Slide 1: Exmar General Assembly 16th May 2017
EXMAR GENERAL ASSEMBLY 16th May 2017 Innovation: Our Source of Energy
Slide 2: Disclaimer
DISCLAIMER About this presentation “This presentation (the “Presentation”) has been produced by EXMAR NV (“EXMAR” or the “Company”). By attending a meeting where this Presentation is presented, or by reading the Presentation slides, the reader or the recipient, as the case may be, (the “Recipient”)
Slide 3: Executive Summary
& EXECUTIVE SUMMARY
Slide 4: Executive summary and situation overview
EXECUTIVE SUMMARY AND SITUATION OVERVIEW EXMAR’s business areas are performing well, but the company is facing near- term uncertainties LPG fleet performing despite deteriorating market conditions thanks to solid contract portfolio with 1st class LPG and LNG business customers and operations areas
Slide 5: Highlights 2016 – May/2017
HIGHLIGHTS 2016 – May/2017 Delivery of MGC KNOKKE (3/2016), KONTICH (8/2016) , KORTRIJK (12/2016) and KALLO (3/2017) June 2016: acquisition of Wah Kwong 50% share in the 10 Pressurized vessels January 2017: Sale of MGC BRUGGE VENTURE (1997) LPG May 2017: One MGC NB (38,000m³) ordered (resale
Slide 6: Exmar at a glance
EXMAR AT A GLANCE Key metrics (proportional consolidation) Fleet list (owned vessels) at 5th May 2017 Market capitalization: EUR ~340m Revenue (2016): USD 278m 4 EBITDA (2016): USD 116,5m (*) 2 Total assets (2016): USD 1,326m Equity ratio (2016): 32.6% 1 Net Debt / EBITDA (2016): 4.8x 1
Slide 7: Business overview
EXMAR BUSINESS OVERVIEW EBITDA by segment 51% 48% (2016) Niche position in LPG, LNG transportation, Provides innovative In-house engineering chemical gases and liquefaction, storage and solutions in the field of departments in Antwerp, ammonia transportation regasification offshore oil & gas
Slide 8: LPG: Innovation and Partnership
EXMAR LPG: Innovation and Partnership
Slide 9: LPG Shipping
EXMAR LPG SHIPPING Business approach Key Financials1) Clients Niche position in LPG, ammonia and LPG (USDm) 2015 2016 Q1/2017 chemical gases transportation Turnover 124.5 109.4 22.5 EBITDA 51.3 56 8.5 Focus on midsize carriers *REBITDA 51.4 41.7 8.5 Long-term relationships with blue-chip EBIT
Slide 10: LPG Activities
EXMAR LPG ACTIVITIES Owner/Operator of LPG carriers Fleet of 33 LPG carriers (owned and time-chartered) Transportation of LPG, chemical gases and ammonia 21 LPG/NH³ midsize (28,000 - 38,000 m³) and 1 semi-ref LPG carrier Flexible commercial proposition in JV with Teekay LNG Partners Time-cha
Slide 11: Highlights and Outlook
Highlights and Outlook Midsize fleet Pressure from the larger vessels’ segments combined with a steady flow of newbuilding deliveries explains the downward correction, which the Midsize segment has incurred since the start of the year. A certain floor on hire levels seems to have been reached 70
Slide 12: LPG market outlook
LPG market outlook MGC orderbook being absorbed and rates set for recovery A high level of vessel deliveries has been putting pressure on MGC charter rates MGC rates, however, the orderbook relative to the existing 1,200 fleet has come down to around 20% after peaking at over 1,000 50% in early 20
Slide 13: LNG - Creating value through the LNG value chain
EXMAR LNG - Creating value through the LNG value chain
Slide 14: LNG Shipping & LNG Infrastructure
EXMAR LNG SHIPPING & LNG INFRASTRUCTURE Business approach Key Financials1) Clients LNG (USDm) 2015 2016 Q1/2017 Customized service with significant Turnover 88.7 91.5 18.7 added value EBITDA 39.4 59.4 9.7 Investments with long-term time- *REBITDA 53.1 50.4 9.7 charter contracts EBIT 20.9 41 5.0
Slide 15: LNG Asset Overview
LNG ASSET OVERVIEW Commitment overview of a diverse and high-quality portfolio Existing LNG & FSRU fleet has an average remaining firm charter duration of ~ 10 years, generating a yearly EBITDA of ~USD 55m EXCEL commenced a 3 months’ Time- Charter at the end of March with extension options until
Slide 16: FSRU Barge on a stand alone basis
FSRU BARGE ON A STAND ALONE BASIS Expected Delivery in Q3 2017, cost efficient and tailored Buffer storage of 26,230 m³, Proven technologies and low High availability for 20 years provide sufficient margin operational expenses continuous send out Newest technologies for power and Low permanent fixed
Slide 17: Exmar and Floating Regasification
EXMAR AND FLOATING REGASIFICATION Established player always working on innovative solutions Pioneered floating regasification solutions, introduced world’s first FSRU in 2005 Currently operating 10 FSRUs 1 barge-based FSRU under construction, still commercially available Unrivalled track rec
Slide 18: FSRU market outlook
FSRU market outlook Limited new ordering and an increased LNG supply positive for the FSRU market The FSRU orderbook is limited, with only four uncommitted FSRU fleet units scheduled to be delivered between 2017 and 2020 Höegh LNG Golar LNG In 2016, six FSRU projects were awarded and three to si
Slide 19: Caribbean FLNG – Current Status
CARIBBEAN FLNG – CURRENT STATUS FLNG to be delivered in June / July 2017, financing secured and employment discussions in advanced stages Delivery set to take place in June / July 2017 Delivery of the unit is expected in June / July 2017 The balance purchase price (~ USD 200m) is due at delive
Slide 20: FLNG – a promising market
FLNG – a promising market Big potential for unlocking stranded gas reserves Arctic West Europe and Remote locations Mediterranean Rim North America Stranded gas Unconventional gas production South East Asia Stranded gas and rapidly Middle East growing consumption in cities Significant rese
Slide 21: Offshore - Finding the answer before the question's asked
EXMAR OFFSHORE - Finding the answer before the question’s asked
Slide 22: Offshore
EXMAR OFFSHORE Business approach Key Financials1) Clients Offshore (USDm) 2015 2016 Q1/2017 Provides engineering and design Turnover 74.5 52.4 7.9 services, asset leasing and operating EBITDA 8.6 -0.8 -2.6 and management services REBITDA 10.3 -1.7 -2.6 Cost effective approach with EBIT 4.4 -3.6
Slide 23: Exmar's Activities in the Offshore Sector
EXMAR’s ACTIVITIES IN THE OFFSHORE SECTOR Build, own, operate model Services Owned assets: 2 accommodation barges. Discussing Pre-Operations Engineering consolidation opportunities Marine and Maintenance Services Development of FPSO’s and FSO’s Operational Services Development of semi-su
Slide 24: Supporting Services - The power of innovation
SUPPORTING SERVICES - The power of innovation
Slide 25: Exmar's Supporting Services
EXMAR’s SUPPORTING SERVICES Key Financials1) Exmar Ship Management Travel Plus Specialized in quality ship Service-oriented travel agency based Supporting Services 2015 2016 Q1/2017 management & related services to in Antwerp specialized in both in Turnover 49.2 46.3 10.3 asset owners business a
Slide 26: Key Figures
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Slide 27: Financial Highlights
FINANCIAL HIGHLIGHTS 2015 2016 Q1/2017 Comments (In USD millions unless otherwise stated) LPG: Strong performance in 2016 in a weakening market, thanks to a solid Operating Income 315.3 305.9 59.3 contract portfolio. USD 14.3m non- EBITDA 99.5 116.5 14.6 cash profit recognized on the acquisition o
Slide 28: Outlook 2017
OUTLOOK 2017 LNG Delivery of the Caribbean FLNG in Q2/2017 and FSRU barge before year end. Discussions on employment are progressing but no revenue expected before early 2018 All LNG assets contracted on long term with the exception of the EXCEL LPG Strong cover ratio of the fleet but softer s
Slide 29: Investment Highlights
INVESTMENT HIGHLIGHTS Industry leader Innovator and world market leader in floating liquefaction (FLNG) and floating regasification (FSRU) within LNG and LPG shipping World class reference in LPG shipping with blue-chip customers Strong cash flow LNG fleet has an average remaining firm charter
Slide 30: Thank you for your attention
Thank you for your attention © EXMAR, all rights reserved 30