Wilh. Wilhelmsen Holding ASA Second Quarter 2015 Nils P Dyvik group - PowerPoint PPT Presentation

Wilh. Wilhelmsen Holding ASA Second Quarter 2015 Nils P Dyvik – group CFO 1 6 August 2015

Disclaimer This presentation may contain forward-looking expectations which are subject to risk and uncertainties related to economic and market conditions in relevant markets, oil prices, currency exchange fluctuations etc. Wilh. Wilhelmsen Holding group undertake no liability and make no representation or warranty for the information and expectations given in the presentation. 2

WWH group Highlights for the quarter Stable total income WWH EBIT* USD mill 280 Positive underlying EBIT development • Reported EBIT down 16% q-o-q 140 • 120 Adjusted EBIT up 7% q-o-q 100 • Seasonality (WWASA, NSG) 80 • USD (WMS) 60 40 20 Reduced net financial expenses 0 Q2’12 Q2’13 Q2’14 Q2’15 EBIT Stable EPS (USD 1,43) *Main “one - offs”: • Q3’12 : Sales gain Hyundai Glovis • Q4’14: Pension related accounting gain 3 • Q1’15: Sales gain Hyundai Glovis

WWH group Key segment information Holding and USD mill WWASA group WMS group Total Investments Q2'15 Q1'15 Q2'15 Q1'15 Q2'15 Q1'15 Q2'15 Q1'15 Quarter Total income 596 609 254 257 10 6 854 866 Operating profit 73 98 28 27 2 (2) 103 123 Financial income/(expenses) 4 -46 -13 7 1 4 -8 -35 Tax income/(expense) -7 5 -4 -9 2 0 -9 -4 Profit/(loss) 70 57 11 25 5 2 86 84 Minority interests 19 16 0 1 0 0 20 16 Profit/(loss) after minority interests 51 41 11 25 5 2 66 68 Total equity 1806 1761 278 286 338 317 2422 2364 Minority 492 480 2 3 0 0 494 483 Equity after minority interests 1 314 1 281 276 284 338 317 1 928 1 881 Positive underlying development in operating profit* *Main “ one- offs included”: • Q1’15: Sales gain Hyundai Glovis 4

WWH group Capital employed (net) Return on capital employed **) ROCE WWH ROCE USD mill 25% 5 000 20% 4 000 15% 3 000 10% 2 000 5% 1 000 0% 0 Q2 ’12 Q3 12* Q4 ’12 Q1 ’13 Q2 ’13 Q3 ’13 Q4 ’13 Q1 ’14 Q2 ’14 Q3 ’14 Q4 ’14* Q1 ’15* Q2’15 *Main “one - offs”: **Based on proportionate method • Q3’12 : Sales gain Hyundai Glovis • Capital employed: Equity plus interest bearing debt • Q4’14: Pension related accounting gain • ROCE: EBT plus interest expenses / average capital employed • Q1’15: Sales gain Hyundai Glovis 5

WW ASA group Highlights for the quarter Stable contribution from shipping Increased auto volumes – mainly seasonal o o Unfavorable cargo and trade mix due to soft H&H volumes o Increase in net bunker cost o Increased scheduled and non-scheduled off hire Crew on deck, Historic award to MW Taiko crew Improved contribution from logistics Source: WWASA o Improved result from Hyundai Glovis o WWL activities remained stable Ongoing antitrust investigation o RSA settlement 6

WMS group Highlights for the quarter Flat total income o Reduced WSS income due to currency effect o Improved WTS income Strong EBIT level o Continued positive development across all business areas o Positive impact from currency (strong USD) Ongoing restructuring process of WTS o Process slower than expected 7

WMS WMS group – Total income and EBIT margin* Currency exposure – EBIT EBIT USD mill margin 300 12% Sale to operating fleet o Income: 250 10% o USD ~60% 200 8% o Expenses: 150 6% o USD ~25% o Main other: EUR, NOK, SGD 100 4% 50 2% Project related activities 0 0% o Mainly hedged on contract basis Q2 Q4 Q2 Q4 Q2 Q4 Q2 2012 2012 2013 2013 2014* 2014* 2015 Total income EBIT margin *Main “one - offs”: Q2’14 : Sales gain (included) - Q4’14: Pension related accounting gain (not included) 8 **Clarksea Index is a weighted quarterly average of earnings by tankers, bulkers, containerships and gas carriers (Source: Clarkson).

WMS group Ships service Ship management Technical solutions Total income and vessels served Total income and daily income per vessel Total income and order reserve USD mill USD/day USD mill Vessels USD mill USD mill 200 60 16 600 100 500 80 400 150 45 12 450 60 300 100 30 8 300 40 200 50 15 4 150 20 100 0 0 0 0 0 0 Q2’12 Q2’13 Q2’14 Q2’15 Q2’12 Q2’13 Q2’14 Q2’15 Q2’12 Q2’13 Q2’14 Q2’15 Total income Total income Total income Daily sales pr merchant vessel (right scale) Vessels served (right scale) Order reserve (right scale) WSS global fleet penetration: ) 50,19% in Q2’15 (50,14% Q1’15 9

Holding and Investments Highlights for the quarter Positive development in NorSea Group o Normal seasonality o Satisfactory supply base activity in Norway Helgelands base, Source NSG o Loss on Viking Fighter (spot market) o Expanding within offshore wind NorSea Group NOK mill Operating revenue and Margin operating margin 1 250 25% 1 000 20% Fluctuating equity market 750 15% o Qube share value down (USD 119 million * ) ) 500 10% o Flat financial investments (USD 88 million *) ) 250 5% 0 0% Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 ’12 ’13 ’13 ’13 ’13 ’14 ’14 ’14 ’14 ’15 ’15 12 Share of operating revenue joint ventures *) As per 30.6.2015 Operating revenue NorSea Group Operating margin (weighted) 10

WWH group Financial income/(expenses) USD mill Q2'15 Q1'15 Net financial items 0 13 1 Investment management -2 13 Interest income 2 2 Other financial items 1 -2 Interest expenses -17 -18 Interest rate derivatives - realised -10 -8 2 Interest rate derivatives - unrealised 19 1 3 Net financial - currency -1 -24 Net financial derivatives bunkers 1 1 Financial income/(expense) -8 -35 1. Loss from Investment management Net interest rate derivatives gain – WWASA 2. Net currency financial – WWASA gain, WMS loss 3. 11

WWH group Equity ratio *) USD mill Equity ratio 6 000 60% 55% 5 000 50% 4 000 45% 40% 3 000 35% 2 000 1 000 5% 0 0% Q2 ’12 Q3 12 Q4 ’12 Q1 ’13 Q2 ’13 Q3 ’13 Q4 ’13 Q1 ’14 Q2 ’14 Q3 ’14 Q4 ’14 Q1 ’15 Q2’15 Total assets Equity Equity ratio *Equity ratio: Equity in percent of total assets 12

WWH group – Liquidity development Q2’15 (Equity method) 880 860 38 840 84 44 820 36 800 121 780 19 3 760 18 740 27 723 723 720 0 JV’s/ Liquidity EBITDA Dividend Net Capex Interest Tax Other Dividend to Liquidity Q1 2015 associates received financing shareholders Q2 2015 from JV’s/ ass. 13

WMS and H&I – Liquidity development Q2’15 (Equity method) WMS group Holding & Investments USD mill USD mill 250 250 9 33 27 198 200 200 2 39 18 158 39 156 150 150 20 117 2 0 0 Liquidity EBITDA Capex Other Dividend to Liquidity Liquidity EBITDA Dividend Dividend Other Dividend to Liquidity Q1 2015 shareholders Q2 2015 Q1 2015 from from shareholders Q2 2015 WWASA WMS 14

WWH group Interest bearing debt (Equity method) Split by business segment (USD mill) Maturity profile Holding & investments • WWH facilities maturing in 2017/18 35 • WMS facilities maturing in 2018/19 WMS group 318 • WWHI facility maturing in 2017 • WWASA mixed maturity 1 082 WWASA group 1 339 Maturity profile (USD mill.) Split by source (USD mill) Export financing Bonds 286 208 Fin. leases 189 304 123 82 65 2015 2016 2017 2018 2019 and later 1 152 Bank debt WWASA WWH/WWHI/WMS 15

WWH ASA Dividend per share NOK/share 8.00 8 6 5.50 5.50 5.50 5.00 4 3.00 2 0 2010 2011 2012 2013 2014 2015 • Dividend of NOK 3.00 per share was paid 7 May 2015 • Board authorized to approve further dividend of up to maximum NOK 3.00 per share 16

WWH group prospects The board expects a stable activity level for the group, but with a seasonal slowdown in the second half of 2015. 17

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