James Fisher And Sons Plc · LSE:FSJ
James Fisher And Sons — H1 2022 Earnings Presentation
21 slides from James Fisher And Sons's earnings presentation, Sep 7, 2022
Slide 1: Half Year Results
Half Year Results for the six months ended 30 June 2022 7 September 2022
Slide 2: Disclaimer
Disclaimer This presentation is confidential and is delivered to interested parties for information only. It is delivered solely on the basis that neither the whole nor any part of the information contained in this presentation may be disclosed to, or used or relied upon by, any other person or used
Slide 3: Overview
Overview ➢ Revenue growth of 2%, but business mix held back operating profit ➢ Strong growth in Offshore Oil and Tankships ➢ Marine Support profitability broadly in line with H1 21; subdued ship-to-ship transfer market ➢ Specialist Technical behind H1 21, as expected ➢ Turnaround activities continue
Slide 4: Financial Review
James Fisher and Sons plc Marine Services Worldwide Financial Review
Slide 5: Financial Summary
Financial Summary Underlying* Statutory H1 2022 H1 2021 Change % H1 2022 H1 2021 Change % Revenue (£m) 238.4 233.7 +2.0 238.4 233.7 +2.0 Operating profit (£m) 9.5 13.3 (28.6) 7.9 12.2 (35.2) Profit before tax (£m) 4.8 9.2 (47.8) 3.2 8.1 (60.5) Diluted EPS (p) 6.7 12.8 (47.7) 3.7 26.8 (86.2) • Revenu
Slide 6: H1 Divisional Performance
H1 Divisional Performance • Marine Support: Marine Contracting continued its turnaround in profitability, offset by subdued market demand for Fendercare STS • Specialist Technical down as expected due to cyclical nature of long-term projects; the results include ~£2m provisions in relation to legacy
Slide 7: Finance and Tax
Finance and Tax H1 2022 H1 2021 Net finance expense £m £m Bank loans and overdrafts 3.6 3.0 ROU operating lease 1.1 1.0 Other - 0.1 Net finance expense 4.7 4.1 Tax Underlying profit before taxation* 4.8 9.2 Tax on underlying profit before taxation* 1.4 2.7 Effective tax rate 28.4% 29.3% • Overseas t
Slide 8: Cash flow
Cash flow H1 2022 H1 2021 £m £m Profit before tax 3.2 8.1 Depreciation/amortisation 20.4 21.1 Non-cash items 4.7 2.7 • Increase in accrued income as Working capital (24.6) (27.3) significant long-term projects Pension cash (1.0) (1.0) approach milestone events Interest & tax (net) (7.3) (7.6) Net ca
Slide 9: Liquidity and banking facilities
Liquidity and banking facilities Facilities maturity profile (£m) • £40m facility expired in July 2022 Total 2022 2023 2024 2025 2026 and has not been replaced Expiring 287.5 40 47.5 200 - - • £200m of facilities secure until at least 2024 • Expectation that remaining facility extensions will be sec
Slide 10: Operating Review
James Fisher and Sons plc Marine Services Worldwide Operating Review
Slide 11: Marine Support
Marine Support Marine Contracting: H1 2022 H1 2021 ➢ Turnaround in profitability continued during the period Revenue (£m) 93.6 97.7 ➢ Some projects delayed into H2 Profit (£m) 1.5 2.1 ➢ EDS performance disappointing due to staff disruption; now Margin (%) 1.6 2.1 resolved ➢ Swordfish on hire for ent
Slide 12: Specialist Technical
Specialist Technical JFD: H1 2022 H1 2021 ➢ Good increase in demand for short-cycle diving equipment Revenue (£m) 56.1 67.8 ➢ £1.0m provision against legacy contract following change in Profit (£m) (2.5) 5.6 customer stance Margin (%) (4.5) 8.3 ➢ No new significant projects wins in H1; sales pipelin
Slide 13: Offshore Oil
Offshore Oil Scantech businesses: H1 2022 H1 2021 ➢ Strong demand for well-testing services in the period Revenue (£m) 50.8 39.6 ➢ Bubble curtain projects delivered £4.0m vs £3.2m in H1 21 Profit (£m) 8.2 5.3 ➢ Investment in upgrading compressor fleet to proprietary, fuel- Margin (%) 16.2 13.4 effic
Slide 14: Tankships
Tankships ➢ Utilisation rates significantly ahead of H1 21, which was H1 2022 H1 2021 adversely affected by UK lockdowns (88% vs 80%) Revenue (£m) 37.9 28.6 ➢ Investment in improving vessels and seafarer welfare continued, Profit (£m) 4.2 2.1 with a programme of upgrades to communications systems in
Slide 15: Summary and Outlook
James Fisher and Sons plc Marine Services Worldwide Summary and Outlook
Slide 16: Summary and Outlook
Summary and Outlook Continuing to stabilise the business, although challenges remain: ➢ Restructuring activities completed to right-size cost base for current market demand ➢ Marine Contracting continues its turnaround; STS market remains subdued ➢ Specialist Technical needs to convert significant s
Slide 17: Q&A
James Fisher and Sons plc Marine Services Worldwide Q&A
Slide 18: Pioneering Sustainably
James Fisher and Sons plc Pioneering Sustainably
Slide 19: Appendix
James Fisher and Sons plc Marine Services Worldwide Appendix
Slide 20: Income Statement
Income Statement Six Six Year months months ended ended ended 31 30 June 30 June December 2022 2021 2021 £m £m £m Revenue 238.4 233.7 494.1 Cost of sales (182.7) (177.6) (384.6) Gross profit 55.7 56.1 109.5 Administrative expenses (49.2) (44.9) (132.2) Share of post tax results of joint ventures 1.4
Slide 21: Separately Disclosed Items
Separately Disclosed Items 2022 2021 2021 Six months Six months Year ended ended ended 30 June 30 June 31 December £m £m £m Acquisition related income and (expense): Costs incurred on acquiring/disposing of businesses - - (0.5) Amortisation of acquired intangibles (1.1) (1.4) (2.9) Adjustment to pro
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