Avation Plc · LSE:AVAP

Avation — Q4 2022 Earnings Presentation

18 slides from Avation's earnings presentation, Sep 30, 2022

  1. Slide 1: Financial Year 2022 Results

    Equity Ticker LSE: AVAP Bond Ticker LU: AVTCAP Financial Year 2022 Results 29 September2022 Jeff Chatfield Richard Wolanski Iain Cawte Duncan Scott Rod Mahoney Executive Chairman Finance Director Chief Financial Group General Chief Commercial Officer Counsel Officer

  2. Slide 2: Important Notice

    Important Notice Some of the statements in this presentation constitute “forward-looking statements” that do not directly or exclusively relate to historical facts. These forward-looking statements reflect the Company’s current intentions, plans, expectations, assumptions and beliefs about future ev

  3. Slide 3: Overview

    avation PLC Overview

  4. Slide 4: Snapshot of Avation as at June 2022

    Snapshot of Avation as at 30 June 2022 Diversified Fleet and Customer Base with Strong Metrics Customers 17%/52%/31% 39 17 Airline split of located in 14 Widebody/narrowbody Aircraft Customers Countries /turboprop aircraft by value 5.6 Years 5.7 Years >US$1.2Bn US$568Mn Weighted Average Total asset

  5. Slide 5: Aircraft Portfolio as at June 2022

    Aircraft Portfolio as at 30 June 2022 Popular aircraft with low average age Balanced Fleet with Valuable Orderbook and Purchase Rights that By Aircraft Value create significant growth opportunity Purchase Aircraft Type Fleet Orders Rights Turboprop Aircraft ATR 72-600 18 2 28 Turboprop ATR 72-500 5

  6. Slide 6: Airline Customers

    Airline Customers 17 Airline Customers in 14 Countries Customer/Aircraft EVA - A330 PAL - 777 VietJet - 6 x A321 AirBaltic - 5 x A220 easyJet - A320 Air India - 2 x ATR72 Cebu - ATR72 Braathens - 2 x ATR72 Fiji - ATR72 Mandarin - 3 x ATR72 DAT - 2 x ATR72 Hevilift - 3 x ATR72 USB - 2 x ATR72 Flybig

  7. Slide 7: FY2022 Results

    avation PLC FY2022 Results

  8. Slide 8: FY 2022 Summary

    FY 2022 Summary Total Income Operating Profit US$116.4 million US$90.2 million FY 2021: $120.1 million FY 2021: Loss of $62.7 million Profit before tax (before Profit after Tax loan modification charges) US$17.1 million US$34.9 million FY 2021: Loss of $84.9 million FY 2021: Loss of $120.5 million T

  9. Slide 9: Operational Highlights FY2022

    Operational Highlights FY2022 Aircraft Sales • Sold Airbus A220-300, Airbus A321-200, 3 ex-Virgin Australia ATR aircraft • 2 ATR72-600 returned and sold with completion October 2022 Aircraft Leases • Leases extended on 2 Hevilift ATR72-600 aircraft • Third ATR72-600 aircraft lease to Hevilift • PAL

  10. Slide 10: Debt Analysis

    Debt Analysis FY2022 FY2021 Total loans and borrowings (US$ million) 828.1 947.6 Net Indebtedness (US$ million) 792.9 922.6 Weighted Average Cost of Debt 5.7% 5.4% Weighted Average Cost of Secured Debt 4.0% 3.9% Proportion of Fixed/Hedged Interest Rate Debt 89.2% 90.9% Net Debt/Assets 65.1% 71.9% Co

  11. Slide 11: Key Ratios

    Key Ratios Comparative Ratios FY2022 FY2021 Net asset value per share (US$) (A) $3.27 $2.26 Net asset value per share (£) £2.68 £1.64 Lease yield(B) 9.6% 10.1% Admin expense (ex warrants)/Revenue (C) 7.2% 6.6% Credit Ratios Debt/Equity (D) 3.6 6.0 Net Debt/EBITDA 7.6 12.5 Debt/Total Assets (E) 68.0%

  12. Slide 12: Liquidity Update as at June 2022

    Liquidity Update as at 30 June 2022 Maturities and loan covenants: FY2022 FY2021 Ø Loan maturities typically match lease durations. Total cash $119.2m $122.5m Ø Warehouse loan extended to Sep 2026 Unrestricted $35.3m $25.1m Ø All debt current, covenant compliance/ Restricted $83.9m $97.4m waived Fin

  13. Slide 13: Liability Structure & Loan Maturities

    Liability Structure & Loan Maturities Loan maturities chart 500 463 450 400 350 300 348 250 200 150 93 100 - 75 64 68 62 12 63 - - - 10 - 11 50 30 28 81 75 19 57 51 52 - 10 34 28 - 19 - 10 - FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 FY 2031 Secured loans Warehouse loan Unsecure

  14. Slide 14: Pathway Forward & Strategy

    Pathway Forward & Strategy 14

  15. Slide 15: FY2023 Focus

    FY2023 Focus • Reposition/Sell last 3 unutilised aircraft • Maintain focus on liquidity • Continue debt structure improvement • Opportunities for ATR72-600 orderbook with new PW127XT engines • Identify new customers and aircraft fleet additions 15

  16. Slide 16: Future Strategy

    Future Strategy Strategic focus on fuel efficient, low Co2 emission aircraft opportunities to support a sustainable aviation industry 16

  17. Slide 17: Conclusion

    Conclusion Aviation sector bounce back Return to profitability and lower leverage Operational efficiency returning to fleet Strategic alignment to sustainable future Positioned for recovery and growth 17

  18. Slide 18: Question & Answer Section

    Question & Answer Section Avation PLC 65 Kampong Bahru Road Singapore 169370 Phone: + 65 6252 2077 www.avation.net Jeff Chatfield Richard Wolanski Iain Cawte Executive Chairman Finance Director Chief Financial Officer jeff@avation.net richard.w@avation.net iain@avation.net Duncan Scott Rod Mahoney G

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