Slide 1: Earnings Call Q2 2017
Earnings Call Q2 2017 10 August 2017 1
Slide 2: Forward Looking Statements
Forward Looking Statements Matters discussed in this presentation may constitute forward-looking statements under U.S. federal securities laws, including the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect the Company’s current views with respect to future events
Slide 3: Agenda
Agenda 1 Q2 2017 Highlights 2 Financial Review 3 Current themes 4 Outlook 5 Q&A 3
Slide 4: Highlights Q2 2017
Highlights Q2 2017 In USD per day Second quarter Second quarter 60000 VLCC 2017 2016 50000 VLCC Q2 40000 16 Average spot rate (TI Pool) 27,689 47,864 USD/day Average time charter rate* 41,480 44,382 30000 P&L Q2 SUEZMAX 20000 B/E 17 Average spot rate** 17,341 33,119 10000 Average time charter rate*
Slide 5: Financial Highlights – Income Statement
Financial Highlights – Income Statement HIGHLIGHTS 1 Upgraded returns to shareholder policy of Capital loss on sale of 3 Capital losses included in 2 fixed USD 6 c per share for interim dividend VLCC TI Topaz of $21m calculation of dividend T he m o s t im po rt a nt k e y f igure s a re : F irs t F
Slide 6: Financial Highlights – Balance Sheet
Financial Highlights – Balance Sheet BALANCE SHEET HIGHLIGHTS 2017 2016 Leverage: (in $ million) Jun-17 Dec-31 1 44% marked to market (39% book value) Cash 235.5 206.6 Restricted cash 0.2 0.1 Liquidity position Other current assets 157.4 166.7 2 • Strengthened – via $150m Long term assets: unsecured
Slide 7: Current theme – Dividends are in Euronav's DNA
Current theme – Dividends are in Euronav’s DNA Euro Dividend Dollar Dividend VLCC Price VLCC rates 250 120,000 100,000 200 80,000 150 $ VLCC daily rate $m 60,000 100 40,000 50 20,000 0 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Since 2004 IPO on Euronext it has Delivered
Slide 8: Current theme – FSO renewed
Current theme – FSO renewed FSO – PART OF “BOTTLENECK” PROCESSING 300K BPD EBITDA FROM FSO CONTRACTS In 2008, Euronav undertook conversions of 2 ULCC into the largest 2 FSOs in the world Fixed income service contract in Qatar delivering $36mm free cashflow annually until 2022 Vessel Life expec
Slide 9: Current theme – BWTS deferral not key; Fleet age is
Current theme – BWTS deferral not key; Fleet age is VLCC AND SUEZMAX VESSELS DUE FOR SPECIAL SURVEYS > 20 YEARS OF AGE BETWEEN AUGUST 2017 AND 2020 60 50 40 Number of Vessels 30 VLCC Suezmax 20 10 0 Aug-Dec 2017 2018 2019 2020 Aug - Dec 2017 2018 2019 2020 % of fleet 0.6% 3.3% 4.5% 6.9% VLCC 1.4% 5.
Slide 10: Outlook
Outlook 1 Cautious into Q3 given continued delivery schedule and potential OPEC export cuts 2 Demand, ton miles, supply of oil, restricted financing factors – all remain constructive 3 Recent VLCC & Suezmax contracting whilst more modest - remains a concern Vessel Supply Demand for Oil Supply of Oil
Slide 11: Q&A
EURO The ocean is our environment Section 5 AA Q&A