Tidewater Inc. · NYSE:TDW
Tidewater — Shareholder Meeting (July 2012)
22 slides from Tidewater's shareholder meeting presentation, Jul 19, 2012
Slide 1: Fiscal 2012 Annual Shareholders' Meeting
July 19, 2012 FISCAL 2012 ANNUAL SHAREHOLDERS’ MEETING Jeffrey M. Platt Jeff A. Gorski Quinn P. Fanning President & CEO EVP & Chief Operating Officer EVP & CFO
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the Company notes that certain statements set forth in this presentation provide other than historical information and are forward looking. The actual achievement of any
Slide 3: Operations Review
OPERATIONS REVIEW Jeff Gorski – EVP & Chief Operating Officer 3
Slide 4: Safety Record Rivals Leading Companies
SAFETY RECORD RIVALS LEADING COMPANIES TOTAL RECORDABLE INCIDENT RATES 0.80 0.70 0.60 0.50 0.40 0.30 0.20 0.10 0.00 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 CALENDAR YEARS TIDEWATER DOW CHEMICAL CHEVRON EXXON/MOBIL 4
Slide 5: Global Strength
GLOBAL STRENGTH Unique global footprint; 50+ years of Int’l experience Unmatched scale and scope of operations Strength of International business compliments U.S. activity Secular growth Longer contracts Better utilization Higher day rates Solid customer base of NOC’s and IOC’s 5
Slide 6: Our Global Footprint
OUR GLOBAL FOOTPRINT Vessel Distribution by Region (excludes stacked vessels – as of 3/31/12) MENA 35(13%) Asia/Pac 33(13%) SS Africa/Europe Americas 132(50%) 63(24%) In 4Q FY 2012, ~6% of vessels/revenue was generated in U.S. GOM; however, 38 total active U.S.-flagged vessels provide good optionali
Slide 7: The Largest Modern OSV Fleet in the Industry
THE LARGEST MODERN OSV FLEET IN THE INDUSTRY…. Vessel Commitments Jan. ’00 – March ‘12 Vessel Count Estimated Cost AHTS 101 $1,765m PSV’s 91 $1,934m Crew boats & Tugs 71 $301m TOTALS: 263 $4,000m(1) (1) $3,640m (91%) funded through 3/31/12 . At 3/31/12, 215 new vessels were in our fleet with ~5.7 ye
Slide 8: ...And More to Come
…. AND MORE TO COME Vessels Under Construction* As of March 31, 2012 Count AHTS 2 PSV 18 Crew and Tug 5 Total 25 Estimated delivery schedule – 13 in FY ‘13, 10 in FY ‘14 and 2 thereafter. CAPX of $220m in FY ‘13, $95m in FY ‘14 and $44m in FY ’15. * Includes 3 new vessel purchase commitments at 3/31
Slide 9: Through-Cycle, EVA-Based Investment; Balance Between Buy and Build
THROUGH-CYCLE, EVA-BASED INVESTMENT; BALANCE BETWEEN “BUY” and “BUILD” Through 3/31/12, vessel 35 commitments include 263 vessels with a capital cost of $4.0 billion 30 # of vessels Built Acquired 25 20 15 10 5 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fiscal Year
Slide 10: Financial Review
FINANCIAL REVIEW Quinn Fanning – Chief Financial Officer 10
Slide 11: History of Earnings Growth and Solid Through-Cycle Returns
HISTORY OF EARNINGS GROWTH AND SOLID THROUGH-CYCLE RETURNS Adjusted EPS** $7.89 $8.00 $5.94 $6.39 Adjusted EPS ** $6.00 $5.20 $4.00 $3.33 $1.78 $2.40 $2.13 $2.00 $1.03 $0.00 Fiscal Fiscal Fiscal Fiscal Fiscal Fiscal Fiscal Fiscal Fiscal 2004 2005 2006 2007 2008 2009 2010 2011 2012 Adjusted Return On
Slide 12: Fleet Renewal & Expansion Funded by CFFO Through Fiscal 2012
FLEET RENEWAL & EXPANSION FUNDED BY CFFO THROUGH FISCAL 2012 $ in millions CAPX Dividend Share Repurchase $700 $600 $500 $400 CFFO $300 $200 $100 $0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Fiscal Year Over a 13-year period, Tidewater has invested $4.1 billion in CapEx($3.6 b
Slide 13: Strong Financial Position Provides Strategic Optionality
STRONG FINANCIAL POSITION PROVIDES STRATEGIC OPTIONALITY As of March 31, 2012 Cash & Cash Equivalents $321 million Total Debt $950 million Shareholders Equity $2,526 million Net Debt / Net Capitalization 20% Total Debt / Capitalization 27% ~$770 million of available liquidity as of 3/31/12, includin
Slide 14: A Bounce Off the Bottom in Fiscal 2012
A BOUNCE OFF THE BOTTOM IN FISCAL 2012 Six Months Ended $ in Millions, Except Per Share Data 9/30/11 3/31/12 Revenues $506 $562 Net Earnings* $42 $68 EPS* $0.81 $1.33 Net Cash from Operations $87 $135 Capital Expenditures $155 $202 *9/30/11 Six Month amounts exclude $22.1 million, or $0.43 per share
Slide 15: Quarterly Vessel Revenue and Cash Operating Margins
QUARTERLY VESSEL REVENUE AND CASH OPERATING MARGINS FY 2008-2012 Prior peak period (FY2009) averaged quarterly revenue $500 55.9% of $339M, and operating 53.8% 52.7% 52.1% 52.1% 50.6% margin marginofof$174M, $174M,oror51.3% 51% 50% 50.5% 49.1% 46.2% 46.5% 46.0% $400 43.6% 42.4% 41.5% 41.0% 40.4% 39.
Slide 16: Potential for Future Earnings Acceleration
POTENTIAL FOR FUTURE EARNINGS ACCELERATION +$700M This info is not meant to be a EBITDA prediction of future earnings performance, but simply an indication of earning sensitivities 90.0% ~$9.50 resulting from future fleet Average Utilization additions and reductions and +$500M EPS varying operating
Slide 17: 2012 Chairman's Award
2012 CHAIRMAN’S AWARD Dean Taylor – Chairman of the Board 17
Slide 18: 2012 Tidewater Chairman's Award Objectives
2012 TIDEWATER CHAIRMAN’S AWARD OBJECTIVES To recognize an individual or team that has: Performed heroic acts in time of crisis Significantly impacted the TDW business Significantly contributed to our customer success or relationships Had a breakthrough idea or contribution resulting in sign
Slide 19: 2012 Tidewater Chairman's Award - Karen M. Spellman
2012 TIDEWATER CHAIRMAN’S AWARD Karen M. Spellman 19
Slide 20: Fiscal 2012 Annual Shareholders' Meeting
July 19, 2012 FISCAL 2012 ANNUAL SHAREHOLDERS’ MEETING Jeffrey M. Platt Jeff A. Gorski Quinn P. Fanning President & CEO EVP & Chief Operating Officer EVP & CFO
Slide 21: Retirement of President and CEO Dean E. Taylor
RETIREMENT OF PRESIDENT AND CEO DEAN E. TAYLOR 21
Slide 22: Fiscal 2012 Annual Shareholders' Meeting
July 19, 2012 FISCAL 2012 ANNUAL SHAREHOLDERS’ MEETING Jeffrey M. Platt Jeff A. Gorski Quinn P. Fanning President & CEO EVP & Chief Operating Officer EVP & CFO