Knot Offshore Partners Lp · NYSE:KNOP
Knot Offshore Partners Lp — Q3 2016 Earnings Presentation
19 slides from Knot Offshore Partners Lp's earnings presentation, Nov 2, 2016
Slide 1: Third Quarter 2016 Results
Third Quarter 2016 Results November 2, 2016
Slide 2: Notice to Recipients
Notice to Recipients This presentation is not a prospectus and is not an offer to sell, nor a solicitation of an offer to buy, securities. Except for the historical information contained herein, the matters discussed in this presentation include forward-looking statements that involve risks and unce
Slide 3: Q3 2016 Financial Highlights & recent events
Q3 2016 Financial Highlights & recent events Highest quarterly revenues of $43.6 million. Highest quarterly operating income of $21.2 million and net income of $19.4 million. Highest quarterly Adjusted EBITDA(1) of $35.1 million. Highest quarterly distributable cash flow(1) of $20.3 million,
Slide 4: Income Statement
Income Statement Unaudited, USD in thousands 3Q 2016 2Q 2016 3Q 2015 FY 2015 Time charter and bareboat revenues 43,390 42,864 39,281 154,750 Other income 197 199 3 274 Total revenues 43,587 43,063 39,284 155,024 Vessel operating expenses 7,588 7,975 5,936 27,543 Depreciation 13,920 13,913 12,420 48,
Slide 5: Adjusted EBITDA
Adjusted EBITDA Unaudited, USD in thousands 3Q 2016 2Q 2016 3Q 2015 FY2015 Net income 19,357 11,578 8,802 40,443 Interest income (6) 0 0 (8) Interest expense 5,129 5,055 4,322 17,451 Depreciation 13,920 13,913 12,420 48,844 Goodwill impairment charge — — — 6,217 Income tax (benefits) expense 3 3 — (
Slide 6: Distributable cash flow
Distributable cash flow Unaudited, USD in thousands 3Q 2016 2Q 2016 3Q 2015 FY2015 Net income 19,357 11,578 8,802 40,442 Add: Depreciation 13,920 13,913 12,420 48,844 Goodwill impairment charge — — — 6,217 Other non-cash items; deferred costs amortization debt 310 287 289 1,149 Unrealized losses fro
Slide 7: Balance sheet
Balance sheet At September 30, At December 31, At September At December 31, Unaudited, USD in thousands 2016 2015 30, 2016 2015 Current assets: Current liabilities Cash and cash equivalents 27,382 23,573 Current portion of long-term debt 48,877 48,535 Derivative assets 1,645 — Derivative liabilities
Slide 8: Stable operational performance results in stable financial performance
Stable operational performance results in stable financial performane UTILIZATION (%) REVENUE (USD million) Average of 99.7 % since IPO 27% CAGR 100% 99,7% 99,7% 99,9% 100% 99,6% 99,9% 99,8 % 99,90% 100% since IPO 42,5 42,0 43,1 43,6 99,2% 99,3% 99,4% 39,3 98,9% 36,2 37 34,3 34,7 20,5 22,2 21,8 22,1
Slide 9: Pending - Raquel Knutsen drop-down
Pending - Raquel Knutsen drop-down Raquel Knutsen Contract detail Charterer: Repsol Sinopec Brasil B.V Contract type: TimeCharter Contract end date: June 2025 Option period: total 5 years (3+2 year) Trading area: Brazil Estimated EBITDA for 2017(1): 13.0 million Estimated net incme for
Slide 10: Long-term Contracts Backed by Leading Energy Companies
Long-term Contracts Backed by Leading Energy Companies Name 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 (1) Windsor Knutsen Bodil Knutsen (1) Fortaleza Knutsen Recife Knutsen Carmen Knutsen Hilda Knutsen Torill Knutsen Dan Cisne Dan Sabia Ingrid Knutsen (2) Raquel Knut
Slide 11: Tenders have returned
Tenders have returned Projected Shuttle Tanker Tonnage Balance towards 2020 (All Areas) As of today shuttle tanker market extremely tight, without any free capacity – No speculative newbuildings orders An active tender for long term contract for two shuttle tanker in the market and the sponsor h
Slide 12: Dropdown inventory: Four potential acquisitions
Dropdown inventory: Four potential acquisitions(1) Name 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Tordis Knusten Vigdis Knutsen Anna Knutsen Lena Knutsen Fixed contract Option period Yard Fixed contract periods for the dropdown fleet are 5.0(2)years on average Charte
Slide 13: Committed to safety
Committed to safety In October, 2016 both Knutsen NYK (which manage the shuttle tankers fleet of KNOP) and Knutsen OAS Shipping (which manage Knutsen Group’s LNGs and product tankers) have not registered any LTI (Loss time Injury’s) the last 12 months while they have worked more than 7 million hou
Slide 14: Summary
Summary Another quarter of strong operational and financial performance – 1 99.7% average utilization since IPO(1) Solid contract base – Revenue backlog of $ 727 million(2) and 2 additional increase of $ 153 million after purchase of Raquel 13 Modern shuttle tanker fleet, average age 4.8 years vs. i
Slide 15: Save the Date: February 2017
Save the Date: 15 February 2017 On 15 February 2017 the Partnership Registration and lunch will start at will hold a Investor Day where Interim 11:00 EST and Q4 Earnings Results for the Quarter ending 31 presentation and Investor Day will December will be presented in commence at 12:00 EST addit
Slide 16: Thank you, any questions?
Shuttle Tanker Market Overview Thank you, any questions? 16
Slide 17: Appendix
Appendix APPENDIX
Slide 18: Non-GAAP Financial Measures
Non-GAAP Financial Measures EBITDA and Adjusted EBITDA EBITDA is defined as earnings before interest, depreciation and taxes. Adjusted EBITDA refers to earnings before interest, depreciation, taxes, goodwill impairment charges and other financial items (including other finance expenses, realized and
Slide 19: Reconciliation of estimated net income and estimated EBITDA for KNOT 19
Reconciliation of estimated net income and estimated EBITDA for KNOT 19 For KNOT 19, the entity that the Partnership intends to pending purchase in the acquisition, estimated net income and estimated EBITDA for the year ending December 31, 2017 are based on the following assumptions: • closing of th
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