AUSTAL LIMITED — Investor Presentation 2012

Feb 23, 2012

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2012 Financial Results Investor Briefing Package

AGENDA

• Results Highlights and Key events

• Group Financial Summary

o Balance sheet review

• Austal USA

• Austal Australia

• o Service and Systems

• Order Book Backlog

• • Summary

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RESULTS HIGHLIGHTS & KEY EVENTS

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AUD $M	Dec-11	Dec-10	Change
Revenue	267.4	251.2	6%
EBIT	(4.0)	20.5	(120%)
Net profit after tax	(3.0) 8 5 ce ts	14.1	(121%)
EPS	-1.63 cents	7.68 cents

• Operating loss driven by:

• Low level of activity in Australian business until Customs project ramps up.

• “First in class” issues with JHSV1.

• Return to profitability is expected through:

• In the US, “Lessons learned” on JHSV 1 now captured and implemented, reflecting in performance of follow on hulls.

• In Australia, increased activity from Customs project.

3

BALANCE SHEET REVIEW

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AUD $M	Dec-11 Jun-11 Change
Total Assets Cash Restricted cash Inventories Property, plant & equipment	707.4 674.6 5%
	39.6 42.3 (6%) 72.2 128.9 (44%) 183.8 177.9 3% 291.2 208.3 40%
Total Liabilities Bank loans Go Zone Bonds ("GZB") Government Grants	461.4 400.4 15%
	46.7 16.7 180% 220.0 209.7 5% 52.3 45.5 15%
Equity	246.0 274.2 (10%)

• GZB continues to be an efficient funding mechanism for US capital assets.

• Covenant breach lead to reclassification of long term debt to current, due to accounting standards requirements. Breach waived and classification of debts to revert next period.

• Sufficient cash and access to external working capital support.

Austal USA

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USD $M	Dec-11	Dec-10	Change
Revenue	240.8	149.1	62%
EBIT	5.0	13.9	(64%)
EBIT %	2% 8 5 ce ts	9%	(7%)
PBT	1.0	13.3	(92%)

• Non recurring “First in class” issues:

• Recruitment rate versus efficiency and quality

• Lack of design maturity leading to rework

• “Lessons learned” – JHSV 2 is performing as expected.

• JHSV 8 and 9 to be awarded imminently.

• LCS 10 and 12 to be awarded by 31 March 2012.

• Fully expect all vessels under both programs to be awarded in accordance with contract terms.

5

AUSTAL SHIPS

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AUD $M	Dec-11	Dec-10	Change
Revenue	30.5	93.0	(67%)
EBIT	(5.7)	6.8	(184%)
EBIT %	(19%)	7%	(26%)
PBT	(7.7)	11.0	(170%)

• Continuation of trend from June 2011 – transitional period from commercial to defence shipbuilding.

• Asset utilisation to improve in line with ramp up of Customs contract.

6

SERVICE & WESTPAC EXPRESS

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AUD $M	Dec-11	Dec-10	Change
Revenue	13.5	13.2 0 0	2%
EBIT	(0.3)	1.3 0 0	(123%) 00%
EBIT %	(2%)	10%	(12%)
PBT	(0.3)	1.3	(123%)

• One of costs impacted WestPac Express charter profitability

• Consolidating global service footprint to support US Navy vessels.

• Pursuing opportunities in resources sector.

• Investing in Systems capability to support Cape Class Patrol Boat program and beyond.

7

ORDER BOOK BACKLOG $1.87B AT DECEMBER 2011

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• 3 x 127m Littoral Combat Ships for US Navy

• 7 x 103m Joint High Speed Vessels for US Navy

• • 1 x 35m monohull ferry

• 1 x 41m catamaran ferry

• 8 x 58m patrol boats for Australian Customs

• 3 x 21m catamaran wind farm vessels

• LCS Technical Services for US Navy

• Service contracts in Trinidad and Tobago, Oman, Australia and USA

• “WestPac Express” charter extension

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8

SUMMARY

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• US production facility is full through to 2017.

• The „franchise‟ from long term vessel programs is beginning to appear.

• Activity in the Australian operations is ramping up for the commencement of production for CCPB.

• Philippines Shipyard Operation is ramping up with construction of the first vessel underway.

• Investing in Service and Systems capacity to support US programs, CCPB and other military programs

• Expected to Return to profitability at full year.

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UESTIONS ? Q

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Richard Simons, Chief Financial Officer Telephone: + 61 8 9410 1111

For further information www.austal.com

Disclaimer

This presentation and any oral presentation accompanying it has been prepared by Austal Limited (“Austal”). It should not be considered as an offer or invitation to subscribe for or purchase any securities in Austal or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for securities in Austal will be entered into on the basis of this presentation.

Our presentation contains “forward-looking” statements or projections based on current expectations. These statements are not guarantees of future performance and are subject to risks and uncertainties. Actual results may differ materially due to: the availability of US government funding due to budgetary or debt ceiling constraints; changes in customer priorities; additional costs or schedule revisions. Actual results may also effect the capitalization changes on earnings per share; the allowability of costs under government cost accounting divestitures or joint ventures; the timing and availability of future impact of acquisitions; the timing and availability of future government awards; economic, business and regulatory conditions and other factors. We disclaim any duty to update forward looking statements to reflect new developments.

Accordingly, to the maximum extent permitted by applicable laws, Austal makes no representation and can give no assurance, guarantee or warrant, express or implied, as to, and takes not responsibility and assumes no liability for, the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission, from any information, statement or opinion contained in this presentation.

You should not act or refrain from acting in reliance on this presentation material. This overview of Austal does not purport to be all inclusive or to contain all information which its recipients may require in order to make an informed assessment of Austal‟s prospects. You should conduct your own investigation and perform your own analysis in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this presentation before making any investment decision