Slide 1: Q3 2024 Status and Outlook
Q3 2024 STATUS AND OUTLOOK Henrik Badin, CEO Tina Tønnessen, CFO Oslo, 26 November 2024 Photo: Nico Smith/Unsplash
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by the management of Vow ASA using commercially reasonable efforts to provide estimates and information about the company and prospective new markets. The presentation includes and is based, inter alia, on forward-looking information and statements that
Slide 3: Q3 in Brief: Working Our Way Back
Q3 IN BRIEF: WORKING OUR WAY BACK Maritime Solutions and Aftersales Large and growing pipeline of potential newbuild and retrofit contracts as cruise companies renew and expand their fleets Industrial Solutions Good progress in FEEDs as project owners work to secure necessary permits and financing.
Slide 4: Q3: Key Financials | Group
Q3: KEY FINANCIALS | GROUP Key financials by quarter 267 255 20.5 932 86 122 18.4 Industrial 111 78 116 5.6 Options 106 7% 55 Aftersales 48 50 53 -6% 42 -15.5 1,095 1,103 Backlog Maritime 107 112 94 93 67 -37.5 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24
Slide 5: Market and Business Update
MARKET AND BUSINESS UPDATE Photo: Nico Smith/Unsplash
Slide 6: Maritime Solutions
MARITIME SOLUTIONS Ships with Vow equipment 12 12 Confirmed Option converted for second EUR 14.5 million newbuild contract1, 10 Option confirming trend towards more complex and more advanced equipment. Being bid 8 6 6 8 Year-to-date order intake for Maritime Solutions exceeds NOK 600 million 7 6 Cru
Slide 7: Aftersales
AFTERSALES Cruise ships with Scanship technology inside Aftersales revenues in NOK million 12-month rolling (by operator) 197 Stable, steady business built on service and million technology leadership 175 million Activity growing with increased number of ships in operation, and increased attention t
Slide 8: Industrial Solutions
INDUSTRIAL SOLUTIONS Cost saving initiatives are yielding results, leading to improved EBITDA despite lower gross margin in Q3 End-of-life tyre plant in UK Rhode Island biochar plant Continued high activity and solid performance in heat treatment business C.H. Evensen FEED1 work continues and permit
Slide 9: Operational Improvements
OPERATIONAL IMPROVEMENTS Cost reductions Norway France Temporary layoffs from March Business reconciliation and staff Vow continued 2024 in Tønsberg (Scanship), reduction in Compiègne. to deliver on - 16 % gradually reversed through the year as projects activity picked up cost reduction programmes w
Slide 10: Financials
FINANCIALS Photo: Nico Smith/Unsplash
Slide 11: Segment Information
SEGMENT INFORMATION NOK million Q3 24 Q3 23 YTD Q3 24 YTD Q3 23 FY 23 Revenues 93.0 94.3 312.1 308.4 375.5 Maritime maintained strong MARITIME Gross profit Gross margin % 24.8 26.7% -4.6 -4.8% 71.1 22.8% 70.3 22.8% 65.6 17.5% momentum in 2024 Margin expected to continue SOLUTIONS EBITDA before non-r
Slide 12: Income Statement
INCOME STATEMENT NOK million Q3 24 Q3 23 YTD Q3 24 YTD Q3 23 FY 2023 Comments Revenue 267.4 254.6 752.5 703.3 918.5 Revenue increase driven by Industrials and Aftersales Gross profit 72.5 52.0 222.3 224.8 232.1 segment Gross margin % 27.1% 20.4% 29.5% 32.0% 25.3% Gross margin for the quarter impacte
Slide 13: Balance Sheet
BALANCE SHEET NOK million 30.09.24 30.06.24 31.12.23 Comments Intangible assets and goodwill 623.5 611.5 588.1 Increase in intangibles relate Accounts receivable 196.3 202.2 241.0 to investments in new technology Contracts in progress 347.3 305.2 270.3 Net working capital Other assets 351.1 374.9 37
Slide 14: Cash Flow
CASH FLOW NOK million Q3 24 Q3 23 YTD Q3 24 YTD Q3 23 FY 2023 Comments Cash and cash equivalents Investments reduced 42.5 17.0 57.5 42.5 42.5 at start of period compared with historical levels as several R&D Net cash flow from operating projects are successfully activities 7.5 -77.0 76.9 -92.2 -0.6
Slide 15: Concluding Remarks
CONCLUDING REMARKS Photo: Nico Smith/Unsplash
Slide 16: Strengthening Balance Sheet
STRENGTHENING BALANCE SHEET Rights issue | Key dates and important milestones Use of proceeds equity issue August Obtained amended bank facilities subject to NOK 125 million Net proceeds from the Rights Issue will new equity be used to August Testing the market for a NOK 150 million private placemen
Slide 17: We Are Working Our Way Back
WE ARE WORKING OUR WAY BACK Maritime Solutions and Aftersales Large and growing pipeline of potential newbuild and retrofit contracts as cruise companies renew and expand their fleets Industrial Solutions Good progress in FEEDs as project owners work to secure necessary permits and financing. Contin
Slide 18: Believing in a Future Where Industry Is Harmonized with Nature
BELIEVING IN A FUTURE WHERE INDUSTRY IS HARMONIZED WITH NATURE Photo: Nico Smith/Unsplash