Eidesvik Offshore — Investor Presentation 2024

Nov 20, 2024

Presentation Q3 2024 20 November 2024

Disclaimer

This presentation has been produced by Eidesvik Offshore ASA (the "Company") based on information which is publicly available. This presentation is for information purposes only. Further to the aforementioned, this presentation is the result of an effort of the Company to present certain information which the Company has deemed relevant in an accessible format. The presentation is not intended to contain an exhaustive overview of the Company's present or future financial condition and there are several other facts and circumstances relevant to the Company and its present and future financial condition that has not been included in the this presentation. No representation or warranty (express or implied) is made or intended to be made as to the accuracy or completeness of any or all of the information contained herein and it should not be relied upon as such. The recipient of this presentation acknowledges that it will be solely responsible for its own assessment of the information.

This presentation contains forward-looking statements. Such forward-looking statements give the Company's current expectations and projections relating to its financial condition, the market in which it operates and the future performance of the Company. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company's control that could cause the Company's actual results, performance or achievements to be materially different from the expected results, performance or achievements expressed or implied by such forwardlooking statements. Such forward-looking statements are based on numerous assumptions regarding the Company's present and future business strategies and the environment in which it will operate in the future.

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Financial highlights / Q3 2024

P&L key figures Q3 2024 vs. Q3 2023		Balance sheet key figures Q3 2024 vs. FY 2023
MNOK 207 (196) in freight revenue	MNOK 2 846 (1 994) in consolidated backlog	MNOK 2 785 (2 716) in assets	MNOK 428 (499) in cash
MNOK 97 (96) in adj. EBITDA	47% (49%) in adj. EBITDA margin	MNOK 360 (378) in NIBD	64% (59%) in equity ratio

Business update / Q3 2024

• Equinor Energy AS declared options to extend the contract for the supply vessel Viking Energy. The contract extension runs from April 2025, extending the firm period to April 2030. The contract also includes options for further extensions
• Project Apollo Conversion of Viking Energy to operate with an ammonia combustion engine as the first in the world

Subsequent events:

• Viking Princess contract extension until January 2026
• Steel-cutting ceremony for our previously announced CSV newbuild was held on 15 October

Project Apollo

• Conversion of supply vessel Viking Energy to operate with an ammonia combustion engine as the first in the world
• Ammonia operation is planned to start in the first half of 2026
• In addition to chartering the vessel Equinor also contributes with financing of the conversion
• The project has been granted EUR 5 million in support from the EU

Operational update / Q3 2024

• Fleet utilisation in Q3 2024 was 100%
  • Supply utilisation was 100% during the quarter
  • Subsea/Offshore Renewables utilisation was 99% during the quarter
• No LTIs during the quarter

Contract backlog / Q3 2024

* Does not include variable contractual mechanism, 100% utilisation

** Assumes hull 71 (newbuild) to operate 50/50 in the subsea and offshore renewables space

1 449

Contract coverage incl. JV / Q3 2024

Contract coverage incl. JV

MNOK 2 922 backlog incl. JV

1 600

Market update – fundamentals remain strong

Upcycle continuing despite unexpected market movements and seasonal challenges experienced

Supply: Global activity expected to rise. The same applies for Norwegian part of the North Sea with the UK sector more uncertain in 2025

Subsea/Renewables: For Subsea record high backlog, high demand for vessels, limited spare capacity. Within renewables activity continues to improve

Q3 2024 financial results

Financial results (NOK1000)	Q3 2024	Q3 2023	Q2 2024	YTD 2024	YTD 2023	FY2023
Freight revenue	207,1 6 %	195,6	186,0	572,6	508,8	699,5
Gain on sale	0,0	5,2	0,0	0,0	21,6	21,6
Other income	0,0	3,9	11,8	15,7	48,2	51,3
Total Revenue	207,1	204,6	197,8	588,3	578,6	772,4
EBITDA	96,5	105,2	82,5	246,5	261,7	333,6
EBITDA adj. for sale gains and other	96,5 0,4 %	96,1	70,7	230,8	191,8	255,5
Adjusted EBITDA margin	47 %	49 %	38 %	40 %	38 %	37 %
Result from JVs and associated	-1,1	-3,6	3,2	0,5	-15,5	-4,4
Operating result	48,6	61,7	41,2	113,6	466,0	577,2
Operating result adj. for impairment and gain on sale	48,6	52,7	29,4	97,8	64,0	95,3
Pre-tax result	39,6	51,0	34,8	83,8	433,4	533,2

* for impairment and gain on sale and other income

• ~6% increase in freight revenue and ~0.4% increased adj. EBITDA
• Quarter affected by rate adjustments in both supply and subsea & offshore renewable segments, but offset by higher OPEX quarter on quarter
• Improved utilisation compared to Q2 2024
• Improvement in JV result due to increased utilisation and improved rates

Segment performance

Revenue & EBITDA margin (incl. share of JV*)

EBITDA Q3 2024 vs. Q3 2023

• Increased freight rates, but offset by higher OPEX
• EBITDA reduction of NOK 4.9 million, where margin decreased from 49% to 43%
• Utilisation was 100% compared to 100%

Supply

EBITDA margin

• Increased revenue of NOK 12 million (12%) due to rate adjustments and higher utilisation
• EBITDA improvement of NOK 7.9 million where margin increased from 53% to 54%
• Subsea/ Renewables • Utilisation was 99% compared to 96%

* Consolidated Viking Reach, Seven Viking included with 50%.

Balance sheet

Balance Sheet (NOK1000)	30.09.2024	31.12.2023
Total non-current assets	2 095	1 931
Cash and cash equivalents	428	499
Other current assets	262	287
Total assets	2 785	2 716
Equity	1 780	1 616
Equity ratio	64 %	59 %
Non-current liabilites	660	748
Current liabilites	345	352
Total equity and liabilites	2 785	2 716

Comments for the year

• Non-current assets increased from year end, mainly due to the initial payment related to the newbuild contract in February
• Cash balance reduced due to the above
• Current NIBD/EBITDA is 1.0x*
• Strong equity ratio of 64%
• Net interest-bearing debt of NOK 360 million

* Adjusted last twelve months, excluding IFRS 16

Cash flow YTD 2024

Highlights summary

Strong quarter operationally and financially

Sturdy backlog, with key vessels scheduled to become available in a solid market

Extremely healthy balance sheet

3

Continued strong market fundamentals

Positioned for profitable growth opportunities

Contact details

Interim CEO - Helga Cotgrove +47 90 73 52 46

VP IR - Sindre Stovner

+47 91 78 64 31

investor.relations@eidesvik.no

Appendix

Company overview

STRATEGY

Green PSV

• Strengthen our position as the market leader within green PSV

Subsea

• Actively seek partnerships that will create new business opportunities

Offshore Renewables

• Increase footprint in segment, focus on long-term profitable contracts

Key words for future projects

• Long-term partnerships and long-term positive cash flows

Energy transition fleet

Supply Subsea / Offshore Renewables

Viking Energy

NS Frayja (management)

Viking Wind Power

Seven Viking

Viking Prince

Viking Avant

NS Orla (management)

Subsea Viking

Viking Neptun (management)

Viking Queen

Methanol Dual Fuel

Viking Reach

Contract status

Vessel	Q4 2024	Q1 2025	Q2 2025	Q3 2025	Q4 2025	Q1 2026	Q2 2026	Q3 2026	Q4 2026	Q1 2027	Q2 2027	Q3 2027
Seven Viking
Viking Reach
Subsea Viking
Viking Wind Power
TBN
Queen Viking
Viking Lady
Viking Princess
Viking Prince
Viking Energy
Viking Avant

Firm Options

Debt maturity profile 30 September 2024

Million NOK

Financial development

	FY2021	FY2022	FY2023	YTD2024
Utilisation	94 %	95 %	94 %	97 %
Revenue (NOKm)	588	919	772	588
Adj. Revenue (NOKm)	569	635	699	573
EBITDA (NOKm)	179	494	334	246
EBITDA margin	30 %	54 %	43 %	42 %
Adj. EBITDA (NOKm)	160	210	261	231
Adj. EBITDA margin	28 %	33 %	37 %	40 %
EBIT	109	551	577	114
Adj. EBIT*	-37	58	95	98
Equity Ratio	19 %	40 %	59 %	64 %
GIBD (NOKm)	2 026	1 197	876	788
LTV**	0,72	0,66	0,40	0,35
NIBD/adj. EBITDA***	10,6x	2,5x	1,4x	1,0x

* Adjusted for gain on sale, other income and reversal of impairments ** LTV YTD2024 is based on broker values per 30.06.2024 *** Adjusted last twelve months, excluding IFRS 16

• Maintaining operational solid key figures during YTD 2024
• Key metrics such as equity ratio, LTV and NIBD/adj. EBITDA are among the industry healthiest

We aim to be the market leader within green offshore vessels.