Malaysia Marine & Heavy Engineering Holdings Bhd. · MYX:MHB
Malaysia Marine & Heavy Engineering Holdings Bhd — FY2023 Earnings Presentation
26 slides from Malaysia Marine & Heavy Engineering Holdings Bhd's earnings presentation, Feb 14, 2024
Slide 1: Quarterly IR Updates FY 2023 Financial Results & Updates
Quarterly IR Updates FY 2023 Financial Results & Updates 14 February 2024
Slide 2: Disclaimer
[Open] Disclaimer This Presentation is not intended to form the basis of any investment decision with respect to Malaysia Marine and Heavy Engineering Holdings Berhad (MHB). Neither this presentation nor anything contained herein shall form the basis of, or be relied upon in connection with, any con
Slide 3: Agenda
AGENDA 01 Industry Challenges & Market Outlook 02 Business Highlights 03 Ongoing Projects 04 Financials 05 ESG 06 Strategic Focus
Slide 4: High-cost environment persisted and expected to remain
[Open] High-cost environment persisted and expected to remain The geo-political tensions due to the prolonged Russia-Ukraine and recent Middle East conflicts, US-China rivalry as well as global economic uncertainties have resulted in the following industry challenges and market outlook: • Prolonged
Slide 5: Conventional and renewable energy business activities are picking up in parallel
[Open] Conventional and renewable energy business activities are picking up in parallel Post-pandemic energy consumption is expected to continue to increase in 2024 with fossil fuels maintaining dominance amidst soaring demand for renewables. Global renewable energy consumption will continue its mom
Slide 6: Agenda
AGENDA 01 Industry Challenges & Market Outlook 02 Business Highlights 03 Ongoing Projects 04 Financials 05 ESG 06 Strategic Focus
Slide 7: Recorded healthy revenue and achieved positive project progress amidst prevailing challenges
[Open] Recorded healthy revenue and achieved positive project progress amidst prevailing challenges STRATEGY • Seized opportunities in both domestic and international markets • Embraced energy transition by establishing track record in offshore wind and decarbonisation spaces • Improved contracting
Slide 8: Agenda
AGENDA 01 Industry Challenges & Market Outlook 02 Business Highlights 03 Ongoing Projects 04 Financials 05 ESG 06 Strategic Focus
Slide 9: EPCIC Jerun Development Project
[Open] Progress is at 88.19% as of December 2023 EPCIC Jerun Development Project Strictly Confidential Page 9
Slide 10: Rosmari-Marjoram Project
[Open] Progress is at 77.41% as of December 2023 Rosmari-Marjoram Project Strictly Confidential Page 10
Slide 11: Kasawari Carbon Capture & Storage (CCS) Project
[Open] Progress is at 28.82% as of December 2023 Kasawari Carbon Capture & Storage (CCS) Project Strictly Confidential Page 11
Slide 12: Joint Development Area (JDA) Field Development (Phase 6) Project
[Open] Progress is at 21.09% as of December 2023 Joint Development Area (JDA) Field Development (Phase 6) Project Strictly Confidential Page 12
Slide 13: Notable marine repair projects delivered
[Open] Notable marine repair projects delivered SERI CEMARA Client : Eaglestar Shipmanagement (L) Pte. Ltd. Type of vessel : LNG Carrier Deadweight : 84,291 tonnage Job scope : Dry-docking and Repair Delivery date : 4 May 2023 SERI CAMAR Client : Eaglestar Shipmanagement (L) Pte. Ltd. Type of vessel
Slide 14: Notable marine repair projects delivered
[Open] Notable marine repair projects delivered SEAPEAK YAMAL Client : Seapeak LLC Type of vessel : LNG Carrier Deadweight : 91,549 tonnage Job scope : Dry-docking and Repair Delivery date : 8 November 2023 BW BATANGAS Client : BW Fleet Management AS Type of vessel : LNG FSRU Deadweight : 89,556 ton
Slide 15: Notable marine repair projects delivered
[Open] Notable marine repair projects delivered KMARIN DIAMOND Client : KMARIN Ocean Services Corporation Type of vessel : LNG Carrier Deadweight : 84,553 tonnage Job scope : Dry-docking repair and BWTS Installation Delivery date : 6 October 2023 BW IMO Client : BW Fleet Management AS Type of vessel
Slide 16: Notable marine repair projects delivered
[Open] Notable marine repair projects delivered MT GOLD PEARL Client : Viet My Petrol Transportation Company Limited Type of vessel : Oil Tanker Deadweight : 318,669 tonnage Job scope : Dry-docking and Repair Delivery date : 23 August 2023 ROLIN Client : Viet My Petrol Transportation Company Limited
Slide 17: Agenda
AGENDA 01 Industry Challenges & Market Outlook 02 Business Highlights 03 Ongoing Projects 04 Financials 05 ESG 06 Strategic Focus
Slide 18: Revenue more than doubled from previous year to RM3.3 billion
[Open] Revenue Revenue more than doubled from previous year to RM3.3 billion RM million +75.2% >100% 3,309.4 323.9 1,651.6 1,118.4 2,985.5 336.8 98.2 638.5 68.2 1,314.8 1,020.2 570.3 4Q 2023 3Q 2023 FY 2023 FY 2022 HE Marine Page 18
Slide 19: Full-year operating loss mainly attributed to additional cost provisions and price escalation
[Open] Revenue Full-year operating loss mainly attributed to the additional cost provisions from revised schedule and price escalation RM million +>100% ->100% 10.9 (100.2) (467.7) 60.9 61.6 7.4 22.4 9.0 8.0 2.0 1.5 4.4 3.1 (8.7) (107.7) (499.1) 4Q 2023 3Q 2023 4Q 2023 3Q 2023 FY 2023 FY 2022 HE Mar
Slide 20: Financial position still intact
[Open] Financial position still intact Total Assets Total Liabilities & Equities 31 December 2023 31 December 2022 31 December 2023 31 December 2022 RM million RM million Non-Current Assets 1,797.9 1,788.7 Total Equity 1,267.3 1,769.5 Receivables 1,291.0 748.0 Borrowing 367.0 335.2 Cash & Bank 557.6
Slide 21: Robust backlog will sustain us until 2027
[Open] Robust backlog will sustain us until 2027 BACKLOG (RM’mil) 97.8% Heavy Engineering Business 6,286 6,324 2.2% Marine Business 2,958 1,900 2,170 Dec19 Dec20 Dec21 Dec22 Dec23 New Order Intake 2022 – 2023 includes: NEW ORDER INTAKE (RM’mil) ➢ FEED CCS Kasawari project, awarded in Q1 2022 ➢ Rosma
Slide 22: Agenda
AGENDA 01 Industry Challenges & Market Outlook 02 Business Highlights 03 Ongoing Projects 04 Financials 05 ESG 06 Strategic Focus
Slide 23: Unwavering commitment to ESG reflected in our achievements
[Open] Unwavering commitment to ESG reflected in our achievements Environment Social Governance Our Commitment • 20% Direct Manhour Emission Intensity • Health and Safety Culture • Zero tolerance policy against all forms of Reduction by 2030 from 2016 • Talent Excellence bribery and corruption • >95
Slide 24: Agenda
AGENDA 01 Industry Challenges & Market Outlook 02 Business Highlights 03 Ongoing Projects 04 Financials 05 ESG 06 Strategic Focus
Slide 25: Continued pursuit of project delivery excellence and high quality orderbook
[Open] Continued pursuit of project delivery excellence and high quality orderbook with balanced portfolio Heavy Engineering Tenderbook Approximately RM6 to RM7 billion Strategic Focus Achieve project Focus on high quality Balance between delivery excellence order book for traditional Oil & Gas and
Slide 26: Thank You
THANK YOU
Malaysia Marine and Heavy Engineering Holdings Berhad — FY2023 Earnings Presentation on 6ix