Slide 1: 2010 Half-Year Financial Results Analyst Presentation
2010 HALF-YEAR FINANCIAL RESULTS ANALYST PRESENTATION AUGUST 20, 2010
Slide 2: I. 2010 Half-Year Highlights
I. 2010 HALF-YEAR HIGHLIGHTS HALF YEAR OVERVIEW. . . . . . . . . . . . . . . . . . . . . . . 3 2010 HALF-YEAR 2010 OPERATION START . . . . . . . . . . . . . . . . . . . . . . . . . 4 SCHEDULED DELIVERY IN 2010 . . . . . . . . . . . . . . . . . . . . 6 PROJECTS IN PROGRESS . . . . . . . . . . . . . .
Slide 3: 2010 Half-Year Overview
2010 HALF-YEAR OVERVIEW • EPCI progressed on schedule • Two FPSOs started operation, adding 15 FPSO/FSOs operation in total – FPSO Pyrenees Venture – FPSO Cidade de Santos MV20 • Two FPSOs will be delivered in 2010 – FPSO Cidade de Angra dos Reis MV22 – FPSO Kwame Nkrumah MV21 • Allocation of new sh
Slide 4: 2010 Operation Start: FPSO Pyrenees Venture
2010 OPERATION START FPSO Pyrenees Venture First Oil : February 2010 EPC + O&M Operation Period : 15 years with possible extensions Pyrenees Field, Australia 4
Slide 5: 2010 Operation Start: FPSO Cidade de Santos MV20
2010 OPERATION START FPSO Cidade de Santos MV20 (Opportunity Gas #2 FPSO) First Oil : Julyy 2010 EPCI + Time Charter Charter Period : 12 years + 3 one-year options Urugua/Tambau Fields, Brazil 5
Slide 6: Scheduled Delivery in 2010
SCHEDULED DELIVERY IN 2010 FPSO Cidade de Angra g dos Reis MV22 (Petrobras Tupi Pilot FPSO) EPCI + Time Charter Charter Period: 15 yyears + 5 one-year y options p Tupi Field, Brazil (Pre-Salt) FPSO Kwame Nkrumah MV21 (Tullow Jubilee FPSO) EPCI + Time Charter* Charter Period* : 10 years + 10 one-year
Slide 7: Projects in Progress
PROJECTS IN PROGRESS BP Angola PSVM FPSO First Oil : planned in 2011 EPCI Plutão, Saturno, Vênus and Marte Field, Angola Jurong 7
Slide 8: FPSO/FSO Time Charter / O&M Projects
FPSO/FSO TIME CHARTER / O&M PROJECTS FPSO MV 8 FPSO Jasmine FPSO Song Doc FSO Rang Dong FSO Rong Doi Langsa Venture Venture MV7 Pride MV19 MV17 MV12 (T/C) (T/C) (T/C) (T/C) (T/C) FSO Ta’Kuntah (T/C) FSO Cidade de Macae MV15 (T/C) FPSO Cidade de Niteroi MV18 (T/C) FPSO Cidade do Ri d Rio de JJaneiro
Slide 9: FPSO/FSO Time Charter / O&M Period
FPSO/FSO TIME CHARTER / O&M PERIOD Time Charter Contract O&M Contract Fixed period Option period Fixed period Option period 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 FPSO Cidade de Angra dos Reis MV22 ＊ 15y FPSO Kwame Nkrumah M
Slide 10: II. Market Review & Prospects
II. MARKET REVIEW & PROSPECTS HALF YEAR MARKET REVIEW . . . . . . . . . . . . . . . . . 11 2010 HALF-YEAR RECENT NEW AWARDS . . . . . . . . . . . . . . . . . . . . . . . . . . 12 PROSPECTIVE PROJECTS . . . . . . . . . . . . . . . . . . . . . . . . 13 10
Slide 11: 2010 Half-Year Market Review
2010 HALF-YEAR MARKET REVIEW • Offshore industry suffered a downturn as a result of BP Macondo accident World Crude Oil Prices (Dollars per – Pull-back on new project development in GOM Barrel) 90 – Stricter regulations for environment protection – Higher expectation on HSEQ 80 70 • Fail-safe on FPS
Slide 12: Recent New Awards
RECENT NEW AWARDS Ithaca Athena FPSO (UK) -BW Offshore will supply BW Carmen 3 years charter -3 Petrobras Tupi Nordeste FPSO (Brazil) -SBM received LOI for leased FPSO Petrobras Guara FPSO (Brazil) -MODEC received LOI for leased FPSO Petrobras Tiro-Sidon FPSO (Brazil) -Teekay-Petrojarl will supply l
Slide 13: Prospective Projects
PROSPECTIVE PROJECTS Malaysia Petronas FLNG FEED Shell Malikai TLWP Petronas/MISC FSRU Thailand PTTEP Block B6/27 Nang Nuan FPSO Chevron Erawan FSO (SOFEC Turret Supply) Vietnam Lam Son JOC FPSO Chevron Block 48/95 & 52/97 FSO Bien Dong Hai Thach & Moc Tinh FSO Ghana GOM Tullow Jubilee II FPSO Enter
Slide 14: III. 2010 Half-Year Financial Results
III. 2010 HALF-YEAR FINANCIAL RESULTS REVENUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 REVENUE BY SERVICE TYPES . . . . . . . . . . . . . . . . . . . . . 16 ORDINARY PROFIT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 NET INCOME . . . . . . . . . . . .
Slide 15: Revenue
REVENUE (Mil. JPY) REVENUE 2Q 4Q 250,000 204,225 200,000 144,040 143,669 140,000(F) 150,000 99,149 96,244 100,000 89,199 71,614 72,948 64,110 50,886 50,000 21 788 21,788 0 2005 2006 2007 2008 2009 2010 (Mil JPY) (Mil. 2005 2Q 2006 2Q 2007 2Q 2008 2Q 2009 2Q 2010 2Q Variance Revenue 21,788 50,886 72,
Slide 16: Revenue by Service Types
REVENUE BY SERVICE TYPES REVENUE EPC(I) PHASE Lease, Charter and O&M EPCI Other 2008 2009 2010 (Mil. JPY) 250,000 FPSO Cidade de Angra dos Reis MV22 204,225 BP Angola PSVM FPSO 200,000 FPSO Kwame Nkrumah MV21 150,000 144,040 143,669 FPSO Cidade de Santos MV20 FPSO Pyrenees Venture 99,149 180,961 100
Slide 17: Ordinary Profit
ORDINARY PROFIT ORDINARY PROFIT ORDINARY PROFIT & ORDINARY PROFIT BEFORE DEFERRED PROFITS ADJUSTMENT 2Q 4Q ORDINARY PROFIT ORDINARY PROFIT before deferred profits adjustment (Mil JPY) (Mil. (Mil. JPY) (Mil 10,000 10,000 9,027 7,828 7,454 7,672 5,885 7,828 7,454 5,408 5,146 4 664 4,664 4 700 4,700 5,
Slide 18: Net Income
NET INCOME (Mil. JPY) NET INCOME 2Q 4Q 6,000 4,499 4,000 3,213 3,305 2,413 2,600(F) 1,878 1,758 2,000 1,500 1,434 1,357 1,068 1,168 0 2005 2006 2007 2008 2009 2010 g Rate Exchange 118.07 119.12 114.16 91.04 92.10 90.00(F) ( ) EQUITY IN EARNINGS OF AFFILIATES AND UNCONSOLIDATED SUBSIDIARIES (Mil. USD
Slide 19: Orders by Service Types
ORDERS BY SERVICE TYPES ORDERS Other EPCI Lease, Charter and O&M 2008 • FPSO Cidade de Santos MV20 • FPSO Kwame Nkrumah MV21 ( (Mil. JPY)) • BP Angola PSVM FPSO • FPSO Cidade de Angra dos Reis MV22 350,000 319,614 300,000 250,000 200,000 179,353 166,538 265,105 150,000 2009 126,792 Acceptance of cha
Slide 20: Order Backlogs by Service Types
ORDER BACKLOGS BY SERVICE TYPES ORDER BACKLOGS (Mil. JPY) Other EPCI Lease, Charter and O&M 400,000 355,924 300,000 264,957 239,008 221,487 213,667 182,136 193,321 200,000 133,792 82,689 76,701 27,929 77,744 100,000 156,238 136,966 164,765 131,031 134,436 104,315 0 2005 2006 2007 2008 2009 2010 2Q O
Slide 21: Cash Flow
CASH FLOW CASH FLOW Cash Flow from Operating Activities Cash Flow from Investing Activities (Mil. JPY) Cash Flow from Financing Activities 40,000 28,794 30,000 21 974 21,974 19,003 20,000 11,878 11,716 11,867 9,744 10,000 5,490 4,659 3,811 0 -498 -277 -10,000 -6,960 -9,887 -12,817 -20,000 -20,043 -2
Slide 22: Key Financial Figures
KEY FINANCIAL FIGURES (Mil JPY) (Mil. 2005 2006 2007 2008 2009 2010 2Q Operating profit 3,895 3,494 6,959 1,973 4,169 2,044 Depreciation and amortization 1,116 662 1,656 1,619 1,380 574 Amortization of consolidated differences 26 26 13 26 264 114 Collection of lease receivable (Cantarell FSO, Inc.,
Slide 23: Forecast for FY2010
FORECAST FOR FY2010 REVENUE ORDINARY PROFIT (Mil. JPY) ORDINARY PROFIT 300,000 ORDINARY PROFIT before deferred profits adjustment ((Mil. JPY)) 10,000 9,027 204,225 200,000 7,672 144,040 143,669 140,000 5,885 7,828 7,454 5,146 99,149 5,000 4,053 100 000 100,000 5,408 , 71 614 71,614 4,664 3,200 2,529