Dht Holdings, Inc. · NYSE:DHT

Dht — Investor Presentation (August 2018)

22 slides from Dht's investor presentation, August 2018

  1. Slide 1: Company Presentation August 2018

    COMPANY PRESENTATION AUGUST 2018

  2. Slide 2: Disclaimer

    DISCLAIMER Forward Looking Statements This presentation contains certain forward-looking statements and information relating to the Company that are based on beliefs of the Company's management as well as assumptions, expectations, projections, intentions and beliefs about future events, in particul

  3. Slide 3: This is DHT

    THIS IS DHT LARGE, MODERN, QUALITY STRONG VLCC FLEET BALANCE SHEET DHT WELL POSITIONED FOR THE NEXT UPCYCLE ROBUST DOWNSIDE VERY COMPETITIVE PROTECTION, YET PLENTY COST STRUCTURE UPSIDE POTENTIAL August 2018 3

  4. Slide 4: Large, Modern, Quality VLCC Fleet

    LARGE, MODERN, QUALITY VLCC FLEET  27 VLCCs (incl. 1 newbuildings delivering 2Q-3Q’18) and 2 Aframaxes  Avg. age of VLCC fleet: 6.8 years  14 VLCCs with Ballast Water Treatment System installed (incl. newbuildings)  14 VLCCs to have scrubbers installed before January 1st, 2020 VLCC FLEET COMPOSI

  5. Slide 5: Fleet Overview

    FLEET OVERVIEW Technical Vessel Built Yard DWT Class P&I Club Flag Employment Ownership BWTS* manager VLCC DHT Bronco 2018 Hyundai 319,000 ABS Gard HK Spot 100 % Goodwood Yes DHT Colt 2018 Daewoo 318,000 ABS Skuld HK Spot 100 % Goodwood Yes DHT Stallion 2018 Daewoo 318,000 ABS Skuld HK Spot 100 % Go

  6. Slide 6: Managing the Cycles

    MANAGING THE CYCLES Counter cyclical investment philosophy TROUGH / INVESTMENT RECOVERY HIGH MARKET PHASE PHASE PHASE Sale & Purchase: • Aggressive growth • Selective • Divestment of older growth tonnage Chartering: • Spot • Spot Term • Time charters Capital allocation: • Nominal • Increased • Form

  7. Slide 7: Following Our Strategy

    FOLLOWING OUR STRATEGY USD/day 120,000 VLCC Spot TCE PAID QUARTERLY CASH DIVIDENDS 100,000 TOTALLING $1.40/share SOLD 8 OLDEST TANKERS 80,000 SECURED AND EXTENDED 11 TC CONTRACTS EXTENDED 5 60,000 PREPAID TOTAL TC CONTRACTS $121mill. IN BANK DEBT 40,000 REPURCHASED $44.2mill. OF CB AT A DISCOUNT 20,

  8. Slide 8: Lean and Competent Organization

    LEAN AND COMPETENT ORGANIZATION 17 shore-side employees Svein Moxnes Harfjeld & Trygve P. Munthe Co-CEOs Erica Binde Karin Berthels Manager Executive Assistant IR & Business Analysis Stephen Eglin Svenn Magne Edvardsen Laila Cecilie Halvorsen Director Technical Management CFO Chartering & Operations

  9. Slide 9: Key Customers

    KEY CUSTOMERS JX Nippon Oil & Energy August 2018 9

  10. Slide 10: Key Lending Banks

    KEY LENDING BANKS August 2018 10

  11. Slide 11: Tanker Market

    ) si Cc ~ ) ! DHT ba z s 8 Ff 2 NO SMOKING San fs > me Sa THT LEQPARD

  12. Slide 12: Tanker Market

    TANKER MARKET Growth in Global Oil Consumption US Crude Exports mb/d IEA's Global Oil Demand Forecast mb/d VLCC Loadings out of US Gulf 104 3.0 20 2.5 YoY growth (RHS) Oil Demand # VLCC loadings US crude exports 102 18 2.5 100 16 2.0 98 14 2.0 US Crude Exports (mb/d) # of VLCC Loadings 96 12 1.5 94

  13. Slide 13: Tanker Market: VLCC Earnings

    TANKER MARKET Million Barrels OECD Commercial Oil Stocks USD/day 3,200 120,000 OPEC PRODUCTION CUT 3,100 100,000 3,000 OPEC “MARKET 80,000 SHARE CAMPAIGN” VLCC Earnings 2,900 OECD Stocks 60,000 2,800 40,000 2,700 20,000 2,600 2,500 - Jan-13 Jun-13 Nov-13 Apr-14 Sep-14 Feb-15 Jul-15 Dec-15 May-16 Oct

  14. Slide 14: Tanker Market

    TANKER MARKET Increased Scrapping Activity Orderbook at 15% is manageable VLCC Spot Rates vs. Number of VLCC's Scrapped and VLCC Age Distribution 70 USD/day Average Scrapping Age Trading Fleet 120,000 40 60 Non-trading fleet 35 Under Construction 100,000 On Order/Not Commenced 50 30 80,000 Number of

  15. Slide 15: 2Q 2018 Financials

    ) ca la ! DHT bbe — = - » 8 : NO SMOKING

  16. Slide 16: Operational and Financial Highlights

    OPERATIONAL AND FINANCIAL HIGHLIGHTS 2Q 2018 DHT VLCC Spot Earnings  EBITDA of $12.7 million 3Q 2018  Net loss of $28.2 million or $0.20 per share USD/day 1Q 2018 2Q 2018 Bookings 60% @ Spot Earnings $ 20,200* $ 11,900**  During the quarter, the Company: $ 21,100 • Took delivery of 2 VLCC newbuil

  17. Slide 17: P&L Highlights

    P&L HIGHLIGHTS USD Thousands, except per share amounts 2Q 2018 1Q 2018 2017 Revenues on TCE basis $ 34,435 $ 46,191 $ 241,751 Vessel Operating Expenses $ (17,744) $ (17,238) $ (72,431) VLCC OPEX of $7,511/day for 2Q 2018 G&A $ (3,975) $ (4,963) $ (17,180) Impairment Charge $ - $ - $ (8,540) Profit/(

  18. Slide 18: Balance Sheet Highlights

    BALANCE SHEET HIGHLIGHTS As per As per USD Thousand 30.06.2018 31.03.2018  RCF with availability of $57.3 million CASH $ 76,927 $ 69,761 (undrawn) OTHER CURRENT ASSETS $ 64,066 $ 64,084 VESSELS $ 1,617,890 $ 1,554,498  Interest bearing debt to total assets • Book values: 48.5% OTHER ASSETS $ 4,810

  19. Slide 19: 2Q Cash Flow Highlights

    2Q CASH FLOW HIGHLIGHTS USDm 180 160 140 120 94.6 89.1 100 80 7.6 0.5 0.7 12.7 2.9 9.3 9.9 60 40 76.9 69.8 20 0 August 2018 19

  20. Slide 20: Scrubber Project

    SCRUBBER PROJECT  Agreement with leading supplier Alfa Laval to install scrubbers on 12 VLCCs built between 2004-2012  In addition, scrubbers has been installed on the newbuildings DHT Bronco and DHT Mustang  DHT will have a total of 14 VLCCs fitted with scrubbers when the IMO Sulphur Cap will be

  21. Slide 21: Tanker Market Expectations

    TANKER MARKET EXPECTATIONS DHT retains a positive outlook based on the following:  Healthy and steady global oil demand  The inventory draw down cycle is approaching its end  Negative fleet growth year to date  Order book at 14% vs. 24% of the fleet in excess of 15 years of age Source: IEA Augus

  22. Slide 22: Slide 22

DHT Holdings — Investor Presentation (August 2018) on 6ix