Bw Lpg Limited · OSL:BWLPG
Bw Lpg — Q2 2018 Earnings Presentation
22 slides from Bw Lpg's earnings presentation, Aug 30, 2018
Slide 1: Second Quarter 2018 Earnings Presentation
SECOND QUARTER 2018 EARNINGS PRESENTATION 30 Aug 2018 1
Slide 2: Disclaimer and Forward-looking Statements
Disclaimer and Forward-looking Statements This presentation is not for release, publication or distribution (directly or indirectly) in or to the United States, Canada, Australia or Japan. It is not an offer of securities for sale in or into the United States, Canada, Australia, the Hong Kong Specia
Slide 3: Agenda
Agenda Highlights Market Dynamics Financial Update Summary & Outlook Q&A 3
Slide 4: Highlights
Highlights Q2 2018 Q2 2017 H1 2018 H1 2017 VLGC Daily TCE1 $14,800 $20,300 $16,100 $20,600 LGC Daily TCE1 $10,600 $11,300 $11,800 $11,300 Net Revenue (in USD million) 61 91 134 186 EBITDA (in USD million) 8 40 33 81 (Loss)/Profit after tax (27) (7) (35) 1 (in USD million) EPS2 (0.20) (0.05) (0.25) 0
Slide 5: Commercial Performance Q2 2018 VLGC Fleet
Commercial Performance Q2 2018 VLGC Fleet Calendar Days Available Days Spot Market Index Q2 2018 – Baltic VLGC $9,200 (excl. waiting time) Availability 99% Spot $14,6003 $12,6002 (excl. waiting time) (incl. waiting time) 73% $14,800 $15,000 per day1 per day2 Time Charter 15% $28,700 12% Offhire 1% 8
Slide 6: Commercial Performance VLGC Fleet – Winning The Top Line
Commercial Performance VLGC Fleet – Winning The Top Line $70 Baltic Index BW LPG Fixtures $60 $50 ($ per ton) $40 $30 $20 $10 $- 1-Jan-16 1-Apr-16 1-Jul-16 1-Oct-16 1-Jan-17 1-Apr-17 1-Jul-17 1-Oct-17 1-Jan-18 1-Apr-18 1-Jul-18 2016 2017 H1 2018 Calendar Days 2% 3% 1% 14% 48% 27% $27,1001 $18,6001 $
Slide 7: Lowest Cost Base in Industry
Lowest Cost Base in Industry Cost Competitive Fleet Profile Leading Industry Cost Breakeven Targets Average Costs1 per Day $20,700 Efficient OPEX per vessel through economies $18,900 $1,400 of scale $1,100 $6,000 $5,800 Dry Dock Amortisation Lowest industry G&A levels Vessels Depreciation $2,500 $4,
Slide 8: BW LPG Global Pioneer in Next-Generation, High-Tech Green Ships
BW LPG Global Pioneer in Next-Generation, High-Tech Green Ships Environmental 11% Gaining efficiencies LPG is future-proof Dual-Fuel Engines - Acting for the $ future Excellence with LPG and cost-efficient Reliable, clean and fully flexible LPG propulsion will reduce Above and beyond compliance, we
Slide 9: Global VLGC & BW LPG Fleet Profile
Global VLGC & BW LPG Fleet Profile 261 ships on water with 6 ships delivered as of 31 July 2018. Orderbook stands at 37 with expected deliveries from 2018 to 2020 Global VLGC Fleet Profile1 — Average Age: 9.0 years BW LPG VLGC Market Share2 of 16% 50 BW LPG VLGC NB Other VLGC NB 45 35 40 BW LPG VLGC
Slide 10: Second Quarter 2018 Seaborne LPG Trade Overview
Second Quarter 2018 Seaborne LPG Trade Overview Total seaborne LPG trade up 4% year over year due to stronger demand in India, South Korea and Southeast Asia. Growth in Middle Eastern and North American exports offset the decline in North Sea exports Quarterly Seaborne LPG Imports by Country/Region
Slide 11: US LPG Supply – Demand Outlook
US LPG Supply – Demand Outlook BW LPG expects US LPG net exports to grow by 14% to 31 mt on the back of EIA revising their net export growth forecasts for 2018 US LPG Snapshot (MT) 90 US Production US Domestic Consumption Net Exports 80 70 36 60 31 18 24 27 50 12 40 84 78 66 68 70 30 60 44 46 45 43
Slide 12: Second Quarter 2018 Income Statement
Second Quarter 2018 Income Statement Income Statement (Figures in USD Thousands) Q2 2018 Q2 2017 H1 2018 H1 2017 Revenue 106,891 131,680 224,828 268,654 Voyage expenses (45,704) (40,304) (90,384) (82,605) TCE income 61,187 91,376 134,444 186,049 Other operating income 2,371 1,895 2,921 5,413 Charter
Slide 13: Second Quarter 2018 Balance Sheet & Cash Flows
Second Quarter 2018 Balance Sheet & Cash Flows Balance Sheet (Figures in USD Thousands) 30 June 2018 31 December 2017 Total non–current assets 2,166,172 2,179,294 Total current assets 156,267 276,012 Total assets 2,322,439 2,455,306 Total shareholders’ equity 1,028,124 1,073,548 Total non–current li
Slide 14: Financing
Financing Gross Debt1 Repayment Profile $400m ECA facility $221m ECA facility $600m $500m Term loan facility $300m Revolving credit facility $150m Term loan $290m ECA facility $500m $400m $300m $200m $100m $0m 2018 2019 2020 2021 2022 2023 onwards Figures in USD Million (as of 30 June 2018) Gross de
Slide 15: Summary and Outlook
Summary and Outlook Summary ■ Q2 2018 Net Revenue of USD 61 million, EBITDA of USD 8 million and Loss after tax of USD 27 million, resulting in a Loss per share of $0.20 ■ BW Denise was sold and BW Havis was recycled in April 2018, generating USD 13 million in liquidity and a book gain of USD 2 mill
Slide 16: Q&A
Q&A 16
Slide 17: Appendix
Appendix 17
Slide 18: Charter Portfolio 2018 – 2019
Charter Portfolio 2018 – 2019 YTD 2018 ROY 2018E 2019E Q2 2018 VLGC Segment VLGC Segment Days % of Total Days % of Total Days % of Total Days % of Total Total Days (Net of Offhire) 7,803 100% 7,741 100% 14,933 100% Total Days (Net of Offhire) 3,887 100% Time charter 1,112 14% 1,096 14% 1,330 9% Time
Slide 19: BW LPG Fleet Development (Detailed)
BW LPG Fleet Development (Detailed) Timeline Based on Current Contracts BW Mindoro BW Messina Oriental King 1 1 BW Empress 1 1 1 1 1 MHI NB 2335, 1 1 MHI NB 2336 BW Broker 2 BW Havfrost BW Vision BW Energy 2 BW Boss, 1 2 Yuyo Spirits BW Denise, 1 BW Empress BW Havis 2 1 Berge Ningbo Maharshi BW Empr
Slide 20: Fleet List
Fleet List Modern fleet of 51 vessels built at leading shipyards (as of 30 June 2018) Owned VLGCs (100% Ownership) Chartered / Bareboat VLGCs Name Year Shipyard Name Year Shipyard Name Year Shipyard Charter type BW Aries 2014 Hyundai H.I. BW Malacca 2016 DSME Berge Nantong 2006 Hyundai H.I. Time cha
Slide 21: Glossary of Terms
Glossary of Terms Terms Explanation Time Charter Charter hires with a fixed hire rate for a fixed duration (term of charter) Spot Charter hires negotiated on spot/market rates Available Days Calendar days less planned and unplanned technical offhire days Commercial Available days less commercial wai
Slide 22: BW LPG Limited
BW LPG Limited 10 Pasir Panjang Road Mapletree Business City #17-02 Singapore 117438 www.bwlpg.com Telephone: +65 6705 5588 Investor Relations Email: [email protected]