Reach Subsea Asa · OSL:REACH
Reach Subsea Asa — Q2 2021 Earnings Presentation
23 slides from Reach Subsea Asa's earnings presentation, 2021
Slide 1: 2Q and half-year results 2021
2Q and half-year results 2021
Slide 2: CEO comments to Q2 and Half Year
CEO comments to Q2 and Half Year ▪ Fifth quarter on a row with positive results Record result ▪ Best half year result in history – pre-tax profit of NOK 27m ▪ Solid financial position with cash and working capital of Solid financial position NOK 170m ▪ Limited long term financial debt of NOK 40m ▪ N
Slide 3: Reach Subsea in brief
Reach Subsea in brief ▪ Subsea services for all types of offshore assets through the whole lifecycle ▪ We provide clients with Data and Solutions for their subsurface assets ▪ Our services are delivered from a subsea vessel, utilizing the right technology, managed by our skilled people ▪ Developed f
Slide 4: Offshore operations
Offshore operations Installation of suction anchors Deployment of seismic bottom nodes in high speed
Slide 5: Serving strong customer base across sectors
Serving strong customer base across sectors Oil & Gas Offshore Wind Offshore Cables Emerging sectors Structural decrease in new Offshore fish farming, installations, but ageing Structural growth market as Structural growth market subsea mining, installed base requires the world electrifies environme
Slide 6: Active in fast-growing markets worldwide
Active in fast-growing markets worldwide
Slide 7: Finance
Finance REACH SUBSEA
Slide 8: 2Q 2021 key developments
2Q 2021 key developments Revenue mix first half and Record profitability in first half second quarter 350 35 ▪ Another strong quarterly result and the 29 28 30 best first half result in Reach Subsea’s 296 30 27 history driven by continued high 300 272 utilization and successful project 25 execution
Slide 9: Positive trend driven by utilization and solid execution
Positive trend driven by utilization and solid execution 1 400 70% 1 200 60% Operational figures and order book ▪ Reduced turnover in 2Q 2021 compared 1 000 50% to 2Q 2020 related to project complexity (turnover). 800 40% ▪ High vessels utilization secures profitability. Vessel flow through contract
Slide 10: Positioned for growth: Solid financial position
Positioned for growth Solid financial position 250 Strong balance sheet ▪ Liquidity and equity positions are 200 strong ▪ Compliant with bank covenants 150 ▪ Delivered on dividend policy NOKm ▪ Positioned for Reach Remote investment 100 50 0 2018 2019 2020 2021 YTD Financial debt Cash and working ca
Slide 11: Good progress on achieving ESG targets
Good progress on achieving ESG targets 10 Environment Employees Responsible business
Slide 12: Reach Remote
Reach Remote REACH SUBSEA
Slide 13: Diversifying portfolio into unmanned vessels
Diversifying portfolio into unmanned vessels
Slide 14: From manned to unmanned
13 From manned to unmanned Survey & inspection service Survey & inspection service today End product tomorrow Operational parameters: Operational parameters: ▪ 80-meter vessel with 70-80 berths ▪ 25-meter vessel – unmanned ▪ 30-50 personnel offshore ▪ All personnel onshore ▪ Comprehensive HSEQ regim
Slide 15: Reach Remote: timing adjusted to market conditions
Reach Remote: timing adjusted to market conditions • Ongoing process for verification and certification Haugesund district subsea cluster Working with national and international Maritime strengthened with National Test Center Authorities in parallel to ensure recognized «certificates» when ready for
Slide 16: Reach Remote: well positioned for success
15 Reach Remote: well positioned for success ▪ Explosion in ESG awareness Strong tailwinds ▪ Market is ready to adopt new solutions from suppliers ▪ Access to large client base Reach capabilities ▪ Strong project execution track record ▪ Subsurface operations know-how ▪ Kongsberg a market leader in
Slide 17: Reach Remote – a sneak peak into the maritime future
Reach Remote – a sneak peak into the maritime future Animation video of Reach Remote
Slide 18: Summary
Summary REACH SUBSEA
Slide 19: Reach Subsea – investment highlights
Reach Subsea – investment highlights ▪ Solid track record of profitable growth, strong and diversified customer base ▪ Large customer base consisting of several energy supermajors ▪ Highly experienced management and operational team ▪ Asset-light growth strategy and robust financial profile ▪ Solid
Slide 20: Q&A
Q&A REACH SUBSEA
Slide 21: Appendices
Appendices REACH SUBSEA
Slide 22: Key figures
Key figures <= 2Q 2021 | 2Q2020 | 6M2021 | 6M 2020 |12M 2020 unaudited | unaudited | unaudited | unaudited | audited Revenue (NOKm) 170 217 272 296 628 EBIT (NOKm) 18 29 30 12 51 Pre-tax profit (NOKm) 16 28 27 -4 43 Cash and cash equivalents (NOKm) 73 57 73 57 105 Net working capital (NOKm) 94 41 94
Slide 23: Shareholders
Shareholders Shareholder structure North Energy Board members Management & Employees Other