Electromagnetic Geoservices Asa · OSL:EMGS
Electromagnetic Geoservices Asa — Q2 2019 Earnings Presentation
13 slides from Electromagnetic Geoservices Asa's earnings presentation, Jul 25, 2019
Slide 1: Company Update and Q2 2019 Results
COMPANY UPDATE AND Q2 2019 RESULTS Oslo, 25 July 2019 Bjørn Petter Lindhom, CEO Hege Veiseth, CFO
Slide 2: Disclaimer
Disclaimer This quarterly presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forward-looking information and statements are based on current expectations, estimates
Slide 3: Operations, Market and Outlook
Operations, Market and Outlook
Slide 4: Q2 2019 Highlights
Q2 2019 Highlights Operational highlights • Ongoing USD 24 million proprietary survey offshore Borneo for Petronas • Two fully pre-funded multi-client surveys in Norway • Acquisition contract awarded by Pemex with a contract value of USD 73 million and a minimum value of USD 29 million • Proprietary
Slide 5: Well calibration projects
Well calibration projects • Key part of our strategy to establish CSEM as an integral part of the exploration workflow • Good progress on well calibration projects for Equinor and un-named major • Expect to sign up 3rd major • Internal results points towards a prediction strength of around 80% Examp
Slide 6: Increased interest for EM in Africa
Increased interest for EM in Africa • Mauritania & Senegal cross-border survey for BP and partners • Marks a return of CSEM to Africa and to the prolific MSGBC basin • Will be first survey for BP in more than 10 years • Start of acquisition planned for Q1 2020 • EMGS expects to acquire additional da
Slide 7: Vessel Update and Backlog
Vessel Update and Backlog Comments Order backlog 120 • Order backlog at USD 97 million at end of Q2 2019 • Atlantic Guardian arrived in Coatzacoalcos Mexico 100 22nd of July 80 • Data acquisition on the Pemex contract is expected to start today 60 • Atlantic Guardian will acquire data in Mexico for
Slide 8: Financial review
awemegs Spot the difference.
Slide 9: Second quarter 2019 performance I Increase in revenues and EBITDA
Second quarter 2019 performance I Increase in revenues and EBITDA Key financial metrics Quarterly development (USD million) • Revenues Revenues 20 • USD 14.5 million 15 14 • Proprietary work in South East Asia and multi-client 10 13 11 revenues in Norway 5 8 6 0 Q2'18 Q3'18 Q4'18 Q1'19 Q2'19 • Vesse
Slide 10: Operational costs
Operational costs Quarterly operational cost base* development (USD million) Comments 15 • Operational costs base in Q2 19 of USD 12.4 million 0.8 2.4 • Higher than Q2 2018 and Q1 2019 as a result of 10 higher activity level 3.9 5 1.3 4.0 • Cost control 0 Q2'18 Q3'18 Q4'18 Q1'19 Q2'19 • Strong focus
Slide 11: Decrease in free cash in Q2 2019
Decrease in free cash in Q2 2019 Quarterly free cash development (USD million) Comments • Net decrease in free cash of USD 3.9 million to USD 5.8 million • Adjusted EBITDA of USD 2.1 million • Trade receivables increased by USD 5.7 million to USD 7.9 million • USD 0.6 million in interest-payments on
Slide 12: Summary, Q&A
Summary, Q&A awemegs Spot the difference.
Slide 13: Summary
Summary • Second quarter 2019 revenues of USD 14.5 million and adjusted EBITDA of USD 2.1 million • Vessel utilisation of 73% • Atlantic Guardian has arrived in Mexico and data acquisition on the Pemex contract expected to start today • Order backlog at USD 97 million at end of Q2 2019 Atlantic Guar
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