Bumi Armada Bhd. · MYX:ARMADA
Bumi Armada Bhd — Q2 2013 Earnings Presentation
29 slides from Bumi Armada Bhd's earnings presentation, Aug 20, 2013
Slide 1: Q2 2013 Highlights
Q2 2013 Highlights 20th August 2013 “Knots Ahead of the Rest”
Slide 2: Results Overview – YTD 2013 vs. YTD 2012
Results Overview – YTD 2013 vs. YTD 2012 (in RM’mil) Operations on track and growth across all business segments Revenue 970.0 EBITDA +34.8% Net Profit* +6.4% 498.3 719.7 468.2 221.6 +22.0% 181.6 YTD 2012 YTD 2013 Higher revenue from: YTD 2012 YTD 2013 • FPSO client VOs & candidate vessels • New OSV
Slide 3: Revenue composition by business units
Revenue composition by business units (in RM’mil) Improved performance in established sectors FPSO OSV 350.0 500.0 +14.3% 386.0 293.3 400.0 337.6 300.0 +24.4% 300.0 235.8 250.0 200.0 200.0 100.0 - 150.0 YTD 2012 YTD 2013 YTD 2012 YTD 2013 Increase in FPSO client VOs, foreign exchange benefit Increas
Slide 4: Revenue composition by geographical %
Revenue composition by geographical % Malaysia based international company Continued expansion across key regions YTD 2012 YTD 2013 6.5% 4.4% 17.3% 14.1% 29.1% 30.9% 47.1% 50.6% 4
Slide 5: Leverage and capitalization
Leverage and capitalization Financial capacity intact to undertake more projects Net Debt / EBITDA(1) Gearing ratio(2) 6.0x 4.5x 4.0x 3.9x 5.1x 4.0x 5.0x 4.9x 4.8x 3.5x 3.4x 4.0x 3.0x 2.5x 3.0x 2.4x 2.6x 2.0x 2.3x 1.9x 2.0x 1.5x 1.0x 0.9x 0.8x 0.7x 0.7x 1.0x 0.5x 0.0x 0.0x 2008 2009 2010 2011 2012 Q
Slide 6: Order book as at 30 June 2013
Order book as at 30 June 2013 Quality firm backlog of RM7.5b As at 30 June 2013, the Group’s order book stood at RM7.5 billion compared to RM7.9 billion as at 31 March 2013. Upon expiration of the firm contract period, certain contracts contain extension options which are renewable on annual basis w
Slide 7: Sector Outlook
Sector Outlook “Knots Ahead of the Rest”
Slide 8: Emerging Trends in the FPSO Sector – NOC's and Majors
Emerging Trends in the FPSO Sector – NOC’s and Majors Daily Oil & Gas Production for selected NOC’s and major’s from 2007-2011 (Kboe/d) and CAGR (%) 12000 2% -1% 2007 2008 2009 10000 NOC’s struggle to increase 2010 2011 production 8000 Kboe/d 6000 -2% 1% 4000 3% 5,000 3% -6% -1% 2% 4,500 2007 2008 2
Slide 9: Emerging Trends in the FPSO Sector – Independent Oil Companies
Emerging Trends in the FPSO Sector – Independent Oil Companies Daily Oil & Gas Production for selected Independent’s from 2007-2011 (Kboe/d) and CAGR (%) 800 2007 2008 2009 2010 2011 700 1% 6% 3% 600 • Independents on track to double scale over 10 years 500 • Leading independents have growth Kboe/d
Slide 10: Emerging Trends
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Slide 11: The leading indicators
The leading indicators Oil prices forecast to remain above USD100/barrel in throughout 2014. E&P hurdle rates remain stable at $55-60/barrel. World consumption set to remain strong on the back of a global recovery. Source: IEA 11
Slide 12: August 2014 NYMEX deliveries are firm
August 2014 NYMEX deliveries are firm Current NYMEX deliveries are trading in the USD94-96/barrel range. 96.21 Source: Bloomberg 12
Slide 13: Steel prices
Steel prices Remain low; conducive for our newbuilds and new projects. 643/t Source: Bloomberg 13
Slide 14: Second-hand tanker prices
Second8hand tanker prices Low tanker prices as weakness in the shipping sector persists. Source: Fearnley Offshore 14
Slide 15: E&P capex outlook to 2014
E&P capex outlook to 2014 A sample of Majors, NOCs and independents have budgeted 6% growth in E&P spending in 2013. Spending momentum expected to level off. Source: Pareto Sec, Oil Companies 15
Slide 16: Costs control will be critical
Costs control will be critical Capex and opex costs have effectively more than doubled over the last 10 years. Uptrend will continue. Source: IHS Cera 16
Slide 17: Q2 2013 Operational Highlights
Q2 2013 Operational Highlights “Knots Ahead of the Rest”
Slide 18: FPSO
FPSO 2013: 6 lease FPSO contracts awarded so far Company Client Field Bumi Armada ONGC C7 Modec Petrobras Iracema Norte Modec Tullow TEN SBM Petrobras Lula Alto SBM Petrobras Lula Central SBM Shell Stones Bumi Armada has 12 ongoing tenders 18
Slide 19: FPSO – Global Projects
FPSO – Global Projects 19
Slide 20: FPSO – Madura BD
FPSO – Madura BD Field Details Client/Operator: Husky-CNOOC Madura Limited (HCML) Country: Indonesia Location: Madura Strait East Java, about 65 km east of Surabaya and about 16km south of Madura Island. Water depth: Approximately 182 feet (~55m) FPSO Details Storage: 370,000 bbls Gas Handling: 110
Slide 21: FPSO – Kraken
FPSO – Kraken Field & FPSO Details Client/Operator: EnQuest Plc. Location: UKCS Block 9/02b, 400 km North East of Aberdeen and 40 km west of the Frigg Field Water Depth: 117m Peak Liquids Production Rate: 460,000 bpd Oil Production: 80,000 bpd Water Injection: 275,000 bpd Kraken Field Internal turre
Slide 22: Gas
Gas • Focusing on small-scale FSRU/ FLNG conversion; niche market • Conversion provides fast track solution for clients and lower CAPEX • Currently tendering for several FSRU projects 22
Slide 23: OSV – Steel On Water 2
OSV – Steel On Water 2 Continue to build on the platform of the original “Steel on Water” fleet expansion Focus on adding higher specifications, “greener”, cleaner, safer and fuel efficient (GCSE) vessels Enhanced services offering to the customers such as ROV, DSV, IMR or light installation service
Slide 24: OSV – Continued Fleet Expansion
OSV – Continued Fleet Expansion Placed order for four newbuild MPSVs from Nam Cheong in February 2013 as part of the Steel on Water 2 newbuild program. Purchased four new PSVs from Sentinel Offshore for approx. USD80 million to be delivered over the course of Q3 and Q4 2013. BAB has taken delivery o
Slide 25: T&I – Building Track Record
T&I – Building Track Record Secured its second Filanovsky EPIC contract from Lukoil worth USD178.5 million utilising the Armada Installer. 25
Slide 26: T&I – Building Track Record
T&I – Building Track Record Armada Hawk is currently working in Vietnam for Saipem and has another job lined up in Vietnam upon completion of its current charter. Armada Condor, which joined the fleet in March 2013, is currently in Durban, South Africa and being marketed. SURF 1: Deepwater subsea &
Slide 27: OFS
OFS • Looking for alliance/collaboration opportunities in well intervention • Offer vessel based well intervention service to field operators 27
Slide 28: Video
Video “Knots Ahead of the Rest”
Slide 29: Thank You
Thank You “Knots Ahead of the Rest”