Tallinna Sadam As · OMXTSE:TSM1T
Tallinna Sadam As — Shareholder Meeting (April 2023)
58 slides from Tallinna Sadam As's shareholder meeting presentation, Apr 25, 2023
Slide 1: Tallinna Sadam AGM
Tallinna Sadam AGM 25.04.2023
Slide 2: Agenda
Agenda 1. Greetings from the majority shareholder. Kristen Michal, Minister of Climate. 2. Overview of the activities of the supervisory board. Marek Helm, member of the supervisory board, chairman of the audit committee. 3. Annual review and future outlook. Valdo Kalm, CEO. 4. Financial results and
Slide 3: Resolutions of the shareholders
Resolutions of the shareholders 1. Approval of the Annual Report 2022 2. Profit allocation 3. Appointment of the auditor 4. Amendment of the Articles of the Association
Slide 4: Overview of the activities of the supervisory board
Overview of the activities of the supervisory board Marek Helm Member of the supervisory board, chairman of the audit committee
Slide 5: Activities of the supervisory board in 2022
Activities of the supervisory board in 2022 • New composition of supervisory board started in July • 13 meeting of the supervisory board, participation 93% • 5 meetings of the audit committee, participation 100% • 4 meetings of the remuneration committee, participation 94% • Major decisions: ✓ Appoi
Slide 6: New supervisory board
New supervisory board Riho Unt Veiko Sepp Maarika Honkonen Ain Tatter (chairman, finance and investments) (chairman of the (tourism) (representative of major remuneration shareholder, transport and committee, technology) logistics) Kaur Kajak Risto Mäeots Marek Helm (representative of the major shar
Slide 7: Corporate strategy
Corporate strategy • Moderate growth opportunities in all business sectors (cargo, passengers, shipping, real estate) • New growth opportunities: ✓ Servicing offshore wind farms Our vision ✓ Real estate development • Ensure a stable income for owners, Port of Tallinn aims to become keep the dividend
Slide 8: Impact and mitigation of risks
Impact and mitigation of risks Major risks Mitigation Unstable global economy Balanced, crisis-proof business model Changing environmental requirements and Environment-friendly investments and regulations solutions Russian-Ukrainian war and sanctions to Russia New trade corridors, north-south trade
Slide 9: Why Tallinna Sadam share is attractive?
Why Tallinna Sadam share is attractive? Dividends paid (mEUR) 40 200% • Stable infrastructure company 35 180% 35 • Balanced business model: four 30 30 160% 144% business fields 26 140% 25 120% • Strong cash flow – EBITDA margin 20 20 100% 19 100% 50% 80% 15 71% 75% 68% 60% • Growth projects – modera
Slide 10: Successful year – recognitions 2022
Successful year – recognitions 2022 • 30th anniversary of Tallinna Sadam as business entity • Cruise terminal: Cultural Endowment of Estonia main prize in category “New room”, Estonian Concrete Association award “Concrete building of the year” • Cruise terminal with promenade: ESPO nomination “Creat
Slide 11: Annual review and future outlook
Annual review and future outlook Valdo Kalm CEO
Slide 12: Well balanced business model
Well balanced business model Business segments PASSENGER HARBOURS CARGO HARBOURS International PAX lines, Cargo handling, passengers cruise, ro-ro with cars, industrial parks Old City Harbour Muuga harbour Saaremaa harbour Paldiski South harbour OTHER FERRY Icebreaker Botnica Operating Saaremaa and
Slide 13: 2022 main events and impacts (1/3)
2022 main events and impacts (1/3) • Recovery of passenger volumes to 7 million i.e. +98% compared to 2021 • Cruise vessel calls in Tallinn and Saaremaa increased 4 times (179 vs 45) • Completed Old City Harbour developments – square in front of terminal D • Draft detailed plans for Old City Harbour
Slide 14: 2022 main events and impacts (2/3)
2022 main events and impacts (2/3) • Investment decision to announce public tender for building a quay and hinterland in Paldiski • Growth in containers and ro-ro cargo, ro-ro becoming the largest cargo type by volume • Positive court ruling regarding WWCE claim for penalty fee dispute • Icebreaker
Slide 15: 2022 main events and impacts (3/3)
2022 main events and impacts (3/3) • Direct impact of Russian aggression on cargo business and transformation of supply chains • Decrease in liquid bulk and fertilizer volumes of Russian origin • New opportunities – growth of ro-ro and containers • Monetary impact from sanctions is less than expecte
Slide 16: Maritime megatrends and vision
Maritime megatrends and vision MEGATRENDS VISION 2030+ Changes in global supply chains • Near-shoring • Consolidation • Alternative fuels, electrified or hybrid ships Environmentally friendly and sustainable • Sustainable port as ecosystem solutions • Production and storage of alternative energy, of
Slide 17: Passenger harbours
Passenger harbours Development and growth projects
Slide 18: Recovery of the passenger business
Recovery of the passenger business 2022 vs 2021 the number of passengers doubled Continuous growth trend in Helsinki and Stockholm ferry traffic (Q1 +55%, +90% ) Cruise ship visits in Tallinn and Saaremaa continue; the expected occupancy rate will be higher
Slide 19: D-terminal square completed in Oct 2022
D-terminal square completed in Oct 2022 Service area combined with urban space
Slide 20: New tram line expected in 2024
New tram line expected in 2024 • Construction started in March 2023 • Expected completion in summer 2024 • EU support from Economic Recovery Plan funding EUR 26 million + funding from Rail Baltica project
Slide 21: FIN-EST Green Corridor
• Port of Tallinn & Port of Helsinki – infrastructure (OPS, automooring, Smart Port system), bunkering, climate neutral terminals, port dues, circular FIN-EST economy, green energy, mobility, port fleet and machinery/equipment Green Corridor • Ferry companies – green fuels, Estonian-Finnish sustaina
Slide 22: Old City Harbour Real Estate development values and principles
Old City Harbour Real Estate development values and principles • Creating the seaside city, opening the seaside • Diverse, carefully designed public space • Promenade passing through an area with rich greenery • A new level of mobility service • Smart and green solutions • Use of renewable energy so
Slide 23: Detail planning in process
A terminal and cruise area Detail planning in process North Area South Area D-terminal Admirality basin Tuukri Str.17, 19, 19a
Slide 24: Architectural design competition for Passenger Terminal A Quarter
An architectural design competition and design works for the Passenger Terminal A Quarter
Slide 25: Vision 2030 Passenger harbours 4.0
Vision 2030 Passenger harbours 4.0 • Tallinn-Helsinki Green Corridor • PAX ships sailing on alternative fuels • Pollution-free sips at the port (green fuel or OPS) • Modern environment-friendly passenger terminals • Intelligent ticket-free multimodal travel service and border crossing
Slide 26: Cargo harbours
Cargo harbours Development and growth projects
Slide 27: HHLA TK post-panamax cranes started in 2022
HHLA TK post-panamax cranes started in 2022 Ensure the capacity to serve all container ships passing through the Danish straits
Slide 28: Muuga harbour 13. quay ramp
Muuga harbour 13. quay ramp • Quicker and more sustainable service • Directing vehicles away from busy city center • Opportunities for North-South corridor • Additional sailings by Eckerö Line ship Finbo Cargo
Slide 29: Rail Baltic freight terminal in Muuga
Rail Baltic freight terminal in Muuga North-South trade • Loading options from maritime, road and rail • Design completed 2022 (Sweco Projekt AS) transport • Construction planned 2023-2025 • Annual capacity 4-5 million tonnes of cargo • Co-financed by EU from CEF I programme • Serves both 1435 mm an
Slide 30: Industrial parks
Industrial parks Bring your future project to the port Muuga harbour industrial park 76 ha Paldiski South harbour industrial park 39 ha • Multimodal hub • Frequent maritime links with Scandinavia and Western Europe • Railway and road connections with neighboring countries • Rail Baltica freight stat
Slide 31: Base harbor for offshore wind farms in Paldiski
Base harbor for offshore wind farms in Paldiski • Additional quay investment EUR 53 million • EU funding EUR 20 million • Four MOUs signed • Start of design and construction works 2023 • Construction completed 2025 • Value proposition with industrial park areas and maintenance fleet
Slide 32: Estonian Hydrogen Valley
Estonian Hydrogen Valley Legend Elektr tootmine @ opptartimine x Vesiiku tootmine «, Bksport Teadus jaharidus
Slide 33: Hydrogen value chain pilot in Muuga harbour
Hydrogen value chain pilot in Muuga harbour • Green energy and production of hydrogen • Hydrogen filling station • Hydrogen vehicles
Slide 34: Vision 2030 Cargo harbours 4.0
Vision 2030 Cargo harbours 4.0 • A multimodal port • Rail Baltica and the north-south corridor • Construction and maintenance port of wind farms • Terminals for alternative fuels • Automatic mooring and onshore electricity for regular lines • Regionalization (near-shoring) and new trade corridors •
Slide 35: Shipping
Shipping Development and growth projects
Slide 36: Icebreaker Botnica
Icebreaker Botnica TS Shipping • Summer charter from June to September • Charter in Canadian Arctics from September to November • Opportunities to serve offshore windfarms • Design and research/CBA acquiring new offshore vessel
Slide 37: Ferries
Ferries TS Laevad • All ferries are owned by the company • Electrification of the vessels • Preparation for the new period (2026–2036) tender • Finding and analyzing growth opportunities in foreign countries • Maintaining satisfaction of employees and clients
Slide 38: Vision 2030 Shipping 4.0
Vision 2030 Shipping 4.0 • Maintenance of offshore wind farms • Hybrid and electric ships • Hydrogen ships • Automatic control of vehicles in port and on ships
Slide 39: Sustainable development
TALLINNA & SADAM Sustainable development
Slide 40: CO₂ emission mapping related to Tallinna Sadam operation
CO₂ emission mapping related to Tallinna Sadam operation Tallinna Sadam, TS Laevad, TS Shipping Operators, tenants, ships calling the port
Slide 41: GHG emission of Tallinna Sadam Group 2019-2022
GHG emission of Tallinna Sadam Group 2019-2022 Scope 1-2 40 000 35 000 33 086 30 000 27 819 25 000 23 847 Heat consumption tonnes CO2e 21 623 20 562 20 000 18 783 Mobile equipment 15 000 20 713 10 000 18 847 Vessels owned by Tallinna Sadam 5 000 11 080 7 519 1 553 Electricity consumption 0 1 176 201
Slide 42: Reducing the ecological footprint
Reducing the ecological footprint • Energy production and consumption from emission-free sources • Port fee discounts for environmentally friendly ships • Automatic mooring devices and onshore power for regular liners • Planning of onshore power for cruise ships in Old City Harbour • Wastewater rece
Slide 43: Financial results and dividend proposal
Financial results and dividend proposal Andrus Ait Member of the management board/ CFO
Slide 44: Passengers and PAX ship calls
Passengers and PAX ship calls Stable ship calls PAX volume +98% 12 10000 10,6 10,6 10 8000 Other 1,0 0,9 8 Passengers, mln 7,0 Cruise 6 111 Vessel calls 5 898 6000 5 451 5 679 5 672 6 Muuga-Vuosaari 4,3 4000 8,8 8,8 4 3,5 Tallinn-Stockholm 6,2 2000 2 4,0 Tallinn-Helsinki 3,0 0 0 PAX vessel calls 201
Slide 45: Cargo and cargo vessel calls
Cargo and cargo vessel calls Growth in containers and ro-ro Stable vessel calls 25 6000 22,4 21,3 General cargo 20,6 19,9 1,9 5000 20 1,8 1,9 1,8 17,8 Containers 4,7 4,4 4000 Vessel calls 3,9 2,1 15 4,5 Dry bulk Million tonnes 2,9 5,6 6,5 3000 5,3 5,4 Ro-ro 10 6,9 2000 1754 1743 1637 1 654 Liquid bu
Slide 46: Shipping
Shipping Ferry operations MPSV Botnica charter 3,0 50 000 300 100% 261 267 45 000 90% 242 249 249 2,5 250 40 000 80% 2,4 Million PAX/vehicles 2,3 2,3 35 000 72% 73% 2,2 70% 2,0 200 68% 68% Number of trips 66% 2,0 30 000 60% Days 1,5 25 000 150 50% 22 876 22 842 21 010 21 518 20 118 20 000 40% 1,0 1,
Slide 47: Financial results
Financial results Thousand EUR 2022 2021 +/- Revenue 121 703 110 051 10.6% Adjusted EBITDA 55 817 54 046 3.3% Adjusted EBITDA margin 45.9% 49.1% -3.2 Operating profit 30 787 29 758 3.5% Income tax -4 193 -3 275 28.0% Profit 25 592 25 612 -0.1% Investments 13 856 14 718 -5.9%
Slide 48: Revenue and profitability
Revenue and profitability 140 131 131 90% 122 80% 120 110 107 70% 100 60% 57% 57% Revenue 54% 80 EUR million 49% 50% 46% Adj. EBITDA 74 74 60 40% 58 56 Adj. EBITDA margin 54 30% 40 20% 20 10% 0 0% 2018 2019 2020 2021 2022
Slide 49: Results by segment
Results by segment (mEUR) Passenger H 18,6 37,9 13,7 28,8 Cargo H 16,8 38,8 22,3 40,7 Ferry 14,6 34,8 12,5 30,7 Other 5,7 10,3 5,6 9,9 0 5 10 15 20 25 30 35 40 45 Adj. EBITDA 2022 Adj. EBITDA 2021 Revenue 2022 Revenue 2021
Slide 50: Voting on agenda item 1: Approval of the Annual Report 2022
Voting on agenda item 1 Approval of the Annual Report 2022 To approve the Annual Report 2022 of AS Tallinna Sadam, as presented to the general meeting.
Slide 51: Dividend proposal
Dividend proposal Dividends paid (mEUR) 40 200% • Dividend policy: 35 180% 35 • to pay at least 70% of the previous 30 160% 30 144% year’s profit starting from 2021 26 140% 25 120% • Dividend proposal EUR 0.073 EUR per 20 20 100% 19 100% share (EUR 19.199 million) 80% 15 71% 75% 68% 60% • Change of
Slide 52: Voting on agenda item 2: Profit allocation
Voting on agenda item 2 Profit allocation 2.1. To approve the net profit of the financial year of 2022 in the amount of 25,591,833 euros and the retained earnings (including 2022 profit) of 51,383,040 euros. 2.2. Transfer to statutory capital reserve 742,837 euros. 2.3. To pay dividends to the share
Slide 53: Appointment of the auditor
Appointment of the auditor • AS Tallinna Sadam auditor for the period 2018–2022 was KPMG Baltics OÜ. • We organized the tender of auditor services for auditing the 2023 and 2024 reports with the option of extending the contract for the audit of the 2025 financial year report. • AS PricewaterhouseCoo
Slide 54: Voting on agenda item 3: Appointment of the auditor
Voting on agenda item 3 Appointment of the auditor To appoint the company of auditors AS PricewaterhouseCoopers (registry code 10142876) to conduct the audit of AS Tallinna Sadam for the financial years 2023 and 2024 and to remunerate the company of auditors in accordance with the offer made by the
Slide 55: Amendment of the Articles of Association
Amendment of the Articles of Association According to the amendments to clauses 86 2) and 4), clauses 88 (1) 7), 71), 72), 8), 9) and 10), subsection 99 (1) and 13 of the State Assets Act and section 323 of the Commercial Code, the amendments in the articles of association concern: • general princip
Slide 56: Voting on agenda item 4: Amendment of the Articles of Association
Voting on agenda item 4 Amendment of the Articles of Association To approve the Articles of Association of AS Tallinna Sadam as presented to the general meeting.
Slide 57: Disclaimer
Disclaimer The presentation has been prepared for informational purposes only. By opening, downloading, In addition, even if the results and financial condition of the Port of Tallinn and the reading or otherwise making available any part or all of the presentation in whole or in part, development o
Slide 58: Thank you for attending!
Thank you for attending! www.ts.ee • Marju Zirel (Head of IR) m.zirel@ts.ee