Havila Shipping ASA

Earnings Release • Aug 15, 2017

Havila Shipping ASA: Second Quarter 2017 Financial Report

Havila Shipping ASA: Second Quarter 2017 Financial Report

Summary

Havila Shipping ASA achieved an operating income before depreciation of NOK

10,6 million in Q2 2017, compared with NOK 110,6 million in Q2 2016.

Total operating income was NOK 143,9 million in Q2 2017, compared with NOK

260, 2 million in Q2 2016.

The group had 26 vessels in operation as of 30/06/2017. 23 vessels are operated

from Fosnavåg, one for external owner. Three vessels are operated by Posh Semco

Pte Ltd in Singapore.  As a part of the restructuring, these vessels will be

sold and the 50 % owned company Posh Havila Pte Ltd is under liquidation. One of

the Posh-vessels was sold in April 2017.

The Group had 7 vessels laid up at the beginning of second quarter, of this 5

PSV and 2 AHTS. In addition is one of the subsea vessel marketed for work after

ended contract. Two PSV vessels are taken out of lay-up during the quarter.

The fleet utilization  Q 2 2017  was 64 % exclusive vessels in lay-up.

Result for 2 quarter 2017

· Total operating income amounted to NOK 143.9 million (NOK 260.2 million).

· Total operating expenses were NOK 133.4 million (NOK 149.6 million).

· The operating profit before depreciation was NOK 10.6 million (NOK 110.6

million).

· Depreciation was NOK 83.2 million (NOK 81.1 million).

· Net financial items were NOK - 36.3 million (NOK -111.7 million) whereof

unrealized agio gain was NOK 33,1 million ( unrealized disagio NOK 3.8 million).

· The profit before tax was NOK -105.1 million (NOK -86.8 million).

· Exclusive restructuring elements the profit before tax was NOK -102.6 million(

NOK -86.8 million).

Result for 1st half of  2017

· Total operating income amounted to NOK 288.6 million (NOK 595.1 million).

· Total operating expenses were NOK 256.8 million (NOK 336.0 million).

· The operating profit before depreciation was NOK 31.7 million (NOK 259.2

million).

· Depreciation was NOK 166.5 million (NOK 162.8 million).

· Net financial items were NOK 772.5 million  of which redemption of debt to

discount was NOK 883.9 million. Exclusive refinancing, net financial items were

NOK -111.7 million (NOK -142.4 million) and unrealized agio gain was NOK 41.4

million ( unrealized agio gain NOK 51.0 million).

· The profit before tax was NOK 642.4 million (NOK -57.1 million).

Balance and liquidity per 30/06/17

The book value of the fleet is NOK 4, 429.8 million. Book equity per share is

NOK 0.34.

Total current assets amounted to NOK 679.9 million on 30/06/17, whereof bank

deposits were NOK 364.6 million (of this NOK 9.5 million restricted). On

30/06/16, total current assets amounted to NOK 712.7 million, whereof bank

deposits amounted to NOK 359.4 million (of this NOK 9.7 million restricted).

Net cash flow from operations per 30/06/17 was NOK -135.3 million (NOK 185.9

million). Cash flow from investing activities was NOK 6.3 million (NOK -8.8

million). Recoverment of convertible shareholder loans, net issues, repayment

of loan  and payment of installments constitute a net change from financing

activities of NOK -59.1 million (NOK -14.1 million).

Total interest-bearing debt per 30/06/17 is NOK 4, 230 million. Of interest-

bearing debt, 19.6 % is loan in USD, while the remainder is nominated in NOK.

Secured debt are classified as long term debt following the implementation of

the restructuring, except from first year installment is classified as short

term debt.

Fleet

Per today, Havila Shipping ASA operates 26 vessels,

· 14 PSV (1 owned external and 1 are 50 % owned)

· 8 AHTS ( 3 of which are operated by Posh Semco Pte Ltd in Singapore)

· 3 Subsea

· 1 RRV (bareboat)

Employees

· Havila Shipping ASA had per 30/06/17 466 employees on the company's vessels

and 34 employees in the administration.

Contacts:

CEO Njål Sævik, +47 909 35 722

CFO Arne Johan Dale, +47 909 87 706

This information is subject to the disclosure requirements pursuant to section

5 -12 of the Norwegian Securities Trading Act.