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MPC Container Ships ASA Investor Presentation 2024
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PARETO ENERGY CONFERENCE
Moritz Fuhrmann, Co-CEO and CFO
AGENDA
01 COMPANY INTRODUCTION
- 02 MARKET UPDATE
- 03 COMPANY OUTLOOK
MARKET-LEADING CONTAINER SHIP COMPANY WITH STRONG FINANCIALS AND RATIONAL CAPITAL ALLOCATION
Leading container tonnage provider
#1 INTRA-REGIONAL TONNAGE PROVIDER
- » 59 vessels 1
- » ~130k TEU capacity
- » Solid portfolio and chartering strategy
FLEET RENEWAL & OPTIMIZATION
- » Sustainability as a strategic priority
- » Total investment program of USD 400m
Strong balance sheet and significant earnings backlog
STRONG BALANCE SHEET
» 35 debt-free vessels
HIGH EARNINGS VISIBILITY
- » Revenue backlog ~USD 1.1bn2
- » 98% contract coverage for H2 2024 and 76% for FY 2025 2
Clear strategy & investment principles
CAPITAL ALLOCATION
- » Clear & rational principles
- » USD 893m in dividends declared
- » USD ~200m in debt reduction
STRONG EXECUTION
- » Proven execution capabilities
- » 97 vessels acquired and 37 sold
Pareto Energy Conference 3 1 Including four newbuildings and excluding vessels sold subject to successful handover
DISTINCT FOCUS ON INTRA REGIONAL TRADE
CHARACTERISTICS OF INTRA-REGIONAL TRADES
- » Advantageous supply dynamics
- » Orderbook biased towards larger tonnage, high age profile
- » Significant capacity reduction expected due to upcoming regulation
- » Favorable demand outlook as supply-chain developments promote regional trade flows
TOP TONNAGE PROVIDERS < 5.5K TEU 1
| MANAGING OWNER | TOTAL FLEET SIZE (TEUk) | # OF VESSELS |
|---|---|---|
| 135 | 59 | |
| Peter Döhle | 150 | 48 |
| Contships | 52 | 47 |
| Seaspan | 144 | 38 |
| Navios | 161 | 36 |
FLEET EMPLOYMENT BY REGION
- » Feeder vessels play a crucial role in the supply chain by serving intra-regional trade lanes due to their versatility
- » Enhancing port connectivity and accessibility as well as operational flexibility
MPC Container Ships | | Pareto Energy Conference 4 1 Ranked by number of vessels; operator not considered and including orderbook Sources: Alphaliner, Aug. 2024; MSI, Aug. 2024; Clarksons, Aug 2024
AGENDA
01 COMPANY INTRODUCTION
02 MARKET UPDATE
03 COMPANY OUTLOOK
RED SEA DISRUPTIONS CONTINUE TO DRIVE DEMAND
DIVERSION AROUND THE CAPE OF GOOD HOPE
SECONDHAND PRICES AND TIME-CHARTER RATES FOLLOW THE UPWARD
» Time charter rates are above initial expectations for 2024. Charter rates have stabilized with subdued activity due to low availability and the summer period.
Ø 500
» Secondhand market remained busy, and prices are well above the previous quarters' levels.
Jan.-17 Jan-18 Jan.-19 Jan-20 Jan.-21 Jan-22 Jan.-23 Jan-24 Jan.-25
0
Jan.-16
20
810
SHIPBUILDING CYCLE TRENDING TOWARDS LARGER VESSELS
» In the segments from 1,000 TEU to 8,000 TEU, an orderbook of 236 vessels is facing a rapidly ageing fleet of 899 units, which are already 20 years or older.
UTILIZING STRONG CHARTER MARKET TO INCREASE BACKLOG1
MPC Container Ships | | 8 Pareto Energy Conference 1 As per 28.08.24. See Employment Overview in the appendix for further details.
AGENDA
- 01 COMPANY INTRODUCTION
- 02 MARKET UPDATE
- 03 COMPANY OUTLOOK
ROBUST BACKLOG PROVIDES EARNINGS VISIBILITY
FIXED OPERATING DAYS AND CHARTER BACKLOG / PROJECTED EBITDA 1, 2, 3
CHARTER BACKLOG AND COUNTERPARTIES
- » 90% of revenue backlog with top 10 liners and cargo-backed7
- » 2.2 years average remaining contract duration
UPDATE ON UPCOMING VESSELS IN FY 24 & FY 25
PROVIDING SIGNIFICANT SHAREHOLDER RETURNS
66.6 Q4 2022 31.1 66.6 Q1 2023 66.6 Q2 2023 48.8 Q3 2023 57.7 Q4 2023 57.7 Q1 2024 44.4 Q4 2021 Q2 2024 164.8 57.7 Q1 2022 17.7 66.6 Q2 2022 13.3 71.0 Q3 2022 62.1 47% DIV. YIELD 2022 1 DIVIDEND DISTRIBUTIONS USD million 43% DIV. YIELD 2023 1 Event-driven Recurring 28.5% DIV. YIELD YTD 2024 2 666 227 Total 893
PERIOD RECURRING DPS EVENT-DRIVEN DPS TOTAL (NOK) 2021 Q4 0.95 0.95 2022 Q1 1.30 3.30 4.60 Q2 1.57 0.42 1.98 Q3 1.58 0.30 1.87 Q4 1.58 1.58 2023 Q1 1.59 0.72 2.32 Q2 1.61 1.61 Q3 1.52 1.52 Q4 1.37 1.37 2024 Q1 1.37 1.37 Q22 1.05 1.05 Total 15.48 4.74 20.22
1 Dividend yield 2022 calculated as total dividends paid from January 2022 to December 2022 divided by opening share price on Jan 3, 2022, of NOK 24.75/share and Dividend yield 2023 calculated as total dividends paid from January 2023 to December 2023 divided by opening share price on Jan 2, 2023, of NOK 16.30/share
MPC Container Ships | | 2 Dividend yield YTD 2024 calculated as dividends declared since January 2024 divided by opening share price on Jan 2, 2024, of NOK 13.50/share. DPS of USD 0.10 to be paid on September 24, 2024, estimated to NOK 1.05 per share based on FX rate of 10.50
STRATEGIC EXECUTION PHASE – RESILIENT AND READY
MPC Container Ships | | 1 Includes 5 newbuildings of which 2 have been delivered throughout 2024 already. Further two vessels will still be delivered in 2024 and one vessel in 2026, 5 eco-type vessels of which 4 are part of the retrofit program and further 9 vessels scheduled for retrofit in 2024. Proforma view based on Q3 2023 fleet composition.
WELL-POSITIONED FOR CONTINUED VALUE CREATION
SUMMARY
- » Strong financial and operational performance
- » Continuation of low-leverage strategy while executing on fleet optimization
- » Favorable dynamics for intra-regional tonnage (supply and demand)
OUTLOOK
- » Robust revenue backlog of USD 1.1bn and contract coverage for 76% of open days remaining in 2025 provides high earnings visibility
- » Executing on fleet renewal strategy, enhancing value whilst remaining committed to shareholder returns
APPENDIX
OVERVIEW OF FINANCING FACILITIES
| Facility | Type | Outstanding 30/06/24 | Total capacity | Interest rate | # | Contractual repayment profile | Maturity |
|---|---|---|---|---|---|---|---|
| HCOB | RCF | USD 0m | USD 96.7m | 295bps + SOFR | 13 | Commitment will be reduced starting in Mar 2024 – Dec 2027 |
Dec. 2027 |
| CA-CIB | Pre- & Post delivery finance |
USD 58.7m | USD ~101m | 175 – 275bps + SOFR |
2 | 48x USD 1.1m + 8x USD 2.4m, 4x USD 1.4m, followed by subsequent instalments (to be agreed by borrower and lender) |
Q2 2031 |
| Ostfriesische Volksbank (OVB) |
Term Loan | USD 4.1m | USD 8.3m | 350bps + SOFR | 1 | quarterly installments of USD 0.37m | Feb. 2027 |
| HCOB Ecofeeder |
Term Loan | USD 47.4m | USD 50m | 280bps + SOFR | 5 | 20 x quarterly installments of USD 1.2m + USD 26m balloon |
Oct. 2028 |
| BoComm | Sale & Lease back |
USD 50.9m | USD 75m | 260bps + SOFR | 11 | 1x monthly installments of USD 1.9m, 12x USD 1.1m, 24x USD 0.3m + USD 26.2m balloon |
Sep. 2027 |
| Deutsche Bank 1 | Pre- & Post delivery finance |
USD 11.7m | USD ~54.5m | 230bps + SOFR | 2 | 23 x semi-annual installments of 3.33% + 23.34% balloon | 2036 |
CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS
| In USD thousands | Q2 2024 | Q2 2023 | H1 2024 | H1 2023 |
|---|---|---|---|---|
| (unaudited) | (unaudited) | (unaudited) | (unaudited) | |
| Operating revenues | 130,899 | 194,368 | 278,442 | 374,491 |
| Commissions | (3,762) | (5,421) | (7,753) | (10,551) |
| Vessel voyage expenditures | (3,936) | (3,448) | (7,280) | (6,295) |
| Vessel operation expenditures | (38,738) | (38,173) | (76,159) | (72,358) |
| Ship management fees | (2,157) | (2,469) | (4,778) | (4,783) |
| Share of profit or loss from joint venture | (349) | 1,520 | (378) | 10,268 |
| Gross profit | 81,957 | 146,376 | 182,094 | 290,772 |
| Administrative expenses | (4,360) | (3,508) | (8,687) | (6,716) |
| Other expenses | (638) | (805) | (1,163) | (1,290) |
| Other income | 1,040 | 684 | 2,102 | 1,386 |
| Gain (loss) from sale of vessels | 6,412 | - | 6,201 | - |
| Depreciation | (17,521) | (20,611) | (35,265) | (40,215) |
| Held for sale loss/impairment | - | (18,391) | - | (18,391) |
| Operating profit | 66,890 | 103,745 | 145,282 | 225,547 |
| Finance income | 2,435 | 1,485 | 4,397 | 3,009 |
| Finance costs | (4,393) | (3,689) | (8,690) | (7,312) |
| Profit (loss) before income tax | 64,932 | 101,542 | 140,989 | 221,245 |
| Income tax expenses | (119) | (50) | 277 | (93) |
| Profit (loss) for the period | 64,813 | 101,491 | 141,266 | 221,152 |
| Attributable to: | ||||
| Equity holders of the Company | 64,797 | 101,439 | 141,220 | 221,051 |
| Minority interest | 16 | 53 | 46 | 101 |
| Basic earnings per share – in USD |
0.15 | 0.23 | 0.32 | 0.50 |
| Diluted earnings per share – in USD |
0.15 | 0.23 | 0.32 | 0.50 |
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
| in USD thousands | June 30, 2024 | Dec 31, 2023 | |
|---|---|---|---|
| (unaudited) | (audited) | ||
| ASSETS | |||
| Non-current Assets | |||
| Vessels | 728,750 | 691,291 | |
| Newbuildings | 66,593 | 78,980 | |
| Right-of-use asset | 359 | 84 | |
| Other non-current assets | 2,496 | - | |
| Investments in associate and joint venture | 6,557 | 2,934 | |
| Total non-current assets | 804,755 | 773,289 | |
| Current Assets | |||
| Vessel held for sale | - | 25,165 | |
| Inventories | 6,537 | 8,088 | |
| Trade and other receivables | 24,807 | 23,667 | |
| Financial instruments at fair value | 2,782 | 1,951 | |
| Restricted cash | 8,492 | 5,005 | |
| Cash and cash equivalents | 160,788 | 117,579 | |
| Total current assets | 203,406 | 181,455 | |
| TOTAL ASSETS | 1,008,161 | 954,744 |
| in USD thousands | June 30, 2024 | Dec. 31, 2023 |
|---|---|---|
| (unaudited) | (audited) | |
| EQUITY AND LIABILITIES | ||
| Equity | ||
| Share capital | 48,589 | 48,589 |
| Share premium | 1,879 | 1,879 |
| Retained earnings | 725,879 | 700,021 |
| Other reserves | 135 | (843) |
| Non-controlling interest | 3,624 | 3,835 |
| Total equity | 780,106 | 753,481 |
| Non-current liabilities | ||
| Non-current Interest-bearing debt | 129,093 | 92,951 |
| Lease liabilities -long-term | 169 | - |
| Total non-current liabilities | 131,931 | 93,699 |
|---|---|---|
| Deferred tax liabilities | - | 748 |
| Other non-current liabilities | 2,669 | - |
| Current liabilities | ||
|---|---|---|
| Current interest-bearing debt | 38,028 | 33,564 |
| Acquired TC contracts, current | 13,570 | 20,397 |
| Trade and other payables | 452 | 21,459 |
| Income tax payable | 721 | 289 |
| Deferred revenues | 29,060 | 35,230 |
| Other liabilities | 14,293 | 17,022 |
| Total current liabilities | 96,124 | 107,564 |
| TOTAL EQUITY AND LIABILITIES | 1,008,161 | 954,744 |
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOW
| H1 2024 | H1 2023 | |
|---|---|---|
| in USD thousands | (unaudited) | (unaudited) |
| Profit (loss) before income tax | 140,989 | 221,245 |
| Income tax expenses paid | - | (173) |
| Net change inventory and trade and other receivables | 984 | (2,179) |
| Net change in trade and other payables and other liabilities | 1,716 | (6,676) |
| Net change in deferred revenues | (6,170) | 2,479 |
| Depreciation | 35,265 | 40,215 |
| Finance costs (net) | 4,293 | 4,302 |
| Share of profit (loss) from joint venture | 377 | (10,268) |
| Impairment | - | 18,391 |
| (Gain) loss from sale of vessels and fixed assets | (4,648) | - |
| Amortization of TC contracts | (926) | (1,565) |
| Cash flow from operating activities | 171,880 | 265,771 |
| Cash flow from investing activities | (42,556) | (103,642) |
|---|---|---|
| Investment in associate | (4,000) | (404) |
| Dividend received from joint venture investment | - | 20,950 |
| Interest received | 3,019 | 1,907 |
| Acquisition of vessels | - | (75,344) |
| Newbuildings | (72,850) | (22,638) |
| Scrubbers, dry dockings and other vessel upgrades | (19,114) | (28,113) |
| Proceeds from disposal of vessels | 50,389 | - |
| H1 2024 | H1 2023 | |
|---|---|---|
| in USD thousands | (unaudited) | (unaudited) |
| Dividends paid | (115,619) | (164,461) |
| Additions from non-controlling interest | - | 541 |
| Proceeds from debt financing | 61,670 | 8,300 |
| Repayment of long-term debt | (18,516) | (31,400) |
| Payment of principal of leases | (97) | (100) |
| Interest paid | (5,188) | (6,261) |
| Debt issuance costs | (3,648) | - |
| Other finance paid | (1,376) | - |
| Cash from /(to) financial derivatives | 146 | (1,194) |
| Cash flow from financing activities | (81,628) | (194,575) |
| Net change in cash and cash equivalents | 46,696 | (32,446) |
| Restricted cash, cash & cash equiv. at beginning of the period | 122,584 | 125,517 |
| Restricted cash, cash & cash equiv. at end of the period | 169,280 | 93,071 |
FLEET EMPLOYMENT OVERVIEW
| No | Vessel | Cluster | Charterer | MPCC Current Fixture (USD/day) |
Aug-24 | Sep-24 | Oct-24 | Nov-24 | Dec-24 | Jan-25 | Feb-25 | Mar-25 | Apr-25 | May-25 Jun-25 |
Jul-25 | Aug-25 | Sep-25 | Min / Max |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | AS FATIMA1 | 1,300 gls | COSCO | 11,500 | Aug-24 / Sep-24 | |||||||||||||
| 2 | AS PAOLA1 | 2,500 grd | CMA CGM | 28,900 | DD2 | Sep-24 / Oct-24 | ||||||||||||
| 3 | AS ANNE | 2,200 grd eco | CMA CGM | 17,250 | Sep-24 / Nov-24 | |||||||||||||
| 4 | AS SVENJA | 1,700 grd | CMA CGM | 29,995 | DD2 | Oct-24 / Dec-24 | ||||||||||||
| 5 | AS FRANZISKA | 1,300 grd | Maersk | 11,500 | Oct-24 / Dec-24 | |||||||||||||
| 6 | AS PAMELA | 2,500 grd | COSCO | 37,500 | DD2 | Nov-24 / Jan-25 | ||||||||||||
| 7 | AS FENJA | 1,200 gls | COSCO | 27,000 | DD2 | Nov-24 / Jan-25 | ||||||||||||
| 8 | AS ANITA | 2,000 gls | COSCO | 18,000 | Jan-25 / Feb-25 | |||||||||||||
| 9 | AS NINA | 3,500 gls | Maersk | 18,250 | DD2 | Jan-25 / Mar-25 | ||||||||||||
| 10 | AS ALEXANDRIA | 2,000 gls | SCI | 13,500 | Feb-25 / Apr-25 | |||||||||||||
| 11 | AS FLORIANA | 1,300 gls | CFS | 27,750 | Feb-25 / Apr-25 | |||||||||||||
| 12 | AS FREYA | 1,300 grd | Maersk | 28,000 | Feb-25 / Apr-25 | |||||||||||||
| 13 | AS PENELOPE | 2,500 gls | Hapag-Lloyd | 16,950 | DD2 | Mar-25 / Jun-25 | ||||||||||||
| 14 | AS NORA | 3,500 grd | CMA CGM | 40,000 | Apr-25 / Jun-25 | |||||||||||||
| 15 | AS FABIANA | 1,300 grd | Maersk | 29,500 | May-25 / Jul-25 | |||||||||||||
| 16 | SEVILLIA | 1,700 grd | Samudera | 15,0003 | May-25 / Jul-25 | |||||||||||||
| 17 | AS ANGELINA | 2,000 grd | Maersk | 36,500 | Aug-25 / Oct-25 | |||||||||||||
| 18 | AS SERENA | 1,700 grd | Shanghai Jin Jiang | 15,0004 | Maersk – | 20,300 | Aug-25 / Nov-25 | |||||||||||
| 19 | AS SOPHIA | 1,700 grd | Maersk | 38,000 | Sep-25 / Nov-25 | |||||||||||||
| 20 | AS SIMONE | 1,700 grd eco | Maersk | 23,5005 | Sep-25 / Sep-26 | |||||||||||||
| 21 | AS SILJE | 1,700 grd eco | Maersk | 23,5005 | DD2 | Oct-25 / Oct-26 | ||||||||||||
| 22 | AS SABINE | 1,700 grd eco | Maersk | 23,5005 | Nov-25 / Nov-26 | |||||||||||||
| 23 | AS STINE | 1,700 grd eco | Maersk | 23,5005 | DD2 | Dec-25 / Dec-26 | ||||||||||||
| 24 | AS FILIPPA | 1,300 grd | CMA CGM | 18,250 | 13,500 | Jan-26 / Mar-26 | ||||||||||||
| 25 | AS FABRIZIA | 1,300 grd | King Ocean | 11,000 | Feb-26 / Apr-26 |
Sold – to be handed over after re-delivery in Q3 / Q4
Scheduled commencement of dry-docking. Actual timing depends, inter alia, on yard capacity and charter commitments
First year at USD 65,000, thereafter one year at USD 40,000 and then USD 15,000 for the remaining period
Contracted base rate; besides base rate the charter also includes a Scrubber savings sharing mechanism in favour of MPCC
Index-linked charter rate with a floor of USD 8,750 and a ceiling of USD 14,500 - 50/50 profit share for all assessed rates between USD 17,000 and USD 35,000
Min. period Max. period
FLEET EMPLOYMENT OVERVIEW
| No | Vsel | Cluster | Charterer | MPCC Current Fixture (USD/day) |
Aug-24 | Sep-24 | Oct-24 | Nov-24 | Dec-24 | Jan-25 | Feb-25 Mar-25 |
Apr-25 | May-25 | Jun-25 | Jul-25 | Aug-25 | Sep-25 | Min / Max |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 26 | AS CYPRIA | 2,800 gls | Hapag-Lloyd | 16,825 | 18,500 | Feb-26 / Apr-26 | ||||||||||||
| 27 | AS FLORETTA | 1,300 grd | Crowley | 16,800 | Mar-26 / May-26 | |||||||||||||
| 28 | AS FELICIA | 1,300 grd | ZISS | 24,000 | Mar-26 / May-26 | |||||||||||||
| 29 | AS PATRIA | 2,500 grd | KMTC | 25,0001 | DD2 | Mar-26 / Jul-26 | ||||||||||||
| 30 | AS FIORELLA | 1,300 grd | COSCO | 25,950 | 15,000 | Apr-26 / Jun-26 | ||||||||||||
| 31 | AS ALVA | 2,000 grd | MSC | 15,500 | Apr-26 / Jun-26 | |||||||||||||
| 32 | AS CARELIA | 2,800 gls | Hapag-Lloyd | 19,500 | Apr-26 / Jun-26 | |||||||||||||
| 33 | AS CARLOTTA | 2,800 grd | ONE | 25,500 | May-26 / Jun-26 | |||||||||||||
| 34 | AS CLEMENTINA | 2,800 gls | Unifeeder | 21,178 | May-26 / Jul-26 | |||||||||||||
| 35 | STADT DRESDEN | 2,800 gls | Hapag-Lloyd | 18,300 | 19,500 | Jun-26 / Sep-26 | ||||||||||||
| 36 | AS CHRISTIANA | 2,800 grd | CMA CGM | 32,400 | Seacon – | 26,800 | Jul-26 / Aug-26 | |||||||||||
| 37 | AS SICILIA | 1,700 grd | Unifeeder | 30,000 | MSC – | 17,000 | Jul-26 / Sep-26 | |||||||||||
| 38 | AS PIA | 2,500 grd | Maersk | 45,7503 | Aug-26 / Jan-27 | |||||||||||||
| 39 | AS COLUMBIA | 2,800 gls | Sea Consortium | 15,500 | DD2 / Maersk – | 24,000 | Sep-26 / Oct-26 | |||||||||||
| 40 | AS CAMELLIA | 2,800 gls | MSC | 17,750 | Maersk – | 24,000 | Sep-26 / Nov-26 | |||||||||||
| 41 | AS CONSTANTINA | 2,800 gls | COSCO | 39,900 | 26,500 | DD2 | Sep-26 / Nov-26 | |||||||||||
| 42 | AS CALIFORNIA | 2,800 gls | MSC | 17,750 | Maersk – | 24,000 | Sep-26 / Nov-26 | |||||||||||
| 43 | AS SAVANNA | 1,700 grd | Maersk | 12,500 | DD2 | 12,5004 | Sep-26 / Nov-26 | |||||||||||
| 44 | AS SELINA | 1,700 grd | Maersk | 29,500 | 12,5004 | Nov-26 / Jan-27 | ||||||||||||
| 45 | AS PETRONIA | 2,500 HR grd | Maersk | 45,7505 | Nov-26 / May-27 | |||||||||||||
| 46 | AS CLAUDIA | 2,800 gls | Hapag-Lloyd | 16,000 | 19,500 | Oct-26 / Jan-27 | ||||||||||||
| 47 | AS PALINA | 2,500 HR grd | Maersk | 45,7505 | Oct-26 / Apr-27 | |||||||||||||
| 48 | AS SABRINA | 1,700 grd | Maersk | 13,500 | DD2 | 12,5004 | Nov-26 / Jan-27 | |||||||||||
| 49 | AS SAMANTA | 1,700 grd | Seaboard | 22,4006 | DD2 | Maersk – | 12,5004 | Nov-26 / Jan-27 | ||||||||||
| 50 | AS CAROLINA | 2,800 gls | ZISS | 41,000 | Nov-26 / Jan-27 |
First year at USD 70,000, next year at USD 55,000, thereafter one year at USD 25,000 and then USD 15,500 for the remaining period
Scheduled commencement of dry-docking. Actual timing depends, inter alia, on yard capacity and charter commitments
as of 29.08.2025 the charter rate will change to an index-linked scheme with a floor of USD 10,500 and a ceiling of USD 16,000, the charter also includes a Scrubber savings sharing mechanism in favour of MPCC
Contracted base rate, index-linked scheme with a floor of USD 12,500 and a ceiling of USD 20,000
as of 21.10.2025 the charter rate will change to an index-linked scheme for AS Palina and as of 19.11.2025 for AS Petronia with a floor of USD 11,000 and a ceiling of USD 17,000, the charter also includes a Scrubber savings sharing mechanism in favour of MPCC
Contracted base rate; besides base rate the charter also includes a Scrubber savings sharing mechanism in favour of MPCC
Min. period Max. period
1 Scheduled commencement of dry-docking. Actual timing depends, inter alia, on yard capacity and charter commitment
3 avg. Rate of USD 39,000 (first two years USD 70,000, the third year USD 45,000 and for the remaining four years USD 21,565)
2 Contracted base rate, index-linked with a floor of USD 12,500 and a ceiling of USD 20,000
FLEET EMPLOYMENT OVERVIEW
| No | Vessel | Cluster | Charterer | MPCC Current Fixture (USD/day) |
Aug-24 | Sep-24 | Oct-24 | Nov-24 | Dec-24 | Jan-25 | Feb-25 | Mar-25 | Apr-25 | May-25 Jun-25 |
Jul-25 | Aug-25 | Sep-25 | Min / Max |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 51 | AS SARA | 1,700 grd | Maersk | 35,000 | DD1 | 12,5002 | Feb-27 / Apr-27 | |||||||||||
| 52 | AS CASPRIA | 2,800 gls | ZISS | 40,700 | Mar-27 / May-27 | |||||||||||||
| 53 | AS SUSANNA | 1,700 grd | ONE | 39,990 | DD1 | 18,000 | Mar-27 / Jun-27 | |||||||||||
| 54 | AS NURIA | 3,500 gls | Maersk | 25,150 | Jun-27 / Aug-27 | |||||||||||||
| 55 | MACKENZIE | 3,500 grd | ZISS | 70,0003 | Jun-31 / Jul-31 | |||||||||||||
| 58 | COLORADO | 3,500 grd | ZISS | 70,0003 | Jul-31 / Sep-31 | |||||||||||||
| 59 | H2530 | 1,300 gls | Unifeeder | Charter rate of EUR 17,750 per day | Dec-33 / Dec-33 | |||||||||||||
| 60 | NCL VESTLAND | 1,300 grd | NCL | May-39 / Sep-39 | ||||||||||||||
| 61 | NCL NORDLAND | 1,300 grd | NCL | NCL - base charter rate of 16,300 EUR per day increasing by 1.1% each year on January 1st |
Aug-39 / Dec-39 |
Min. period Max. period
Appendix 22
ROBUST BACKLOG PROVIDES EARNINGS VISIBILITY
-
- Underlying min/max periods for contracted charter based on management assessment. Contracted Revenue and Projected EBITDA not including IFRS adjustments
-
- Revenues / Periods / TCE's / costs in good faith, but indicative only and subject to changes. Fixed revenue and days as of August 24, 2024.
-
- Revenue and TCE not including IFRS amortization of time charter carry
-
- Projected EBITDA based on contracted revenue (consolidated fleet) reduced by operating costs of USD 8,220 per day and vessel (incl. voyage expenditures / OPEX / G&As / Shipman)
-
- Subject to redelivery of vessels (agreed min. / max. periods of charter contract)
-
- Contracted forward TCE based on revenue divided by fixed operating days
-
- Ranking based on list of 100 largest container/ liner operators by Alphaliner
UPDATE ON UPCOMING VESSELS IN FY 24 & FY 25
-
- Upcoming vessels based on the minimum period
-
- 10-Y Historical average of with USD ~16,150/day and current market rates of ~26,850/day based on monthly average 6-12 months TC rates from Clarksons Research as of July 2024. Rates are weighted averages based on size and number of vessels
-
- Illustrative operating revenue earnings scenarios, no forecasts, assuming upcoming fixtures at above shown rates. Based on 97% utilization
-
- Illustrative net profit scenarios, no forecasts, assuming operating costs of USD 8,220 per day and vessel, USD 100m of depreciation and net finance costs for 2024 and 2025
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- Based on MPCC share price as of August 24, 2024 of NOK 22.50/share and USD/NOK 10.50
DISCLAIMER
This presentation (the "Presentation") has been prepared by MPC Container ships ASA (the "Company") for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein.
Please note that no representation or warranty (express or implied) is made as to, and no reliance should be placed on, any forward-looking statements, including projections, estimates, targets and opinions, contained herein. To the extent permitted by law, the Company, its parent or subsidiary undertakings and any such person's officers, directors, or employees disclaim all liability whatsoever arising directly or indirectly from the use of this Presentation. This Presentation contains certain forward-looking statements relating to the business, financial performance and results of the Company and/or the industry in which it operates. Forward-looking statements concern future circumstances, not historical facts and are sometimes identified by the words "believes", expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forwardlooking statements contained in this Presentation (including assumptions, opinions and views of the Company or opinions cited from third party sources) are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. None of the Company, any of its parent or subsidiary undertakings or any such person's officers, directors, or employees provides any assurance that the assumptions underlying such forward-looking statements are free from errors, nor does any of them accept any responsibility for the future accuracy of the opinions expressed in this Presentation or the actual occurrence of the forecasted developments described herein.
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An investment in the company involves risk. several factors could cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements that may be predicted or implied by statements and information in this presentation, including, but not limited to, risks or uncertainties associated with the company's business, development, growth management, financing, market acceptance and relations with customers and, more generally, economic and business conditions, changes in domestic and foreign laws and regulations, taxes, changes in competition and pricing environments, fluctuations in currency exchange and interest rates and other factors. should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, the actual results of the company may vary materially from those forecasted in this presentation.
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The contents of this Presentation shall not be construed as legal, business, or tax advice. Recipients must conduct their own independent analysis and appraisal of the Company and the Shares of the company, and of the data contained or referred to herein and in other disclosed information, and risks related to an investment, and they must rely solely on their own judgement and that of their qualified advisors in evaluating the Company and the Company's business strategy.
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