Prosafe Se · OSL:PRS
Prosafe — Q1 2005 Earnings Presentation
22 slides from Prosafe's earnings presentation, Apr 27, 2005
Slide 1: Presentation of 1st quarter 2005
Presentation of 1st quarter 2005 Oslo, 27 April 2005
Slide 2: Agenda
Agenda § The quarter in brief § Financial result for 1st quarter 2005 § Business divisions – status, strategy and outlook § Summary
Slide 3: Q1 2005 in brief - financial
Q1 2005 in brief - financial § Strong financial performance § New contracts enhancing contract utilisation of the rig fleet to 85% in 2005 § Contracts for FPSO Petróleo Nautipa and FSO Madura Jaya extended with five years § Negative effects of IFRS of approx. 0.7 MUSD Strong financial performance an
Slide 4: Q1 2005 in brief - operational
Q1 2005 in brief - operational Floating Production: § Strong underlying performance – high uptime § Upgrade projects on time and within budget Offshore Support Services: § Strong underlying performance Drilling Services: § Rubicon in operation since mid-March with high uptime and good performance §
Slide 5: Profit and loss account
Profit and loss account (Unaudited figures in USD million) Q1 05 Q4 04 Q1 04 2004 Operating revenues 106.8 105.9 107.3 470.3 Operating expenses (71.3) (71.4) (70.3) (315.7) Operating profit before depreciation 35.5 34.5 37.0 154.6 Depreciation (15.9) (16.3) (15.5) (63.4) Operating profit 19.6 18.2 2
Slide 6: Drilling Services
Drilling Services DRILLING SERVICES (Unaudited figures in USD million) Q1 05 Q4 04 Q1 04 2004 Operating revenues 41.9 44.4 52.3 212.7 Operating expenses (37.7) (40.3) (47.6) (193.6) Operating profit before depreciation 4.2 4.1 4.7 19.1 Depreciation (3.5) (3.8) (2.7) (12.4) Operating profit 0.7 0.3 2
Slide 7: Floating Production
Floating Production FLOATING PRODUCTION (Unaudited figures in USD million) Q1 05 Q4 04 Q1 04 2004 Operating revenues 26.7 23.6 22.0 89.3 Operating expenses (13.1) (9.7) (9.4) (37.5) Operating profit before depreciation 13.6 13.9 12.6 51.8 Depreciation (4.4) (4.5) (5.2) (19.9) Operating profit 9.2 9.
Slide 8: Offshore Support Services
Offshore Support Services OFFSHORE SUPPORT SERVICES (Unaudited figures in USD million) Q1 05 Q4 04 Q1 04 2004 Operating revenues 38.5 38.0 33.1 168.8 Operating expenses (20.1) (20.4) (12.7) (81.7) Operating profit before depreciation 18.4 17.6 20.4 87.1 Depreciation (7.8) (7.9) (7.4) (30.6) Operatin
Slide 9: Balance sheet
Balance sheet (Unaudited figures in USD million) 31.03.05 01.01.05 31.03.04 Goodwill 128.9 128.9 128.9 Rigs 394.0 397.5 405.2 Ships 183.3 187.6 201.4 Other fixed assets 40.8 45.8 35.0 Total fixed assets 747.0 759.8 770.5 Other current assets 93.1 101.9 79.7 Cash and deposits 146.1 121.6 107.5 Total
Slide 10: Cash flow
Cash flow (Unaudited figures in USD million) Q1 05 Q4 04 Q1 04 2004 Net cash flow from operating activities 29.7 62.5 17.8 131.7 Net cash flow from investing activities (4.9) (9.6) 7.1 (26.7) Net cash flow from financing activities (0.3) (55.1) (18.6) (84.7) Net change in cash and deposits 24.5 (2.2
Slide 11: Key figures
Key figures Q1 05 Q4 04 Q1 04 2004 Operating margin 18.4 % 17.2 % 20.0 % 19.4 % Equity ratio 47.1 % 45.8 % 45.6 % 45.8 % Return on equity 12.9 % 16.1 % 25.6 % 16.1 % Return on capital employed 9.6 % 8.9 % 20.7 % 10.9 % Net interest bearing debt (USD million) 259.4 288.6 304.6 288.6
Slide 12: Shareholders at 20 April 2005
Shareholders at 20 April 2005 No. of shares Ownership GMO 3 020 293 8.86 % Brown Brothers Harriman 2 653 050 7.79 % Skandinaviska Enskilda Banken 1 907 255 5.60 % Svenska Handelsbanken (nom.) 1 533 080 4.50 % Odin 1 085 328 3.19 % State Street Bank & Trust (nom.) 1 298 158 3.81 % JP Morgan Chase Ban
Slide 13: IFRS
IFRS § Net profit for 2004 is USD 70.2 million as per IFRS, vs. reported net profit under NGAAP of USD 65.6 million. Main reasons for difference of USD 4.6 million: ú no goodwill amortisation under IFRS ú higher pension and maintenance costs under IFRS § Book equity as at 31.12.2004 is USD 448.6 mil
Slide 14: Drilling Services - contract status
Drilling Services - contract status Project Phase Drilling Phase Option E s s o , R ingho rne E s s o , J o t un H ydro , O s e be rg E a s t H ydro , O s e be rg S . H ydro , O s e be rg C H ydro , O s e be rg B H ydro , N jo rd H ydro , B ra ge S t a t o il, Kv it e bjø rn S t a t o il, S no rre A
Slide 15: Drilling Services – strategy and outlook
Drilling Services – strategy and outlook § Focus on safe and cost efficient operations § Focus on continuous operations for Rubicon § Management of Rig2000 ú Effect from 2006 § Focusing on growing volume from Rental, T&P and other EOR services where margins are attractive § Underlying trends are att
Slide 16: Offshore Support Services - contract status
Offshore Support Services - contract status Contract Option Yard stay Mobilisation Safe Caledonia Ocean Oil Statoil Phillips/Bayu-Undan Nigeria EnCana (UK) Safe Scandinavia Chevron Statoil Hydro BP Statoil Tunesia ConocoPhllips ConocoPhllips MSV Regalia 1) Statoil/BP Hydro StatoilNigeria Statoil Sta
Slide 17: Market status
Market status § Market is improving - new regions and high activity: ú North Sea: LT stable to growing ú West Africa: emerging market ú Mexico: LT stable to growing ú Brazil, SE Asia: emerging markets § Contracts awarded already for 2006/2007 § More DP work, also against FPSOs Attractive level of sp
Slide 18: Offshore Support Services – strategy and outlook
Offshore Support Services – strategy and outlook Strategic focus: § Maintain the largest and most versatile fleet of high-end accommodation and service rigs globally Short-term focus - swing factors 2005: § Ensure work for Safe Scandinavia in Q4 2005 Long-term prospects are attractive based on inter
Slide 19: Floating Production - contract status
Floating Production - contract status Production contract Options Abo Agip, Nigeria Espoir Ivoirien Canadian Natural Resources, Ivory Coast è 2022 Petr. Nautipa (1) CNR, Angola Vaalco, Gabon Al Zaafarana (2) ç 1994 Zaafarana Oil Company, Gulf of Suez Endeavor Aban Loyd Chiles Offshore, India M adura
Slide 20: Floating Production – status
Floating Production – status § Good operational performance and high uptime § Upgrade of Espoir Ivoirien ongoing – on time and within budget ú Positive effects expected in 2005 § Anticipate number of expected FPSO contract awards to increase through 2005 § Low cost base secures good profitability be
Slide 21: Floating Production – strategy and outlook
Floating Production – strategy and outlook § Position the company as one of the leading suppliers and operators of high quality FPSOs in the world § Strengthen competitive edge based on low cost base and application engineering § Focus on West Africa, Southeast Asia and Brazil § Committed to winning
Slide 22: Outlook – summary
Outlook – summary § Oil price and increased spending and rates provide positive indications for activity going forward § Financial performance is set to be strong based on current order backlog ú Swing factors are mainly Safe Scandinavia and timing of new FPSO contract § Strong cash-flow generation