Slide 1: 2009 Results Analyst Presentation
2009 RESULTS Analyst Presentation February 26, 2010 T. Mace, CEO and M. Miles, CFO
Slide 2: Disclaimer
DISCLAIMER Some of the statements contained in this presentation that are not historical facts are statements of future expectations and other forward- looking statements based on management’s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual
Slide 3: Content
CONTENT 2009 Review 2009 Financials Outlook 3
Slide 4: 2009 Review
2009 Review 4
Slide 5: Highlights 2009
HIGHLIGHTS 2009 Turnover US$ 2,957 million (US$ 3,060 million in 2008) Net profit of US$ 230 million (US$ 228 million in 2008) New orders totalled US$ 3,740 million (US$ 4,365 million in 2008) Record backlog US$ 10,032 million (2008: US$ 9,247 million) EPS of US$ 1.47 (US$ 1.54 in 2008)
Slide 6: Major Projects Delivered
MAJOR PROJECTS DELIVERED FPSO Frade started operation offshore Brazil FPSO Espirito Santo started operation offshore Brazil Thunder Hawk started operation in Gulf of Mexico BP Skarv turret partially delivered 6
Slide 7: Contract Developments 2009
CONTRACT DEVELOPMENTS 2009 Lease Fleet Fifteen year contract for an FPSO for the Aseng field Eighteen year contract for the FPSO Espadarte for Baleia Azul field Twelve month extension for FSO Unity operations Sale of the Turkmenistan MOPU and FSO facilities End of lease contract for FPSO F
Slide 8: SBM's Lease Fleet
SBM’s LEASE FLEET MOPU Deep Panuke MOPUstor FSO FPSO Yme Yetagun Falcon Semi-Sub Thunder Hawk FPSO Brasil FPSO FPSO Marlim Sul Kikeh FPSO Capixaba FPSO Aseng FPSO Espadarte FSO Nkossa II FPSO Espirito Santo FPSO FPSO FPSO FPSO LPG FPSO Mondo Saxi Batuque Xikomba Kuito Sanha Lease in operation (red)
Slide 9: Remaining Duration of Lease Contracts
REMAINING DURATION OF LEASE CONTRACTS Firm order backlog on long term contracts with robust and solid clients 9
Slide 10: Performance Improvements
PERFORMANCE IMPROVEMENTS Corporate Organisation - Operating units Project Execution - Proposals robustness - Project Controls strengthened Human Resources - Talent Management - Succession Planning Risk Management strengthened Internal Assurance expanded Introduction of new initiatives 10
Slide 11: 2009 Financials
2009 Financials 11
Slide 12: Financial Overview 2009
FINANCIAL OVERVIEW 2009 P&L Total Group In millions of US Dollars 31/12/09 31/12/08 Change Comment Turnover 2,957 3,060 (3%) 72% Turnkey, 28% Lease & Operate Gross Margin 452 399 13% 57% Turnkey, 43% Lease & Operate (%) (15.3%) (13.0%) EBITDA 613 530 Depreciation & amortisation increases 16% 25% (%
Slide 13: Financial Overview 2009: Turnkey Systems
FINANCIAL OVERVIEW 2009 Turnkey Systems In millions of US Dollars 31/12/09 31/12/08 Change Comment P-57, Okha, Skarv, Rigs, Turkmenistan Turnover 1,924 1,984 (3%) sale US$ 51.5 mln Gross Margin 187 71 Cost overruns on drilling rigs; Includes (%) (9.7%) (3.6%) X 2.6 Turkmenistan sale US$ 32 mln EBITD
Slide 14: Financial Overview 2009: Turnkey Services
FINANCIAL OVERVIEW 2009 Turnkey Services In millions of US Dollars 31/12/09 31/12/08 Change Comment Mooring components supply & overhaul; Turnover 262 308 (15%) Offshore installation Gross Margin 70 76 Normand Installer drydock; (%) (26.7%) (24.6%) (8%) Pyrodriver impairment EBITDA 67 68 (1%) As abo
Slide 15: Financial Overview 2009: Lease and Operate
FINANCIAL OVERVIEW 2009 Lease and Operate In millions of US Dollars 31/12/09 31/12/08 Change Comment Espirito Santo and Saxi FPSOs full Turnover 816 810 1% twelve months; 4 smaller units terminated in 2008, Turkmenistan, Falcon leases ended in 2009; Tanker fleet in 2008 Gross Margin 195 253 High bon
Slide 16: Financial Overview 2009: Ratios Total Group
FINANCIAL OVERVIEW 2009 Ratios Total Group In millions of US Dollars 31/12/09 31/12/08 Change Comment Yme MOPUstor, Encana MOPU, Thunder Capital Expenditure 656 1,000 (34%) Hawk semi, Cachalote New loans arranged for Encana MOPU, Long-Term Debt 1,611 1,694 (5%) Cachalote FPSO Net Liquidities 147 230
Slide 17: Order Portfolio Backlog
ORDER PORTFOLIO BACKLOG US$ billion Turnkey Turnkey Lease & Total Systems Services Operate 2010 1.4 0.2 0.8 2.4 2011 0.6 - 0.9 1.5 2012 - - 0.9 0.9 Beyond - - 5.2 5.2 2012 TOTAL 2.0 0.2 7.8 10.0 Record order backlog 17
Slide 18: Cost Initiatives
COST INITIATIVES Outsourcing more detailed engineering Establish new suppliers and construction subcontractors Further develop major project execution in Kuala Lumpur office Lease operations improved maintenance framework contracts Streamline internal procedures More fit for purpose inte
Slide 19: Outlook
Outlook 19
Slide 20: Outlook General
OUTLOOK GENERAL Deep water oil and gas field development increasing High bidding activity continues Oil companies need to maintain production levels Gradual release of new oil and gas field project developments during 2010 and beyond Expected improvement in market 20
Slide 21: Major Projects in Execution 2010
MAJOR PROJECTS IN EXECUTION 2010 Singapore Petrobras - P-57 Woodside - FPSO Okha BP - Skarv Turret Noble Energy - Benita U.A.E. Talisman - Yme EnCana - Deep Panuke QGP - Drilling Rig Odebrecht - Delba - Drilling Rig Drilling Rig In Transit TBA Petrobras - Cachalote Baleia Azul Focus on enhan
Slide 22: Short Term Prospects
SHORT TERM PROSPECTS DW CALM DW CALM TURRET FPU (Gas) Shtokman CLOV Egina Quad 204 Gazprom Semi – Tubular Bells Total Total BP Russia BP Gulf of Mexico Semi – Green Canyon Enterprise Gulf of Mexico BS-4 TLP - Malikai Shell Shell Brazil Malaysia FPSO – Iara/Guara Petrobras FSO Cepu Brazil ExxonMobil
Slide 23: Strategic Objectives
STRATEGIC OBJECTIVES Expand the lease & operate fleet Selective approach to turnkey sales Maintain market leadership position (converted FPSO’s, turrets, swivels, CALMs) Floating LNG remains prime focus within gas sector Develop technology for strategic growth areas: deep water, arctic, LN
Slide 24: Technology Development
TECHNOLOGY DEVELOPMENT Deepwater FourStarTM TLP MoorsparTM Riser Buoy Renewable Wave Energy Converter
Slide 25: Technology Development
TECHNOLOGY DEVELOPMENT LNG FPSO COOLTM LNG Floating Hose LNG Floating Production, Storage and Offloading (FPSO) 25
Slide 26: Financial Outlook 2010
FINANCIAL OUTLOOK 2010 Turnover in the same range as 2009; EBIT in Turnkey Systems solidly within the 5% - 10% range EBIT in Turnkey Services at lower end of 15% – 20% range; EBIT in Lease and Operate below 2009 level Net interest charge will increase by up to 20% Capital expenditure to
Slide 27: Q&A
Q&A T. Mace, CEO and M. Miles, CFO