Wilh. Wilhelmsen Holding Asa Class A · OSL:WWI
Wilh. Wilhelmsen Holding Asa Class A — Q4 2018 Earnings Presentation
24 slides from Wilh. Wilhelmsen Holding Asa Class A's earnings presentation, February 2019
Slide 1: Wilh. Wilhelmsen Holding ASA – Fourth quarter and full year 2018
Wilh. Wilhelmsen Holding ASA Fourth quarter and full year 2018 Christian Berg, group CFO February 2018
Slide 2: The year 2018
The year 2018 Operational contribution up – fall in asset values Developing Ships Service’s marine products on a stand alone basis following abandoned Drew deal Logistics support to NATO exercise Trident Juncture Entering offshore wind supply market Developing digital solutions Hyundai Glovis restru
Slide 3: Q4'18: Net profit hit by loss on financial asset
Q4’18: Net profit hit by loss on financial asset Steady underlying contribution from operational activities Maritime Supply Holding/ Elim./ Total income up 5% from third quarter services services Investm. discont. Group USD mill - unless otherwise indicated Q4'18 Q4'18 Q4'18 Q4'18 Q4'18 Total income
Slide 4: Year 2018: Improved contribution from operating companies
Year 2018: Improved contribution from operating companies Reduced value of financial assets creating a USD 60 million net loss Maritime Supply Holding/ Elim./ Total income up 10% from previous year services services Investm. discont. Group USD mill • Full year consolidation of NorSea Group - unless
Slide 5: Maritime services
Maritime services A unique global network, competence, brand, and culture Ships services Ships services Ship management Survitec (20%) Marine products Agency services Ship management Safety products
Slide 6: Steady recovery in maritime services' operating margin
Steady recovery in maritime services’ operating margin Adjusted EBITDA margin of 14% for Q4 and 12% YTD Maritime services - total income and adjusted EBITDA margin *) Total income EBITDA USD mill margin (adj.) Total income in line with third quarter 300 25% • Stable income from ships service • Furth
Slide 7: Supply services
Supply services A broad service offering built around core infrastructure and competence Supply base services Infrastructure Governmental services
Slide 8: Positive first full consolidated year for supply services
Positive first full consolidated year for supply services Logistics services for NATO exercise partly offsetting seasonal slow down in offshore activities in Q4 Supply services - total income and EBITDA margin 1) EBITDA USD mill margin Income up 13% q-o-q 100 40% • WilNor Governmental Services and N
Slide 9: Holding and investments
Holding and investments Shipping, logistics and infrastructure Wallenius Wilhelmsen Treasure ASA Financial assets Current financial inv. Hyundai Glovis (~12%) Qube Holdings (~3%) USD ~550 million investment USD ~215 million investment USD ~100 million investments USD ~90 million investments All figu
Slide 10: Holding and investments results hit by lower asset values
Holding and investments results hit by lower asset values and reduced contribution from Wallenius Wilhelmsen Wallenius Wilhelmsen net result down from third quarter • Improved EBITDA, offset by increased finance cost and fair value loss on EUKOR put/call option • USD 1 million share of net result •
Slide 11: Shaping the maritime industry
Shaping the maritime industry Investing in new technology and solutions to grow the core Digital accelerator Full-service autonomous marine 3D-printing company Digital developer company for the maritime industry shipping from California
Slide 12: Solid balance sheet
Solid balance sheet Equity ratio of 65% Wilhelmsen group total assets and equity ratio Key figures USD mill Equity ratio 6 000 100% Total assets USD 3 079 million (down 6% y-o-y) 90% Total equity USD 2 017 million (down 8% y-o-y) 5 000 80% 65% 70% 4 000 60% 3 000 50% 40% 2 000 30% 20% 1 000 10% 0 0%
Slide 13: Healthy liquidity and debt repayment profile
Healthy liquidity and debt repayment profile Maturity profile – outstanding debt Liquidity 1) Outstanding debt 2) (USD million) (USD million) (USD million) 217 23 153 12 197 106 85 110 313 56 22 Year 1 Year 2 Year 3 Year 4 >4 years Holding and investments Maritime services Supply services Holding an
Slide 14: Board proposes first dividend of NOK 2.50 per share
Board proposes first dividend of NOK 2.50 per share Potential second dividend of up to NOK 2.50 per share Upstream cash 1) Dividend payments 2) MNOK NOK/share Yield (%) 700 7.00 7 600 6.00 6 500 5.00 5 400 4.00 4 300 3.00 3 200 2.00 100 2 1.00 0 0.00 1 2014 2015 2016 2017 2018 2015 2016 2017 2018 20
Slide 15: IFRS 16 implementation
IFRS 16 implementation Total assets up ~7% and annual EBITDA up USD ~40 million Total assets Total equity and liabilities Income statement (MUSD) (MUSD) (MUSD - estmated annal effect year 1) 231 3 319 231 3 319 3 088 217 3 088 228 14 479 3 262 761 533 540 540 2 826 2 840 2 015 2 018 40 12 31.12.2018
Slide 16: Outlook
Outlook The board expects a stable development of underlying operating performance, but with normal seasonal variations. Wilhelmsen’s exposure towards global trade, and potential introduction of further tariffs and restrictions, continues to create uncertainties. Wilhelmsen retains its robustness to
Slide 17: Supplementary slides – Fourth quarter 2018
Supplementary slides – Fourth quarter 2018 Maritime services Ships service Ship management Supply services NorSea Group Holding and investments Wallenius Wilhelmsen ASA Treasure ASA Financial investments
Slide 18: Ships service
Ships service Wilhelmsen Ships Service is a global provider of standardised product brands and service solutions to the maritime industry, focusing on marine products, marine chemicals, maritime logistics and ships agency Ships service is fully owned by Wilhelmsen Q4’18 highlights Total income 1) In
Slide 19: Ship management
Ship management Wilhelmsen Ship Management provides full technical management, crewing and related services for all major vessel types Ship management is fully owned by Wilhelmsen Q4’18 highlights Total income and vessels served 1) Total income Vessels served • Total income up, following new vessels
Slide 20: NorSea Group
NorSea Group NorSea Group provides supply bases and integrated logistics solution to the offshore industry Wilhelmsen owns ~75,2% of NorSea Group (as per 31 December 2018) Q4’18 highlights Total income and operating margin (weighted) 2) • Income up 13% NOK mill Margin 1 000 Share of total income JV’
Slide 21: Wallenius Wilhelmsen ASA
Wallenius Wilhelmsen ASA Wallenius Wilhelmsen ASA is a global provider of shipping and logistics services towards car and ro-ro customers, and is listed on the Oslo Stock Exchange Wilhelmsen owns ~37,8% of Wallenius Wilhelmsen ASA (as per 31 December 2018) Q4’18 highlights Wilhelmsen's investment in
Slide 22: Treasure ASA
Treasure ASA Treasure ASA holds a 12.04% ownership interest in Hyundai Glovis, and is listed on the Oslo Stock Exchange Wilhelmsen owns 73.2% of Treasure ASA (as per 31 December 2018) Q4’18 highlights Wilhelmsen's investment in Treasure ASA (market value - mill. USD) • Net loss following fall in Hyu
Slide 23: Financial investments
Financial investments Financial investments include cash and cash equivalents, current financial investments and financial assets held by the parent and fully owned subsidiaries reported under the holding and investments segment Q4’18 highlights Financial assets, investment portfolio and cash (Mill.
Slide 24: wilhelmsen.com
= fe} rs) I o a = oO s 3
Wilh. Wilhelmsen Holding — Q4 2018 Earnings Presentation on 6ix