Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - TIDEWATER INC | d561321d8k.htm |
| EX-99.2 - EX-99.2 - TIDEWATER INC | d561321dex992.htm |
 GHS 100
Energy Conference GHS 100 Energy Conference
Joseph M. Bennett
EVP & Chief IRO
June 25, 2013
June 25, 2013
Exhibit 99.1 |
 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 forecasted results, or the unfolding of future economic or business
developments in a way anticipated or projected by the Company, involve numerous risks
and uncertainties that may cause the Company’s actual performance to be materially
different from that stated or implied in the forward-looking statement. Among those
risks and uncertainties, many of which are beyond the control of the Company, include,
without limitation, fluctuations in worldwide energy demand and oil and gas prices; fleet
additions by competitors and industry overcapacity; changes in capital spending by customers
in the energy industry for offshore exploration, development and production; changing
customer demands for different vessel specifications, which may make some
of our older vessels
technologically obsolete for certain customer projects or in certain markets; uncertainty of
global financial market conditions and difficulty accessing credit or capital; acts of
terrorism and piracy; significant weather conditions; unsettled political conditions,
war, civil unrest and governmental actions, such as expropriation or enforcement of
customs or other laws that are not well-developed or consistently enforced,
especially in higher political risk countries where we operate; foreign currency
fluctuations; labor changes proposed by international conventions; increased regulatory
burdens and oversight; and enforcement of laws related to the environment, labor and foreign
corrupt practices. Readers should consider all of these risks factors, as well as other
information contained in the Company’s form 10-K’s and
10-Q’s. TIDEWATER
601 Poydras Street, Suite 1500
New Orleans, LA 70130
Phone:
504.568.1010
|
Fax:
504.566.4580
Web site address:
www.tdw.com
Email:
connect@tdw.com
2 |
 Key
Takeaways Key Takeaways
•
Focus on safety, compliance & operating excellence
•
“The Tide is Turning”–
continued improvement
in
working rig count is positively impacting deepwater and
jackup support vessels globally
•
History of earnings growth and solid returns
•
Unmatched scale and scope of operations
•
World’s largest and newest OSV fleet provides basis for
continued earnings growth
•
Strong balance sheet allows us to continue to act upon
available opportunities, such as recent Troms
acquisition
3 |
 Safety
Record
Rivals
Leading Companies
4 |
 Working
Offshore Rig Trends Working Offshore Rig Trends
Source:
ODS-Petrodata
Note: 46 “Other”
rigs, along with the Jackups and Floaters, provide a total working rig count of 707
in mid-June 2013. 5 |
 Drivers of
our Business Drivers of our Business
“Peak to Present”
“Peak to Present”
Source:
ODS-Petrodata
and
Tidewater
July 2008
(Peak)
Jan. 2011
(Trough)
June
2013
Working Rigs
603
538
707
Rigs Under
Construction
186
118
214
OSV Global
Population
2,033
2,599
2,981
OSV’s Under
Construction
736
367
450
OSV/Rig Ratio
3.37
4.83
4.22
6 |
 Source: ODS-Petrodata and Tidewater
As of May 2013, there are approximately 468 additional AHTS and PSV’s
(~16% of the global fleet) under construction.
Global fleet is estimated at 2,952 vessels, including ~750
vessels that are 25+ yrs old (26%). 7
The Worldwide OSV Fleet
The Worldwide OSV Fleet
(Includes
(Includes
AHTS
AHTS
and
and
PSVs
PSVs
only)
only)
Estimated
as
of
mid-June
2013 |
 Tidewater’s Active Fleet
Tidewater’s Active Fleet
As of March 31, 2013
As of March 31, 2013
Year Built
8 |
 Vessel
Population by Owner Vessel Population by Owner
(AHTS and PSVs only)
(AHTS and PSVs only)
Estimated
as
of
mid-June
2013
Source:
ODS-Petrodata
and
Tidewater
9 |
 History
of
Earnings
Growth
and
Solid
Through-Cycle
Returns
**
EPS in Fiscal 2004 is exclusive of the $.30 per share after tax impairment charge.
EPS in Fiscal 2006 is exclusive of the $.74 per share after tax gain from the
sale of six KMAR vessels. EPS in Fiscal 2007 is exclusive of $.37 per share of after
tax gains from the sale of 14 offshore tugs. EPS in Fiscal 2010 is
exclusive of $.66 per share Venezuelan provision, a $.70 per share tax benefit
related to favorable resolution of tax litigation and a $0.22 per share charge for
the proposed settlement with the SEC of the company’s FCPA matter. EPS in Fiscal
2011 is exclusive of total $0.21 per share charges for settlements with DOJ
and Government of Nigeria for FCPA matters, a $0.08 per share charge related to participation in a multi-company U.K.-based pension plan and a $0.06
per share impairment charge related to certain vessels. EPS in Fiscal 2012 is
exclusive of $0.43 per share goodwill impairment charge. 10
|
 Global
Strength Global Strength
Unique global footprint; 50+ years of Int’l experience
Unmatched scale and scope of operations
Strength of International business complements U.S.
activity
Secular growth
Longer contracts
Better utilization
Higher day rates
Solid customer base of NOC’s and IOC’s
11 |
 Our
Global Footprint Our Global Footprint
Vessel Distribution by Region
Vessel Distribution by Region
(excludes
stacked
vessels
-
as
of
3/31/13)
In 4Q FY 2013, ~9% of vessel revenue was generated in the U.S. by < 15 vessels;
however, ~15 other U.S.-flagged vessels are currently operating in
International regions that could be re-deployed to the U.S. GOM. In addition, Tidewater has
currently under construction five additional U.S.-flagged deepwater PSVs.
12 |
 The
Largest Modern OSV The Largest Modern OSV
Fleet in the Industry
Fleet in the Industry
Vessel Count (2)
Total Cost (2)
Deepwater PSVs
88
$2,155m
Deepwater AHTSs
11
$358m
Towing Supply/Supply
109
$1,632m
Other
56
$285m
TOTALS:
264
$4,430m
(1)
.
At 3/31/13, 231 new vessels were in our fleet with ~6.2 year average age
Vessel Commitments
Jan.
’00
–
March
‘13
(1)
$3,830m (86%) funded through 3/31/13
(2)
Vessel count and total cost is net of 24 vessel dispositions ($222m of original
cost) 13 |
 …..
and More to Come ….. and More to Come
Count
Deepwater PSVs
21
Deepwater AHTSs
-
Towing Supply/Supply
6
Other
5
Total
32
Vessels Under Construction*
As
of
March
31,
2013
Estimated delivery schedule –
11 in FY ’14, 15 in FY ’15 and 6 thereafter.
CAPX of $311m in FY ’14, $219m in FY ‘15 and $69m in FY
’16. 14 |
 Strong
Financial Position Strong Financial Position
Provides Strategic Optionality
Provides Strategic Optionality
As of March 31, 2013
Cash & Cash Equivalents
$41 million
Total Debt
$1,000 million
Shareholders Equity
$2,562 million
Net Debt / Net Capitalization
27%
Total Debt / Capitalization
28%
~$380 million of available liquidity as of 3/31/13, including $340 million of unused
capacity under committed bank credit facilities.
15 |
 Total
Revenue and Margin Total Revenue and Margin
Fiscal 2008-2013
Fiscal 2008-2013
Note: Vessel operating margin is defined as vessel revenue less
vessel operating expenses
16 |
 New
Vessel Trends by Vessel Type New Vessel Trends by Vessel Type
Deepwater PSVs
Deepwater PSVs
$138 million, or 43%, of Vessel Revenue in Q4 Fiscal 2013
17 |
 $114 million, or 35%, of Vessel Revenue in Q4 Fiscal 2013
New Vessel Trends by Vessel Type
New Vessel Trends by Vessel Type
Towing Supply/Supply Vessels
Towing Supply/Supply Vessels
18 |
 Potential
for Future Potential for Future
Earnings Acceleration
Earnings Acceleration
Average Day rates
$17,458
*
$19,204
(+ 10%)
$21,124
(+ 10%)
83.8%*
85.0%
90.0%
~$4.95
EPS
~$7.45
EPS
~$12.25
EPS
283 vessel assumption (231 current new vessels + 32 under construction + 20
additional new vessels next year). * 3/31/13 quarterly actual
stats This info is not meant to be a
prediction of future earnings
performance, but simply an
indication of earning sensitivities
resulting from future fleet
additions and reductions and
varying operating assumptions
~$500M+
EBITDA
+$650M
EBITDA
+$930M
EBITDA
19 |
 GHS 100
Energy Conference GHS 100 Energy Conference
Joseph M. Bennett
EVP & Chief IRO
June 25, 2013
June 25, 2013 |
 Appendix
Appendix
21 |
 Fleet
Renewal & Expansion Funded Fleet Renewal & Expansion Funded
by CFFO through Fiscal 2013
by CFFO through Fiscal 2013
Over a 14-year period, Tidewater has invested $4.6 billion in CapEx, and paid
out ~$1.2 billion through dividends and share repurchases. Over the
same period, CFFO and proceeds from dispositions were $3.8
billion and $749 million, respectively
22 |
 $29
million, or 9%, of Vessel Revenue in Q4 Fiscal 2013 New Vessel Trends by Vessel
Type New Vessel Trends by Vessel Type
Deepwater AHTS
Deepwater AHTS
23 |
 New Fleet
Driving Results New Fleet Driving Results
Vessel Revenue ($)
Average Fleet Count
229
Average
Active
New
Vessels
in
Q4
2013
$325 million Vessel Revenue in Q4 2013
(93% from New Vessels)
24 |
 Cyclical
Upturn should Cyclical Upturn should
Drive Margin Expansion
Drive Margin Expansion
Vessel Cash Operating Margin ($)
Vessel Cash Operating Margin (%)
$139 million Vessel Margin in Q4
FY2013
(99%
from
New
Vessels)
Q4 FY2013 Vessel Margin: 43%
25 |
 Vessel
Utilization by Segment Vessel Utilization by Segment
26 |
 Vessel
Dayrates by Segment Vessel Dayrates by Segment
Impact of $7.4 million of retroactive revenue recorded in September 2012 quarter is excluded
from 9/12 average dayrates and included in the respective March 2012 and June 2012
quarterly average dayrates. 27 |
 Current
Revenue Mix Current Revenue Mix
Quality of Customer Base
Quality of Customer Base
Super Majors
38%
NOC's
21%
Others
41%
Our top 10 customers in Fiscal 2013 (4 Super Majors, 2 NOC’s,
3 IOC’s and 1 independent) accounted for 58% of our revenue
28 |
 Financial
Strategy Focused on Financial Strategy Focused on
Creating Long-Term
Creating Long-Term
Shareholder Value
Shareholder Value
Maintain
Maintain
Financial Strength
Financial Strength
EVA-Based Investments
EVA-Based Investments
On Through-cycle Basis
On Through-cycle Basis
Deliver Results
Deliver Results
29 |