Qatar Navigation Qsc · QSE:QNNS
Qatar Navigation Qsc — Milaha — Q1 2020 Earnings Presentation
16 slides from Qatar Navigation Qsc's earnings presentation, Apr 27, 2020
Slide 1: Q1 2020 Financial Summary Conference Call
Q1 2020 Financial Summary Conference Call April 27, 2020 Doha, Qatar 1
Slide 2: Consolidated Income Statement – Q1
Consolidated Income Statement – Q1 (All amounts in QR Millions) 2018 2019 2020 Operating Revenue 698 710 690 Salaries, Wages and Other Benefits (137) (149) (153) Revenue -3% Operating Supplies and Expenses (226) (218) (203) Rent Expenses (5) (3) (2) Operating Profit -8% Depreciation and Amortisa
Slide 3: Activities by Segment
Activities by Segment • Port Services • Vessel Charter & • LNG Transport • Heavy Equipment • Real Estate Operations and Truck Agency Development and • Container Shipping • LPG Transport Management • Diving & Subsea • Bunker Distribution • Warehousing & Services • Crude , Chemicals & • Strategic and
Slide 4: Net Profit, by Segment – Q1
Net Profit, by Segment – Q1 (All amounts in QR Millions) %’s shown vs 2019 3% 86% -26% -348% 28% Unfavorable Favorable 4
Slide 5: Statement of Income, by Segment – Q1 2020
Statement of Income, by Segment – Q1 2020 (All amounts in QR Millions) Maritime & Gas & Eliminations/ Logistics Offshore Petrochem Trading Capital Corporate Adjustments Consolidated Operating Revenue 248 203 78 56 200 - (95) 690 Salaries, Wages and Other Benefits (85) (19) (7) (3) (2) (38) - (153) O
Slide 6: Statement of Income, by Segment – Q1 2019
Statement of Income, by Segment – Q1 2019 (All amounts in QR Millions) Maritime & Gas & Eliminations/ Logistics Offshore Petrochem Trading Capital Corporate Adjustments Consolidated Operating Revenue 231 188 80 57 233 - (79) 710 Salaries, Wages & Benefits (88) (16) (6) (4) (1) (33) - (149) Operating
Slide 7: Segment Performance – Maritime & Logistics
Segment Performance – Q1 (All amounts in QR Millions) 2018 2019 2020 7% Increase in Revenue and 26% decline in Net Profit Operating Revenue 256 231 248 o Revenue increase primarily coming from Container Shipping unit Salaries, Wages and Other Benefits (77) (88) (85) Operating Supplies and Expenses (
Slide 8: Segment Performance – Offshore
Segment Performance – Q1 (All amounts in QR Millions) 8% Increase in Revenue and 348% decline in bottom line 2018 2019 2020 Operating Revenue 127 188 203 o Revenue increase mainly from Vessel Chartering Salaries, Wages and Other Benefits (15) (16) (19) • Average utilization for regional fleet increa
Slide 9: Segment Performance – Gas & Petrochem
Segment Performance – Q1 (All amounts in QR Millions) 2018 2019 2020 1% Decline in Revenue and 86% Increase in Net Profit Operating Revenue 75 80 78 o Revenue slightly down Salaries, Wages and Other Benefits (6) (6) (7) Operating Supplies and Expenses (6) (4) (3) o 2 Tankers were sold in 2019, and h
Slide 10: Segment Performance – Trading
Segment Performance – Q1 (All amounts in QR Millions) 2018 2019 2020 1% Decline in Revenue and 28% increase in bottom line Operating Revenue 79 57 56 o Slight increase in gross margins in the Bunker and Equipment Salaries, Wages and Other Benefits (4) (4) (3) Trading Agencies units drove a reduction
Slide 11: Segment Performance – Capital
Segment Performance – Q1 (All amounts in QR Millions) 2018 2019 2020 14% Decline in Revenue and 3% increase in Net Profit Operating Revenue 255 233 200 Salaries, Wages and Other Benefits (2) (1) (2) o QR (33)M decrease in Revenue mainly from Investments: Operating Supplies and Expenses (39) (36) (28
Slide 12: Outlook
Outlook QTerminals o Expect volume declines at Hamad port due to COVID19 over the short-term up until and when global shipping flows normalize Container Shipping o Despite demand disruptions due to COVID19, declines in shipping rates have been somewhat mitigated by ship owners and charterers red
Slide 13: Outlook
Outlook Offshore Support Vessels o Expect to see continued operational strengthening in 2020 on both the Vessel Chartering and Services side. Harbor marine vessels o Expect stable revenue throughout the year No major impact from COVID19, aside from marginal increases in crew-related costs due
Slide 14: Outlook
Outlook VLGCs: o Charter rates well above same period last year. Cautiously optimistic about rest of year. Jointly & Fully owned LNG carriers o Fairly stable earnings due to long term fixed nature of contracts 2 Fully-owned product tankers + 1 crude carrier o All trading on spot and exposed to
Slide 15: Outlook
Outlook Expect difficult rest of year as COVID19 has impacted demand. Internal cost savings initiatives are underway. 15
Slide 16: Outlook
Outlook Limited Investments volatility o All of Held for Trading Portfolio liquidated Mixed results expected for Real Estate holdings o Existing properties to face pressure on rates o New villa compound construction in Ain Khaled complete, yet still awaiting government approvals, which COVID19 h