Slide 1: Second Half Year 2022 Presentation
SECOND HALF YEAR 2022 PRESENTATION Henrik Badin, CEO Erik Magelssen, CFO Oslo, 23 February 2023
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by the management of Vow ASA using commercially reasonable efforts to provide estimates and information about the company and prospective new markets. The presentation includes and is based, inter alia, on forward-looking information and statements that
Slide 3: About Us
ABOUT US Solutions provider for mitigation of climate change and carbon sequestration at industry scale, and the market leader in wastewater purification and valorisation of waste in cruise Providing world leading solutions, which enable industries to transition towards a fossil-free future by conve
Slide 4: Financials and Operations
| FINANCIALS Ani ORERATIONS® vOW |
Slide 5: Year 2022 | Key Takeaways
YEAR 2022 | KEY TAKEAWAYS FY 2022 Sharp increase in revenues from year before. Growth in all Revenues segments, with Landbased growing nearly three-fold +72% 783 y-o-y Profits improved significantly. EBITDA more than doubled from million 41 million to 92 million. Record year in cruise. Continued str
Slide 6: Key Financials | Group (per year)
2 047 KEY FINANCIALS | GROUP 783 Per year 857 Options 92 1480 Landbased 304 460 454 1 190 Backlog 97 120 108 47 47 373 53 41 22 Aftersales 126 359 Cruise projects 309 294 12.6% 11.8% 178 2019 2020 2021 2022 2019 2020 2021 2022 2019 2020 2021 2022 Revenues EBITDA and margin Order backlog and options
Slide 7: Key Financials | Group (per half-year)
KEY FINANCIALS | GROUP 2 047 53 Per half-year 400 1 536 857 Options 383 39 121 584 184 253 212 201 71 74 22 23 49 34 49 20 Landbased 34 Aftersales 14 18 1 190 Backlog 10.4 10.2 952 191 149 167 Cruise projects 149 145 H2 20 H1 21 H2 21 H1 22 H2 22 H2 20 H1 21 H2 21 H1 22 H2 22 H2 20 H1 21 H2 21 H1 22
Slide 8: All Profitable Business Segments
ALL PROFITABLE BUSINESS SEGMENTS EBITDA margin and share of group revenue in H2 2022 LANDBASED CRUISE PROJECTS AFTERSALES Significant growth in Continued strong performance Back at pre-pandemic levels revenues and profit and solid backlog 10.7% 31% 19.1% 50% 13.6% 19% EBITDA margin EBITDA margin EBI
Slide 9: Landbased
Assembly of 5 tonnes feed per hour pyrolysis reactor assembled at C.H. Evensen. Currently considered for deployment in Vow Green Metals’ Phase #2 at Follum LANDBASED Insert: Pre-assembly of equipment for Europe’s largest biocarbon factory at Follum Delivering equipment and supporting Vow Green Metal
Slide 10: Projects | Cruise
Retrofitting Carnival Breeze with Scanship AWP, state-of-the-art advanced PROJECTS | CRUISE wastewater purification system Progress according to plan, with some inflation effects on cost in H2 2022 Backlog with confirmed contracts well into 2026 (options into 2028) providing visibility for future re
Slide 11: Aftersales | Cruise
Life af Vow: When the ship needs urgent assistance, there we are. No matter if we AFTERSALES | CRUISE must drive for 950 km in a single day Aftersales activity back at pre-pandemic level, with increasing profits and improved margin Recurring revenues expected to increase as installed base continues
Slide 12: Income Statement
INCOME STATEMENT Key figures NOK million 2022 2021 Depreciation and amortisation in 2022 was Revenues 782.8 454.1 NOK 32.3 million, up from 24.3 million in 2021. The main part of the increase from EBITDA before non-recurring items 92.2 41.1 inclusion of C.H. Evensen EBIT 53.3 7.1 Net financials item
Slide 13: Financial Position
FINANCIAL POSITION Balance sheet, Key figures NOK million 31.12.22 31.12.21 Intangible assets and goodwill increase from Intangible assets and goodwill 512.1 370.4 inclusion of C.H. Evensen and investments in Receivables 293.6 182.3 R&D and technology for future growth Contracts in progress 339.2 19
Slide 14: Financial Position: Cash Flow
FINANCIAL POSITION Cash flow NOK million 2022 2021 High activity and increase in contracts in Cash and cash equivalents progress and other working capital 141.1 26.6 contribute to negative cash flow from at start of period operations, especially in H2 2022 Cash from operations -72.2 18.0 Net cash fl
Slide 15: Market and Outlook
| MARKET AND® OUTLOOK pyow
Slide 16: Current Four Focus Areas
CURRENT FOUR FOCUS AREAS Vow technology is relevant across a wide range of applications Clean energy Circular Green Cruise and carbon metals sequestration economy Waste to energy, Renewable gas in Recycling of plastics Biocarbon production extending our industry. Environmental and polymers, with a a
Slide 17: Current Four Focus Areas: Partnerships
CURRENT FOUR FOCUS AREAS Forging strong partnerships to develop solutions for tomorrow Clean energy Circular Green Cruise and carbon metals sequestration economy GRTgaz Supporting Vow Green Circular Carbon Metals at Follum and MAP and Biogreen Solutions for sewage Repsol with undisclosed client pyro
Slide 18: Biocarbon Scale-up
BIOCARBON SCALE-UP What our customers tell us 18
Slide 19: Early Production at Follum
EARLY PRODUCTION AT FOLLUM 2,500-tonnes per year industry-scale production line currently being installed Will be made available to Vow Green Metals for qualification and production of biocarbon from Q3 2023 19
Slide 20: Recovering Carbon Black
RECOVERING CARBON BLACK Shaking hands for a circular solution to ELTs Vow’s ELT1 plant in at Murfitts Leading tire manufacturers Michelin and Bridgestone believe that Industries in the UK there is the potential for an annual total market of up to 1 million tons of recovered carbon black by 2030 20 1
Slide 21: ELT in the Circular Economy
ELT IN THE CIRCULAR ECONOMY Rubber production … closing the loop Chemical Rubber trading recycling End-of-life tyre Tyre producers processors Tyre whole Tyre resellers sellers and collectors 21
Slide 22: Summary
SUMMARY Cruise is steaming ahead. Aftersales is back at pre-pandemic levels, new projects are being bid with leading yards Landbased busy with engineering and feasibility studies for projects with significant revenue and profit expected in 2023 and onwards Order backlog (including options) at NOK 2
Slide 23: We Make It Happen
ENABLING A FOSSIL-FREE FUTURE WE MAKE IT HAPPEN