MPC Container Ships ASA · OSL:MPCC
MPC Container Ships ASA — Pareto Energy Conference 2022
18 slides from MPC Container Ships ASA's conference presentation, Sep 15, 2022
Slide 1: MPC Container Ships ASA - Pareto Energy Conference
15 September 2022 MPC CONTAINER SHIPS ASA - PARETO ENERGY CONFERENCE
Slide 2: Disclaimer
DISCLAIMER This presentation (the “Presentation”) has been prepared by MPC Container ships ASA (the “Company”) for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein. Please note that no representation or war
Slide 3: Market-leading container ship company with strong financials and rational capital allocation
MARKET-LEADING CONTAINER SHIP COMPANY WITH STRONG FINANCIALS AND RATIONAL CAPITAL ALLOCATION Leading container tonnage Strong balance sheet and Clear strategy & Established corporate set- provider significant earnings backlog investment principles up with strong governance #1 INTRA-REGIONAL TONNAGE
Slide 4: Capital market and corporate profile
CAPITAL MARKET AND CORPORATE PROFILE KEY FACTS SHAREHOLDER STRUCTURE Ticker MPCC Sector Classification Industrial Transportation 17,1% MPC Group & Affiliates Shares Outstanding 443,700,279 Star Spike Limited 32,6% IPO April 2017 Songa Capital AS 9,9% Market Cap 1, 2 USD ~1.0bn (NOK ~9.1bn) Folketryg
Slide 5: Healthy mid-term outlook for regional trades amid macro uncertainties
HEALTHY MID-TERM OUTLOOK FOR REGIONAL TRADES AMID MACRO UNCERTAI NTIES Global Economy » Geopolitical risks and market » Global economic growth projections » Inflation increased to 9% in the US » US Consumer Confidence remains uncertainties increased for 2022: 3.2% and the Euro Area solid; US FED and
Slide 6: Distinct focus on intra regional trade
DISTINCT FOCUS ON INTRA REGIONAL TRADE CHARACTERISTICS OF INTRA REGIONAL TRADES TOP TONNAGE PROVIDER < 5.5K TEU 1 » 48% of all container vessels sail on intra regional trades with 98% smaller than 5.2k TEU MANAGING OWNER TOTAL FLEET SIZE (TEUK) 2 # OF VESSELS » Advantageous supply dynamics » Orderbo
Slide 7: Strong value proposition: low risk & significant distribution potential
STRONG VALUE PROPOSITION: LOW RISK & SIGNIFICANT DISTRIBUTION PO TENTIAL 1 CHARTER BACKLOG AND FORWARD VISIBILITY 2,3,4 CURRENT ENTERPRISE VALUE FULLY COVERED In USD Revenue Backlog of USD ~1.8bn and Projected EBITDA Backlog of USD ~1.4 bn 5 0.61bn 0.03bn Contracted forward Revenues (USDm) 6 315 7 5
Slide 8: Well positioned to continue company strategy with disciplined capital allocation
WELL POSITIONED TO CONTINUE COMPANY STRATEGY WITH DISCIPLINED CA PITAL ALLOCATION BALANCE SHEET » Industry-low leverage of 21% DISTRIBUTIONS ACCRETIVE GROWTH » High Balance Sheet Flexibility » Commitment to distribution policy: » Rational Portfolio Management: Chartering strategy vs. accretive vesse
Slide 9: Content: Appendix
CONTENT Appendix MPC Container Ships | Pareto Energy Conference Agenda | 9
Slide 10: Freight market softened slightly but rates and congestion remain at record levels
FREIGHT MARKET SOFTENED SLIGHTLY BUT RATES AND CONGESTION REMAIN AT RECORD LEVELS CCFI SCFI FREIGHT RATES Total Port Congestion PORT CONGESTION INDEX Freight Rate Index TEUm MTEU 6,000 300 10.0 9.6 9.5 5,000 250 9.0 9.0 8.5 8.3 4,000 200 3,740 8.0 7.5 7.3 3,000 3,163 150 7.0 6.7 2,000 100 6.5 6.0 93
Slide 11: Tight capacity keeps charter rates significantly elevated
TIGHT CAPACITY KEEPS CHARTER RATES SIGNIFICANTLY ELEVATED SPOT TIME-CHARTER RATES (6-12M) - HARPEX START OF THE YEAR AVAILABILITY (VESSELS >900K TEU) k USD / day No of Vessels 110 2,000 104 100 1,800 90 90 1,600 -57% 80 79 1,400 70 1,200 60 52 1,000 50 40 4.3k TEU 800 1,410 1,392 30 3.5k TEU 600 20
Slide 12: Periods and forward fixtures impacted by market uncertainty
PERIODS AND FORWARD FIXTURES IMPACTED BY MARKET UNCERTAINTY CHARTER PERIODS AND REDELIVERY WINDOW FORWARD FIXTURES >30 DAYS Months Avg. Period (1-5.1k TEU) % >120 days 40 Redelivery spread (1-5.1k TEU) 70 90-120 days 60 60-90 days 30 +219% 30-60 days 50 21 8 40 8 8 12 20 5 7 5 30 2 9 6 7 10 10 10 6
Slide 13: Q2 2022 Financials
Q2 2022 FINANCIALS Balance sheet as per 30 June 2022 Profit & Loss Q2 2022 USDm 30 Jun 2022 31 Mar 2022 USDm 30 Jun 2022 31 Mar 2022 Assets 904.0 915.5 Operating revenues 151.7 142.9 Non-current assets 781.6 805.0 Gross profit 114.8 122.7 Current assets 122.3 110.6 EBITDA 111.8 137.7 thereof cash &
Slide 14: Significant debt reduction during the next years
SIGNIFICANT DEBT REDUCTION DURING THE NEXT YEARS Debt maturity 1 - in USD m Comments MPCC Group Unencumbered vessels » Debt end of Q2 2022 at USD 190m » Good visibility on future cash flows due to high charter backlog No of vessels (cons.) 2 63 34 Market value 3 2,047m 1,013m » Significant de-leveri
Slide 15: Fleet employment overview
FLEET EMPLOYMENT OVERVIEW MPCC Current Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- No. Vessel Cluster Charterer Min / Max Fixture (USD/day) 22 22 22 22 23 23 23 23 23 23 23 23 23 1 AS RAFAELA 1400 gls Positioning to Drydock DD(1) 2 AS FLORA 1200 gls China United Lines 16,900 Sep
Slide 16: Fleet employment overview
FLEET EMPLOYMENT OVERVIEW MPCC Current Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- No. Vessel Cluster Charterer Min / Max Fixture (USD/day) 22 22 22 22 23 23 23 23 23 23 23 23 23 26 AS RAGNA 1500 gls ZISS 30,000 Jun-24 / Aug-24 27 AS SICILIA 1700 grd Feedertech 30,000 Jul-24 / S
Slide 17: Fleet employment overview
FLEET EMPLOYMENT OVERVIEW MPCC Current Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- No. Vessel Cluster Charterer Min / Max Fixture (USD/day) 22 22 22 22 23 23 23 23 23 23 23 23 23 51 CARPATHIA(1) 2800 gls The Pasha Group 42,000 May-25 / Jul-25 52 AS NADIA 3500 gls The Pasha Group
Slide 18: References
REFERENCES 1 Underlying min. / max. periods for contracted charter based on management assessment. Contracted Revenue and EBITDA not including IFRS adjustments and not including AS Serafina (subject to handover of vessel) 3 Revenues / Periods / TCE’s / costs in good faith, but indicative only and su