Q earnings. Investor Presentation

Transcription

1 Q earnings Investor Presentation

2 Important notice This document contains certain forward-looking statements relating to the business, financial performance and results of the Company and/or the industry in which it operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words believes, expects, predicts, intends, projects, plans, estimates, aims, foresees, anticipates, targets, and similar expressions. The forward-looking statements, contained in this document, including assumptions, opinions and views of the Company or cited from third party sources are solely opinions and forecasts which are uncertain and subject to risks. A multitude of factors can cause actual events to differ significantly from any anticipated development. Neither the Company nor any of its subsidiary undertakings nor any of its officers or employees guarantees that the assumptions underlying such forward-looking statements are free from errors nor does any of the foregoing accept any responsibility for the future accuracy of the opinions expressed in this document or the actual occurrence of the forecasted developments. No representation or warranty (express or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and, accordingly, neither the Company nor any of its subsidiary undertakings nor any such person s officers or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. 2

3 Content Presentation of Figures Highlights and Key Financials Q Q Financials Outlook Appendix: Course of events 3

4 Presentation of figures Contribution from former Sealift operations are non-material in Q1 07 and not included in the figures The Q1 06 results are from Dockwise Transport N.V. and are added for information purposes only The balance sheet of Sealift is presented on a pro forma basis as if Sealift Ltd and the Dockwise Group of companies had been merged at 31 March

5 Highlights Q projects with multiple rigs transported on one vessel Transportation of Tahiti Spar Buoy IV Intended listing of shares on the Oslo Stock Exchange in September 2007 Robust Backlog of Heavy Lift projects amounting to USD 151m 5

6 Key Financials Q Amounts in USDm Q1 07 Q1 06 Change Revenue % EBITDA % Adjusted EBITDA 1) % Net Profit (loss) 2) (11.6) 10.7 n/m 1) Adjusted for contribution from Mighty Servant 3 of USD 6.5m 2) Includes, amongst other things, the amortization of the backlog (USD 9.3m) as a result of the buy-out, and does not include compensation for the Mighty Servant 3 of USD 6.5m 6

7 Key Financials Q Revenue Ebitda Growth Growth Offshore, T&I and Onshore , % 14,4 (4.8%) % DHL Rigs, Military P&MI and Various 33,5 41,7 24.6% 19,1 25,6 33.8% DYT 9,1 7,8 (14.3%) 1,2 1,3 10.7% Q1 06 Q1 07 Q1 06 Q1 07 7

8 Revenue Q Revenue Comments Offshore, T&I and Onshore ,1 Growth % 14,4 (4.8%) DHL 4 projects with multiple rigs on 1 vessel Increase in contract revenues for rigs DHL Rigs, Military P&MI and Various 33,5 41,7 24.6% DYT More maintenance days on SS3 due to docking DYT 9,1 7,8 Q1 06 Q1 07 (14.3%) Competition on US West Coast from Lift-on and Lift-off 8

9 Contract and vessel operating cost and SG&A Contract and vessel operating expenses in Q1 07 remained relatively stable compared to same quarter last year Negative impact of redundancy costs in Q1 06 levelled out higher insurance costs and maintenance charges in Q1 07 Administrative expenses increased mainly due to higher payroll expenses for project management and engineering related personnel 9

10 EBITDA Q Ebitda Growth % Comments Strong increase of 32.5%, mainly driven by strong EBTIDA contributions from DHL DHL 19,1 25,6 33.8% Margin uplift due to 4 projects with multiple rigs and increase in contract prices for Rigs DYT 1,2 1,3 Q1 06 Q % Excluding cash contribution from Mighty Servant 3 of USD 6.5m 10

11 Depreciation & amortization and financing expenses Substantial increase of depreciation and amortization expenses to USD 19.6m (Q1 06: USD 8.2m), mainly due to Amortization of backlog recognized of USD 9.3m A fair value adjustment of the fleet following the buy-out Substantial increase of net financing costs to USD 18.8m (Q1 06: USD 1.3m), due to higher debt following the buy-out of the Dockwise group of companies by 3i 11

12 Balance Sheet Q Amounts in USDm Pro forma 31 March ) 31 March Dec 2006 Property, plant & equipm. Intangible assets Other assets Total assets , Total Equity NC Interest bearing borrowings Other liabilities Total Liabilities , ,437.5 (6) ) Presented on a pro forma basis as if Sealift Ltd and the Dockwise Group of companies had been merged at 31 March

13 Working Capital Working Capital includes a receivable on the insurance company and the current part of receivables on the escrow account established in connection with the buy-out, both in relation to the MS 3 incident for a total of USD 52.4 million Net working capital amounts to minus USD 30.5 million, excluding these MS 3 related receivables In general, working capital of the company is negative as: DYT customers pay the full contract sum in advance DHL contracts terms are 50% upon loading and 50% upon discharging Net working capital is impacted by a number of contracts that started around the end of the quarter and is in line with 1Q06, after adjusting with MS 3 related receivables 13

14 Cash Flow Q1 07 Strong operational cash flow due to an increase in EBITDA A large portion of the interest expense is rolled up as it relates to Paid-In-Kind facilities The total cash consideration in relation to the buy-out amounted to USD 688.3m 14

15 Outlook The following facts will impact the FY 2007 results: MS 3 cash contribution for FY 2007 will be approx. USD 25.8m Sealift bareboat charter revenues will be included as of 4 May 2007 Backlog amortization for FY 2007 will be approx. USD 33.0m Interest expenses to increase further due to higher debt following the merger between Sealift and Dockwise Group of companies Expected CAPEX for 2007 is approx. USD 85m 15

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17 Appendix 17

18 Course of events 23 December January January January March May May i announces Dockwise Group of companies buy-out Dockwise Group of companies buy-out by 3i completed Sealift completes initial USD 180m private placement on the Norwegian OTC market and issues 90 million shares Sealift Ltd. agrees to acquire 6 single ship companies each owning a suez max tanker from Frontline Ltd. due to be converted to heavy lift vessels Acquisition of 6 single ship companies by Sealift Ltd. completed; Sealift Ltd. commences operations Sealift completes NOK 1.2bn (USD 200m) private placement on the Norwegian OTC Market Completion of combination between Sealift Ltd. and the Dockwise Group of companies 18

19 Q&A