Slide 1: 4Q 2015
4Q 2015 Fornebu, February 12, 2016 Luis Araujo and Svein Stoknes
Slide 2: Agenda | 4Q 2015
Agenda | 4Q 2015 Introduction Luis Araujo Chief Executive Officer Financials Svein Stoknes Chief Financial Officer Q&A Session Public © 2016 Aker Solutions Fourth-Quarter and Annual Results 2015 February 12, 2016 Slide 2
Slide 3: Key Developments
Key Developments ■ Major projects progress as planned ■ Order backlog steady at NOK 40 billion ■ Order intake of NOK 6.4 billion, helped by MMO contracts in Norway and the UK ■ Solid financial position with liquidity buffer of NOK 9 billion ■ Capacity adjustments amid market slowdown ■ Earnings impa
Slide 4: Key Figures | 2015
Key Figures | 2015 Revenue and EBIT Order intake and backlog NOK billion NOK billion Revenue EBIT Intake Backlog 34 2.5 60 33 50 2 32 31.9 40 31 1.5 39.7 30 30 1 29 20 1.0 22.8 28 0.5 10 27 26 0 0 2012 2013 2014 2015 2012 2013 2014 2015 2012 2013 2014 2015 Public © 2016 Aker Solutions Fourth-Quarter
Slide 5: Key Figures | 4Q 2015
Key Figures | 4Q 2015 Revenue and EBIT Order intake and backlog NOK billion NOK billion Revenue EBIT Intake Backlog 10 0.8 10 50 Reported Excl. special items 0.7 9 8 0.6 8 40 7.9 0.5 7 39.7 6 0.4 6 30 6.4 0.3 5 4 0.2 4 20 0.1 3 2 0 2 10 -0.1 -0.2 1 0 -0.2 0 0 4Q 1Q 2Q 3Q 4Q 4Q 1Q 2Q 3Q 4Q 4Q 1Q 2Q 3
Slide 6: Health, Safety and Environment: A Top Priority
Health, Safety and Environment: A Top Priority HSE Performance Indicators 4.50 Sick leave TRIF 4.00 LTIF 3.50 3.00 2.83 2.50 2.00 1.50 1.34 1.00 0.50 0.49 0.00 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Public © 2016 Aker Solutions Fourth-Quarter and Annual Results 2015 February 12, 2016 Slid
Slide 7: One Global Improvement Program – #thejourney
One Global Improvement Program – #thejourney Targeting minimum 30 percent improvement in cost-efficiency across the business. Simplify products and services On-time, reliable deliveries Simplify geographic footprint Improved efficiency and quality Simplify organization Reduced project & product cost
Slide 8: Outlook
Outlook ■ Market uncertainty persists amid concern over capital, oil prices ■ Tougher commercial environment ■ Steady tendering in main markets, though seeing projects postponed ■ Norway market sluggish over next year ■ Decreasing break-even costs may spur project sanctions ■ Healthy order backlog a
Slide 9: Agenda | 4Q 2015
Agenda | 4Q 2015 Introduction Luis Araujo Chief Executive Officer Financials Svein Stoknes Chief Financial Officer Q&A Session Public © 2016 Aker Solutions Fourth-Quarter and Annual Results 2015 February 12, 2016 Slide 9
Slide 10: 4Q 2015 | Consolidated Income Statement
4Q 2015 | Consolidated Income Statement ■ Revenue for 4Q 2015 down 14% versus 4Q last year, reflecting a challenging NCS market ■ Underlying 4Q 2015 EBITDA reached NOK 695 million, a margin of 8.9% versus 9.6% a year earlier (NOK million) 4Q 2015 4Q 2014 2015 2014 Operating revenue and other income
Slide 11: 4Q 2015 | Cashflow and Financial Position
4Q 2015 | Cashflow and Financial Position ■ Strong 4Q 2015 cashflow from operations of NOK 1,595 million, helped by favourable net working capital (NCOA) development on project progress and working capital initiatives ■ Continue to see NCOA moving over time towards more normalized level of NOK 1.5-2
Slide 12: Subsea
Subsea ■ Project execution according to plan ■ 4Q 2015 order intake down year-on-year to ■ 4Q 2015 revenue down 13% vs. last year to NOK 4.8 NOK 1.3 billion, equivalent to 0.3 book-to- billion bill ■ 4Q 2015 EBIT margin decreased to 1.5% from 7.6% ■ End 4Q 2015 order backlog was down 33% a year earl
Slide 13: Field Design
Field Design ■ Impacted by continued activity slowdown on the NCS ■ 4Q 2015 order intake was up year-on-year ■ 4Q 2015 revenue down 14% vs. last year to NOK 3.2 to NOK 5.1 billion, equivalent to 1.6 book- billion to-bill ■ 4Q 2015 EBITDA margin of 0% due to restructuring ■ End 4Q 2015 order backlog
Slide 14: Good Visibility From Substantial Order Backlog
Good Visibility From Substantial Order Backlog1 4Q 2015 Order backlog by execution date Order backlog and intake evolution NOK billion NOK billion 48.3 48.3 20 60 44.0 40.7 39.7 50 12.1 40 10 7.1 30 3.0 0.3 20 9.0 7.4 6.4 6.2 4.0 4.5 3.4 0 2.2 3.1 10 2016 2017 2018 2019→ 0 Potential additional reven
Slide 15: Financial Guidance
Financial Guidance Revenue Balance sheet Positive long-term offshore, deepwater Maintenance capex/R&D ≈ 3% of revenue outlook Current major capex investment plans to be Near-term uncertainty on timing of awards finished in 2016 Aim to at least maintain market share in Working capital: li
Slide 16: Agenda | 4Q 2015
Agenda | 4Q 2015 Introduction Luis Araujo Chief Executive Officer Financials Svein Stoknes Chief Financial Officer Q&A Session Public © 2016 Aker Solutions Fourth-Quarter and Annual Results 2015 February 12, 2016 Slide 16
Slide 17: Additional information
Additional information 4Q 2015
Slide 18: Special items
Special items NOK million Special items (EBITDA) 1Q 2015 2Q 2015 3Q 2015 4Q 2015 YTD 2015 Onerous lease cost1 52 58 40 114 265 Restructuring cost2 0 2 41 373 416 Non-qualifying hedges 18 36 25 15 94 Demerger and other costs 4 4 4 11 22 Special items (EBIT) Impairment losses3 26 3 11 123 163 Total 10
Slide 19: Consolidated income statement
Consolidated income statement NOK million Income statement consolidated 1Q 2014 2Q 2014 3Q 2014 4Q 2014 FY 2014 1Q 2015 2Q 2015 3Q 2015 4Q 2015 FY 2015 Operating revenue and other income 7,482 8,060 8,274 9,155 32,971 8,500 8,048 7,484 7,864 31,896 EBITDA 666 608 615 786 2,675 591 547 521 182 1,841
Slide 20: Consolidated assets & debt and equity
Consolidated assets & debt and equity NOK million Assets 4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015 3Q 2015 4Q 2015 Property, plant and equipment 3,072 3,067 3,180 3,203 3,603 3,586 3,754 3,792 3,962 Intangible assets 5,524 5,585 5,731 5,810 6,143 6,238 6,388 6,518 6,539 Financial asset
Slide 21: Consolidated cashflow
Consolidated cashflow NOK million Cash flow FY 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014 FY 2014 1Q 2015 2Q 2015 3Q 2015 4Q 2015 FY 2015 EBITDA continuing operations 2,162 623 587 617 785 2,675 591 547 521 182 1,841 Change in cash flow from operating activities 497 (1,510) 1,239 (968) 1,271 (30) (1,005)
Slide 22: Split per segment
Split per segment NOK million Revenues 1Q 2014 2Q 2014 3Q 2014 4Q 2014 FY 2014 1Q 2015 2Q 2015 3Q 2015 4Q 2015 FY 2015 Subsea 4,105 4,672 5,054 5,461 19,293 5,077 4,820 4,452 4,752 19,101 Field Design 3,404 3,408 3,210 3,688 13,710 3,467 3,293 2,990 3,170 12,920 Other 21 31 62 90 205 41 50 104 79 27
Slide 23: Split per segment
Split per segment NCOA 1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 2Q 2015 3Q 2015 4Q 2015 Subsea 1,322 327 742 (332) 18 724 611 (472) Field Design 275 250 532 71 212 54 (238) (861) Other (105) (241) (394) (427) (140) (122) (58) (275) NCOA 1,492 336 880 (688) 90 656 315 (1,607) Net capital employed 1Q 2
Slide 24: Copyright and Disclaimer
Copyright and Disclaimer Copyright Copyright of all published material including photographs, drawings and images in this document remains vested in Aker Solutions and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any for