Bumi Armada Bhd. · MYX:ARMADA
Bumi Armada Bhd — 1H 2015 Earnings Presentation
21 slides from Bumi Armada Bhd's earnings presentation, Aug 27, 2015
Slide 1: Financial Results for 1H 2015
Financial Results for 1H 2015 27 August 2015 “Knots Ahead of the Rest”
Slide 2: Disclaimer
Disclaimer This presentation may contain statements of future expectations and 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,
Slide 3: Q2 2015 Highlights
Q2 2015 Highlights “Knots Ahead of the Rest”
Slide 4: Key takeaways
Key takeaways Year to date EBITDA increased by 14.6% year-on-year to RM556.5 million. Net cash flows generated from operating activities increased by 53.0% year- on-year, to RM383.1 million in the first half of 2015. Second quarter 2015 revenue declined by 22.2% to RM459.1 million compared to
Slide 5: Results Overview – Q2 2015 vs. Q1 2015
Results Overview – Q2 2015 vs. Q1 2015 (in RM’mil) Revenue EBITDA Net Profit/(Loss)* -19.8% -504.9% 572.2 -6.1% 72.0 459.1 287.0 269.5 Q1 2015 Q2 2015 Q1 2015 Q2 2015 Q1 2015 Q2 2015 (291.5) Revenue sequentially lower due to: EBITDA largely unchanged due to: • Net core profit (excluding • Decline in
Slide 6: Normalised PAT
Normalised PAT RM’mil Q2 2015 YTD 2015 Net loss (298.9) (225.9) Impairment - Property, plant and equipment and non-current assets held for sale 353.8 353.8 - Non-core asset at a joint venture 20.5 20.5 - Available-for-sale financial assets 6.7 8.8 - Investment in a joint venture 2.7 2.7 Core net pro
Slide 7: Q2 2015 PAT Clarification
Q2 2015 PAT Clarification 150 84.8 100 50 - Core net profit Impairment for Impairment for Impairment for Impairment for Net loss Q2 (50) Q2 2015 PPE and non- non-core asset available-for-sale investment in a 2015 (100) current assets at a joint venture financial assets joint venture held for sale (1
Slide 8: Impairment of property, plant and equipment and non-current assets held for sale
Impairment of property, plant and equipment and non-current assets held for sale Carrying Carrying amount before amount after impairment impairment Impairment RM'mil RM'mil RM'mil % Vessels for which an impairment charge was made during the quarter OSV 1,197 948 (249) 21% T&I 145 40 (105) 72% Subtot
Slide 9: Results Overview – YTD 2015 vs. YTD 2014
Results Overview – YTD 2015 vs. YTD 2014 (in RM’mil) Revenue EBITDA Net Profit* -2.6% +14.6% 556.5 1,059.0 1,031.2 163.2 485.8 -234.5% YTD 2014 YTD 2015 YTD 2014 YTD 2015 YTD 2014 YTD 2015 (219.5) • Net core profit (excluding impairment Lower due to: charge) of RM159.9 million • Lower activity from
Slide 10: YTD 2015 PAT Clarification
YTD 2015 PAT Clarification 200 159.9 100 - Core net profit Impairment for Impairment for Impairment for Impairment for Net loss YTD YTD 2015 PPE and non- non-core asset at available-for-sale investment in a 2015 (100) current assets a joint venture financial assets joint venture held for sale (200)
Slide 11: Revenue composition by segments – Q2 2015 vs. Q1 2015
Revenue composition by segments – Q2 2015 vs. Q1 2015 (in RM’mil) Performance in established segments driven by the underlying activities FPSO & FGS OSV 291.1 -6.9% 164.5 271.1 -23.5% 125.9 Q1 2015 Q2 2015 Q1 2015 Q2 2015 Lower contribution from Kraken and tanker Lower OSV vessels utilisation operat
Slide 12: Revenue composition by segments – YTD 2015 vs. YTD 2014
Revenue composition by segments – YTD 2015 vs. YTD 2014 (in RM’mil) Performance in established segments driven by the underlying activities FPSO & FGS OSV 562.2 -6.1% +31.6% 309.2 290.4 427.1 YTD 2014 YTD 2015 YTD 2014 YTD 2015 Higher contribution from Eni 1506 FPSO project, initial Lower OSV vessel
Slide 13: Revenue composition by geographical %
Revenue composition by geographical % Malaysia based international company continued expansion across key regions YTD 2014 YTD 2015 5% 13% 7% 11% 26% 27% 56% 55%
Slide 14: Operating cash flows and gearing ratio
Operating cash flows and gearing ratio 600.0 1.60x 1.43x 500.0 1.40x 485.9 1.20x 400.0 1.03x 1.06x Gearing ratio 0.97x 0.93x 1.00x 0.87x RM'mil 300.0 234.4 0.80x 200.0 176.9 148.7 0.60x 100.0 73.5 0.40x 0.0 0.20x Q1-2014 Q2-2014 Q3-2014 Q4-2014 Q1-2015 Q2-2015 -100.0 (56.2) 0.00x 14
Slide 15: Leverage and capitalisation
Leverage and capitalisation Financial capacity intact to execute existing projects Net Debt / EBITDA(1) Gearing ratio(2) 4.0x 3.9x 5.1x 4.8x 3.9x 3.2x 3.3x 3.2x 2.3x 1.9x 0.9x 0.9x 1.0x 0.9x 0.9x 0.7x 2009 2010 2011 2012 2013 2014 Q1 2015 Q2 2015 2009 2010 2011 2012 2013 2014 Q1 2015 Q2 2015 (1) Cal
Slide 16: Order book as at 30 June 2015
Order book as at 30 June 2015 Quality firm order book increases to RM25.8 bn (Q1: RM25.6 bn) As at 30 June 2015, the Group’s order book stood at RM25.8 bn compared to RM25.6 bn as at 31 March 2015. Upon expiration of the firm contract period, certain contracts contain extension options which are ren
Slide 17: Updates & Outlook
Updates & Outlook “Knots Ahead of the Rest”
Slide 18: Project Updates
Project Updates Armada Kraken (North Sea, UK) • Status: 60% completed • Expected Completion: Q3 2016 Armada Kraken: M40 Module Armada Olombendo (Angola 15/06) • Status: 50% completed • Expected Completion: Q4 2016 Armada Kraken: Load out of STP Buoy 18
Slide 19: Project Updates
Project Updates Armada Madura (Indonesia) • Status: 20% completed • Expected Completion: Q4 2016 Armada Madura: First Steel Cut Malta LNG FSU • Status: 10% completed • Expected Completion: Q2 2016 Armada Madura: Main Deck Overview 19
Slide 20: In Summary
In Summary The O&G sector is expected to remain challenging into 2016. The non-cash impairment was predominantly on OSV and T&I assets and reflects their current recoverable value. Core net profit without the impairment, would have been RM84 .8 million in Q2 2015. Net operating cash flows re
Slide 21: Thank You
Thank You “Knots Ahead of the Rest”