q1 2017 results presentation - listed...

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Q1 2017 Results Presentation 5th May 2017

Presentation Outline Presentation Outline

Presentation Outline

Financial Review Business Review - Ship Repair, Ship Building & Marine Engineering - Dry Bulk Shipping Prospects

Financial Review

Profit & Loss

S$ million Q1 2017

Q1 2016

% Change

Turnover 401.8 722.3 (44)

Gross (loss) /profit (57.8) 89.3 (165)

Loss before Tax (144.0) (12.0) 1,096

Net loss (Attributable to equity holders) (78.9) (14.4) 448

Diluted EPS (cents) (3.52) (0.64) 450

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Turnover

Shipyard Operations $392.6m

97.7% Dry Bulk Shipping $9.2m

2.3%

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Turnover Review – Q1 2017

• -44.4% to $401.8m • Decrease in shipyard revenue

Group turnover

• 97.7% of turnover • -45.2% • Lower revenue contribution from ship repair, ship building and

marine engineering

Ship repair, ship building and marine engineering

• 2.3% of turnover • +63.2% • Higher charter rates

Dry bulk shipping & Others

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P & L Highlights

Gross loss • $57.8m • Losses from shipyard and shipping operations

Other income • +12.6% • Higher government grants and rental income

Interest expense

• +7.5% • High bank borrowings used to fund shipyard operations

Net loss attributable

• -$78.9m • Due to losses in shipyard and shipping operations

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Net Profit Trend

24.3 64.2

160.5 205.4

336.6 302.6

110.1

248.8

139.7 105.7

30.6 20.9

-570.0

-466.5

-14.40 -78.90

-700

-600

-500

-400

-300

-200

-100

0

100

200

300

400

FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY 2016 Q12016

Q12017

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Diluted Earnings per share (cents)

1.30 2.95

7.33 9.27

15.02 13.50

4.92

11.11

6.24 4.72

1.37 0.93

-25.45

-20.83

-0.64 -3.52

-30

-25

-20

-15

-10

-5

0

5

10

15

20

FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY 2015 FY 2016 Q12016

Q12017

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Balance Sheet Highlights

S$ million 31 Mar 2017 31 Dec 2016

Cash & cash equivalents 1,672.2 1,520.4

Trade & other receivables 3,590.0 4,531.9

Inventories 1,213.1 835.6

Construction contract WIP 87.3 72.4

Property, plant & equipment 2,409.2 2,527.4

Trade & other payables 2,051.5 2,095.7

Bank Borrowings 6,973.5 7,315.4

Total equity 173.4 320.5

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Cash Flow Highlights S$ million Q1 2017 Q1 2016

Cash flow (used in) / provided by:

- Operating activities 370.2 (184.3)

- Investing activities 17.7 0.3

- Financing activities (193.5) 919.3

Net change in C&CE 194.4 735.3

Opening C&CE 1,518.4 1,569.0

Effects of currency translation (42.4) (95.5)

Closing C&CE 1,670.4 2,208.8

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Business Review

Types of Vessels Repaired – Q1 2017

Bulk Carriers 53%

Containers Ships 21%

Others 15%

Chemical Ships 8%

Tankers 3%

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Shipyard Revenue by Type of Jobs – Q1 2017

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Ship Repair 24%

Marine Engg 55%

Ship Building 21%

Baltic Dry Index (BDI)

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Steel Price

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Current Capability

Dry Dock dwt

Floating Dock dwt

Berth km

Workshop & Storage

sq m

Dalian 80,000 80,000

180,000 300,000

14 3.721km

12 173,652 sq m

Nantong 150,000 80,000

3 0.772km

12 34,788 sq.m

Qidong 200,000 5 1.2 km

7 127,485 sq m

Shanghai 35,000 80,000

2 0.28 km

11 4,759 sq m

Zhoushan 80,000

400,000 230,000

7 1.742 km

13 253,663 sq m

Guangdong 80,000 150,000

6 1.19 km

11 143,300 sq m

Total 990,000 dwt 1,135,000 dwt 37 8.91 km

66 737,648 sq m

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Order Book

7.0 7.4

8.1

7.3 7.0 6.8

8.1

5.6 5.9

6.8 6.1 6.1 5.9

7.0 6.4

6.1 5.8 5.9 5.7

6.1 6.4

6.7 7.2

7.8 7.6 8.1

8.9 8.4

8.1 8.1 7.9 8.0 7.6 7.6

6.8 6.4

5.8

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

10.0

Q1

2008 Q2

Q3

Q4

Q1

2009 Q2 Q3

Q4

Q1

2010 Q2 Q3

Q4

Q1

2011 Q2 Q3

Q4

Q1

2012 Q2 Q3

Q4

Q12

013

Q2 Q3

Q4

Q12

014

Q2 Q3

Q4

Q1

2015 Q2 Q3

Q4

Q1

2016 Q2 Q3

Q4

Q1

2017

US$ billion

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Ship Building Orders as at 31 Mar 2017

17 • Container Vessels

10 • Bulk carriers • 57,000 dwt • 64,000 dwt • 82,000 dwt

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4 • Oil tankers

1 • LNG Carrier

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Ship Building Orders as at 31 Mar 2017

Offshore Orders as at 31 Mar 2017

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Sevan 650 Drilling Unit

1 unit

Self-Elevating Workover Unit

1 unit

Trailing Suction Hopper Dredger

1 unit

22

Semi-submersible Tender Assist Drilling

Rig

1 unit

DP3 Accommodation Barge

1 unit

Research Vessel

1 unit

Offshore Orders as at 31 Mar 2017

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• Multi Purpose Windfarm Support Unit

1 unit

Offshore heavy lift vessel

1 unit

• Semi Submersible Accommodation Vessel

1 unit

Offshore Orders as at 31 Mar 2017

Offshore Orders as at 31 Mar 2017

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Semi Submersible Accommodation Rig

2 units

Cargo Transfer Vessel

2 units

Subsea Supply Vessel

4 units

Offshore Orders as at 31 Mar 2017

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Emergency Response/Rescue/

Field Support Vessel

4 units

Jack-up Rig

5 units

Platform Supply Vessel

15 units

Offshore Modules

19 units

Deliveries 1 Jan 2017 to 31 Mar 2017

Shipbuilding

• 2 Bulk Carriers • 1 Oil Tanker • 1 Module Carrier • 1 Salvage Lifting Vessel

Offshore Marine • 1 FPSO • 1 Shuttle Tanker

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Prospects

Prospects

2017 remains very difficult and challenging

Difficult and challenging business

and operating conditions to persist

Order Book of US$5.8 billion with

progressive deliveries up to 2020

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Disclaimer

This presentation was prepared for informational purposes only and must be viewed in conjunction with the oral presentation provided by us. It does not have any regard to the specific investment objectives, financial situation or individual needs of any particular person receiving this presentation. Investors should seek advice from a professional adviser regarding their investment decisions. This presentation is not and does not constitute or form part of any offer, solicitation, invitation, advice or recommendation to sell, purchase or subscribe for any securities and no part of it shall form the basis or be relied upon in connection with any contract, commitment or investment decision in relation thereto. This presentation shall not be used or relied upon by any other person for whatever purposes and shall not be reproduced, disseminated or quoted without our prior written consent.

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