Tsakos Energy Navigation Ltd · NYSE:TEN

Tsakos Energy Navigation — Q4 2015 Earnings Presentation

17 slides from Tsakos Energy Navigation's earnings presentation, Mar 15, 2016

  1. Slide 1: Q4 & YE2015 Earnings Conference Call

    TEN Ltd Tsakos Energy Navigation March 15, 2016 Q4 & YE2015 Earnings Conference Call

  2. 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

  3. Slide 3: Corporate Facts

    Corporate Facts  65 vessels (pro forma) - excluding Shuttle NB option  Active fleet utilization in 2015 at 98%  Average fleet age (12/31/2015): 8.5 years vs. 9.7 of  60% of 2016 and 45% of 2017 available days to date world tanker fleet – To reduce further with in secured revenue contracts (incl.

  4. Slide 4: Q4 2015 Highlights

    Q4 2015 Highlights  Net income of $39.6 million or $0.41 per diluted share, compared to a $13.5 million in Q4 2014  Operating income of $48.1 million vs. $29.2 million in Q4 2014. Over a 65% increase  Healthy liquidity at December 31, 2015 of $305 million  Pro-forma fleet of 65 vessels, totaling

  5. Slide 5: Fleet Composition – 65 vessels (pro-forma)

    Fleet Composition – 65 vessels (pro-forma) CRUDE TRADING PRODUCTS DP2/LNG 47 13 5 6.0m 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

  6. Slide 6: Long-Term Strategic Alliances

    Long-Term Strategic Alliances 2015 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 consisting of major global energy companies Transporter of Choice for Major Oi

  7. Slide 7: Timely Acquisitions - Low 2015 Breakeven Rates – 98% Fleet Utilization

    Timely Acquisitions - Low 2015 Breakeven Rates – 98% Fleet Utilization * Breakeven rates after Operating Expenses, G&A, Interest and Depreciation 3 Tanker Rates Strong… VLCC $12,612 2015 Av. Spot Rates 13 SUEZMAX $18,338 VLCC $69,991 17 AFRAMAX $18,951 Suezmax $42,996 3 AFRAMAX LR2 $20,409 Aframax $

  8. Slide 8: 2016 Vessel Employment Details

    2016 Vessel Employment Details (as of March 15, 2016 including 2016 NB introductions) 9 2 21 27 TC (Fixed) TC (P/S) CoA (Spot Related) Spot Secured Employment (38 vessels) Flexible Employment (32 vessels) As of March 15, 2016 31 existing operating vessels with secured chartered employment (profit-sh

  9. Slide 9: Positive Market Outlook

    Positive Market Outlook BARRELS OF OIL PER CAPITA PER ANNUM (Source: BP Statistical Review of World Energy June 2015)  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 25 22 extremely low levels and have

  10. Slide 10: Tankers Over 15 Years Old vs. Delivery Schedule

    Tankers Over 15 Years Old vs. Delivery Schedule  Total Orderbook of 763 tankers (208 of which MRs or 27%) vs. 766 vessels (253 of which MRs or 33%) in fleet over 15 years of age  46% of current tanker orderbook are product tankers  In 2010 the tanker orderbook (vessels >30K dwt) was at 22.3%. In

  11. Slide 11: Sale & Purchase Activity – Capital Gains

    Sale & Purchase Activity – Capital Gains  Sale & Purchase activity integral to operations – Close to 100 transactions - realizing actual value  Timely sale & purchase of modern tonnage  Acquisition of 2 x modern suezmaxes  Acquisition of 2 x VLCC newbuilding resales  Sale of 1 x Suezmax (first

  12. Slide 12: Continuous Dividend Payments

    Continuous Dividend Payments  Dividend payments far in excess of original IPO price of $7.50/share  Today investors have gotten $10.20/share in dividends (incl. April 2016 distribution) or $422 million in total, 36.0% higher over their original $7.50 IPO investment plus….  In excess of $1 billion

  13. Slide 13: Attractive Valuation – Upside Potential

    Attractive Valuation – Upside Potential Analyst Coverage (December 2015): Net Asset Value (12/31/2015) 1. Morgan Stanley Overweight 2. JP Morgan Overweight NAV (Fair Value): $12.57/share 3. Wells Fargo Outperform NAV (Book Value): $13.95/share 4. Credit Suisse Outperform 5. UBS Buy 6. Jefferies Buy

  14. Slide 14: Income Statement

    Income Statement Three months ended Year ended December 31 (unaudited) December 31 (unaudited) STATEMENT OF OPERATIONS DATA 2015 2014 2015 2014 Voyage revenues $ 143,092 $ 137,448 $ 587,715 $ 501,013 Voyage expenses 30,213 37,966 131,878 154,143 Vessel operating expenses 33,106 38,704 142,117 146,90

  15. Slide 15: Balance Sheet

    Balance Sheet BALANCE SHEET DATA December 31 December 31 2015 2014 Cash 305,006 214,441 Other assets 171,166 96,548 Vessels, net 2,053,286 2,199,154 Advances for vessels under construction 371,238 188,954 Total assets $ 2,900,696 $ 2,699,097 Debt 1,400,094 1,418,336 Other liabilities 85,532 102,849

  16. Slide 16: Other Financial / Fleet Data

    Other Financial / Fleet Data Three months ended Year ended OTHER FINANCIAL DATA December 31 December 31 2015 2014 2015 2014 Net cash from operating activities $ 67,922 $ 46,165 $ 234,409 $ 106,971 Net cash used in investing activities $ (83,244) $ (35,017) $ (174,754) $ (254,307) Net cash provided b

  17. Slide 17: 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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