Eimskipafelag Islands Hf. · OMXICE:EIM
Eimskipafelag Islands Hf — Q3 2012 Earnings Presentation
27 slides from Eimskipafelag Islands Hf's earnings presentation, Nov 30, 2012
Slide 1: Third quarter financial results 2012
30 November 2012 Third quarter financial results 2012
Slide 2: Agenda
Agenda 1. Highlights 2. Financial results Q3 and 9M 3. Outlook 4. Q&A
Slide 3: Highlights
Highlights Third quarter and nine months Operating revenue EBITDA Net earnings Q3 EUR 110.7 million EUR 10.8 million EUR 5.7 million 9M EUR 308.8 million EUR 29.9 million EUR 13.7 million 3
Slide 4: Business segments
Business segments Liner services in the North-Atlantic and international forwarding services Liner services and other operations Forwarding services • The core of the company‘s • Port operations • Main focus on reefer forwarding operations • Chilled and cold storages • Efficient system based on a •
Slide 5: Transported volume
Transported volume Liner services and reefer forwarding Liner services Reefer forwarding 20% 20% 15% 15% 14,1% 10% 6,3% 5,1% 10% 5% 0% 5% 4,4% -0,6% -5% 0% -10% -5% -15% -5,4% -15,0% -7,4% -20% -10% 2009 2010 2011 9M 2012 2009 2010 2011 9M 2012 5
Slide 6: Freight index China - Europe
Freight index China - Europe Fluctuations in pricing from the big carriers China - Europe 2000 Revenue 1648 1652 Cost 1500 1392 1294 1296 1100 1000 893 872 773 580 500 0 Source: www.shippingchina.com 6
Slide 7: Operating revenue by segments
Operating revenue by segments Liner services and forwarding services Operating revenue 9M 2012 9M 2011 Revenue Cost 28% 29% 72% 71% Liner services Forwarding services Liner services Forwarding services 7
Slide 8: Operating profit, EBITDA, by segments
Operating profit, EBITDA, by segments Liner services and forwarding services EBITDA 9M 2012 9M 2011 Revenue Cost 13% 15% 87% 85% Liner services Forwarding services Liner services Forwarding services 8
Slide 9: Geographical split of operating revenue
Geographical split of operating revenue Half of the operating revenue is related to Iceland Operating revenue 9M 2012 2011 Revenue Cost 4% 3% 13% 14% 12% 49% 12% 49% 10% 11% 12% 10% Iceland Faroe Islands Norway Europe Asia Other Iceland Faroe Islands Norway Europe Asia Other 9
Slide 10: Shareholders of Eimskip
Shareholders of Eimskip 20 largest shareholders Changed ownership following IPO Name Shares • Eimskip’s shares started trading at 1. Yucaipa American Alliance Fund II, LP 30,504,030 15.25% 2. Lífeyrissjódur verzlunarmanna 29,135,070 14.57% NASDAQ OMX Iceland on 16 3. Landsbanki Íslands hf. 20,792,32
Slide 11: Agenda
Agenda 1. Highlights 2. Financial results Q3 and 9M 3. Outlook 4. Q&A
Slide 12: Income statement
Income statement Stable operations Income statement EUR '000 Q3 2012 Q3 2011 9M 2012 9M 2011 • Revenue from liner services and other operations account for 72% of revenues and 28% come from forwarding services Revenue 110,744 98,053 308,822 284,590 • Revenue increased by 8.5% for the first nine mont
Slide 13: Normalized EBITDA
Normalized EBITDA Significant one-off items EBITDA bridge 2011-2012 • In 9M 2011 EBITDA amounted to EUR 34.6 million, but two 40 one-off items had a material impact on the EBITDA 35 (6.4) – Collection of a claim in the amount of EUR 6.4 million, which had 30 0.7 0.7 1.7 previously been written off,
Slide 14: Operating revenue and EBITDA by quarters
Operating revenue and EBITDA by quarters Adjusted for one-off items Operating revenue by quarters EBITDA by quarters 120 14 12 100 10 80 8 60 6 40 4 20 2 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2010 2011 2012 2010 2011 2012 EUR million EUR million 14
Slide 15: Solid balance sheet and low leverage
Solid balance sheet and low leverage 62.8% equity ratio Balance sheet EUR '000 30.09.2012 31.12.2011 Non-current assets 204,436 176,946 • Increase in non-current assets due to investments in vessels and other operating assets Current assets 98,641 106,278 • Equity ratio 62.8% at the end of September
Slide 16: Financial ratios
Financial ratios Net debt / EBITDA Net debt and equity ratio 1,0 50.000 100% Net debt 90% Equtiy ratio 0,8 40.000 80% 70% 0,6 30.000 60% 50% 44,361 0.86 20.000 40% 0,4 33,245 0.57 21,895 30% 0.43 18,689 0,2 10.000 20% 10% 0,0 0 0% 2010 2011 9M 2012 2009 2010 2011 9M 2012 EUR ‘000 16
Slide 17: Strong cash flow and cash position
Strong cash flow and cash position Decreased cash due to investments in vessels Cash flow Cash flow bridge 2012 EUR '000 Q3 2012 Q3 2011 9M 2012 9M 2011 80 70 Cash flows from operations 7,333 5,271 24,123 13,969 60 24.1 (22.9) 50 Investing activities (6,308) (10,888) (38,784) (18,894) 40 (15.9) 8.7
Slide 18: CAPEX 2010-2012
CAPEX 2010-2012 CAPEX affected by vessel investments CAPEX 25 Revenue Total investments Maintenance investments Cost 20 15 10 5 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2010 2010 2010 2010 2011 2011 2011 2011 2012 2012 2012 18
Slide 19: Agenda
Agenda 1. Highlights 2. Financial results Q3 and 9M 3. Outlook 4. Q&A
Slide 20: Liner services
Liner services Main focus on the North-Atlantic • Focus on serving the home market with 17 vessels – Liner vessels (12) – Bulk vessels (2) – „Spot“-services (3) • Seafood represents a substantial part of total cargo in Eimskip’s liner services • New liner route connecting Northern Norway with other
Slide 21: Liner services and home market
Liner services and home market 21
Slide 22: Factors influencing Eimskip's operations
Factors influencing Eimskip’s operations Many positive factors can increase the company’s operating performance • The purchase of the Ice Sisters and two new container vessels Influencing factors will increase Eimskip’s EBITDA – Decreases leasing payments and operation will become more EBITDA effici
Slide 23: Current outlook
Current outlook Eimskip is working on several projects to strengthen its position • Continuing optimization of the liner services • Improved sharing of information and efficiency towards customers • Strengthening the new route between Norway and North-America • Transported volume to Iceland is still
Slide 24: Agenda
Agenda 1. Highlights 2. Financial results Q3 and 9M 3. Outlook 4. Q&A
Slide 25: Q&A
Q&A 25
Slide 26: Disclaimer
Disclaimer Information contained in this presentation is based on sources that Eimskipafélag Íslands hf. (“Eimskip“ or the ”Company“) considers reliable at each time. Its accuracy or completeness can however not be guaranteed. Copyright of information contained in this presentation is owned by Eimsk
Slide 27: Cool choice in logistics
COOL CHOICE IN LOGISTICS
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