15 AUG 2012 - Swiber Holdings Limitedswiber.listedcompany.com/newsroom/20120814_232439... ·...

2QFY2012

RESULTSBRIEFING15 AUG 2012

Financial Highlights

2Q2012 and HY2012

2QFY2012


Corporate Highlights

49.7

2Q2012 Highlights

� Net Profit surges 66.0% to US$20.9 million

� Revenue rises 27.1% to US$229.6 million

HY2012 Highlights

� Net Profit rose 36.9% to US$33.5 million

� Revenue increases 28.0% to US$424.0 million

� Record order book of approximately US$1.6 billion, expected to contribute

to Group’s results over the next two years

� Strengthened capabilities places Swiber in the big league, well placed for

large contract wins

49.7

US$ (million) 2Q2012 2Q2011Change (%)

HY2012 HFY2011Change (%)

Revenue 229.6 180.6 27.1 424.0 331.2 28.0

Gross Profit 32.7 26.6 22.6 71.1 51.1 39.2

Gross Profit Margin (%)

14.2 14.7 (0.5) % pt 16.8 15.4 1.4 % pt

Profit before tax

25.9 17.0 51.9 43.2 30.6 41.3

Net Profit 20.9 12.6 66.0 33.5 24.5 36.9

Net Profit Margin (%)

9.1 7.0 2.1 % pt 7.9% 7.4% 0.5% pt

Financial Highlights at a Glance

� Gross Profit Margin held steady at 14.2% in 2Q2012

49.7

Revenue Trend

0

100

200

300

400

500

600

700

US$’m

•Revenue in HY2012 is approx 2/3 of revenue achieved in FY2011

FY2007 FY2008 FY2009 FY2010 HY2011&

FY2011

HY2012

151.2

428.4393.4

465.7

654.5

331.2

424.0

28.0%

49.7

Revenue

0

50

100

150

200

250

300

350

400

450US$’m

2Q2011 2Q2012 HY2011 HY2012

27.1%

28.0%

180.6

229.6

331.2

424.0

2Q2012 and HY2012

• Revenue increased 27.1% from US$180.6 million in 2Q2011 to US$229.6 million in 2Q2012

• Revenue increased 28.0% from US$331.2 million in HY2011 to US$424.0 million in HY2012

• Good topline performance driven by progressive revenue recognition from offshore construction contracts awarded to the Group, particularly in the South Asia and Southeast Asia region

0

10

20

30

40

50

60

49.7

Net Profit Trend

US$’m

•Net Profit in HY2012 is approx 80% of the net profit in F2011

FY2007 FY2008 FY2009 FY2010 HY2011 &

FY2011

HY2012

49.7

39.5 39.0 39.442.2

24.5

33.5

36.9%

49.7

Net Profit

0

5

10

15

20

25

30

35

40

US$’m • Net Profit increased 66.0% toUS$20.9 million in 2Q2012 largelydue to:

• 54.0% increase in otheroperating income to US$11.5million

• Share of profit of US$4.1million from associates andjoint venture

• Absence of foreign exchangeloss

2Q2011 2Q2012 HY2011 HY2012

66.0%

36.9%

12.6

20.9

24.5

33.5

• Net Profit for HY2012 rose 36.9% toUS$33.5 million in HY2012 largelydue to:

• 158.7% surge in share ofprofit from associates toUS$6.6 million

• 58.0% lower other operatingexpenses of US$2.8 millionarising from lower foreignexchange losses

2Q2012

HY2012

49.7

Statement of Financial Position

� Trade receivables and CWIP:

– Increased 33.3% due to the strong growth of revenue in HY2012

– Subsequent to 30 June 2012, the Group received settlement and billings of approximately US$86.7million from customers

US$’’’’m HY2012 FY2011 Change (%)

Cash & Bank Balances 129.2 116.5 10.9

Trade receivables and CWIP 375.0 281.4 33.3

Current assets 805.1 608.4 32.3

Non-current assets 749.0 766.5 (2.3)

Current liabilities 620.6 602.7 3.0

Non-current liabilities 316.8 248.7 27.4

Total equity 616.7 523.6 17.8

49.7

Key Financial Ratios

Key ratios 6M2012 FY2011 Change(%)

NAV per share (US cents) 71.4 71.1 0.4

Net Debt / Equity (times) 0.89 0.88 1.1

Key ratios 6M2012 6M2011 Change(%)

Return on Equity (%) (annualised) 15.4 14.1 1.3% pt

Return on Asset (%) (annualised) 4.3 4.5 (0.2)% pt

EPS per share (US cents) (Basic) 4.0 3.4 0.6% pt

Cashflow Statement

49.7

US$‘‘‘‘000 2Q2012 2Q2011

Operating cashflow before movement in working capital 25,717 18,823

Net cash (used in)/ provided by operating activities (66,135) 22,202

Net cash used in investing activities (37,705) (45,154)

Net cash provided by financing activities 107,029 2,951

Cash & Cash equivalents at end of period 117,240 94,174

� Cash flow used in operating activities in 2Q2012 :

The outflow was mainly a result of:

I. An increase in trade receivables, other assets and receivables and construction work in progress ofUS$61.3 million;

II. Net decrease in trade and other payables of US$5.6 million; and

III. Decrease in inventories of US$16.3 million.

� Cash flow used in investing activities in 2QFY2012 :

The outflow was due mainly to:

I. Purchase of property, plant and equipment and capital expenditure of US$34.8million;

II. Partially offset by proceeds from disposal of associate of US$5.2 million and dividend received fromassociates of US$2.3 million.

� Cash flow generated from financing activities in 2QFY2012:

The inflow was due to:

I. New bank borrowings amounting to US$131.2 million;

II. Proceeds on issuance of bond of US$64.5 million;

III. Partially offset by repayment of bank loans amounting to US$112.6 million.

49.7

Strong and Growing Order Book

Order Book Trend

� As at August 2012, the Group’s order book stands at approximately US$1.6 billion

� Order book expected to contribute to the Group’s results over the next two years, barring

unforeseen circumstances

� The Group is well positioned to bid for major contracts and will continue to focus on

winning new contracts

Dec 2010 Aug 2011 Dec 2011 Aug 2012

US$’m


2QFY2012 and

1HFY2012

2QFY2012



Contract Wins

Date Contract Win Amount

Jun 4 Offshore engineering, procurement, construction and installation works in Indonesia, through PT Rajawali Swiber Cakrawala, with PT SOME Indonesia

US$175 million

Jun 5 Offshore construction projects and vessel chartering services in the Asia Pacific Region, and vessel chartering through JV company in the Middle East

Over US$830 million[include LOA through JV company in Middle East]

Note Issues – Increase Balance Sheet Flexibility

Date Issue Size Issue Price Interest Expected Maturity Date

Fixed Rate Notes

May 31, Jun 4 $85,000,000 100% of principal amount of the notes

6.25% per annum June 8, 2015

Jun 27, Jul 6 $75,000,000 100% of principal amount of the notes

7.0% per annum July 6, 2016

Jul 25, Aug 6 $150,000,000 100% of principal amount of the notes

5.80% per annum August 6, 2013

Tap Notes

July 13, 2012 $10,000,000 100% of principal amount of the notes

6.25% per annum June 8, 2015

Young fleet of 56 Vessels1

654.5

49.7

1. Swiber Conquest (Pipelay barge) *

2. 1MAS-300 (Pipelay barge) **

3. Swiber Concorde (Pipelay crane barge) *

4. Aziz (Derrick pipelay Barge)**

5. Swiber 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 accommodation barge) **

10. Kreuz Glorious (Accommodation Barge)

11. Swiber Atlantis (Dive support work barge) **

12. Kreuz Installer (Dive Support work barge)

13. Holmen Arctic (Submersible barge)

14. Holmen Atlantic (Submersible barge)

15. Holmen Pacific (Submersible barge)

*Under S&L **Owned by JV Company and Associates

15 Construction vessels

Expanded fleet puts Swiber in a strong position to

service outstanding order book and pursue offshore

projects

““““Swiber PJW3000””””

(1) As of August 14, 2012

Young fleet of 56 Vessels1

654.5

49.7

Utility/ Towing Tugs AHT/ AHTS AHT/AHTS (Con’d) Cargo/Flat Top barge

1. Swiber 99

2. Swiber Raven**

3. Swiber Charlton**

4. Swiber Carina**

5. Swiber Pearl

6. Swiber Peacock

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 Sandefjord*

14. Swiber Oslo*

15. Swiber Else-Marie*

16. Swiber Anne Christine*

17. Vallianz Hope**

18. Swiber Mary-Ann*

19. Swiber Bhanwar**

20. Swiber Anna

21. Swiber Lina

22. Rawabi 1 **

23. Rawabi 2**

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

41 offshore support vessels

(1) As of August 14, 2012

Vessel Delivery Plan

Vessel Name Vessel Type Year of Delivery

Swiber Kaizen 4000 Derrick Crane Barge 2013

Industry Outlook2QFY2012


Offshore Sector Spending

• Global upstream capital and operating expenditures (CAPEX and OPEX) are set to reach acombined record of $1.23 trillion for 2012 and expected to rise to $1.64 trillion in 2016

• CAPEX on new projects and OPEX on existing plays are expected to reach new records of$728 billion and $500 billion in 2012, respectively.

Source: IHS Upstream Spending Report (April 30, 2012)



• Asia Pacific and Middle East are key regions that will experience growth in offshore expenditure



• Asia Pacific is expected to experience 7.93% CAGR growth in upstream CAPEX (includingLNG/Pipelines) and OPEX spending

• Middle East is expected to experience 8.42% CAGR growth in upstream CAPEX (includingLNG/Pipelines) and OPEX spending

Offshore Production and Subsea Services

Production Services

•Over $355 billion is expected to be spent over the next five years (2012-2016) on offshoreoperations & maintenance, with production services dominating this sector

•Growth will be driven by a combination of factors – the need to operate and maintain a vast andaging infrastructure, high oil prices, buoyant new offshore field development activities and rampantprice inflation for equipment and services

Subsea

•Potential for subsea capital expenditure has increased dramatically throughout 2012-2016

•Expenditure of almost $135 billion is forecast over 2012-2016 on subsea hardware

•The ‘Golden Triangle’ of subsea will continue to dominate upstream hardware expenditure, WestAfrica, Gulf of Mexico, and Brazil, with Africa remaining the largest market.

Sources: Douglas Westwood, The World Subsea Hardware Market Forecast (2012-2016); Douglas Westwood, The WorldSubsea Hardware Market Forecast 2012-2016)

Strategy & Outlook2QFY2012


Locations, Partnerships, Alliances

Mexico

Latin America

West Africa

Middle East

India

Vietnam

BruneiMyanmar

Malaysia

Singapore

Indonesia

Markets we are targeting Markets where Swiber has offices/presence

China

Australia

Strategy & Outlook

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

�Order book of approximately US1.6 billion as at August 2012, expected to contribute to the Group’s results over the next two years, barring unforeseen circumstances

�Prudent in managing business operations and cost efficiencies

�Exploring new opportunities to leverage on strong track record

�Continue to focus on penetrating into new markets

Q&A2QFY2012


2QFY2012


15 AUG 2012 - Swiber Holdings Limitedswiber.listedcompany.com/newsroom/20120814_232439... ·...

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