Aker Solutions ASA · OSL:AKSO
Aker Solutions ASA — Aker Kvaerner — Q1 2006 Earnings Presentation
18 slides from Aker Solutions ASA's earnings presentation, Apr 26, 2006
Slide 1: 1st quarter results 2006
1st quarter results 2006 Inge K. Hansen Bjørn Erik Næss President & CEO EVP & CFO 26 April 2006 part of the Aker group Agenda Topic Speaker ■ Group update Inge K. Hansen ■ Financials Bjørn Erik Næss ■ Closing remarks Inge K. Hansen ■ Q & A session part of the Aker group Slide 2 © 2006 Aker Kvaerner
Slide 2: Strong start to the year
Strong start to the year ■ Profitable growth and improved EBITDA ■ Record high order backlog maintained ■ Sustainable cash position ■ Strong markets with attractive opportunities ■ Request for change in sub-loan documentation- offer to buy back up to 25 percent of outstanding subordinated loan ■ Ake
Slide 3: Key indicators
Key indicators Operating EBITDA Net current Cash and undrawn revenues operating assets credit facilities NOK million NOK million NOK million NOK million 14000 500 10000 900 9000 12000 800 0 8000 700 -500 10000 7000 600 -1000 6000 8000 -1500 500 5000 6000 400 -2000 4000 300 -2500 3000 4000 200 -3000
Slide 4: Agenda
Agenda Topic Speaker ■ Group update Inge K. Hansen ■ Financials Bjørn Erik Næss ■ Closing remarks Inge K. Hansen ■ Q & A session A letter of intent to sell the Pulping and Power businesses to Metso was signed in the first quarter. According to International Financial Reporting Standards the Pulping
Slide 5: Income statement consolidated
Income statement consolidated (in NOK million) 1Q05 2Q05 3Q05 4Q05 1Q06 2005 Operating revenues 8 407 9 709 10 073 13 274 11 588 41 463 EBITDA 376 441 539 789¹ 7102 2 145¹ EBITDA specified Field Development 123 135 161 213 234 632 MMO 56 54 89 91 108 290 Subsea and P&T 110 143 177 224 173 654 Proces
Slide 6: Assets; Debt and equity
Assets (in NOK million) 1Q05 2Q05 3Q05 4Q05 1Q06 Property, plant and equipment 1 403 1 450 1 510 1 549 1 602 Other fixed assets 5 055 5 032 5 047 5 432 5 574 Financial assets (non-current) 211 215 215 142 112 I B receivables (non-current) 147 144 142 141 132 I B receivables (current) - 390 387 388 4
Slide 7: Request for change in subordinated loan
Request for change in subordinated loan1 ■ Aker Kvaerner has today called for a bondholders meeting in the subordinated loan to be held 15 May to request for certain changes to the existing documentation ● Allow for Aker Kværner ASA to be Borrower for senior debt ● Allow for Aker Kværner ASA to oper
Slide 8: Field Development
Field Development EBITDA ■ Highlights (in NOK million) ● Profitable growth 234 213 ● Increasing inquiries from clients asking about capacity ● Gjøa FEED contract awarded by Statoil ● Projects like Snøhvit and Ormen Lange are progressing as planned 161 135 123 ■ Market outlook ● Large number of bids
Slide 9: Subsea, Products & Technologies
Subsea, Products & Technologies EBITDA ■ Highlights (in NOK million) ● Operational and financial performance is developing positively 224 ● Major projects in early phase of execution - EBITDA expected to increase further 177 173 ● Investments into the subsea manufacturing centers in Malaysia and Nor
Slide 10: Pulping & Power
Pulping & Power EBITDA ■ Highlights (in NOK million) ● The due diligence process in connection with the sale to Metso is 109 progressing as planned ● Relatively slow start to the year due to seasonal fluctuations in the service market 80 76 64 61 ■ Market outlook ● The pulping markets remains strong
Slide 11: Oil & Gas – market perspective
Oil & Gas – market perspective Growing demand for LNG terminals Many prospects for on- and offshore developments in Norway and Russia, awards coming up Near Continued high activity within subsea and Term drilling Increased activity in decommissioning market is expected Tight labour market
Slide 12: EBITDA margin of 6.5 - 7.0 percent by 2007
EBITDA margin of 6.5 - 7.0 percent by 2007 EBITDA target towards 2007 8% 7% 6,5-7,0 % 6% 5,2 % 5% 3,8 % 4% 3,2 % 3% 2% 1,7 % 1% 0% 2002 2003 2004 2005 2007 part of the Aker group Slide 23 © 2006 Aker Kvaerner Status 1Q06 Strong start to the year Profitable growth and improved EBITDA Record high orde
Slide 13: Additional information
Additional information part of the Aker group Slide 25 © 2006 Aker Kvaerner Order intake (in NOK million) 1Q05 2Q05 3Q05 4Q05 1Q06 2005 Field Development 2 624 6 775 1 145 8 516 3 823 19 060 MMO 1 353 3 000 1 410 4 112 2 078 9 875 Subsea and P&T 2 157 3 847 3 856 5 585 4 526 15 445 Process 2 083 2 2
Slide 14: Order backlog; Net current operating assets
Order backlog (in NOK million) 1Q05 2Q05 3Q05 4Q05 1Q06 Field Development 11 967 16 248 14 904 20 265 20 218 MMO 9 764 11 023 10 314 12 061 12 083 Subsea and P&T 5 791 7 178 8 576 11 269 13 150 Process 7 316 7 502 9 560 8 174 8 129 Pulping and Power 3 837 3 639 3 897 4 819 4 993 Other -959 -1 067 -8
Slide 15: Field Development
Field Development (in NOK million) 1Q05 2Q05 3Q05 4Q05 1Q06 2005 Operating revenues 2 317 2 557 2 476 3 270 3 681 10 620 EBITDA 123 135 161 213 234 632 EBIT 109 121 147 198 218 575 Order intake 2 624 6 775 1 145 8 516 3 823 19 060 Order backlog 11 967 16 248 14 904 20 265 20 218 20 265 Employees 4 4
Slide 16: Subsea, Products & Technologies
Subsea, Products & Technologies (in NOK million) 1Q05 2Q05 3Q05 4Q05 1Q06 2005 Operating revenues 1 887 2 524 2 446 2 997 2 671 9 854 EBITDA 110 143 177 224 173 654 EBIT 82 111 138 172 134 503 Order intake 2 157 3 847 3 856 5 585 4 526 15 445 Order backlog 5 791 7 178 8 576 11 269 13 150 11 269 Empl
Slide 17: Pulping & Power
Pulping & Power (in NOK million) 1Q05 2Q05 3Q05 4Q05 1Q06 2005 Operating revenues 1 038 1 086 1 049 1 350 1 041 4 523 EBITDA 64 80 76 109 61 329 EBIT 53 69 61 96 48 279 Order intake 1 426 991 1 320 2 074 998 5 811 Order backlog 3 837 3 639 3 897 4 819 4 993 4 819 Employees 1 876 2 019 2 025 2 079 2
Slide 18: Employees
Employees 1Q05 2Q05 3Q05 4Q05 1Q06 Field Development 4 496 4 393 4 203 4 039 5 088 MMO 4 926 5 083 5 131 4 705 4 435 Subsea and P&T 3 049 3 376 3 482 3 586 3 847 Process 4 367 4 854 4 593 4 965 5 123 Pulping and Power 1 876 2 019 2 025 2 079 2 175 Other 949 1 005 1 018 1 029 888 Total number of empl