Seaway 7 ASA

Investor Presentation • Apr 28, 2022

First Quarter 2022 Earnings Presentation

28 April 2022

CEO Stuart Fitzgerald | CFO Mark Hodgkinson

Forward looking statements

Forward-Looking Statements: This announcement may contain 'forward-looking statements'. These statements relate to our current expectations, beliefs, intentions, assumptions or strategies regarding the future and are subject to known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements may be identified by the use of words such as 'anticipate', 'believe', 'estimate', 'expect', 'future', 'goal', 'intend', 'likely' 'may', 'plan', 'project', 'seek', 'should', 'strategy' 'will', and similar expressions. The principal risks which could affect future operations of the Group are described in the 'Risk' section of the Group's Annual Report. Factors that may cause actual and future results and trends to differ materially from our forward-looking statements include (but are not limited to): (i) our ability to deliver fixed price projects in accordance with client expectations and within the parameters of our bids, and to avoid cost overruns; (ii) our ability to collect receivables, negotiate variation orders and collect the related revenue; (iii) our ability to recover costs on significant projects;(iv) unanticipated delays or cancellation of projects included in our backlog; (v) competition and price fluctuations in the markets and businesses in which we operate; (vi) the loss of, or deterioration in our relationship with, any significant clients; (vii) the outcome of legal proceedings or governmental inquiries; (viii) uncertainties inherent in operating internationally, including economic, political and social instability, boycotts or embargoes, labour unrest, changes in foreign governmental regulations, corruption and currency fluctuations; (ix) the effects of a pandemic or epidemic or a natural disaster; (x) changes in, or our failure to comply with, applicable laws and regulations (including regulatory measures addressing climate change); (xi) operating hazards, including spills, environmental damage, personal or property damage and business interruptions caused by adverse weather; (xii) equipment or mechanical failures, which could increase costs, impair revenue and result in penalties for failure to meet project completion requirements; (xiii) the timely delivery of vessels on order and the timely completion of ship conversion programmes; (xiv) our ability to keep pace with technological changes and the impact of potential information technology, cyber security or data security breaches; and (xv) the effectiveness of our disclosure controls and procedures and internal control over financial reporting. Many of these factors are beyond our ability to control or predict. Given these uncertainties, you should not place undue reliance on the forward-looking statements. Each forward-looking statement speaks only as of the date of this announcement. We undertake no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Agenda

• 1. Highlights
• 1. Operations update
• 1. Newbuilds update
• 1. Financial performance
• 1. Market outlook
• 1. Strategic positioning
• 1. Q&A

Seaway Strashnov

First Quarter 2022 results

FINANCIAL HIGHLIGHTS

• Revenue \$267 million
• Adjusted EBITDA \$14 million
• Adjusted EBITDA margin 5.4%
• Operating cash flow \$20 million
• Net debt (excluding lease liabilities) \$77 million
• Order intake \$93 million resulting in a backlog of \$1.0 billion at year end
• External Revolving Credit Facility of

OPERATIONAL HIGHLIGHTS

• Continuation of jacket fabrication and offshore installation of foundations and cables on Seagreen
• Completed Kaskasi foundation installation
• Lower seasonal activity fleet vessel utilisation at 65%

STRATEGIC HIGHLIGHTS

• \$37m was repaid Continued progress on Seaway Alfa Lift and Seaway Ventus newbuild program
• MOU with Sumitomo for collaboration on submarine cable projects in Japan
• Strong bidding environment

Seagreen project – good progress has been made to date

• Fabrication at yards progressing well.
• Installation progress according to plan in Q1 2022.
• Timing for Saipem's S7000 vessel return to work on Seagreen being evaluated, after an incident occurred while the vessel was off hire.

Other ongoing Project Highlights

Hollandse Kust Zuid T&I foundations and IAG cables

©Jorrit Lousberg/Vattenfall

Taiwan Cable Lay projects Yunlin / CFXD / Zhong Neng

Kaskasi T&I foundations

Hornsea II T&I IAG cables

Heavy Transport All five vessels on journeys

Newbuilding program – Seaway Alfa Lift and Seaway Ventus

• Seaway Alfa Lift

• Crane repair works ongoing and expected complete second half of 2022
• Continued work with key suppliers to secure pile upending and installation mission equipment schedules
• Contingency scenario has been activated utilising Seaway Strashnov to progress committed work on Dogger Bank A
• Assessing increased risks from COVID restrictions in China

• Seaway Ventus

• Detailed design nearing complete
• Good progress at shipyard, and crane fabrication progressing with GustoMSC

Backlog of \$1.0 billion at 31 March 2022

Backlog

• New awards of \$33 million
• Includes Heavy Transportation voyages
• Escalations of \$60 million

Announcements of pre-backlog

• Sizeable(*) He-Dreight Contract signed with ENBW on 29 March 2022 – EPIC Inner Array Cables – pre-backlog and remains subject to Client FID

(*) Sizeable contracts are between \$50m and \$150m.

Income Statement summary – Q1 2022

Three months ended

In \$ millions, unless otherwise indicated	31 March 2022	31 March 2021
	Unaudited	Unaudited
Revenue	267	241
Net operating income/(loss)	(8)	(20)
Net income/(loss)	(2)	(27)
EBITDA (a) Adjusted	14	(7)
Adjusted EBITDA margin	5%	(3%)
Diluted earnings per share \$ (b)	(0.00)	(0.09)
Weighted average number of shares (millions)	436,562,575	314,325,054

(a) Adjusted EBITDA is explained and reconciled in Note 8 'Adjusted EBITDA and Adjusted EBITDA margin' to the Condensed Consolidated Financial Statements.

(b) Diluted earnings per share is explained and reconciled in Note 7 'Earnings per share' to the Condensed Consolidated Financial Statements.

Supplementary details – Q1 2022

	Three months ended
In \$ millions	31 March 2022 Unaudited	31 March 2021 Unaudited
Administrative expenses	(10)	(6)
Depreciation and amortisation	(22)	(13)
Net operating income/(loss)	(8)	(20)
Net finance cost	-	(2)
Other gains and losses	1	(1)
Income/(loss) before taxes	(7)	(23)
Taxation	5	(4)
Net income/(loss)	(2)	(27)

Balance Sheet summary – Q1 2022

In \$ millions, unless otherwise indicated	31 March 2022	31 December 2021
	Unaudited	Audited
Non-current assets	1,015	1,025
Cash and cash equivalents	22	23
Other current assets	304	305
Total assets	1,341	1,353
Total equity	861	864
Non-current liabilities	27	30
Current borrowings	99	101
Other current liabilities	354	358
Total equity and liabilities	1,341	1,353

Diversified offering across the value chain

Demand forecast up more than 100% since 2017

Outlook – significant offshore wind prospects

Summary

• Seasonally lower utilisation in Q1 2022, but high volume of operations commenced later in the quarter and expected to continue through much of 2022.
• Seaway Alfa Lift and Seaway Ventus newbuilds progressing and will deliver top and bottom-line growth for the business.
• Core funding to support ongoing newbuilds is expected to be secured in the next six months.
• High bidding activity and strong market fundamentals with Seaway 7 well positioned.

Seaway Phoenix