Anton Oilfield Services Group · HKEX:3337
Anton Oilfield Services — FY2019 Earnings Presentation
26 slides from Anton Oilfield Services's earnings presentation, Mar 23, 2020
Slide 1: 2019 Annual Results Announcement
2019Annual Results Announcement 23 March 2020 TWENTY AMAZING YEARS PASSING THROUGH CYCLES GET TO NEW HEIGHTS 1
Slide 2: Agenda
2019 Annual Results Summary Agenda 2020 Outlook Q&A 2
Slide 3: Disclaimer
Disclaimer ⚫ This presentation is prepared by Anton Oilfield Services Group (the “Company”) solely for the purpose of corporate communication and general reference that would not be reproduced or redistributed to any other person without the permission of the Company. The presentation is not intende
Slide 4: 2019 Annual Results Summary
2019 Annual Results Summary Profit Attributable to Revenue Free Cash Flow Equity Holders (RMB million) (RMB million) (RMB million) +20.8% +22.3% 3,589.5 268.6 +451.5% 2,935.9 222.4 238.8 43.3 2018 2019 2018 2019 2018 2019 4
Slide 5: Business Highlights
Business Highlights 01 Optimized Market Structure, High Growth in Core Markets 02 Improved Business Quality, High-return Products Stood out 03 Successfully Executed Operating Philosophy, Cash Flow Far Exceeded Budget 04 Seized the Best Opportunity, Issued New US Dollar Bond 05 Celebrated 20th Annive
Slide 6: Rapid Revenue Growth
Chinese Market, Broke the Bottleneck Returned toTechnology, Delivered High Growth High Quality Xinjiang Market Shale-gas Market Surge in New Orders Strong Technology Demand Asset-light Development RMB million RMB million The Largest Market Share among Strong Increase in Private Drilling Companies +9
Slide 7: Traditional Projects Developed Steadily, New Technology Applied Successfully
In Iraq, Combining IFMS and Technical Services Firmly Occupied Key Markets Traditional Projects Developed Steadily ⚫ Renewed the workover and well completion package services contract in Halfaya Oilfield and Efficient Operation of Majnoon Oilfield for West-Qurna-2 Oilfield. One and a Half years New
Slide 8: Chad Market, Successfully Copied the IFMS Model
Chad Market, Successfully Copied the IFMS Model 2019.9 2019.12 2020.2 Won the Oilfield Management The First Well Starts Drilling Services Project After Took Over Formal Commissioning ⚫ Amount: USD 53.0 million ⚫ Term: Two years and three months ⚫ Services Mode：Anton managing the overall operation of
Slide 9: Improving Business Quality, High-return Products Stood out
Improving Business Quality, High-return Products Stood out Return Oilfield Operating Services ( Oilfield management) Drilling tool Inspection- rental drilling tools inspection Inspection- oil tube and case inspection Company average Drilling Completion Oil Production 9
Slide 10: Operating Performance Improved Steadily, Return on Asset Continue to Grow
Operating Performance Improved Steadily, Return on Asset Continue to Grow ROE Increased year on year Profit Attributable to Shareholders RMB million 10.0% 9.7% +20.8% 8.5% 268.6 222.4 5.0% 2018 2019 Net Asset 人民币百万元 +9.7% 2,645.9 2,902.1 0.0% 2018 2019 2018.12.31 2019.12.31 10
Slide 11: Free Cash Flow Reached Historical High
Successfully Executed Operating Philosophy, Cash Flow Far Exceeded Target Free Cash Flow Reached Historical High RMB million 1. Improving Business Quality ⚫ Won high quality orders with the advantages in technology 238.8 and management ⚫ Resist the temptation in scale and growth, 43.3 resolutely aba
Slide 12: Captured the Best Window, Issued New US Dollar Bond
Captured the Best Window, Issued New US Dollar Bond Issued USD300 million Bond, Cut Coupon Rate, Tendered Back the 2020 Notes Greatly Improved Liquidity Save Financial Expense Cash on Hand Coupon Rate Residual Amount of the 2020 Notes RMB milion US$ million 300.0 193.3 2,422.9 9.75% 7.50% 686.6 2018
Slide 13: Celebrated 20th Anniversary, Starting a New Journey
Celebrated 20th Anniversary, Starting a New Journey Global Leading Oilfield Technical Services Company scaled development of oilfield management services A Competitive Integrated Oilfield Technical Company in Global Emerging Markets 1999-2019 Founded in Xinjiang Beijing Influence A Start-up Company
Slide 14: Agenda
2019 Annual Results Summary Agenda 2020 Outlook Q&A 14
Slide 15: 2020 Outlook
2020 Outlook 01 Embrace the Challenges, Seize the Opportunities and Pass Through the Cycle Transform Products, Construct an precise service by Combining Geological 02 Technologies and Engineering Services 03 Transform Management, Forming a Digital-driven Business Platform Transform Governance, Formi
Slide 16: Severe Challenges for the Oil Industry
COVID-19 Pandemic, OPEC+ Failed to Reach Agreement on Production Cut, Severe Challenges for the Oil Industry The Global Pandemic of COVID-19 Brent Oil Price in 2020 USD/bbl 70.0 59.12 50.0 24.88 30.0 10.0 2020/2/19 2020/2/29 2020/3/10 OPEC + failed to reach a production cut agreement, Saudi Arabia a
Slide 17: Strict Precaution, Full Resumption, Reduce Impact
Strict Precaution, Full Resumption, Reduce Impact 0 affection for employees globally Full resumption ⚫ High-standard QHSE management, strictly follow ⚫ Efficiency of Some projects in domestic markets were affected, but precaution command of national and local government such impact was limited becau
Slide 18: Embrace the Challenges, Seize the Opportunities in Key Markets
Embrace the Challenges, Seize the Opportunities in Key Markets Domestic Markets, Natural Gas Remains the Overseas Markets, Maintaining stable production Focus of Development of Oil Companies is the National Strategy in Emerging Markets Natural gas resources Oilfield Management Services ⚫ Leveraging
Slide 19: Developing Strategy with Free Cash Flow and ROE as the Core
Continuously Implementing the high-quality Developing Strategy with Free Cash Flow and ROE as the Core Return and Cash Flow ⚫ Strive for oilfield management services projects in oil production cluster in global markets ⚫ Maintain the stable growth of inspection services and asset rental services in
Slide 20: Transform Products, Providing Precise Service
Transform Products, Providing Precise service by Combining Geological Technologies and Engineering Services More Output with Geological Dynamicly Reservoir Find the Less input Tracking and Technology Analysis Sweet-spot Feedback 井位部署 Engineering Designing Well Deployment Precise Services Optimizatio
Slide 21: Forming a Digital-driven Business Platform
Transform Management, Forming a Digital-driven Business Platform Informationized Business Platform 21
Slide 22: Forming a Brand-new Governance Structure with Employees' Shareholding
Transform Governance, Forming a Brand-new Governance Structure with Employees’ Shareholding ESOP Share Option Restricted Share Employee Voluntary Scheme Award Scheme Investment Customer-centralized Hard-Working Spirit Leaning and Innovation Anton Core Value 22
Slide 23: Forming a Brand-New Business Form
Forming a Brand-New Business Form Entire Process Precision Covers Well Drilling, Well Completion Combine Geological Technology and And Oil Production Engineering Services, Accurately provide services and develop oil and gas. Full Package Platform Informationization Talents, Equipment and Materials D
Slide 24: Focus on the Long Run, Achieving Sustainable Development
Focus on the Long Run, Achieving Sustainable Development Environment Society Governance ⚫ Reduce occupation of ⚫ Create a platform for talent growth ⚫ Create a sustainable environmental resources and development, promote the governance structure ⚫ Reduce environmental common development of talent an
Slide 25: Develof @ pa
Develof @ pa
Slide 26: Agenda
2019 Annual Results Summary Agenda 2020 Outlook Q&A 26
Anton Oilfield Services Group — FY2019 Earnings Presentation on 6ix