Gaztransport & Technigaz Sa · EURONEXT:GTT
Gaztransport & Technigaz Sa — Q3 2023 Earnings Presentation
22 slides from Gaztransport & Technigaz Sa's earnings presentation, Oct 25, 2023
Slide 1: Q3 2023 Activity update
Q3 2023 Activity update TECHNOLOGY FOR A SUSTAINABLE WORLD 25 October 2023
Slide 2: Disclaimer
Disclaimer This presentation does not contain or constitute an offer of securities for sale or an invitation or inducement to invest in securities in France, the United States or any other jurisdiction. It includes only summary information and does not purport to be comprehensive. No representation,
Slide 3: 9M 2023 Key Highlights: very dynamic activity and strong visibility
9M 2023 Key Highlights: very dynamic activity and strong visibility Key figures Services • Core business – 53 new orders in 9M 2023 • Digital services activity intensifies: signing of new (+10 in Q3 2023) major contracts • LNG as a fuel – 15 new orders in 9M 2023 Elogen (+15 in Q3 2023) • Winning pa
Slide 4: 9M 2023 orderbook: strong commercial momentum continues
9M 2023 orderbook: strong commercial momentum continues Order book Dec. 2022 9M new orders 9M deliveries Order book Sept. 2023 LNGC 256 +52 (21) 287 VLEC 4 - (2) 2 FSRU 1 - - 1 FSU 2 - (2) 0 FLNG 0 +1 - 1 Onshore 11 - - 11 (25) GTT order book movements +53 Providing (core business) visibility over t
Slide 5: Growth drivers
Dynamic LNG Carrier demand driven by a combination of growth drivers LNG Carriers LNG Natural Gas Longer routes from US to Asia Replacement market: Pipe-to-LNG switch: switch from old to new flexibility, security of vessels driven by an supply and reduced ageing fleet and dependency increasingly str
Slide 6: Numerous US projects in line for FID
Numerous US projects in line for FID VOLUME Contracted PROJECT COUNTRY OPERATOR Comments (Mtpa) (SPA) Plaquemines Phase 2 US Venture Global 7 FID in Q1 23 Port Arthur US Sempra 13 FID in Q1 23 FIDs / sanctioned Gabon FLNG Gabon Perenco 0.7 C.56 FID in Q1 23 in 2023 Altamira FLNG US NFE 1.4 Mtpa FID
Slide 7: Requirements for under construction plants: numerous LNGCs still to be ordered
Requirements for under construction plants: numerous LNGCs still to be ordered According GTT’s analysis, market still Startup Contracted requires at least 85 more LNGCs for Project Location date capacity LNGC requirements contracted supply of LNG plants under (Mtpa) Tangguh Phase 2 Indonesia 2023 3,
Slide 8: Three drivers accelerating replacement: ageing fleet, economics, environmental regulation
Three drivers accelerating replacement: ageing fleet, economics, environmental regulation …MAINLY EQUIPPED WITH OLDER … LESS PERFORMING BOIL OFF… AN AGING FLEET OF LNGC… ENGINE TECHNOLOGIES… 60 # LNGCs deliveries 50 40 Modern 30 MEGI/XDF technologies 20 ST 196; 31% (Boil Off≤0,125%/d) 229; 36% 10 26
Slide 9: LNG as fuel: the only solution already available to reduce emissions
LNG as fuel: the only solution already available to reduce emissions 15 NEW ORDERS BOOKED IN Q3 23 LNG as a fuel is a must have - Total order book reaches 84 LNG fuel vessels - To enable ship-owners to remain profitable on an increasingly competitive market: increase vessels energy performance - Mor
Slide 10: Innovation: new AiPs and a JDP for alternative fuels
Innovation: new AiPs and a JDP for alternative fuels 1 JDP WITH ABS AND DHT 3 AIPS FROM ABS FOR HOLDINGS INC. FOR VLCC ALTERNATIVE FUELS DESIGN OPTIMISATION • LNG dual-fuel Suezmax tanker Optimising VLCC design and total concept cost of operation thanks to the analysis of: • LNG dual-fuel Very Large
Slide 11: Digital Solutions: Q3 2023 key commercial successes
Digital Solutions: Q3 2023 key commercial successes SMART SHIPPING WEATHER ROUTING FLEET PERFORMANCE New contract to equip GasLog’s New contract to equip with Service contract for the 35 LNG carriers with Ascenz Ascenz Marorka Weather routing maintenance and operation of Marorka "Smart Shipping" sol
Slide 12: ELOGEN - 2 x 2.5 MW electrolysers for mobility projects in Korea
ELOGEN - 2 x 2.5 MW electrolysers for mobility projects in Korea • First two contracts within collaboration agreement signed with Valmax • Two 2.5 MW PEM electrolysers with production capacity of up to 1t of H2 per day and per electrolyser at 99.999% purity • Mobility projects, respectively in the G
Slide 13: GTT Strategic Ventures: investing for a sustainable world
GTT Strategic Ventures: investing for a sustainable world GTT Strategic Ventures in a nutshell 3 investments as of today: Launched in the second half of 2022 GTT’s vehicle to take minority ownerships Sept. 22 in innovative start-ups, whose innovations Dec. 22 Sept. 23 have the potential to con
Slide 14: 9M 2023 Consolidated Revenues
9M 2023 Consolidated Revenues SUMMARY REVENUES KEY HIGHLIGHTS in €m 9M 2022 9M 2023 Change (%) 9M 2023 Revenue growth (+35.1% vs 9M 2022) Total Revenues 222.0 300.0 +35.1% - Revenues from newbuilds (royalties): Newbuilds 200.4 272.6 +36.0% • €272.6 million, +36% / +€ 72.2 m vs 9M 22 % of revenues 90
Slide 15: 2023 Outlook
2023 Outlook On February 16, 2023, the Group published the following outlook for 2023: Revenue 2023 consolidated revenue estimated in a range of €385M to €430M Taking into account the absence of significant delays in ships construction schedules during the first 9M EBITDA 2023 consolidated EBITDA es
Slide 16: Appendices
Appendices
Slide 17: GTT's Strategic roadmap
GTT’s Strategic roadmap TOWARDS A ZERO-CARBON FUTURE Transformation • Transportation of LH2 • Electrolysers • Carbon capture • NH3 compatibility • Gas management technologies (Recycool™) Consulting & Improvement of GTT systems: - NO96 Super+ optimisation - Mark III Flex+ • Digital solutions - Energy
Slide 18: An attractive business model supporting high cash generation
An attractive business model supporting high cash generation Invoicing and revenue recognition Business model supports high cash generation % of contract (1) Revenue is recognized pro-rata temporis c. 9 to12 months c. 18 months Delivery between construction milestones 10000 studies royalties Initial
Slide 19: LNG demand: strong growth expected by 2040
LNG demand: strong growth expected by 2040 LNG DEMAND OUTLOOK LNG SUPPLY/DEMAND BALANCE 800 CAGR 2023-2040: 2.6-3.5%/y 800 BP New Momentum CENTRAL 700 Shell 700 SCENARIOS Wood Mackenzie 600 600 Supply/Demand Gap c.180-275 Mtpa BP Accelerated NET ZERO 500 COMMITMENT 500 IEA Stated Policies SCENARIOS(
Slide 20: LNG prices softening
LNG prices softening Spot LNG prices reach a two-year low • Europe storage almost full • Prices trading in the $10-15/Mmbtu area SPOT LNG & GAS PRICES • High storage level, population behaviour, new FSRUs and increased LNG flows have enabled to Ukraine Russia war avoid the price levels observed last
Slide 21: LNG fuel – A well established industry
LNG fuel – A well established industry LNG fuel Methanol fuel c.650 LNGC Fleet in service c.47 large 30 containerships First vessel in operation 1960 2015 Largest engine installed 96MW 24MW 39 in service 0 in service # ports with bunker vessels 13 under construction 1 under construction Total LNG/Me
Slide 22: Glossary
Glossary The following abbreviations have been used throughout this document BOR Boil Off Rate FSU Floating Storage Unit MEGI M-type, Electronically Controlled Gas Injection APAC Asia-Pacific GBS Gravity Based Structure Mtpa Million tons per annum CAGR Compound Annual Growth Rate GHG Greenhouse Gase
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