MPC Container Ships ASA · OSL:MPCC
MPC Container Ships ASA — Q1 2021 Earnings Presentation
25 slides from MPC Container Ships ASA's earnings presentation, May 20, 2021
Slide 1: Q1 2021 Earnings Presentation
Q1 2021 Earnings Presentation 20 May 2021
Slide 2: Disclaimer
DISCLAIMER THIS PRESENTATION (THE “PRESENTATION”) HAS BEEN PREPARED BY MPC CONTAINER SHIPS ASA (THE “COMPANY”) FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY OF THE SECURITIES DESCRIBED HEREIN. TO THE BEST KNOWLEDGE OF THE COMPANY, ITS
Slide 3: Content
Q1 2021 Earnings Presentation CONTENT 1. Company Highlights Q1 2021 2. Market Update 3. Company Outlook 4. Appendix 3
Slide 4: Q1 2021 Key Figures (Previous Quarter)
Company Highlights Q1 2021 Q1 2021 KEY FIGURES (PREVIOUS QUARTER) FINANCIAL PERFORMANCE Net revenue: USD 51.4m (USD 39.3m) EBITDA: USD 22.3m (USD 4.5m) Op. Cash Flow: USD 17.6m (USD 1.4m) Net result: USD 3.5m (USD -18.4m) OPERATIONAL PERFORMANCE Fleet utilization(1): 99.2% (97.0%) Averag
Slide 5: Market, Corporate & Financial Summary YTD 2021
Company Highlights Q1 2021 MARKET, CORPORATE & FINANCIAL SUMMARY YTD 2021 Macroeconomic outlook Significant recovery expected for 2021 with Global GDP Growth recently revised upwards to 6% (-3.3% in 2020) Good vaccination progress and relatively low inventories-to-sales ratios additionally suppo
Slide 6: Operations & Portfolio Summary YTD 2021
Company Highlights Q1 2021 OPERATIONS & PORTFOLIO SUMMARY YTD 2021 Ongoing portfolio optimisation programme Divested three smaller vessels with an average of ~1,100 TEU capacity and 16 years average age Acquired one 2007-built 3,500 TEU vessel Preparing for upcoming IMO regulation Initiated pr
Slide 7: Content
Q1 2021 Earnings Presentation CONTENT 1. Company Highlights Q1 2021 2. Market Update 3. Company Outlook 4. Appendix 7
Slide 8: Strongest Market Momentum in More Than a Decade
Market Update: Overview STRONGEST MARKET MOMENTUM IN MORE THAN A DECADE HISTORIC HIGH BOX VOLUMES AND FREIGHT RATES RECORD HIGH CHARTER RATES AND LOW IDLE STATS Freight Rate Index M TEU Throughput TC Rate Index No of Idle Vessels 3,000 2,830 300 1,800 600 Freight Rate Index (SCFI Comprehensive) TC R
Slide 9: High Charter Rates at Prolonged Periods Support Rising Asset Values
Market Update: Short-Term Dynamics HIGH CHARTER RATES AT PROLONGED PERIODS SUPPORT RISING ASSET VALUES TIME-CHARTER RATES DEVELOPMENT 15 YEAR-OLD 2ND HAND PRICES AND S&P DEALS USDm USDk / day 1.7k TEU grd 3.5k TEU 6.8k TEU 14 May (yoy%) 1.7k TEU (grd) 3.4k TEU 6.6k TEU 45 2.8k TEU 4.5k TEU No. of S&
Slide 10: Longer Periods and Tighter Redelivery Windows Wipe Out Availability
Market Update: Mid-Term Momentum LONGER PERIODS AND TIGHTER REDELIVERY WINDOWS WIPE OUT AVAILABILITY TIME-CHARTER RATE MOMENTUM (1-5.2k TEU) AVG. PERIOD AND REDELIVERY SPREAD (1-5.2k TEU) TC Rate Index Months Period Redelivery spread 350 25.0 22.5 23.2 300 20.0 17.5 250 15.0 200 12.5 10.0 150 7.5 5.
Slide 11: Strong Demand Growth Expected to Outperform Supply Growth
Market Update: Supply and Demand Growth STRONG DEMAND GROWTH EXPECTED TO OUTPERFORM SUPPLY GROWTH SUPPLY / DEMAND DEVELOPMENT (TOTAL) SUPPLY / DEMAND (INTRA-REGIONAL TRADES) % % 12 12 Supply growth (TEU capacity) Supply growth (TEU capacity <5.2k TEU) 10 Demand growth (TEU throughput) 10 Demand grow
Slide 12: Orderbook Has Increased Recently but Dominated by Larger Sizes
Market Update: Orderbook and Fleet Age ORDERBOOK HAS INCREASED RECENTLY BUT DOMINATED BY LARGER SIZES ORDER BOOK DEVELOPMENT TEU ON ORDER PER SEGMENT (MAY 2021) Change since TEUm Total fleet Orderbook-to-Fleet ratio (rhs) % -3k +9k +225k -10k +269k +1,784k Oct 2020: Orderbook 23.966 25 40 TEUk 35 2,
Slide 13: Intra-Regional Trades an Integral Part of Seaborne Trading
Market Update: Demand on Regional Trades INTRA-REGIONAL TRADES AN INTEGRAL PART OF SEABORNE TRADING TEU DEMAND GROWTH (TOTAL) COMMENTS TOTAL DEMAND TEUm Strong seaborne container demand growth is expected for the coming 220 216 years. 215 6.4% 210 TEU trade is expected to increase from 191m TEU
Slide 14: Content
Q1 2021 Earnings Presentation CONTENT 1. Company Highlights Q1 2021 2. Market Update 3. Company Outlook 4. Appendix 14
Slide 15: Operating Days & Fixed Revenue - Increased Charter Backlog and Visibility
Company Outlook OPERATING DAYS & FIXED REVENUE (1) - INCREASED CHARTER BACKLOG AND VISIBILITY FIXED OPERATING DAYS (CONSOLIDATED VESSELS) COMMENTS (2) Operating days (open) Consolidated vessels Operating days (fixed) Assumed available days of 20,662 (2021) and 20,440 (2022 and 2023) ~1% ~13% Fix
Slide 16: Utilizing Significant Operating Leverage in Strong Charter Market
Company Outlook UTILIZING SIGNIFICANT OPERATING LEVERAGE IN STRONG CHARTER MARKET TOAL CASH BREAK-EVEN (“CBE”) Q1 2021 (1) (2) TC-RATES MPCC BASKET (3) USD per day 25,160 8,000 877 7,000 772 6,000 416 473 5,000 4,000 7,900 7,023 11,940 3,000 6,251 5,224 2,000 1,000 7,900 7,900 Total CBE 138 0 Voy ex
Slide 17: Capitalizing on Solid Corporate Foundations and Favourable Fundamentals
Company Outlook CAPITALIZING ON SOLID CORPORATE FOUNDATIONS AND FAVOURABLE FUNDAMENTALS MARKET MOMENTUM & CORPORATE PROFILE OUTLOOK FUNDAMENTALS Short-Term Short-term Largest container tonnage provider for Disciplined… intra-regional trades with strong industry Historically strong container market
Slide 18: Content
Q1 2021 Earnings Presentation CONTENT 1. Company Highlights Q1 2021 2. Market Update 3. Company Outlook 4. Appendix 18
Slide 19: MPC Container Ships at a Glance
Company Introduction and Highlights MPC CONTAINER SHIPS AT A GLANCE DEDICATED TONNAGE PROVIDER Leading intra-regional container tonnage provider #1 65 tonnage provider for vessels intra-regional trades STRONG FINANCIAL PROFILE Transparent sustainability reporting (1) USD 658m market capitalisation (
Slide 20: Q1 2021 Financials
Appendix Q1 2021 FINANCIALS BALANCE SHEET AS PER 31 MAR. 2021 PROFIT & LOSS Q1 2021 USDm 31.03.2021 31.12.2020 USDm Q1 2021 Q4 2020 Assets 688.4 678.1 Operating revenues 54.9 45.6 Non-current assets 615.1 617.1 Gross profit 23.0 7.9 Current assets 73.3 61.0 EBITDA 22.3 4.5 thereof cash & cash equiva
Slide 21: ESG at MPC Container Ships
Appendix ESG AT MPC CONTAINER SHIPS ENVIRONMENTAL COMMITMENT • Significant investments in exhaust gas cleaning and ballast water management systems • Sustainable and socially responsible ship recycling in accordance with applicable laws and regulations, specifically the requirements of the 2009 Hong
Slide 22: Fleet Employment Overview (1/3)
Appendix FLEET EMPLOYMENT OVERVIEW (1/3) MPCC Current May- Jun- Jul- Aug- Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- Post May-22 No. Vessel Cluster Charterer Fixture (USD/day) 21 21 21 21 21 21 21 21 22 22 22 22 22 (min. / max.) 1 AS SOPHIA 1700 grd BTL 13,000 DD(4) 2 AS CLEOPATRA 2800 grd MSC 10,
Slide 23: Fleet Employment Overview (2/3)
Appendix FLEET EMPLOYMENT OVERVIEW (2/3) MPCC Current May- Jun- Jul- Aug- Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- Post May-22 No. Vessel Cluster Charterer Fixture (USD/day) 21 21 21 21 21 21 21 21 22 22 22 22 22 (min. / max.) 24 AS NADIA 3500 gls Hapag-Lloyd 18,500 May-22 / Jun-22 25 AS SERAFIN
Slide 24: Fleet Employment Overview (3/3)
Appendix FLEET EMPLOYMENT OVERVIEW (3/3) MPCC Current May- Jun- Jul- Aug- Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- No. Vessel Cluster Charterer Fixture (USD/day) 21 21 21 21 21 21 21 21 22 22 22 22 22 50 AS FLORETTA 1,300 grd Pool Pool rate DD(2) 51 AS FRANZISKA 1,300 grd Pool Pool rate DD(2) 52
Slide 25: Current Financing Structure
Appendix CURRENT FINANCING STRUCTURE CAPITALIZATION (1) DEBT STRUCTURE MATURITY PROFILE (USDm) Group (stock ticker “MPCC”) 31.03.2021 Senior unsecured bond Beal Bank term loan Maturity: Q1 ‘23 Maturity: Q2 ‘23 Cash balance USD 48.1m Vessels (#): 36 Vessels (#): 11 Parent guarantee: Yes Parent guaran