Slide 1: Endúr ASA: Q3 2020 results
Endúr ASA: Q3 2020 results
Slide 2: Agenda
Agenda Q3 2030 highlights Introduction to Endúr Financials Summary & outlook Endúr’s NOK 2.0-2.5 bn revenue growth plan Acquisition of BMO Entreprenør 2
Slide 3: Q3 2020 highlights
Q3 2020 highlights Revenues of NOK 75,71 million, an increase of 5.3% versus Q3 2019 Adjusted EBITDA result of NOK -4.3 million in line with financial update announced on 30 October 2020 Subsequent events to Q3 2020 Order backlog per 30 September 2020 of NOK 419.6 million • Completed merger with Oce
Slide 4: About Endúr
About Endúr Company highlights Delivering on M&A strategy • Endúr is on its way to become the leading service provider for • Endúr has entered into an agreement to acquire BMO marine infrastructure in Norway with ability to win large projects Entreprenør AS (“BMO”) within: • BMO is a strong player w
Slide 5: Market consolidator within marine infrastructure services
Market consolidator within marine infrastructure services • Attractive entry point in a consolidation journey Market consolidator • Endúr targets NOK 2.0 - 2.5bn revenues at 10-12% EBITDA margins in 2022 primarily through M&A within marine • Full-service offering within marine infrastructure to take
Slide 6: Group structure with strong national presence
Group structure with strong national presence Locations New structure Comments •1 Sjøsterk, a provider of aquaculture solutions specialized in feed barges in concrete, was acquired in 2018 • 8 FTE 4 Bergen Bodø Marine •2 Oceano merger effective October 2020 Legacy HQ, Sjøsterk Maritime & Energy Mari
Slide 7: Building a solid service provider able to win large projects
Building a solid service provider able to win large projects within land-based aquaculture and marine infrastructure • Building a full-service offering 1 6 within marine infrastructure to 1 take large multi-disciplinary projects 1 • Acquisition of BMO fulfils 1 1 4 critical competence 1 • Targeting
Slide 8: Positioned towards two high growth verticals with similar offering requirements
Positioned towards two high growth verticals with similar offering requirements Aquaculture1 Marine infrastructure2 NOKbn Public sector investments, NOKm 36 1 348 12% 12% CAGR CAGR 827 11 472 2019E 2030E 2017 Yearly av g Yearly av g 2018-'23 2024-'29 Land-based aquaculture, floating Construction and
Slide 9: Growth plan towards NOK 2.0-2.5 bn revenues
Growth plan towards NOK 2.0-2.5 bn revenues Delivery on 2022 target of NOK 2.0-2.5bn revenues Current size including BMO 2019 Revenues (NOKm) Pro-forma revenues (NOKm) 2,000-2,500 2 500 10% 9% 2 000 8% 825 7-8% 7% 480 1 500 6,2% 6% 395 300 1bn 5% 1 000 4% 695 3% Endúr Oceano BMO Remaining Target 202
Slide 10: BMO is a strong player within maintenance of critical marine infrastructure
BMO is a strong player within maintenance of critical marine infrastructure: Quays, dams and bridges About BMO Revenues (NOKm) Key service offering • BMO Entreprenør (“BMO”) was 500 480 • Rehabilitation and maintenance of large established in 1996 314 infrastructure projects • Niche player that prov
Slide 11: Settlement in combination of cash, vendor note and own shares
Settlement in combination of cash, vendor note and own shares Overview of the transaction Settlement in NOKm • Purchase price of NOK 448m (EV NOK 418m) settled in shares in Endúr, vendor note and cash: 157 448 - NOK 157m settled in Endúr shares at NOK 1.459 per share (the “Consideration Shares”) - N
Slide 12: Recent contract wins confirm strategic rationale
Recent contract wins confirm strategic rationale CONTRACTS CONTRACT CONTRACT CONTRACT Replacement of 4 x bridges for Bane Ferry quay contract with Vestland 2 x complete Sjøsterk feed barges to 1 x complete Sjøsterk hybrid battery NOR and bridge maintenance for county Nordlaks – 5th and 6th barge to
Slide 13: Q3 2020 highlights Introduction to Endúr
Q3 2020 highlights Introduction to Endúr Financials Summary & outlook Endúr’s NOK 2.0-2.5 bn revenue growth plan Acquisition of BMO Entreprenør 13
Slide 14: Key figures
Key figures Endúr Group Balance Sheet Net interest bearing debt NOK’000 Q3 2020 YTD 2020 NOK’000 30.09.20 NOK’000 30.09.20 Revenues 75 704 260 197 Total Assets 356 126 Cash and bank deposits (41 050) Adjusted EBITDA (4 259) (3 395) Liabilities 160 346 Other non-current receivables (36 000) Adjusted
Slide 15: Endúr reporting segments
Endúr reporting segments AQUACULTURE MARITIME NOK’000 Q3 2020 YTD 2020 NOK’000 Q3 2020 YTD 2020 Revenues 4 135 49 479 Revenues 51 867 152 945 Adjusted EBITDA (957) (685) Adjusted EBITDA 2 647 9 269 Adjusted EBIT (1 193) (1 399) Adjusted EBIT 642 3 188 Order backlog 3 000 3 000 Order backlog 386 833
Slide 16: Q3 2020 highlights Introduction to Endúr
Q3 2020 highlights Introduction to Endúr Financials Summary & outlook Endúr’s NOK 2.0-2.5 bn revenue growth plan Acquisition of BMO Entreprenør 16
Slide 17: Summary and outlook
Summary and outlook Summary Outlook Revenues of NOK 75.7 million, an increase of 5.3% versus Q3 2019 On track to create a NOK 2.0-2.5 bn revenue company with EBITDA margins in Order backlog per 30 September 2020 of NOK 419.6 million the range of 10-12% in 2022 Successful completion of merger with Oc
Slide 18: Appendix
Appendix Endúr ASA | Q3 2020 interim financial figures 18
Slide 19: Alternative performance measures
Alternative performance measures Basis for preparation Alternative performance measures (cont.) EBITDA - Profit/loss before i) tax, ii) net finance cost, iii) depreciation, amortisation, This presentation provides financial highlights for the quarter impairment. Corresponds to "Operating profit/loss
Slide 20: Profit & loss
Profit & loss1 NOK’000 Q3 2020 Q3 2019 YTD 2020 YTD 2019 FY 2019 Continued operations Operating revenue 74 568 71 900 256 165 244 990 334 533 Other revenue 1 136 - 4 032 - - Revenue 75 704 71 900 260 197 244 990 334 533 Cost of sales (39 524) (38 969) (146 351) (139 049) (194 958) Payroll expenses (
Slide 21: Balance sheet
Balance sheet NOK’000 30-09-2020 31-12-2019 ASSETS Deferred tax asset 18 749 19 644 Intangible assets and goodwill 113 876 144 863 Property, plant and equipment 43 702 50 635 Other short-term receivables 36 000 - Non-current assets 212 327 185 142 Inventories 8 550 5 869 Contract assets 40 513 44 58
Slide 22: Cash flow
Cash flow NOK’000 Q3 2020 Q3 2019 YTD 2020 YTD 2019 FY 2019 CASH FLOW FROM OPEARTING ACTIVITIES Profit/loss for the period (11 918) (110) (15 321) 7 532 (9 617) Adjustments for: Tax expense / Tax income 52 322 947 1 092 1 407 Depreciation, amortisation, impairment 3 441 3 581 9 714 9 953 14 002- Rev
Slide 23: Equity
Equity Changes in equity Shareholders as of 30 September 2020 NOK’000 Share capital Share Other paid-in Retained Total equity Number of % of premium capital earnings shares total Equity 01.01.2019 52 000 - - (48 293) 3 707 HANDELAND INDUSTRI AS 61 325 000 21,7 % Business combination (49 874) 178 643
Slide 24: Endúr ASA and Covid-19
Endúr ASA and Covid-19 The Group’s performance is affected by the global economic Moreover, as a result of the Covid-19 situation, national authorities conditions in the market in which it operates. The global economy have adopted several laws and regulations with immediate effect and has been exper