Ocean Yield ASA

Ocean Yield ASA — Q2 2014 Earnings Presentation

15 slides from Ocean Yield ASA's earnings presentation, Jul 11, 2014

  1. Slide 1: Second Quarter 2014 Presentation

    Second Quarter 2014 Presentation 11 July 2014

  2. Slide 2: Second quarter 2014 highlights

    Second quarter 2014 highlights Increased dividend on the back of substantial contract backlog and visible growth from committed projects – Increase of 0.5 cents versus last quarter – 4.0% dividend growth quarter on quarter – USD 0.52 per share annualized (Dividend yield of 8.03% p.a.) EBITDA was USD

  3. Slide 3: Liquified Ethylene Gas Carriers – 3 newbuilds

    Liquified Ethylene Gas Carriers – 3 newbuilds Vessel: 3 Liquified Ethylene Gas (LEG) Carriers newbuilds Yard cost: ~USD 243 million (total for the three vessels) Yard: Sinopacific Offshore & Engineering, China Delivery: August/October/December 2016 Charter: «Hell and High water» bareboat charter Ter

  4. Slide 4: Höegh PCTCs 4900 CEU

    Höegh PCTCs 4900 CEU – Delivered to Ocean Yield in Q2 2014 Vessel and charter Vessel: Höegh Beijing and Höegh Xiamen Type: PCTC’s, 4900 car capacity Investment: ~USD 90 million Charter: «Hell and High water» bareboat charter Built: 2010 Yard: Xiamen Shipbuilding Industry Co. Ltd Charterer: Höegh Aut

  5. Slide 5: Successful delivery of first newbuilding car carrier

    Successful delivery of first newbuilding car carrier Delivered from DSME Mangalia on April 30th 2014 Commenced 12 year bareboat charter to Höegh Autoliners from delivery Capacity of 6,500 cars Increased contribution towards EBITDA in Q3 2014 compared to Q2 2014 Sister vessel due for delivery end of

  6. Slide 6: New credit facility established for financing of six car carriers

    New credit facility established for financing of six car carriers USD 250 million term loan and revolving credit facility Maturity in August 2021 Margin of LIBOR + 2.25% p.a. Repayment profile of 14 &15 years Revolving credit element provides further flexibility on cash management Reduced margins fr

  7. Slide 7: Reduced funding cost in the bond market

    Reduced funding cost in the bond market OCY 01 – 2012/2017 – NOK 600 million loan – NIBOR + 6.50 % p.a. – Repurchased NOK 462.5 million – Remaining NOK 137.5 million callable from July 2014 at 106% OCY 02 – 2014/2019 – NOK 600 million – with option to tap NOK 400 million – NIBOR + 3.90% p.a. – Tradi

  8. Slide 8: USD 2.0 billion in contracted EBITDA with strong sector diversification

    USD 2.0 billion in contracted EBITDA* with strong sector diversification Contracted EBITDA per segment 0% 12 % EBITDA Charter backlog per segment Subsea vessels USD 561 million 28 % FPSO USD 462 million 15 % Car carriers USD 436 million Gas carriers USD 315 million AHTS USD 240 million 22 % 23 % Sei

  9. Slide 9: Development in EBITDA and net profit

    Development in EBITDA and net profit EBITDA per quarter (USDm) 48.8 50.6 55.6 52.7 53.2 55.4 38.8 38.1 39.4 Delivery of vessels Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2012 2013 2014 should add about Net profit per quarter (USDm) $15 Mill to quarterly EBITDA 28.6 19.9 19.1 26.5 vs. Q2 2014* 17.1 17.1 11.7 12.1 1

  10. Slide 10: Net Profit / Dividend per share

    Net Profit / Dividend per share Dividend Yield Net profit per share, annualized basis (USD) 0.79 0.85 0.57 0.51 8.03 %* p.a Q3 Q4 Q1 Q2 2013 2013 2014 2014 Payout ratio on Dividend per share, annualized basis (USD) adjusted Earnings +4% Per Share** 0.48 0.49 0.50 0.52 Q3 2013 Q4 Q1 2014 Q2 66 % *As

  11. Slide 11: P&L Income statement

    P&L Income statement Comments Operating Expenses: Lower 2nd Quarter 2nd Quarter First Half First Half than budgeted in Q2 related Amounts in USD million 2014 2013 2014 2013 to the FPSO Dhirubhai-1 Operating revenues 62.1 60.0 121.8 116.6 Financial Expenses: One-off Vessel operating expenses (3.5) (3

  12. Slide 12: Net profit after tax adjusted for non-recurring items

    Net profit after tax adjusted for non-recurring items Adjustments Comments 1st Quarter 2nd Quarter Amounts in USD million 2014 2014 Profit after tax 28.6 17.1 - One-off adjustment to Financial Income (11.5) - - One-off adjustment to Financial Expenses 6.0 5.9 Accounting effect of financing of car ca

  13. Slide 13: Balance sheet

    Balance sheet Balance sheet 30 June 30 June 30 June 30 June Amounts in USD million 2014 2013 Amounts in USD million 2014 2013 Total equity 707.1 522.0 ASSETS Vessels and equipment 1 366.4 1 307.3 Interest-bearing debt 811.5 838.7 Intangible assets 38.3 38.3 Deferred tax liabilities 1.0 1.3 Deferred

  14. Slide 14: Ocean Yield – Summary and outlook

    Ocean Yield – Summary and outlook Declared increased quarterly dividend of 13.0 cents per share Delivery of three more vessels to the fleet Committed USD 333 million in new investments during the quarter Reduced funding cost both in the bank and bond markets EBITDA and net profit growth from committ

  15. Slide 15: July 14

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