-GAAP measures including EBITDA, Adjusted EBITDA, Net Debt, Free Cash Flow and Adjusted Fre
Slide 4: Bristow Executive Leadership Team
Bristow Executive Leadership Team Samantha Mary Wersebe David Stepanek Alan Corbett Chris Bradshaw Jennifer James Crystal Gordon Stuart Stavley Willenbacher SVP, Chief EVP, Sales and SVP, Europe, President and Whalen Stottlemyer SVP, General SVP, Global SVP, Americas Administrative Chief Africa, CEO
Slide 5: Safety Note
Safety Note Safety is Bristow’s #1 core value and highest operational priority 3rd party Robust safety accreditation management from numerous system (SMS) external audits Fleet configured with the latest safety equipment Bristow is a founding member of HeliOffshore, an industry association focused o
Slide 6: Why Invest in Bristow
Why Invest in Bristow Global Leader in Vertical Flight Solutions Diverse Customer Base and End Markets Well Positioned for Additional Strategic Opportunities Strong Balance Sheet with Robust Free Cash Flow Generation Meaningful Value Enhancement from Achievement of Cost Synergies 6
Slide 7: Global Leadership Position in Helicopter Industry
Global Leadership Position in Helicopter Industry • Leading global provider of vertical flight solutions; primarily Aircraft Fleet (1) offshore energy personnel transportation, with significant end market diversification from government services contracts • Diverse fleet of 222 aircraft; primarily o
Slide 8: Client Base
Client Base Leading global provider of innovative and sustainable vertical flight solutions. Supporting Customers in Multiple Regions Strong customers across the globe; servicing several of them in multiple regions Note: Customer logos may not match exact location of services provided 8
Slide 9: Asset Overview
Asset Overview Heavy Twin Engine: Medium Twin Engine: Light Twin Engine: Light Single Engine: 16-19 passengers, 500 mile 12 passengers, 450 mile range, 6-7 passengers, 325 mile range, 4-7 passengers, 300 mile range, range, 145 knots 145 knots 130 knots 125 knots Potential End Markets by Type(1) Miss
Slide 10: Revenues Structure
Revenues Structure Revenues Composition • Typical payment models include: ▪ Traditional monthly standing charge (MSC) + fixed hourly rate (FHR) Revenues by ▪ Ad hoc or pay as you use End- Market(1) ▪ Block / slot model ▪ Consortium model (like U.S. GoM SAR) O&G • Typical contract types include: Reve
Slide 11: Operating Expenses
Operating Expenses The aggregate cost of our operations depends primarily on the size and asset mix of the fleet. Our operating costs and expenses are LTM Operating Expenses Breakdown(1) grouped into the following categories: • Personnel (includes wages, benefits, payroll taxes and savings plans); •
Slide 12: Recent Highlights
Recent Highlights UK Awarded new 10-year, £1.6 billion contract combining existing rotary and fixed wing services into a fully integrated, SAR2G innovative solution led by Bristow Acquired British International Helicopter Services Limited for £10.4 million, further enhancing leading government servi
Slide 13: Key Financial Highlights
Key Financial Highlights $318mm $277mm $162mm LTM Adj. EBITDA Excl. Available Liquidity(1)(2) Net Debt(1)(3) Asset Sales(1)(4) Current Quarter Highlights(1) • In June and July 2022, Bristow repurchased 425,938 shares for gross consideration of $10.0 million, representing an average $302mm Total reve
Slide 14: Strategic Opportunities
Strategic Opportunities OFFSHORE OIL & GAS GOVERNMENT SERVICES WIND ADVANCED AIR MOBILITY • Over ~$3 billion of potential • Offshore wind is a significant • Multi-year recovery in offshore oil • New class of aircraft could lower Government SAR contracts up for global opportunity over the next and ga
Slide 15: Multi-year Growth in Upstream Oil & Gas Spending is Underway
Multi-year Growth in Upstream Oil & Gas Spending is Underway “…we think the growth rate will likely be much steeper with a longer duration than we initially thought, creating the best investment environment for Energy Services in almost 20 years.” “We have never seen $100/bbl oil at the trough of a
Slide 16: Strengthening Offshore Market Dynamics
Strengthening Offshore Market Dynamics “Despite the risk of a global recession, we believe fundamentals for E&P upstream spending are strong…Fueled by years of under-investment and energy security and reliability concerns, E&P upstream spending growth is being driven by ambitions to grow spare produ
Slide 17: Improving Offshore Helicopter Market Dynamics
Improving Offshore Helicopter Market Dynamics “Overall utilization of Heavy and Super-Medium O&G Crew Transfer helicopters has recovered sharply” “Super-medium offshore types are at near-full utilization, order books for these aircraft are very thin and new orders will take 18 months (at least) to b
Slide 18: Second-Generation Search and Rescue Contract (UKSAR2G)
Second-Generation Search and Rescue Contract (UKSAR2G) Bristow awarded a £1.6 billion, 10-year contract for the Second-Generation Search and Rescue Aviation ("UKSAR2G") program by the Maritime and Coastguard Agency (MCA) in the U.K. • New contract transitions beginning September 30, 2024, through De
Slide 19: Advanced Air Mobility (AAM) Overview
Advanced Air Mobility (AAM) Overview • Electric vertical takeoff and landing (eVTOL) and short take-off and landing (eSTOL) aircraft are among several of the emerging technologies that are receiving increased prominence, with the potential to revolutionize air transportation • Significant investment
Slide 20: Potential AAM Opportunities
Potential AAM Opportunities Passenger Complementary to and Utilizes and builds upon Focus on utilizing Focused an accelerator for other existing infrastructure, existing general aviation emerging AAM regulatory landscape airports, potentially Regional Air operations and funding feeding into larger M
Slide 21: ESG Achievements
ESG Achievements ENVIRONMENTAL SOCIAL GOVERNANCE Women represent half of the Bristow Seven new directors in last two years Completed revenue flights utilizing Group executive management team sustainable aviation fuels Welcomed our newest director in May Investing resources in partnership with 2021,
Slide 22: Appendix
Appendix ⮚ Fleet Overview ⮚ Strong Balance Sheet and Liquidity Position ⮚ Reconciliation of LTM Adjusted EBITDA ⮚ Reconciliation of Free Cash Flow ⮚ Operating Revenues and Flight Hours by Line of Service ⮚ LTM Operating Revenues 22 11
Slide 23: Fleet Overview
Fleet Overview Number of Aircraft(1) Owned Leased Aircraft Consolidated Average Age Type Aircraft Aircraft Held For Sale Aircraft (years)(2) Heavy Helicopters: S-92 39 27 — 66 13 H225 — — 1 1 14 AW189 17 1 — 18 6 56 28 1 85 Medium Helicopters: AW139 51 4 — 55 11 S-76 D/C++/C+ 22 — — 22 12 73 4 — 77
Slide 24: Strong Balance Sheet and Liquidity Position
Strong Balance Sheet and Liquidity Position Amount(1) Rate Maturity ($mm, as of 6/30/2022) Cash $ 258 ✓ $255.0 million of unrestricted cash ABL Facility ($85mm) — S+200 bps May-27 and total liquidity of $318.0 million(1) Senior Secured Notes $ 400 6.875% Mar-28 Lombard Debt (BULL) 72 S+225 bps Dec-2
Slide 25: Reconciliation of LTM Adjusted EBITDA
Reconciliation of LTM Adjusted EBITDA Three Months Ended June 30, March 31, December 31, September 30, ($000s) 2022 2022 2021 2021 LTM Net income (loss) $ 4,015 $ (4,376) $ 164 $ 2,710 $ 2,513 Depreciation and amortization 16,536 16,919 17,223 17,644 68,322 Interest expense 10,242 10,241 10,230 10,4
Slide 26: Reconciliation of Free Cash Flow
Reconciliation of Free Cash Flow Three Months Ended June 30, March 31, December 31, September 30, ($000s) 2022 2022 2021 2021 LTM Net cash provided by operating activities $ 22,750 $ 5,577 $ 45,083 $ 36,753 $ 110,163 Plus: Proceeds from disposition of property and equipment 7,558 — 740 3,188 11,486
Slide 27: Operating Revenues and Flight Hours by Line of Service
Operating Revenues and Flight Hours by Line of Service Three Months Ended June 30, March 31, December 31, September 30, 2022 2022 2021 2021 LTM Operating revenues ($000s) Oil and gas services: Europe $ 90,053 $ 89,234 $ 88,278 $ 93,420 $ 360,985 Americas 84,665 86,249 91,834 84,207 346,955 Africa 20
Slide 28: LTM Operating Revenues
LTM Operating Revenues Three Months Ended June 30, March 31, December 31, September 30, (in millions) 2022 2022 2021 2021 LTM Revenues Europe $ 155.4 $ 151.5 $ 150.1 $ 158.0 $ 615.0 Americas 94.3 94.6 100.9 93.8 383.6 Asia Pacific 21.2 13.0 16.7 19.9 70.8 Africa 23.3 16.5 17.3 18.4 75.5 Total $ 294.
Bristow Group — Jefferies Industrials Conference 2022 on 6ix