Slide 1: Bumi Armada Q4 2016 Analyst Briefing
BUMI ARMADA Q4 2016 ANALYST BRIEFING 28th February 2017
Slide 2: Disclaimer
Disclaimer This presentation may contain statements of future expectations an other forward-looking statements based on management’s and/or other information providers’ current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance, o
Slide 3: Agenda
Agenda 1. Q4 2016 Financials 2. Operational & Project Updates 3. Outlook 4. Q&A 3
Slide 4: Q4 2016 Financials
Q4 2016 Financials VX Wa BUMIARMADA 3
Slide 5: Key takeaways
Key takeaways The Group posted a loss attributable to owners, for YTD 2016 of RM1,887.2 mil (after impairment expense) and RM144.0 mil (before impairment expense). EBITDA for YTD 2016 stands at RM569.6 mil, and EBITDA for Q4 2016 stands at RM28.5 mil. The Group generated net cash flows from op
Slide 6: Results Overview – Q4 2016 vs. Q3 2016
Results Overview – Q4 2016 vs. Q3 2016 (in RM’mil) Revenue EBITDA 377.5 91.0 Net Profit (1) -45.6 -68.7% Q3 2016 Q4 2016 205.5 (12.9) >100% 28.5 (134.5) Q3 2016 Q4 2016 Q3 2016 Q4 2016 Lower revenue due to: Decrease in EBITDA due to: • The loss in Q4 2016 as • Lower conversion activities and • Lower
Slide 7: Results Overview – FY 2016 vs. FY 2015
Results Overview – FY 2016 vs. FY 2015 (in RM’mil) Revenue EBITDA Net Profit (1) 2,179.7 981.0 356.4 -35.0% -41.9% 1,416.6 569.6 ->100% FY 2015 FY 2016 (52.6) FY 2015 FY 2016 FY 2015 FY 2016 Lower revenue due to: Lower EBITDA due to: • The loss in FY2016 as • Lower conversion activities from the Eni
Slide 8: Impairments
Impairments (RM' mil) Q4 2016 Q4 2015 FY 2016 FY 2015 FPSO & FGS 434.7 41.3 1,004.8 41.3 OMS 710.9 - 733.2 353.8 Corporate & Others - 4.2 5.2 27.9 8
Slide 9: Revenue composition by segments – Q4 2016 vs. Q3 2016
Revenue composition by segments – Q4 2016 vs. Q3 2016 (in RM’mil) Performance in established segments driven by the underlying activities FPSO & FGS OMS (1) -23.4% 116.0 261.5 -95.5% 200.3 5.2 Q3 2016 Q4 2016 Q3 2016 Q4 2016 Lower revenue due to: Lower revenue due to: • Lower conversion activities a
Slide 10: Revenue composition by segments – FY 2016 vs. FY 2015
Revenue composition by segments – FY 2016 vs. FY 2015 (in RM’mil) Performance in established segments driven by the underlying activities FPSO & FGS OMS (1) +5.6% 1,305.6 923.2 874.1 -62.6% 493.4 FY 2015 FY 2016 FY 2015 FY 2016 Lower revenue due to: Increase revenue due to: • Lower conversion activi
Slide 11: Revenue composition by geographical %
Revenue composition by geographical % Malaysia based international company continued expansion across key regions FY 2015 FY 2016 4% 10% 7% 8% 15% 25% 60% 71% 11
Slide 12: Order book as at December 2016
Order book as at 31 December 2016 The breakdown of order book with firm contract period by The breakdown of order book with optional contract period business segments (fleets) is as follows: by business segments (fleets) is as follows: Firm contract period order book: RM25.6bil Optional extensio
Slide 13: Operational & Project Updates
Operational & Project Updates 13
Slide 14: Safety
Safety Cumulative Lost Time Injury Frequency 0.7 0.6 0.51 0.5 0.4 0.3 0.27 0.2 0.12 0.1 0 2012 2013 2014 2015 2016 (1) BAB IMCA (1) International Marine Contractors Association (IMCA) Zero LTI record across OMS and FPSO Fleet in 2016 Three LTIs recorded on FPSO Projects BAB LTIF performance im
Slide 15: OMS Updates
OMS Updates 48% vessel utilisation in Q4 2016, compared to 55% in Q3 2016. Currently 19 OSVs cold stacked. New OMS projects secured in Q4 2016: Armada Firman 2 - 1 month charter in Malaysia. Armada Tuah 101 - contract extended 6 months in Nigeria. Armada Tuah 307 - reactivated 4 months c
Slide 16: FPSO Updates
FPSO Updates FPSO Highlights 99+% uptime on the operating FPSOs. Projects: 1. Armada LNG Mediterrana – Now on hire. 2. Armada Olombendo – First oil achieved. 3. Karapan Armada Sterling III – Hook-up completed, ready for first gas. 4. Armada Kraken – Hook-up completed. Getting ready for first oil
Slide 17: Outlook
Outlook 17 BUMIARMADA 7
Slide 18: Industry Impairments Snapshot
Industry Impairments Snapshot OSV Company Impairment Note Maersk $1.2 bil Impairment due to significant oversupply and reduced long term Supply demand expectations. Tidewater $419 mil $419 mil YTD 2016 in impairments. DOF NOK1,690 mil Impairment for vessels and equipment in 2016 FPSO Company Impairm
Slide 19: Market Outlook
Market Outlook Consensus Brent Price Forecast ($) Source: Bloomberg 2017 2018 2019 56 61 65 FPSO Awards Historical and Forecasted 20 (Historical and High, Medium & Low Case) High Case 16 17 15 14 15 12 12 11 Mid Case 13 10 10 11 11 10 10 8 7 8 5 4 3 7 7 6 Low Case 0 2011 2012 2013 2014 2015 2016 201
Slide 20: Bumi Armada Outlook for 2017
Bumi Armada Outlook for 2017 Setting new path for growth Completion of projects Streamlining organization Focus on processes and procedures Back to profit 20
Slide 21: Q&A
Q&A VX Wa BUMIARMADA BP
Slide 22: Thank You
Thank You ap ZN V BUMIARMADA 22