Aker Asa Class A · OSL:AKER
Aker Asa Class A — Aker Asa A Shs — Q2 2024 Earnings Presentation
36 slides from Aker Asa Class A's earnings presentation, Jul 17, 2024
Slide 1: Second Quarter and Half-year Results 2024
Second Quarter and Half-year Results 2024 July 17, 2024
Slide 2: Q2 2024 | Key highlights
Q2 2024 | Key highlights Active ownership Solid financial metrics FINANCIALS Norwegian kroner Net Asset Value: NOK 63.9bn, vs. NOK 60.4bn previous quarter 64bn 75bn Share price: NOK 615, -1.4% during the quarter (+1.1% when including dividend), OSEBX +7.1%, Brent oil price -2.4% Dividends: NOK 15.5
Slide 3: Q2 2024 | NAV per share NOK 860, value adjusted equity 85%
Q2 2024 | NAV per share NOK 860, value adjusted equity 85% Net asset value (NAV) development per share vs. share price Net asset value (NAV) composition NOK per share NOK billion, % NAV as share of gross asset value 1 200 75.1 1 006 1 000 953 954 968 929 900 901 862 851 860 869 803 813 800 770 825 8
Slide 4: Q2 2024 | Net Asset Value development
Q2 2024 | Net Asset Value development NAV development – Q2 2024 NAV development – first half 2024 NOK billion, % change NOK billion, % change +7.7% +3.0% (+4.7bn) (+1.9bn) 65.1 1.0 (0.3) 0.8 (1.2) (1.4) 63.9 65.1 1.2 2.6 (0.1) (1.2) 63.9 1.3 63.2 1.4 60.4 Q1 Aker Aker Bio- Aker BP* Listed fin. Other
Slide 5: Q2 2024 | Asset Base of NOK 75 billion
Q2 2024 | Asset Base of NOK 75 billion Portfolio composition (GAV) Sector composition (GAV) NOK billion, % share of GAV % of GAV per Q2 2024 vs. (Q2 2023) Listed investments Real estate Cash Unlisted investments Other 2%(1%) Seafood and 5% 1% (2%) (4%) marine biotech 9% Industrial Holdings Financial
Slide 6: A world-class independent E&P company
– A world-class independent E&P company NCS’ most compelling returns-focused E&P company Industry-leading metrics Attractive Growth ▪ Production to grow >20% from 2024 to 2028 (to ~525 mboepd) ▪ New projects on-track with IRR >25% ~20% 94% ▪ Johan Sverdrup with continuous outperformance since produc
Slide 7: Strong commercial development
Strong commercial development Growing revenue and strong commercials Strong increase in Annual Recurring Revenue USD million ARR +42% +42% ARR1 increase year-over-year ARR share of 12m rolling revenue ▪ Reached all-time high in Q2 – now makes up 75% of revenue (on 81 12months rolling basis) 73 ▪ ARR
Slide 8: A more focused Aker (1/2)
A more focused Aker (1/2) Sale Value realization Sale NOK 4.5 billion NOK 1.9 billion NOK 1.1 billion Sale of 80% of the business Arbitration settlement received Sale of the business Crystallizing value through JV Value realization well underway Attractive value creation journey • USD 176 million fr
Slide 9: A more focused Aker (2/2)
A more focused Aker (2/2) Sale and streamlining Solid dividend potential Solstad Maritime & (announced after quarter-end, on July 3, 2024) Solstad Offshore Sale of Feed Ingredients Share issue completed EV of USD 590 million NOK 750 million Crystallizing value and re-investing Attractive value creat
Slide 10: Investing along attractive long-term global megatrends
Investing along attractive long-term global megatrends Exposure to megatrends with strong potential for secular growth, good profitability and strong cash flow generation ENERGY SECURITY, EFFICIENCY & Solstad Maritime & TRANSITION Solstad Offshore INDUSTRIAL DIGITALIZATION SUSTAINABLE PROTEINS & NUT
Slide 11: Financial Investments
Financial Investments 11
Slide 12: Q2 2024 | Overview
Financial Investments Q2 2024 | Overview Total Financial Investments – as share of Gross Asset Value (per 30.06.2024) NOK 12.2 billion 16% NOK billion 14 12.4 12.2 12 11.8 11.6 Real estate 1.2 10.9 1.4 1.0 1.4 0.9 1.5 1.3 0.5 Cash 10 0.7 1.9 2.0 0.8 2.5 Listed financial 1.7 8 1.9 investments 6 Other
Slide 13: Q2 2024 | Cash
Financial Investments Q2 2024 | Cash Cash – as share of Gross Asset Value (per 30.06.2024) 1% NOK 0.5 billion Cash decreased by NOK 240 million to NOK 459 million +1 280m Dividends received +181m Debt repayment from portfolio companies -1 152m Dividend paid -296m Operating expenses and net interest
Slide 14: Q2 2024 | Listed financial investments
Financial Investments Q2 2024 | Listed financial investments Listed financial investments – as share of Gross Asset Value (per 30.06.2024) NOK 2.5 billion 3% Listed financial investments Developments in the quarter NOK million Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 ▪ Value increase of investment in Akastor o
Slide 15: Q2 2024 | Other financial investments
Financial Investments Q2 2024 | Other financial investments Other financial investments – as share of Gross Asset Value (per 30.06.2024) NOK 9.2 billion 12% Photo: Aker Tech House Other financial investments1 Developments in the quarter NOK million Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 ▪ Interest-bearing re
Slide 16: Financial Statements
Financial Statements 16
Slide 17: Q2 2024 | Balance Sheet and Fair value adjustments
Aker ASA and holding companies Q2 2024 | Balance Sheet and Fair value adjustments NOK million NOK billion Book value Fair value adjusted Fair value adjusted Combined Balance Sheet Q1 2024 Q2 2024 Q1 2024 Q2 2024 Non-interest bearing and fixed non-current assets 1 096 1 171 1 096 1 171 63.9 Interest
Slide 18: Q2 2024 | Robust financial position – solid liquidity, low LTV
Aker ASA and holding companies Q2 2024 | Robust financial position – solid liquidity, low LTV NOK 5.8 bn NOK 5.2 bn BBB- Total liquidity reserve Net interest-bearing debt IG rating 5.8 10.8 Cash 0.5 14% 5.1 Loan-to-value (net LTV)1 0.5 5.2 Undrawn 8% 5.3 credit facilities NIBD2 75% Total Gross Inter
Slide 19: Q2 2024 | Robust financial position – Debt maturity profile
Aker ASA and holding companies Q2 2024 | Robust financial position – Debt maturity profile NOK 3.3 Years NOK billion average debt maturity 6.2bn 7 6.7 Bonds 6 5 Bank loans1 4.7bn 4 Bank loans 3 2 1.8 1.4 AKER18 AKER16 Rating & Outlook 1 AKER15 AKER20 0.5 0.5 AKER17 AKER21 AKER19 Aker ASA: BBB-/Stabl
Slide 20: Q2 2024 | Income statement
Aker ASA and holding companies Q2 2024 | Income statement NOK million Combined First half First half Income statement Q1 2023 Q2 2023 2023 Q1 2024 Q2 2024 2024 Operating revenues - - - - - - Operating expenses (105) (96) (201) (106) (104) (210) EBITDA (105) (96) (201) (106) (104) (210) Depreciation
Slide 21: Q&A – Proud ownership
Proud ownership Q&A ▪ Active ownership ▪ Megatrend-oriented ▪ Proven track-record ▪ Industrial expertise ▪ Financial flexibility ▪ Unique ecosystem ▪ ESG and digital focus 21
Slide 22: Appendix
Appendix 22
Slide 23: A more focused Aker
A more focused Aker Objective of long-term industrial development remains firm – but with greater focus Prioritizing cash- 10% yielding investments Annual growth in NAV, ▪ Fewer and larger portfolio companies, within key after dividend payments global megatrends, contributing meaningfully to the Ake
Slide 24: Consensus
90 +25% avg. annual shareholder return (2004-2023), 1 000 70bn 80 with dividend added back vs. OSEBX +10% 67bn 63bn 900 70 800 50bn 53bn Net Asset Value (NOK bn) 60 700 42bn 42bn 600 Share price (NOK) 50 34bn 36bn 500 40 33bn 23bn 24bn 18bn 21bn 400 30 21bn 20bn 19bn 18bn 18bn 300 20 8bn 200 10 100
Slide 25: Net Asset Value (NAV) details
Net Asset Value (NAV) details NOK million Net Asset Value (NAV) details per 2Q 2024 2Q 2022 3Q 2022 4Q 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 1Q 2024 2Q 2024 • Net asset value (“NAV”) is Gross asset value Number Ownership Share of (“GAV”) less liabilities. of shares share total assets • Net asset valu
Slide 26: Segment information – Industrial Holdings
Segment information – Industrial Holdings NOK million Industrial Holdings Ownership 2Q 2022 3Q 2022 4Q 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 1Q 2024 Net Dividend Other Value 2Q 2024 per 2Q 2024 investments income changes change Value Aker BP 21,2% 45 758 41 813 40 676 34 282 33 680 39 592 39 525 36 0
Slide 27: Segment information – Industrial Holdings
Segment information – Industrial Holdings USD million ENERGY SECURITY, EFFICIENCY & TRANSITION Aker BP (ticker: AKRBP) 2Q 2022 3Q 2022 4Q 2022 FY 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 FY 2023 1Q 2024 2Q 2024 Net Production Volume (mboepd) 181 412 432 309 453 481 450 444 457 448 444 Revenue 2 026 4 86
Slide 28: Segment information – Industrial Holdings
Segment information – Industrial Holdings NOK million Solstad Offshore (ticker: SOFF) 2Q 2022 3Q 2022 4Q 2022 FY 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 FY 2023 1Q 2024 2Q 2024 Revenue 1 363 1 914 1 679 2 023 6 979 768 746 EBITDA 1 062 903 445 914 3 324 392 364 EBITDA margin 77,9% 47,2% 26,5% 45,2% 47,
Slide 29: Segment information – Industrial Holdings
Segment information – Industrial Holdings USD million (NOTE: historical periods are here re-presented as excl. Feed Ingredients) SUSTAINABLE PROTEINS & NUTRITION Aker BioMarine (ticker: AKBM) 2Q 2022 3Q 2022 4Q 2022 FY 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 FY 2023 1Q 2024 2Q 2024 Revenue 47 47 53 49
Slide 30: Segment information – Financial Investments
Segment information – Financial Investments NOK million Financial Investments Ownership 2Q 2022 3Q 2022 4Q 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 1Q 2024 2Q 2024 per 2Q 2024 Cash 2 035 2 502 1 290 1 162 876 1 454 774 699 459 Real Estate 958 973 973 993 993 1 158 1 313 1 353 1 353 Aker Property Group 1
Slide 31: Income statement and Balance sheet
Income statement and Balance sheet NOK million Combined Income Statement 2Q 2022 3Q 2022 4Q 2022 FY 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 FY 2023 1Q 2024 2Q 2024 Operating revenues* - - - - - - - - - - Operating expenses (94) (82) (85) (370) (105) (96) (97) (106) (404) (106) (104) The balance sheet a
Slide 32: External interest-bearing debt
External interest-bearing debt NOK million External interest-bearing debt 2Q 2022 3Q 2022 4Q 2022 1Q 2023 2Q 2023 3Q 2023 4Q 2023 1Q 2024 2Q 2024 AKER09 1 000 AKER14 2 000 1 581 AKER15 2 000 2 000 2 000 2 000 2 000 2 000 2 000 1 494 1 422 AKER16 1 300 1 300 1 300 1 300 1 300 1 300 1 300 1 300 AKER17
Slide 33: Alternative Performance Measures (APM)
Alternative Performance Measures (APM) Aker ASA refers to alternative performance measures with regards to Aker ASA and holding companies’ financial results and those of its FINANCIAL CALENDAR portfolio companies, as a supplement to the financial statements prepared in accordance with IFRS. Such per
Slide 34: About Aker ASA
About Aker ASA Who we are Sustainability Aker ASA (“Aker”) is an industrial investment company founded in 1841 developing Aker has a long tradition of being a responsible enterprise and owner of companies. Aker industrial front-runners and creating shareholder value through active ownership. Aker is
Slide 35: Disclaimer
Disclaimer Disclaimer This Document 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. These statements and this Document are based on current expectations, estimates and projections
Slide 36: To learn more, please visit: www.akerasa.com
To learn more, please visit: www.akerasa.com 36