SOURCE: Dockwise Ltd

February 25, 2011 01:47 ET

Q4 & Full Year 2010: solid results and major investment in long term

BREDA, NORWAY--(Marketwire - February 25, 2011) - DOCKWISE Ltd., today publishes results for the three month period and full year ended 31 December 2010.

Financial highlights Q4 2010
  * Revenues of USD 123 million (Q3 2010: USD 109 million);
  * Adjusted EBITDA of USD 50 million (Q3 2010: USD 46 million);
  * Operating margin of 41% (Q3 2010: 42%);
  * Adjusted net profit of USD 17 million before non-recurring items:
      -  Derecognition of MS3 receivable (USD 8.7 million);
      -  Balance sheet restructuring cost and loan fee write-offs (USD 5.8
    million);
  * Operating cash flow of USD 56 million (Q3 2010: USD 45 million);
  * Heavy lift fleet utilization of 97% (Q3 2010: 84%).


Financial highlights FY 2010
  * Revenues of USD 439 million (2009: 491 million adjusted);
  * Adjusted EBITDA of USD 176 million (2009: USD 223 million);
  * Operating margin of 40% (2009: 45%);
  * Adjusted net profit of USD 37 million (2009: 63 million);
  * Operating cash flow of USD 164 million (2009: USD 195 million);
  * CAPEX of USD 40 million (2009: USD 28 million);
  * Significant improvement of financial strength;
      -  Successful completion of USD 103 million rights issue;
      -  Reduction of net debt to USD 457 million (2009: USD 641 million);
  * Year end net debt/EBITDA ratio 2.7:1 (2009: 3.1:1).


2010 Strategic and operational highlights
  * Further optimization of fleet:
      -  Decision to build "T-0", the worlds' largest semi-sub vessel;
      -  Sale of MV Enterprise;
  * First contract signed with planned transportation on the "T-0" vessel;
  * USD 100 million Vyborg floatover project successfully completed;
  * Koniambo logistical management contract successfully completed;
  * Full year fleet utilization rate of 81% (2009: 91%).


Backlog
  * Backlog end 2010 USD 380 million (Q3 2010: USD 400 million):
      -  USD 174 million for execution in 2011
         (USD 198 million at end 2009 for execution in 2010);
      -  USD 109 million for execution in 2012
          (USD 65 million at end 2009 for execution in 2011);
      -  USD 97 million for execution in 2013 and beyond
          (USD 61 million at end 2009 for execution beyond 2011).
  * Post 2010 USD 40 million added in contracts and letters of intent



Table 1: Key figures
                 delta                                                delta
  Q4     Q3      Q4 10   Q4     (Amounts in           FY     FY     FY 2010
2010*  2010*  vs Q3 10 2009*    USD millions)       2010   2009  vs FY 2009
---------------------------------------------------------------------------
122.9  108.9    12.9%  118.2  Revenue              439.1   478.0     (8.1%)

122.9  108.9    12.9%  118.2  Adjusted revenue **  439.1   490.7    (10.5%)

 41.6   46.1   (9.7%)   36.4  EBITDA               166.8   208.9    (20.1%)

 50.3   46.1     9.1%   42.1  Adjusted EBITDA ***  175.5   222.8    (21.2%)

  2.8   13.1  (79.0%) (15.8)  Net profit / (loss)   17.4    36.6    (52.6%)

 17.3   12.9    33.9%    2.8  Adjusted net profit
                                   / (loss) ****    37.3    62.9    (40.7%)

The financial statements have been prepared in accordance with IFRS.

* Unaudited

** Includes gross compensation for Mighty Servant 3 (MS3) FY 2009 USD 12.7 million.

*** Excludes derecognition MS3 claim Q4 2010 and FY 2010 USD 8.7 million (includes net compensation for MS3 FY 2009 USD 8.2 million and excludes non recurring costs for the listing at the NYSE Euronext Amsterdam and pre acquisition costs totalling USD 5.7 million for Q4 2009 and FY 2009).

**** Includes adjusted EBITDA, excludes impairments on assets totalling USD 6.2 million (2009: USD 9.0 million) and non recurring finance income and costs relating to debt buy back, loan redemptions and arrangement fees USD 5.0 million (2009: USD 3.4 million and Q4 2010 USD 5.8 million).

Andre Goedee, Chief Executive Officer, Dockwise, said:

2010 was a demanding year, but Dockwise demonstrated its resilience and we made strong progress. The Group turned in a solid financial performance in challenging markets. At an operational level, the Vyborg and Koniambo projects broke new ground in terms of the scale and complexity of the services Dockwise delivers for clients. Strategically, the decision to proceed with our new "Type Zero" vessel promises to give Dockwise a unique presence in a premium segment of the market.

With our principal client industry, oil and gas, in robust health, Dockwise is looking forward to 2011 and beyond. In the short term, we have still fully to shake off the delayed impact of the 2009 oil price slump, however longer term we are encouraged by a number of factors. Sustained buoyancy in the oil price should stimulate the demand for drill rigs for field developments, while we await the recovery in Port & Marine services which historically has followed a macro-economic upturn. Beyond this year, major offshore project activity provides an encouraging horizon.

+-------------------------------------------------------------------------+
|A teleconference for analysts and investors following the presentation of|
|Q4 & Full Year 2010 results will be conducted on 25 February 2011, at    |
|13:00 CET; The dial in number for the conference is +44 (0) 207 806 1961 |
|(UK Toll) with confirmation code 8204368. The teleconference will be live|
|audio-webcast on the Company's website www.dockwise.com. For following   |
|presentation only, the webcast is recommended. For remarks or questions  |
|you should dial in on the conference call.                               |
+-------------------------------------------------------------------------+

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

Full Press Release Q4 2010: http://hugin.info/137711/R/1492278/427994.pdf

This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that:

(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Dockwise Ltd via Thomson Reuters ONE

[HUG#1492278]

Contact Information

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