Golar LNG Limited · NASDAQ:GLNG
Golar LNG — Q3 2019 Earnings Presentation
20 slides from Golar LNG's earnings presentation, Nov 26, 2019
Slide 1: Third Quarter 2019 Results
Third Quarter 2019 Results November 26, 2019 © Golar LNG Limited
Slide 2: Forward Looking Statements
This press release contains forward-looking statements as defined in the Securities Exchange Act of 1934, as amended and which reflect management’s current expectations, estimates and projections about its operations. All statements, other than statements of historical facts, that address activities
Slide 3: Speakers
Speakers Iain Ross Chief Executive Officer Graham Robjohns Chief Financial Officer and Deputy Chief Executive Officer © Golar LNG Limited 2
Slide 4: Highlights
Highlights Shipping 60% of Q4 2019 and Q1 2020 available capacity chartered at fixed rates with a further 30% on index related charters and 10% spot. Adopt revised mechanism Shipping revenue backlog increased 300% year on year. for shipping spinoff that eliminates dependence on Shipping fleet
Slide 5: Golar: Leading the Global LNG Transition
Golar: Leading the Global LNG Transition Fixed, fully financed Contract Backlog1 of $6.6bn coming on line in the next three years. Backlog increasing to $7bn if include Bacarena and SSLNG offtake Fully 8000 Funded 20,000 Projects 1• LNG demand forecast to 7,000 continue strong growth as gas 7000 be
Slide 6: Third quarter 2019 financial results
Third quarter 2019 financial results Solid FLNG performance offset by scheduled carrier dry docks that suppressed shipping results SUMMARY RESULTS HIGHLIGHTS ($ millions) Q3 2019 Q2 2019 %∆ Operating Results: FLNG: 100% up time delivering revenues and Adjusted Total operating revenues 99 97 +2% EBIT
Slide 7: LTM Adjusted EBITDA bridge
LTM Adjusted EBITDA1 bridge $m LTM Further Adjusted EBITDA1 in line with LTM to Q2 2019 $183m vs. $187m. (1) LTM adjusted EBITDA and LTM further adjusted EBITDA is a non-GAAP measure please see appendix for definitino © Golar LNG Limited 6
Slide 8: 300% increase in LTM Further Adjusted EBITDA
300% increase in LTM Further Adjusted EBITDA1 Demonstrating Golar’s successful track record of delivering projects LTM Q3 2018 v LTM Q3 2019 LTM 2019 (36) 112 107 183 LTM 2018 (36) 58 39 61 Corporate Shipping FLNG Year-on-year LTM further adjusted EBITDA1 has increased 3x driven by FLNG and shipping
Slide 9: Current Project Pipeline is Fully Funded
Current Project Pipeline is Fully Funded Allowing us to deliver shareholder value whilst self funding new projects ACTUAL FULLY FUNDED CONTRACTED RUN RATE FULLY FUNDED ASSET OPTIMISATION LTM 2019 Fully Fully Fully Fully Funded Funded Funded Funded ADDITIONAL UPSIDE • Contracted run rate1 exclude
Slide 10: FLNG Gimi: On track and fully funded
FLNG Gimi: On track and fully funded FLNG Gimi capex schedule and financing plan: Debt Equity Equity paid to date 1,400 137 1,200 190 1,000 28 700 115 101 700 800 $ million 600 305 60 305 630 400 90 116 200 188 188 - 2019 2020 2021 2022 COD 2023 Total • Equity paid in at 30 Sept is $188m (100% basis
Slide 11: Shipping: Tightening market balance
Shipping: Tightening market balance LNG Spot rates vs Global Vessel Availability # Available Vessels Avg. Spot Rate 155-165k TFDE Avg. Spot Rate 138-145k ST 140,000 35 120,000 30 Available vessels 100,000 25 USD/day 80,000 20 60,000 15 40,000 10 20,000 5 - 0 jan. 19 feb. 19 mar. 19 apr. 19 mai. 19 j
Slide 12: FLNG: Delivering what we have, preparing for the future
FLNG: Delivering what we have, preparing for the future Operational track record is key Growth Pipeline “Building and broadening our portfolio” FLNG Hilli Episeyo (Cameroon): Unit operating with 100% commercial uptime. 29 cargoes offloaded to date. Golar is the most experienced FLNG operating co
Slide 13: FLNG: Gimi design/build progress
FLNG Gimi design/build progress Sponson fabrication Keppel safety milestone Utilities module fabrication 2nd dry dock of Gimi © Golar LNG Limited 12
Slide 14: Downstream: Competitively Positioned in Brazil
Downstream: Competitively Positioned in Brazil Hub/Terminal approach provides foundation for extended distribution to inland and off-grid consumers Source: Golar Power. Note: (1) Preliminary License requires significant development expenses (e.g. engineering/feasibility studies, draft environmental
Slide 15: Downstream Infrastructure Rolling Out
Downstream Infrastructure Rolling Out Next project to start up - 1.5GW Sergipe (Brazil) power station and FSRU Nanook Top left: FSRU Golar Nanook moored offshore; Bottom left: Gas in the system/downstream isotainers are being delivered; Right: Sergipe, Latin America’s largest thermal power station ©
Slide 16: ESG: Developing our reporting and KPIs
ESG Developing our reporting and KPIs Making an impact – our We believe that Natural Gas has a critical role to play in focus areas providing cleaner energy for many years to come: Gas is a highly complimentary companion fuel to Five key areas which will be covered renewables in our external repor
Slide 17: Golar: Leading the Global LNG Transition
Golar: Leading the Global LNG Transition Fixed, fully financed Contract Backlog1 of $6.6bn coming on line in the next three years. Backlog increasing to $7bn if include Bacarena and SSLNG offtake Fully 8000 Funded 20,000 Projects 1• LNG demand forecast to 7,000 continue strong growth as gas 7000 be
Slide 18: Contact Us
Contact Us Stuart Buchanan Head of Investor Relations T: +44 20 7063 7911 E: Stuart.Buchanan@golar.com © Golar LNG Limited 17
Slide 19: Appendix: Non-GAAP Measures
Appendix Non-GAAP Measures Adjusted EBITDA: Adjusted EBITDA is calculated by taking net income before interest, tax, unrealized mark-to-market movements on the oil derivative instrument, depreciation and amortization. We believe that the exclusion of these items enables investors and other users of
Slide 20: ESG: Developing our ESG reporting and KPIs
ESG Developing our ESG reporting and KPI’s Energy Governance Health, safety Environmental People and Efficiency and and Business and security Impact community Innovation Ethics • Golar has a culture • Our vessels comply • We have a program • We have diversity • We have an that encourages with releva