Gulf Marine Services Plc · LSE:GMS
Gulf Marine Services — Investor Presentation (April 2025)
24 slides from Gulf Marine Services's investor presentation, April 2025
Slide 1: Investor Presentation April 2025
Investor Presentation April 2025
Slide 2: Disclaimer
Disclaimer • This document is provided for informational purposes only. It does not constitute an offer to sell or a solicitation of an offer to buy any securities or interests described within it in any jurisdiction. • Any forward-looking statements contained in this presentation or communicated du
Slide 3: Presenting Team
Presenting Team MANSOUR AL ALAMI ALEX ACLIMANDOS Executive Chairman of the Board Chief Financial Officer 40-year career across the Middle East, Over 30 years with first-tier companies viz. Procter & including 15 years in oil & gas Gamble, ABB and Alvarez and Marsal Held various senior roles at ADNOC
Slide 4: Overview
Overview Overview of GMS Asset Class Overview • Established in 1977, Headquartered in Abu Dhabi, UAE, and Premium listed on the London Stock Exchange Large Class (E Class) Mid-Size Class (S Class) Small Class (K Class) • GMS is a leading provider and operator of 14 advanced self-propelled, self-elev
Slide 5: Key Investment Highlights
Key Investment Highlights A leading provider of self‐propelled, self‐elevating support vessels serving the offshore oil, gas and renewables industries, currently 1 operating in both the Arabian Gulf and the North Sea Owns and manages 13 vessels, wherein all work-related risks are assumed / mitigated
Slide 6: Why to invest in GMS shares
Why to invest in GMS shares Proven Turnaround – Successfully transformed the business over the past four years. Stronger Financials – Net leverage ratio 1 reduced to 2.0x, enhancing financial stability. Strong Cash Generation – A profitable business with consistent cash flow. Shareholder Returns – D
Slide 7: Explaining the GMS Model
Explaining the GMS Model Core areas of Contract durations Vessels chartered on operation vary depending on a time basis client and workscope • NOC based opex, including well • NOC c. 3-5 years charters, EPC • Daily charter rate payable and platform maintenance and c. 3 -24 months charters, • Operati
Slide 8: Historical Financial Information
Historical Financial Information New management Previous management and board and board US$m 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Average Utilisation 98.00% 70.00% 61.00% 69.00% 69.00% 81.00% 84.00% 88.00% 94.00% 92.00% Average Dayrate (US ‘000s) 59 50 39 36 30 25 26 28 30 33.1 Revenue
Slide 9: Supply and Demand Dynamics are Driving a Resurgence in Dayrates and Utilisations
Supply and Demand Dynamics are Driving a Resurgence in Dayrates and Utilisations; Average Dayrate (USD ‘000s) Utilisation % Day charter rates are still far from their 2015 peak of 59; whereas the utilization rate is back above 90% 9
Slide 10: Proven Track Record in Achieving Efficiencies and Effectively Managing Costs
Proven Track Record in Achieving Efficiencies and Effectively Managing Costs Operating Costs % of Revenue (%) Adjusted EBITDA Margin (%) Management has achieved a sustained reduction in operating costs as a % of revenue, thus improving margins and overall profitability 10
Slide 11: Successful Deleveraging via Debt Repayment Acceleration
Successful Deleveraging via Debt Repayment Acceleration Net Debt (US$ m) Net Debt / EBITDA (x) The sustained deleveraging has enhanced overall balance sheet health and transferred value from lenders to equity holders; providing management with flexibility to pursue growth opportunities or distribute
Slide 12: A Successful Turnaround Driven by Re-building a Healthy Backlog Pipeline
A Successful Turnaround Driven by Re-building a Healthy Backlog Pipeline Evolution of Backlog (US$ m) and split per year Backlog maintaining a position at c. 3.3x 2024A revenue (ensuring clear visibility on revenues through the next three years) 12
Slide 13: Backlog as of April 1st 2025
Backlog as of April 1st 2025 Firm Options USD$m Total Firm Options 2025 165 147 18 2026 147 126 21 2027 144 80 64 2028 82 25 56 2029 32 0 32 Total 570 378 192 13
Slide 14: The Way Ahead
The Way Ahead 2025 Outlook Our Plan • Positive outlook con for 2025; backlog reached • Continue to take actions to promote creating US$557m = c. 3.3x 2024A revenue (ensuring clear value for shareholders visibility on revenues through the next three • Continue to deleverage, thereby transferring year
Slide 15: Appendices
Appendices
Slide 16: Fleet Overview
Fleet Overview Key Specifications of the Entire GMS Fleet Comparative Vessel Capabilities Variable Load Main Semi-subs / Name of Standard Leg Jackup Accomodation Propulsion (VDL) Elevated Deck Area Crane Description of Capabilities GMS Fleet Construction Vessel POB Length Drilling Rigs Rigs / Jackin
Slide 17: Safety Record
No. of Recordable Injuries Per Year Safety Record 2.5 2 2 2 1.5 1 • No recordable injuries in 2024. Recordable injuries include Loss time 1 0.5 injuries (LTI), Restricted Work Cases (RWC) and Medical Treatment 0 0 0 Cases (MTC). 2020 2021 2022 2023 2024 Recordable Injuries • Our LTIR and TRIR trend
Slide 18: Environmental Performance
Environmental Performance • GMS has implemented several measures to reduce emissions over the last 5 years. Some of those measures are: ✓ Switching refrigerants to lower emission ones ✓ Sequestering some of our CO2 emissions via tree planting • 54,396 tCO2e ✓ Reducing plastic water bottle usage offs
Slide 19: Global SESV Footprint
Global SESV Footprint GMS’s core geographies of the Middle East and Western Europe are the largest SESV markets in the world Region SESVs Shallow Fixed Platforms OWF Turbines Key Highlights - Major SESV Region Western Europe 26 3,632 740 6,706 - Sizeable OG market and emerging O&M OWF market - Large
Slide 20: Offshore Energy Investment Outlook
Offshore Energy Investment Outlook Investment in offshore energy projects is expected to increase significantly over the next five years, driven by a combination of a resurgent oil & gas sector as well as the rapidly growing offshore wind industry Global Energy Demand & Global Energy Demand by Globa
Slide 21: Offshore O&G Production is Expected to Increase Significantly Over the Next Decade
Offshore O&G Production is Expected to Increase Significantly Over the Next Decade, Driven by a 29% Increase in Middle Eastern Production Offshore Oil & Gas Production by Global Energy Demand & Population Outlook Global Oil & Gas Production Outlook Region mmboe/d mmboe/d • WGE estimates global O&G p
Slide 22: GMS successfully completed the refinance of its debt
GMS successfully completed the refinance of its debt • A club of 3 lenders, 2 being current lenders. • Five years conventional term loan in AED, with working capital facility of USD 50 million. • Pricing at 2.5% + Eibor if net leverage is between 2x and 2.5x • Pricing goes to 2.25% + Eibor when net
Slide 23: Board of Directors
Board of Directors MANSOUR AL ALAMI LORD ST JOHN OF BLETSO JYRKI KOSKELO Executive Chairman of the Board Senior Independent Non-Executive Director Independent Non-Executive Director Mansour Al Alami joined the Board of GMS in Anthony St John is a cross bench peer in the House of Jyrki Koskelo joined
Slide 24: Board of Directors (Cont'd)
Board of Directors (Cont’d) CHARBEL EL KHOURY HAIFA AL MUBARAK Non-Executive Director Independent Non-Executive Director Charbel El Khoury joined the Board of GMS in August Ms Al Mubarak joined the Board of GMS in October 2021. He is Group CEO of Mazrui International LLC 2023. Ms Al Mubarak is the C
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