Tsakos Energy Navigation Ltd · NYSE:TEN
Tsakos Energy Navigation — FY2014 Earnings Presentation
19 slides from Tsakos Energy Navigation's earnings presentation, Mar 19, 2015
Slide 1: Q4 & YE 2014 Earnings Conference Call
TEN Ltd Tsakos Energy Navigation March 19, 2015 Q4 & YE 2014 Earnings Conference Call
Slide 2: Forward-looking statements
This presentation may contain forward-looking statements that are not based on historical fact, including without limitation, statements containing the words “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions. Because these forward-looking statemen
Slide 3: Corporate Facts
Corporate Facts 63 vessels (pro forma) Active fleet utilization in Q4 & YE14 at 97.7% 50 in operation 9 x Aframax crude carriers under 45% of 2015 and 31% of 2016 available days in secured construction (w/employment) revenue contracts (including CoAs / Pools) 2 x LR1 product tankers unde
Slide 4: 2014 Highlights
2014 Highlights For 2014, net income of $33.5 million or $0.32 per diluted share, compared to a $37.5 million loss for 2013. $13.5 million net income for Q4 2014 or $0.14 per diluted share, compared to a $35.6 million loss in Q4 2013 Income of $21.1 million or $0.23 per share before $7.6 million
Slide 5: Fleet Composition – 63 vessels (pro-forma)
Fleet Composition – 63 vessels (pro-forma) CRUDE TRADING PRODUCTS DP2/LNG 44 14 5 5.3m dwt 0.6m dwt 0.7m dwt VLCC Suezmax Aframax Aframax LR Panamax Handymax Handysize DP2 Shuttle LNG One World Trade 1,100 900 850 850 750 615’ 570’ 900 750 1,775 300,000dwt 160,000dwt 100,000dwt 100,000dwt 74
Slide 6: Modern & Diversified Fleet – 73% of 2015 Days in Market Indexed Contracts
Modern & Diversified Fleet – 73% of 2015 Days in Market Indexed Contracts CRUDE TANKERS Dwt Built Yard Hull Ice Class/Other COATED TANKERS Dwt Built Yard Hull Ice Class/Other VLCC AFRAMAX - LR2 Millennium 301,171 1998 HHI DH 1 Proteas 117,055 2006 HHI DH 1A SUEZMAX 2 Promitheas 117,055 2006 HHI DH 1
Slide 7: Long-Term Strategic Alliances
Long-Term Strategic Alliances Upon delivery of all 9 Aframax NBs, Statoil will top our largest customers list Top Customers (in alphabetical order) 1. BG 2. BP 3. CHEVRON 4. EXXONMOBIL 5. FLOPEC 78% 6. HMM 7. LITASCO 8. PETROBRAS 9. SHELL 10. STATOIL Long-term, blue-chip, recurring customer base con
Slide 8: Tanker Rates Remain Strong
Low Q4 Breakeven Rates vs. Market 1 Tanker Rates Remain Strong… VLCC $12,180 Av. Tanker Spot Rates 12 SUEZMAX $18,440 VLCC $54,723 17 AFRAMAX $19,250 Suezmax $55,205 3 AFRAMAX LR2 $21,260 Aframax $34,220 11 PANAMAX LR1 $15,800 Panamax $23,533 6 HANDYMAX MR $16,100 LR2 $29,036 8 HANDYSIZE MR $13,700
Slide 9: Vessel Employment Details (as of March 19, 2015)
Vessel Employment Details (as of March 19, 2015) 10 1 1 19 19 TC (Fixed) TC (P/S) CoA (Spot Related) Pool (Spot Related) Spot Secured Employment (31 vessels) Flexible Employment (31 vessels) 9
Slide 10: Positive Market Outlook
Positive Market Outlook BARRELS OF OIL PER CAPITA PER ANNUM (Source: BP Statistical Review of World Energy June 2014 Strong potential of China and India with a combined population of 2.5 billion in a world of 7.0 billion. Their per capita oil consumption is at extremely low levels and have already
Slide 11: Tankers over 15 years old vs. Delivery Schedule
Tankers over 15 years old vs. Delivery Schedule Total Orderbook of 664 tankers (272 of which MRs or 41%) vs. 662 vessels (242 of which MRs or 37%) in fleet over 15 years of age 57% of tanker orderbook are product tankers 700 650 600 550 500 Number of Ships 450 400 350 300 250 200 150 100 50 0 Cu
Slide 12: Secured Revenues and Solid Spot Exposure
Secured Revenues (TC, TCPS, COA, POOL) and Solid Spot Exposure Based on employable dates and includes vessels under time charter, time charter with profit share (only minimum rate) and Pool/CoAs (Subject to deliveries and potential changes in TEN’s chartering policy ) 2015 (as of March) 2016 Pure Sp
Slide 13: Sale & Purchase Activity – Capital Gains
Sale & Purchase Activity – Capital Gains Sale & Purchase activity integral to operations – Close to 100 transactions - realizing actual value Timely acquisitions of modern tonnage Since 2003 TEN has generated capital gains from its sale & purchase activity close to $280 million $25 million a
Slide 14: Continuous Dividend Payments
Continuous Dividend Payments Dividend payments far in excess of original IPO price of $7.50/share Today investors have gotten $10.00/share in dividends (incl. May 2015 distribution) or $405 million in total, 33.3% higher over their original $7.50 IPO investment plus…. Approx. $1 billion total
Slide 15: Attractive Valuation – Steep Discount to NAV
Attractive Valuation – Steep Discount to NAV NAV (Dec. 31, 2014) (Line items for reference only) FMV: $2.0 billion Cash (after current liabilities): $191 million NB Advance + Extra Value: $253 million $2.4 billion Liabilities: $1.5 billion Common Shares: 84.7 million NAV (Fair Value): $11.00/share N
Slide 16: Income Statement
Income Statement Three months ended Year ended December 31 December 31 STATEMENT OF OPERATIONS DATA 2014 2013 2014 2013 Voyage revenues $ 137,448 $ 105,030 $ 501,013 $ 418,379 Commissions 5,157 4,001 18,819 16,019 Voyage expenses 32,809 30,478 135,324 116,980 Vessel operating expenses 38,789 33,706
Slide 17: Balance Sheet
Balance Sheet BALANCE SHEET DATA December 31 December 31 2014 2013 Cash 214,441 171,764 Other assets 96,548 80,546 Vessels, net 2,199,154 2,173,068 Advances for vessels under construction 188,954 58,521 Total assets $ 2,699,097 $ 2,483,899 Debt 1,418,336 1,380,298 Other liabilities 102,849 105,938 S
Slide 18: Other Financial / Fleet Data
Other Financial / Fleet Data Three months ended Year ended OTHER FINANCIAL DATA December 31 December 31 2014 2013 2014 2013 Net cash from operating activities $ 46,165 $ 13,694 $ 106,971 $ 117,923 Net cash used in investing activities $ (35,017) $ (1,659) $ (254,307) $ (144,437) Net cash (used in)/p
Slide 19: Tsakos Energy Navigation, Ltd
TSAKOS ENERGY NAVIGATION, LTD For more information please contact: Paul Durham: Chief Financial Officer pdurham@tenn.gr George Saroglou: Chief Operating Officer gsaroglou@tenn.gr Harrys Kosmatos: Corporate Development Officer hkosmatos@tenn.gr Tsakos Energy Navigation, Ltd 367 Syngrou Avenue Athens
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