Ocean Yield ASA — Q2 2020 Earnings Presentation
14 slides from Ocean Yield ASA's earnings presentation, Jul 10, 2020
Slide 1: Q2 2020 Presentation
Q2 2020 PRESENTATION 10th July 2020
Slide 2: Q2 2020 Financial Highlights
Q2 2020 FINANCIAL HIGHLIGHTS • Declared Q2 2020 dividend of USD 5 cents per share - Declared cash dividends for 28 consecutive quarters • EBITDA was USD 86.3m vs. Q1 of USD 56.4m - EBITDA includes insurance claim and other related revenues of USD 27.4m • EBITDA adjusted for finance leases and exclud
Slide 3: Recent Events
RECENT EVENTS • Joint Venture with Aker Capital for four LR2s and three Suezmaxes • Delivery of Navig8 Aquamarine in June and Navig8 Amessi in July to Navig8 Chemical Tankers following exercise of purchase options with net cash proceeds of USD 9.7m per vessel after debt repayment • Delivery of newca
Slide 4: Joint Venture with Aker Capital
JOINT VENTURE WITH AKER CAPITAL • Joint Venture (“JV”) with Aker Capital - 4 LR2 product tankers with long-term charter to Navig8 Group - 3 Suezmax tankers with long-term charter to Nordic American Tankers - Aker paid USD 10.2m for 50% of the equity - Ocean Yield owns the remaining 50% of the equity
Slide 5: Vessels with Long-Term Charters as per Q2
VESSELS WITH LONG-TERM CHARTERS AS PER Q2 EBITDA1 BACKLOG OF USD 3.2 BILLION FLEET2 Product / chemical 20 6% 4% Dry bulk 16 18% 3% 7% Container vessels 10 4% 2% Avg. remaining 4% 4% charter tenor of Crude 9 3% 4% 10.3 years 2% 4% 8% Car carriers 5 1% 2% 3% 4% 12% 5% Oil-service 4 Gas carriers 3 Tota
Slide 6: FPSO Dhirubhai-1
FPSO DHIRUBHAI-1 • Projects - Three projects are currently being evaluated and the work on these projects are continuing, despite the low oil price and the Covid-19 pandemic - Uncertainty with respect to project timelines • Other - The FPSO operations has been classified as «discontinued operations»
Slide 7: Connector / Far Senator & Far Statesman
CONNECTOR / FAR SENATOR & FAR STATESMAN • Connector - Time-charter contract with Ocean Installer for subsea installation work in South China Sea until September - In advanced discussions regarding new short-term contracts - Net loss of USD 1.6m in Q2 2020 vs. net loss of USD 5.1m in Q1 2020 • FAR Se
Slide 8: Adjusted EBITDA and Net Profit
ADJUSTED EBITDA AND NET PROFIT EBITDA ADJUSTED FOR FINANCE LEASES, CONTINUED OPERATIONS (USDM) Adj. net profit Q2 2020 • Common equity USD 21.3m • Hybrid capital USD 2.4m • Minorities USD 0.3m ADJUSTED NET PROFIT, CONTINUED OPERATIONS (USDM) • Total USD 24.0m *Comparative information has been re-pre
Slide 9: Income Statement
INCOME STATEMENT INCOME STATEMENT
Slide 10: Adjusted EBITDA and Net Profit
ADJUSTED EBITDA AND NET PROFIT ADJUSTMENTS * Comparative information has been re-presented due to a discontinued operation
Slide 11: Balance Sheet
BALANCE SHEET BALANCE SHEET Qu Q2 Ql Q2 Amounts in USD million 2020 2020 2020 2020 ASSETS EQUITY AND LIABILITIES Common equity 685 689 Vessels and equipment 895 855 Hybrid capital 125 125 Investments in associates 163 173 Non-controlling interests 12 13 Finance lease receivables 1,475 1,254 Total eq
Slide 12: Investment, Divestment and Related Financing
INVESTMENT, DIVESTMENT AND RELATED FINANCING INVESTMENT, DIVESTMENT AND RELATED FINANCING IN Q3 2020 (USDM) 53 COMMENTS • Remaining capex in Q3 2020 relate to one newcastlemax dry bulk vessel on charter to CMB that was delivered to the company on 2 July • Potential scrubber financing on two vessels
Slide 13: Outlook
OUTLOOK • The short-term priority is to build a stronger balance sheet until we see lower market volatility and have more visibility with respect to a solution for the FPSO Dhirubhai-1 • Long-term fixed rate bareboat charters for most of the vessels to 18 different counterparties, should contribute
Slide 14: Investor Relations
INVESTOR RELATIONS Marius Magelie, SVP Finance & Investor Relations +47 24 13 01 82 mm@oceanyield.no www.oceanyield.no/IR