James Fisher And Sons Plc · LSE:FSJ
James Fisher And Sons — FY2021 Earnings Presentation
26 slides from James Fisher And Sons's earnings presentation, Mar 10, 2022
Slide 1: Full Year Results for the year ended 31 December 2021
Full Year Results for the year ended 31 December 2021 10 March 2022
Slide 2: Disclaimer
Disclaimer This presentation is confidential and is delivered to interested parties for information only. It is delivered solely on the basis that neither the whole nor any part of the information contained in this presentation may be disclosed to, or used or relied upon by, any other person or used
Slide 3: Eoghan O'Lionaird and Duncan Kennedy
Eoghan O’Lionaird Duncan Kennedy Chief Executive Officer Chief Financial Officer
Slide 4: Overview
Overview ➢ A challenging year for the Group ➢ Markets did not recover at expected rates; underestimated business headwinds ➢ Revenue -£24m (-5%) vs 2020; Underlying operating profit -£12.5m (-31%) vs 2020 ➢ H1 affected by UK lockdown; H2 further affected by project delays and provisions ➢ Turnaround
Slide 5: Financial Review
James Fisher and Sons plc s Pioneering Sustainably Fisher Financial Review
Slide 6: Financial Summary
Financial Summary Underlying* Statutory 2021 2020 Change % 2021 2020 Change % Revenue (£m) 494.1 518.2 (5) 494.1 518.2 (5) Operating profit/(loss) (£m) 28.0 40.5 (31) (20.7) (43.5) 52 Profit/(loss) before tax (£m) 19.7 31.5 (37) (29.0) (52.5) 45 Diluted EPS (p) 20.0 47.9 (58) (55.2) (114.2) 52 Divid
Slide 7: Income Statement Summary
Income Statement Summary 2021 Margin % 2020 Margin % Revenue 494.1 518.2 Cost of sales (374.1) (380.6) Gross profit 120.5 24.4% 137.6 26.6% Admin expenses (92.5) (97.1) Underlying operating profit* 28.0 5.7% 40.5 7.8% Net finance expense (8.3) (9.0) Underlying PBT* 19.7 31.5 ➢ Robust gross margins a
Slide 8: Divisional Performance
Divisional Performance Revenue Underlying operating profit* 2021 2020 Change % 2021 2020 Change % Marine Support 214.5 249.4 (14) 5.0 10.1 (50) Specialist Technical 133.2 130.4 2 9.9 14.0 (29) Offshore Oil 86.3 78.0 11 11.1 11.2 (1) Tankships 60.1 60.4 - 4.8 8.0 (40) Central costs (2.8) (2.8) - Tota
Slide 9: Cash flow
Cash flow 2021 2020 £m £m Underlying operating profit * 28.0 40.5 Depreciation and amortisation (IAS 17) 28.1 34.2 Underlying EBITDA * 56.1 74.7 ➢ Improvement in working capital position in H2 21 following receipt Working capital (8.1) 19.5 of JFD milestone and Pension / other (0.9) (6.5) Mozambique
Slide 10: Committed Bank Facilities
Committed Bank Facilities Headroom at 31 December Drawn Undrawn New syndicated facility: Existing facilities 176.0 111.5 ➢ £130m committed from 3 existing lenders ➢ £60m accordion allows for new lenders Covenants 31.12.21 31.12.20 ➢ 3+1+1 term Net debt* : EBITDA < 3.5x 2.9x 2.8x ➢ Covenants in line
Slide 11: Operating Review
James Fisher and Sons plc s Pioneering Sustainably Fisher Operating Review
Slide 12: Marine Support
Marine Support Marine Contracting: 2021 2020 ➢ £40m+ 15-year contracts won by EDS for monitoring high Revenue (£m) 214.5 249.4 voltage cabling performance at 3 offshore wind farms Profit (£m) 5.0 10.1 ➢ Swordfish on hire for entirety of 2022 Margin (%) 2.3 4.0 ➢ James Fisher Renewables brand launche
Slide 13: Specialist Technical
Specialist Technical JFD: 2021 2020 ➢ Submarine rescue vehicle successfully delivered to Korean Revenue (£m) 133.2 130.4 customer in December Profit (£m) 9.9 14.0 ➢ Additional cash milestones due in 2022 in relation to completion of multi-year projects: 500m saturation diving Margin (%) 7.4 10.7 spr
Slide 14: Offshore Oil
Offshore Oil Scantech: 2021 2020 ➢ Strong growth in both Scantech businesses Revenue (£m) 86.3 78.0 ➢ Bubble curtain demand continues to rise in renewables; Profit (£m) 11.1 11.2 noise attenuation mandatory in most territories worldwide; Margin (%) 12.9 14.4 revenue increased from £3.9m in 2020 to £
Slide 15: Tankships
Tankships ➢ UK lockdown early in 2021 adversely affected Q1 2021 2020 performance Revenue (£m) 60.1 60.4 ➢ Good recovery after a short-term dip in utilisation in Profit (£m) 4.8 8.0 September Margin (%) 8.0 13.2 ➢ Increase in operating costs due to quarantining and other ROCE (%) 14.7 25.5 preventat
Slide 16: Strategy and Outlook
James Fisher and Sons plc Pioneering Sustainably Strategy and Outlook
Slide 17: Strategic Roadmap
Strategic Roadmap Reset Reinforce Realise (2020-22) (2021-23) (2023-25) Define purpose and valued Fix portfolio; accelerate Top quartile sustainable behaviours; focus on critical operational performance profitable growth and urgent invest in energy transition ➢ Reset to a “back to basics” ➢ Reinforc
Slide 18: Change Agenda
Change Agenda ➢ People ➢ Strengthened operational control through enhanced divisional structures ➢ Marine Support divided into three managerial units ➢ Divisional MDs added to the Group’s Executive Team ➢ Externally supported employee engagement survey providing catalyst for ongoing improvements ➢ P
Slide 19: Outlook
Outlook ➢ The Group is stabilising as we enter 2022, though markets remain somewhat unpredictable ➢ Performance in January and February 2022 was in line with management’s expectations ➢ Key factors influencing 2022: ➢ STS performance, particularly in Malaysia and Brazil ➢ New project wins for JFD ➢
Slide 20: James Fisher and Sons plc
James Fisher and Sons plc Pioneering Sustainably
Slide 21: Appendix
James Fisher and Sons plc Pioneering Sustainably Appendix
Slide 22: Group overview
Group overview Marine Support Specialist Technical Offshore Oil Tankships ~40% of group revenue ~30% of group revenue ~20% of group revenue ~10% of group revenue ➢ Ship-to-ship ➢ Submarine rescue ➢ Hire of specialist ➢ Coastal transportation equipment and people of clean petroleum ➢ Renewables ➢ Div
Slide 23: Leading positions in attractive niches of global markets
Leading positions in attractive niches of global markets Ship-to-ship transfer Unexploded #1 Global Provider ordnance #1 in removal offshore Submarine rescue Tankships #1 Global Provider #1 in the UK across clean petroleum product delivery Offshore Wind Nuclear #1 in high voltage 1st to decommission
Slide 24: Income Statement
Income Statement Year ended Year ended 31 December 2021 31 December 2020 Before Before separately Separately separately Separately disclosed disclosed disclosed disclosed items items Total items items Total £m £m £m £m £m £m Revenue 494.1 - 494.1 518.2 - 518.2 Cost of sales (373.6) (11.0) (384.6) (3
Slide 25: Separately disclosed items
Separately disclosed items 2021 2020 £m £m Acquisition related income and (expense): Costs incurred in acquiring businesses (0.5) (1.0) Amortisation of acquired intangibles (2.9) (2.9) (3.4) (3.9) Marine support restructure - (3.9) Disposal of businesses 0.3 (3.5) Disposal of Dive support vessel 0.3
Slide 26: Finance and Tax
Finance and Tax 2021 2020 Net finance expense £m £m Bank loans and overdrafts 6.0 7.0 ROU operating lease 2.2 1.8 Other 0.1 0.2 Net finance charge 8.3 9.0 Tax Underlying profit before taxation* 19.7 31.5 Tax on underlying profit before taxation* (10.1) (7.2) Effective tax rate 51.3% 22.8% ➢ Overseas