Anton Oilfield Services Group · HKEX:3337
Anton Oilfield Services — H1 2018 Earnings Presentation
23 slides from Anton Oilfield Services's earnings presentation, 2018
Slide 1: 2018 Interim Results Announcement
2018 Interim Results Announcement
Slide 2: Disclaimer
Disclaimer • This document is prepared by Anton Oilfield Services Group (“the Company”) only for its corporate communications and general reference, and may not be copied or forwarded to any person without the permission of the Company. This document does not constitute any recommendation or invitat
Slide 3: 2018 Interim Results Summary, 2H 2018 Outlook, Q&A
2018 Interim Results Summary 2H 2018 Outlook Q&A
Slide 4: 2018 Interim Result Summary
2018 Interim Result Summary (RMB million) Profit Attributable to Revenue Operating Profit Equity owner of the Group % % % % %
Slide 5: Business Highlights
Business Highlights 1 Oil Price rose steadily, major customers' Capex increased 2 New orders grow significantly, order structure continuously optimized A historic breakthrough achieved in “asset-light” model , won the bid for a large-scale project 3 in Iraqi market , successfully completed the proje
Slide 6: Oil Price rose steadily, major customers' Capex increased
Oil Price rose steadily, major customers' Capex increased Brent Oil Price Major Customers' Capex (RMB million) USD/Barrel 90 80 70 %% 60 50 % 40 30 20 10 0 /2 /2 /2 /2 /2 /2 /2 /2 /1 /2 /3 /4 /5 /6 /7 /8 18 18 18 18 18 18 18 18 20 20 20 20 20 20 20 20
Slide 7: New orders grow significantly, order structure continuously optimized
New orders grow significantly, order structure continuously optimized Market Structure of Customer Structure of Total Amount of New Orders New Orders New Orders 17.3% 16.7% 32.3% 28.3% 3002.0 12.0% 50.9% 42.3% 1412.2 China Iraq Global Emerging Markets IOC NOC (Overseas) COC NOC (China) 1H 2017 1H 20
Slide 8: A historic breakthrough achieved in asset-light model in Iraqi market
A historic breakthrough achieved in “asset-light” model , won the bid for a large-scale project in Iraqi market , successfully completed the project handover Project Features Ø The government’s integrated project: this project created a new model for the Iraqi government's post-war oilfield developm
Slide 9: Total revenue hit record high, global emerging markets increased significantly
Total revenue hit record high, revenue of global emerging markets increased significantly, Chinese market achieved rapid recovery 1 3 .2 + . % 0 1 3 .2 1H 2017 1H 2018 1,400.0 1,200.0 1,000.0 800.0 600.0 1,165.9 400.0 875.4 420.6 413.8 385.9 331.5 324.7 200.0 163.8 0.0 1H 2017 1H 2018 Iraq Global Em
Slide 10: Continuously implement effective cost control measures, profit margin significantly improved
Continuously implement effective cost control measures, profit margin significantly improved 300.0 295.0 30.00% 290.0 285.0 350.0 44.7% 45.6% 50.0% 280.0 275.0 270.0 265.0 260.0 25.00% 45.0% 255.0 250.0 245.0 240.0 300.0 235.0 230.0 225.0 20.00% 40.0% 220.0 215.0 210.0 205.0 14.52% 250.0 35.0% 200.0
Slide 11: Operating cash flows improved, Capex reduced, notable cash flow results
Operating cash flows improved, Capex reduced, and notable results achieved in cash flow management Cash Flow 1H 2017 1H 2018 Change Cash Used in Operating Activities -206.5 45.6 252.1 Cash Interest Payments -96.7 -131.0 -34.3 Capital Expenditures -126.5 -49.1 77.4 Free Cash Flow -429.7 -134.5 295.2
Slide 12: All debt indicators kept stable and improving
All debt indicators kept stable and improving; short-term borrowings renewed to ensure sufficient liquidity for the Group Short-term Borrowings Capital Safety Secured Total Debt /EBITDA (RMB million) Ø Short-term borrowings from banks have been 7.60 repaid and renewed, which eliminated short- term l
Slide 13: 2018 Interim Results Summary, 2H 2018 Outlook, Q&A
2018 Interim Results Summary 2H 2018 Outlook Q&A
Slide 14: Outlook for 2H 2018
Outlook for 2H 2018 1 Adhere to the global emerging market development strategy , seize the great development opportunities of domestic "Energy Security" 2 Continue to upgrade the asset-light service model with the core of increasing production and reducing costs 3 Deepen the combining of production
Slide 15: Adhere to the global emerging market development strategy
Adhere to the global emerging market development strategy , seize the great development opportunities of domestic "Energy Security" Ø By taking the opportunities of large-scale projects in southern area, Anton will look for further business opportunities from those projects and other potential proje
Slide 16: Continue to upgrade the asset-light service model
Continue to upgrade the asset-light service model with the core of increasing production and reducing costs Single-Technology Service Integrated Engineering Service Integrated Oilfield Management Service Staged fracturing tech., etc. Integrated Production Management tech., etc. Integrated Oilfield M
Slide 17: Deepen the combining of production and finance, reduce fund occupation
Deepen the combining of production and finance, reduce fund occupation Performance Bond Equipment Financing Cooperation Lease Ø Approach: The Bank of Beijing Ø ApproachSINOSURE provides Ø Approach: CCRC financial granted a special credit of RMB political and commercial risk leasing leases the Group'
Slide 18: Fully realize the management objectives with cash flow as the core
Fully realize the management objectives with cash flow as the core High Standard High Turnover d Tu ar rn d • Improve Customer Classification an o • Supply Chain Management System ve • Control Project Selection St • Accounts Receivable Management r • Progress Performance System Assessment • Inventor
Slide 19: Promote Hard Struggle culture, strengthen compensation incentives
PromoteHard Struggle culture, strengthen compensation incentives, mobilize human resource efficiency Culture Formation Ø Promote “hard struggle” culture, train outstanding talents with diverse international projects, cultivate high-quality Anton team Management Upgrade Ø Promote Amoeba management sy
Slide 20: Agenda
Agenda 2018 Interim Results Summary 2H 2018 Outlook Q&A
Slide 21: CI , G 47A G
6:57 : 8753 65 .:4 96 2 3 696: 3 :6 10, 97887 : ( 3 CI ) )( , G 47A G ( .F GG 2F )( 1 F 7 CG C 4 AA C CG G ( C G F7 CG G ) 3 G 7F9 7C A C CG G ) 47A G 7 7C GIF9 7F G ) 1 F7 C 2F - C7C9 9 G G C ( 4 7F A GG 7 C C IF ( 2F 8 F C9 57 ( C9 7 CG G ( ) 2F F 6 7F 2F 7 F 8I 78A C FG , 7C ( 0 C 9 C F AA C C F
Slide 22: 0DA 7D 3 6 7C 0D7 3 6 73E7 3
4936 070924 544 . 86776:9 0 , 94 0 424814 0DA 7D 3 3 6 7C 7 0D7 3 6 73E7 3 7 E - 3 9 4 7 3EE7 E - 7D7E 3 A 7 D7 03 7 E 3 6 A 7D D757 34 7E 7D A 5 DD7 3EE7 E 787DD76 5A 7 3 3EE7 E - 7 AD 7E 0D7 3 6 73E7 3 7 E 2D367 3 6 A 7E D757 34 7E 0D7 3 7 E 3 6 A 7D D757 34 7E 17E D 5 76 43 67 AE E A D35 EE7 3E 3
Slide 23: Cash flow statement
)::3825 ( 1 4 69 0 1 3 38 ) 1 83 . 566598A Net cash generated from operating activities Net cash used in investing activities Net cash generated from financing activities Net increase in cash and cash equivalents Cash and cash equivalents at beginning of the year Exchange (loss)/gain on cash and cas
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