Bristow Group, Inc. · NYSE:VTOL
Bristow — Deutsche Bank 30th Annual Leveraged Finance Conference (September 2022)
32 slides from Bristow's conference presentation, Sep 20, 2022
Slide 1: Deutsche Bank 30th Annual Leveraged Finance Conference
Deutsche Bank 30th Annual Leveraged Finance Conference September 20, 2022 Exhibit 99.1
Slide 2: Forward-Looking Statements
This presentation contains “forward-looking statements.” Forward-looking statements represent Bristow Group Inc.’s (the “Company”) current expectations or forecasts of future events. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “will
Slide 3: Non-GAAP
Non-GAAP In addition to financial results calculated in accordance with U.S. generally accepted accounting principles (“GAAP”), this presentation includes certain non-GAAP measures including EBITDA, Adjusted EBITDA, Net Debt, Free Cash Flow and Adjusted Free Cash Flow. Each of these measures, detail
Slide 4: Today's Presenter
Today’s Presenter 4 Jennifer Whalen SVP, Chief Financial Officer Jennifer Whalen is serving as Senior Vice President, Chief Financial Officer for the Bristow Group Inc. beginning in June 2020. The CFO role is responsible for overseeing our Information Technology department, company accounting, decis
Slide 5: Safety is Bristow's #1 Core Value and Highest Operational Priority
Safety is Bristow’s #1 Core Value and Highest Operational Priority 5 3rd party accreditation from numerous external audits Fleet configured with the latest safety equipment Robust safety management system (SMS) Bristow is a founding member of HeliOffshore, an industry association focused on safety,
Slide 6: Why Invest in Bristow
6 Why Invest in Bristow Global Leader in Vertical Flight Solutions Diverse Customer Base and End Markets Well Positioned for Additional Strategic Opportunities Strong Balance Sheet with Robust Free Cash Flow Generation Attractive Growth Opportunities
Slide 7: Global Leadership Position in Helicopter Industry
Global Leadership Position in Helicopter Industry Aircraft Fleet (1)• Leading global provider of vertical flight solutions; primarily offshore energy personnel transportation, with significant end market diversification from government services contracts • Diverse fleet of 222 aircraft; primarily ow
Slide 8: Significant Presence in Key Regions
Significant Presence in Key Regions 81. As of 6/30/2022 Trinidad 12 2 20 3 27 6 76 12 2 16 45 1 Percentage and Number of Aircraft by Region (1) Total Aircraft: 222 Global Leadership We currently have customers in: Australia Brazil Chile Dutch Caribbean Falkland Islands Guyana India Mexico The Nether
Slide 9: Supporting Customers in Multiple Regions
Supporting Customers in Multiple Regions Leading global provider of innovative and sustainable vertical flight solutions. Diverse Client Base 9Note: Customer logos may not match exact location of services provided Strong customers across the globe; servicing several of them in multiple regions
Slide 10: Asset Overview
Asset Overview 10 Mission FlexibilityPotential End Markets by Type(1) HEAVY Twin Engine MEDIUM Twin Engine LIGHT Single or Twin Engine Cost: $19 – $33mm Cost: $13 – $15mm Cost: $3mm – $4mm (single) $5mm – $10mm (twin) Common Missions: Oil & Gas, SAR, VIP Common Missions: Oil & Gas, Firefighting, VIP
Slide 11: Residual Value Retention
Residual Value Retention 11 “Stakeholders” with OversightIllustrative Component Costs • Helicopters have extended economic and mechanical useful lives with multiple uses / end markets • Airframes can last for decades since they are not pressurized (lower altitude flight) • Many “stakeholders” exist
Slide 12: Revenues Structure
Revenues Structure 12 • Typical payment models include: ▪ Traditional monthly standing charge (MSC) + fixed hourly rate (FHR) ▪ Ad hoc or pay as you use ▪ Block / slot model ▪ Consortium model (like U.S. GoM SAR) • Typical contract types include: ▪ Traditional – a customer contract for a particular
Slide 13: Operating Expenses
Operating Expenses 13 The aggregate cost of our operations depends primarily on the size and asset mix of the fleet. Our operating costs and expenses are grouped into the following categories: • Personnel (includes wages, benefits, payroll taxes and savings plans); • Repairs and maintenance (primari
Slide 14: Key Financial Highlights
Key Financial Highlights (1) Amounts shown as of 6/30/2022 (2) Comprised of $255.0 million in unrestricted cash balances and $63.0 million of remaining availability under ABL Facility (3) See page 16 for reconciliation of Net Debt (4) See page 28 for reconciliation of LTM Adjusted EBITDA excluding a
Slide 15: Liquidity Position
Liquidity Position 15 • $255.0 million of unrestricted cash and total liquidity of $318.0 million • Repatriated over $150 million using tax efficient mechanisms since January 2022 • Unfunded capital commitments of $76.1 million, of which $63.4 million can be cancelled (inclusive of deposits paid on
Slide 16: Strong Balance Sheet
Strong Balance Sheet 1. Balances reflected as of 6/30/2022 2. As of 6/30/2022, the ABL Facility had $20.5mm in letters of credit drawn against it and availability under the amended ABL Facility was $63.0 million 3. Principal balance 4. In thousands, except for ratios Amount(1) Rate Maturity ($mm, as
Slide 17: 6.875% Senior Notes Trading Performance
6.875% Senior Notes Trading Performance Source: FactSet Market data as of September 7, 2022 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.0 11.0 12.0 Feb-21 Apr-21 Jun-21 Aug-21 Oct-21 Dec-21 Feb-22 Apr-22 Jun-22 Aug-22 YTW STW Sept 7, 2022 Pricing Price 92.62 YTW 8.59% STW 516
Slide 18: Recent Highlights
Recent Highlights 18 Awarded new 10-year, £1.6 billion contract combining existing rotary and fixed wing services into a fully integrated, innovative solution led by Bristow UK SAR2G Acquired British International Helicopter Services Limited for £10.4 million, further enhancing leading government se
Slide 19: Second-Generation Search and Rescue Contract (UKSAR2G)
Second-Generation Search and Rescue Contract (UKSAR2G) Bristow awarded a £1.6 billion, 10-year contract for the Second-Generation Search and Rescue Aviation ("UKSAR2G") program by the Maritime and Coastguard Agency (MCA) in the U.K. • New contract transitions beginning September 30, 2024, through De
Slide 20: Multi-year Growth in Upstream Oil & Gas Spending is Underway
Multi-year Growth in Upstream Oil & Gas Spending is Underway “…we think the growth rate will likely be much steeper with a longer duration than we initially thought, creating the best investment environment for Energy Services in almost 20 years.” “We have never seen $100/bbl oil at the trough of a
Slide 21: Strengthening Offshore Market Dynamics
Strengthening Offshore Market Dynamics • Marketed utilization of offshore drilling rigs has increased significantly • Higher day rates are indicative of a tightening offshore equipment market Source: Evercore ISI 21 Worldwide Average Working Floaters Worldwide Average Working Jackups
Slide 22: Improving Offshore Helicopter Market Dynamics
Improving Offshore Helicopter Market Dynamics “Overall utilization of Heavy and Super-Medium O&G Crew Transfer helicopters has recovered sharply” “Super-medium offshore types are at near-full utilization, order books for these aircraft are very thin and new orders will take 18 months (at least) to b
Slide 23: Advanced Air Mobility (AAM) Overview
Advanced Air Mobility (AAM) Overview 23 • Electric vertical takeoff and landing (eVTOL) and short take-off and landing (eSTOL) aircraft are among several of the emerging technologies that are receiving increased prominence, with the potential to revolutionize air transportation • Significant investm
Slide 24: Potential AAM Opportunities
Potential AAM Opportunities Cargo Focused “Middle-Mile” Solution Passenger Focused Regional Air Mobility RAM aircraft and technology to support distribution center networks and cargo transport delivery Existing distribution center infrastructure could likely support RAM operations independently Indu
Slide 25: ESG Achievements
ESG Achievements 25 ENVIRONMENTAL SOCIAL GOVERNANCE Women represent half of the Bristow Group executive management team Investing resources in partnership with local communities, charities and non- profits through Bristow Uplift Creating career pathways for veterans with ~25% of our U.S. employees h
Slide 26: Why Invest in Bristow
26 Why Invest in Bristow Global Leader in Vertical Flight Solutions Diverse Customer Base and End Markets Well Positioned for Additional Strategic Opportunities Strong Balance Sheet with Robust Free Cash Flow Generation Attractive Growth Opportunities
Slide 27: Appendix
27 11 Appendix ⮚ Fleet Overview ⮚ Reconciliation of LTM Adjusted EBITDA ⮚ Reconciliation of Free Cash Flow ⮚ Operating Revenues and Flight Hours by Line of Service ⮚ LTM Operating Revenues
Slide 28: Fleet Overview
Fleet Overview (1) As of 6/30/22 (2) Reflects the average age of owned helicopters 28 Number of Aircraft(1) Type Owned Aircraft Leased Aircraft Aircraft Held For Sale Consolidated Aircraft Average Age (years)(2) Heavy Helicopters: S-92 39 27 — 66 13 H225 — — 1 1 14 AW189 17 1 — 18 6 56 28 1 85 Mediu
Slide 29: Reconciliation of LTM Adjusted EBITDA
Reconciliation of LTM Adjusted EBITDA Three Months Ended ($000s) June 30, 2022 March 31, 2022 December 31, 2021 September 30, 2021 LTM Net income (loss) $ 4,015 $ (4,376) $ 164 $ 2,710 $ 2,513 Depreciation and amortization 16,536 16,919 17,223 17,644 68,322 Interest expense 10,242 10,241 10,230 10,4
Slide 30: Reconciliation of Free Cash Flow
Reconciliation of Free Cash Flow 30 Three Months Ended ($000s) June 30, 2022 March 31, 2022 December 31, 2021 September 30, 2021 LTM Net cash provided by operating activities $ 22,750 $ 5,577 $ 45,083 $ 36,753 $ 110,163 Plus: Proceeds from disposition of property and equipment 7,558 — 740 3,188 11,4
Slide 31: Operating Revenues and Flight Hours by Line of Service
Operating Revenues and Flight Hours by Line of Service 31 Three Months Ended June 30, 2022 March 31, 2022 December 31, 2021 September 30, 2021 LTM Operating revenues ($000s) Oil and gas services: Europe $ 90,053 $ 89,234 $ 88,278 $ 93,420 $ 360,985 Americas 84,665 86,249 91,834 84,207 346,955 Africa
Slide 32: LTM Operating Revenues
LTM Operating Revenues 32 Three Months Ended (in millions) June 30, 2022 March 31, 2022 December 31, 2021 September 30, 2021 LTM Revenues Europe $ 155.4 $ 151.5 $ 150.1 $ 158.0 $ 615.0 Americas 94.3 94.6 100.9 93.8 383.6 Asia Pacific 21.2 13.0 16.7 19.9 70.8 Africa 23.3 16.5 17.3 18.4 75.5 Total $ 2
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