Total Energy Services Inc. · TSX:TOT
Total Energy Services — Schachter Energy Conference 2019
17 slides from Total Energy Services's conference presentation, October 2019
Slide 1: Focus Discipline Growth – October 2019, Calgary
••• October 19, 2019 Calgary, Alberta FOCUS DISCIPLINE GROWTH FOCUS DISCIPLINE GROWTH
Slide 2: Corporate Information
Corporate Information ••• Shares outstanding (at September 30, 2019) 45.35 million Options outstanding (at September 30, 2019, $12.33 weighted avg exercise price) 4.1 million Market capitalization (basic, at $6.70 share price) $304.2 million Working Capital (1) (at June 30, 2019) $74.3 million Long-
Slide 3: TOT Business Segments
TOT Business Segments ••• Diversified Exposure to Global Energy Development Contract Drilling Services • 107 drilling rigs • 3rd largest Canadian drilling fleet (82 rigs) • Operations in USA (20 rigs) and Australia (5 rigs) Rentals and Transportation Services • Leading provider of oilfield surface e
Slide 4: Proven Track Record
Proven Track Record ••• Capital Stewardship • Prudent use of equity – IPO in Q1 1997 raised $260,000 at $0.10/share and last public equity offering completed in 2005 for gross proceeds of $27 million • Completed over 35 acquisitions since inception with no capital asset impairments ever recorded (in
Slide 5: Shareholder Value Creation
Shareholder Value Creation ••• Challenging energy market gives rise to historical investment opportunities FOCUS DISCIPLINE GROWTH
Slide 6: Long Term Relative Performance
Long Term Relative Performance •(Initial • $100 • investment, assuming dividend reinvestment) FOCUS DISCIPLINE GROWTH
Slide 7: Growing International Presence
Growing International Presence ••• Geographic Revenue Mix Canada United States Australia/Other 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2015 2016 2017 2018 H1 2019 FOCUS DISCIPLINE GROWTH
Slide 8: Significant Free Cashflow Post SVY Acquisition
Significant Free Cashflow Post SVY ••• Acquisition $210.2 million of cashflow (before changes in non-cash working capital items) from July 1, 2017 to June 30, 2019 allocated as follows: FOCUS DISCIPLINE GROWTH
Slide 9: Contract Drilling Services
Contract Drilling Services ••• Savanna Drilling • Diversified drilling rig fleet: By type By Geography AC triples 3 AC doubles 13 Mechanical doubles 45 Canada 82 Australian shallow 5 United States 20 TDS singles 26 Australia 5 CT 1500 singles 15 107 107 • Mechanical doubles have drilled 6,000 meter
Slide 10: Rentals and Transportation Services
Rentals and Transportation Services ••• Total Oilfield Rentals • Leading provider of surface rental equipment and oilfield transportation services in Western Canada with growing US presence • Provide equipment used in the drilling, completion and production of oil and natural gas wells • Current fle
Slide 11: Compression and Process Services
Compression and Process Services ••• Bidell Gas Compression/Spectrum Process Systems • Leading Canadian compression and process equipment manufacturer with significant US and international presence • 346,000 sq ft of North American manufacturing space (70% Canada, 30% US) • Design and manufacture fu
Slide 12: Well Servicing
Well Servicing ••• Savanna Well Servicing • Operates a fleet of 83 service rigs across Western Canada, Northwest United States and Australia By type By Geography Singles 38 Canada 57 Doubles 32 United States 14 Australian spec 9 Australia 12 Flush-by 4 83 83 • Competitive Canadian service rig fleet
Slide 13: Historical Financial Performance
Historical Financial Performance ••• (in thousands of CDN dollars, except per share amounts and shares outstanding) 6 months ended Year ended June 30 December 31 2019 2018 2018 2017 (6) Revenue $ 434,685 $ 399,038 $ 851,809 $ 604,662 EBITDA (1) 46,961 50,881 114,666 71,604 Cashflow 50,872 43,621 101
Slide 14: YTD 2019 Segment Performance
YTD 2019 Segment Performance ••• (in thousands of CDN dollars unless otherwise indicated) Six months ended June 30, 2019 CDS RTS CPS WS Corporate Consolidated Revenue $ 79,325 $ 34,063 $ 254,002 $ 67,295 $ - $ 434,685 % of Consolidated 18% 8% 58% 16% EBITDA $ 7,666 $ 5,633 $ 26,057 $ 14,508 $ (6,903
Slide 15: 2019 Capital Budget
2019 Capital Budget ••• $40.5 million 2019 capital budget: • $23.3 million for equipment maintenance and upgrades - includes $5.8 million of capital leases for light duty vehicle replacements • $17.2 million of expansion capital: - primarily targeting continued international expansion and compressio
Slide 16: Cautionary Statements
Cautionary Statements ••• Forward-Looking Information Certain information presented in these remarks and in this presentation that is not historical factual information and/or based on current views and assumptions and is subject to uncertainties may constitute forward-looking information within the
Slide 17: Contact Information
Contact Information ••• For further information about Total Energy Services Inc., contact: Daniel Halyk, President & CEO, phone: (403) 216-3921, email: dhalyk@totalenergy.ca or Yuliya Gorbach, VP Finance & CFO phone: (403) 216-3920, email: ygorbach@totalenergy.ca www.totalenergy.ca Savanna Well Serv
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