1qfy2012 results briefingswiber.listedcompany.com/newsroom/20120514_072303_ak3... · 2012-05-13 ·...

1QFY2012

RESULTS BRIEFING 14 MAY 2012

1QFY2012


Financial Highlights 1QFY2012

ü  Revenue up 29.1% to US$194.4 million

ü  Net profit up 5.9% to US$12.5 million

ü  Gross profit margin up 3.6 percentage points to 19.8%

ü  Strong order book of US$1.2 billion to contribute to results over next two years

ü  Gearing ratio down to 0.80 times as at March 31, 2012 from 1.03 times as at March 31, 2011

ü  Strengthened capabilities places Swiber in big league; Well placed for large contract wins

1QFY2012 Highlights

Robust Revenue Growth with Successful Execution of Various Contracts in Asia

US$ (million) 1QFY2012 1QFY2011 Change (%)

Revenue 194.4 150.6 29.1

Gross Profit 38.4 24.4 57.3

Gross Profit Margin (%) 19.8 16.2 3.6 pp

Profit before tax 17.3 13.5 27.9

Net Profit 12.5 11.9 5.9

Financial Highlights at a Glance

Ø  Gross Profit Margin at healthy level of 19.8%

Revenue

Revenue Trend

0

100

200

300

400

500

600

700

29.1% Growth

2008 2007 2009 2010 2011 1QFY2011 1QFY2012

150.6 194.4

US$’m

151.2

428.4 393.4

465.7

654.5

• Growth in revenue in current quarter due to progressive revenue recognition from the various contracts warded to the Group in 2010 and 2011

• Contracts awarded were concentrated in South East Asia and South Asia

CAGR of 44.24%

Net Profit

Net Profit Trend

150.6

US$’m

151.2

428.4 393.4

465.7

654.5

• Increase in net profit in current quarter due to higher gross profit and lower other finance costs

0

10

20

30

40

50

60

2008 2007 2009 2010 2011 1QFY2011 1QFY2012

5.9% Growth 49.7

39.5 39.0 39.4 42.2

11.9 12.5

Statement of Financial Position

654.5

49.7

US$’m 31 Mar 2012 31 Dec 2011 Change (%)

Cash & Bank Balances 139.3 116.5 19.6

Trade receivables and CWIP 340.2 281.4 20.9

Current assets 738.2 608.4 21.3

Non-current assets 709.3 766.5 - 7.5

Current liabilities 622.1 602.7 3.2

Non-current liabilities 242.5 248.7 - 2.5

Total equity 582.9 523.6 11.3

Key Financial Ratios

654.5

49.7

Key ratios 31 Mar 2012 31 Dec 2011 Change(%) NAV per share (US cents) 68.7 71.1 - 3.4

Key ratios 31 Mar 2012 31 Mar 2011 Change (%) Net Debt / Equity (times) 0.80 1.03 - 22.3 Return on Equity (%) 2.1 2.9 - 27.6 Return on Asset (%) 0.9 1.2 - 25.0 EPS per share (US cents) (Basic) 1.5 1.9 - 21.0

Cashflow Statement

654.5

49.7

US$‘000 1QFY2012 1QFY2011 Operating cashflow before movement in working capital 31,182 16,276

Net cash (used in)/ generated from operating activities (42,257) 11,006

Net cash (used in) investing activities (26,810) (54,429)

Net cash generated from financing activities 79,795 38,420

Cash & Cash equivalents at end of period 114,110 114,105

Ø  Cash flow used in operating activities in 1QFY2012 : The outflow was mainly a result of I.  An increase in trade receivables of US$59.8 million; II.  An increase in other receivables of US$73.3 million; and III.  A decrease in trade and other payables of US$42.8 million; IV.  A decrease in inventories of US$19.9 million.

Ø  Cash flow used in investing activities in 1QFY2012 : The outflow was due mainly to: I.  Purchase of property, plant and equipment and capital expenditure of US$28.8 million.

Ø  Cash flow generated from financing activities in 1QFY2012: The inflow was due to: I.  New bank borrowings and proceeds on issue of ordinary shares totalling US$169.0 million; II.  Offset by repayment of bank loans amounting to US$72.9 million.

Strong and Growing Order Book

Order Book Trend

654.5

49.7

500#

700#

900#

1100#

1300#

FY2010 1QFY2011 2QFY2011 FY2011 3QFY2011

  As at May 2012, the Group’s order book stands at approximately US$1.2 billion   Order book expected to contribute to the Group’s results over the next two years, barring

unforeseen circumstances   The Group is well posiGoned to bid for major contracts and will conGnue to focus on winning

new contracts

1QFY2012

US$’m

1QFY2012


Corporate Highlights 1QFY2012

Larger Contracts, New Markets

49.7

Contract Wins

Date Contract Win Amount March 26 Offshore construction works for procurement, transportation and installation

of pipeline in Gulf of Mexico US$273 million

March 6 Charter contracts for vessels, to be deployed for work in Gulf of Mexico and Southeast Asia

US$36 million

February 6 A string of contract wins for offshore construction projects and vessel chartering services in Southeast Asia and South Asia and vessel chartering services in the Middle East

US$216 million with US$38 million under JV in Middle East

•  Incorporation of subsidiary in Mexico: Swiber Offshore Mexico SA DE CV •  Subscription of 49% shares in Dragados -Swiber Offshore S.A.P.I DE CV

•  Proposed placement of 70,000,000 ordinary shares in the capital of Kreuz Holdings Limited •  Placement of 101,071,000 New Ordinary Shares

Other Developments

Most Recent

April

March

Young fleet of 55 Vessels

654.5

49.7

Construc)on Vessels 1. Swiber Conquest (Pipelay barge) * 2. 1MAS-‐300 (Pipelay barge) ** 3. Swiber Concorde (Pipelay crane barge) * 4. Aziz (Derrick pipelay Barge)** 5. Resolute (Derrick pipelay barge) * 6. Swiber PJW3000 (Derrick lay barge) ** 7. Magnificent (Crane vessel) 8. Kreuz Supporter (Dive support work barge) 9. Swiber Victorious (Dive support accommoda<on barge) ** 10. Kreuz Glorious (Accommoda<on Barge) 11.   Swiber Atlan)s (Dive support work barge) ** 12.   Kreuz Installer (Dive Support work barge) 13. Holmen Arc)c (Submersible barge) 14. Holmen Atlan)c (Submersible barge)

Offshore Vessels: U)lity / towing tugs 1.   Swiber 99 2.   Swiber Raven** 3.   Swiber Charlton** 4.   Swiber Carina** AHT/AHTS 1.   Swiwar Venturer** 2.   Swiwar Challenger** 3.   Swiwar Victor** 4.   Swiwar Surya** 5.   Swiber Trader 6.   Swiber Singapore 7.   Swiber Navigator* 8.   Swiber Explorer* 9.   Swiber Gallant* 10.   Swiber Valiant* 11.   Swiber Ada* 12.   Swiber Torunn* 13.   Swiber Sande]ord* 14.   Swiber Oslo* 15.   Swiber Else-‐Marie* 16.   Swiber Anne Chris)ne* 17.   Vallianz Hope**

AHT/AHTS (Cont’d) 18. Swiber Mary-‐Ann* 19. Swiber Bhanwar** 20. Swiber Anna 21. Swiber Lina 22. Rawabi 1 ** 23. Rawabi 2** 24. Swiber Pearl 25. Swiber Peacock Cargo / Flat top barge 1.   Swiber 123** 2.   Swiber 255 3.   Swiber 282 4.   Kreuz 231 5.   Kreuz 232 6.   Kreuz 241 7.   Kreuz 281 8.   Kreuz 282 9.   Kreuz 283 10.   Kreuz 284 11.   Newcruz 331 12.   Newcruz 332

*Under S&L **Owned by JV Company and Associates 14 Construction vessels

Expanded fleet puts Swiber in a strong position to service outstanding order book and pursue offshore

projects “Swiber PJW3000”

41 offshore vessels

FY2012-FY2013 Vessel Delivery Plan

49.7

VESSEL NAME 2012 2013

Derrick Crane Barge

Swiber Kaizen 4000 1

VESSEL NAME 2012 2013

Submersible cum Launch Barge

Holmen Pacific 1

Total 1 1

1QFY2012


Industry Outlook

World Oil Demand

Ø  IEA forecasts global oil demand to rise to 89.9 mb/d in 2012 •  A gain of 0.8mb (0.9%) from 2011

Ø  OPEC forecasts global oil demand to rise to 88.7mb/d in 2012 •  A gain of 0.9mb (1.0%) from 2011

Source: OPEC Monthly Oil Market Report

World Oil Demand by Regions (2012)

Source: International Energy Agency

Demand, Supply, Prices

Demand, Supply, Prices

World Oil Supply Ø  Non-OPEC supply fell by 0.5 mb/d to 52.7 mb/d in March 2012

Ø  OPEC supply held near three-and-a-half year highs, up by 135 kb/d to 31.43 mb/d in March 2012

Source: International Energy Agency

Oil Prices Ø  Oil prices are forecasted to be sustained at US$115 per barrel for 2012, making it

economical for oil companies to go in search for more unconventional oils

Source: Barclays Asia Capital

Source: Bloomberg Source: Bloomberg

Offshore Exploration & Production

Asia offshore capex to increase 77% Ø  An estimated capex of over $97 billion through 2009 to 2013 Ø  Asia is expected to represent the second largest share of the global

capex spend

Source: Infield Regional Perspectives Asia Pacific Market Update Report 2009/13.

Global Offshore Capex Ø  Offshore Capex for all regions is expected to reach US$213 billion

this year and US$297 billion in 2016

Source: IHS Upstream Spending Report (May 2012)

Ø Oil companies expect E&P spending increase of 17% in 2012 Ø  Oil companies expect E&P spending to increase by 10% in 2013 Ø  The respondents have indicated they would be likely to continue to increase their spending if the fundamentals remain conducive. Source: DNBNOR Asia Offshore Sector – E&P spending update

Offshore Exploration & Production

Source: E&P Magazine, Infield

Oil Production Trends Offshore capex split by water depth


Shallow Water Fields Ø  More than 1,000 offshore oil fields that are forecast to be developed

between 2011 and 2015, Ø  80% of these will be in less than 100 m (328 ft) water depth


1QFY2012


Strategy & Outlook

Locations, Partnerships, Alliances

Mexico

Brazil

West Africa

Middle East

India

Vietnam

Brunei Myanmar

Malaysia

Singapore

Indonesia

Markets we are targeting Markets where Swiber has offices/presence

China

Australia

Strategy & Outlook

Ø Strengthen our position as an experienced and reputable offshore service provider in the market Ø Well positioned to bid for major contracts

Ø Continue to focus on penetrating into new markets

Ø Order book of over US$1.2 billion as at May 2012, expected to contribute to the Group’s results over the next two years, barring unforeseen circumstances

Ø Prudent in managing business operations and cost efficiencies

Ø Exploring new opportunities to leverage on strong track record

1QFY2012


Q&A

1QFY2012


1qfy2012 results briefingswiber.listedcompany.com/newsroom/20120514_072303_ak3... · 2012-05-13 ·...

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