Havila Shipping ASA: Financial report 4th quarter / Preliminary 2021 accounts
Summary
The market for the company’s vessels has improved through 2021 and activity in the fourth quarter has been significantly better than a year ago. The company’s operations have been affected by Covid-19 through restrictions and costs related to quarantine and testing.
An agreement with lenders entered into in 2020 clarifies the company’s obligations to lenders until the end of 2024. One vessel was sold in the fourth quarter in accordance with the agreement.
Finanstilsynet has ordered the company to carry out new impairment assessments for vessels as of 31/12/19 and 30/06/20. The company has complied with the order and the effects are shown in note 7.
- Havila Shipping ASA achieved an operating income before depreciation of NOK 36.4 million in Q4 2021, compared with NOK 32.8 million in Q4 2020.
- Total operating income was NOK 144.9 million in Q4 2021, compared with NOK 107.1 million in Q4 2020.
- The group had as of 31/12/21 22 vessels operated from Fosnavåg, six for external owners.
- The group had 3 AHTS and 2 PSV vessels laid up at the end of Q4 2021.
- One PSV vessel was sold in November 2021.
- The fleet utilization Q4 2021 was 88 % exclusive vessels in lay-up.
Result for 4 quarter 2021
- Total operating income amounted to NOK 144.9 million (NOK 107.1 million).
- Total operating expenses were NOK 108.5 million (NOK 74.3 million whereof NOK -28.3 million was change of loss on receivables). Ordinary operating expenses were NOK 108.5 million (NOK 102.6 million).
- Operating profit before depreciation was NOK 36.4 million (NOK 32.8 million).
- Depreciation was NOK 48.3 million (NOK 39.7 million).
- Net reversal of impairment charge of fixed assets was NOK 260.8 million (impairment charge NOK 197 million).
- Net financial items were NOK - 11.5 million (NOK 190.7 million), whereof unrealized agio loss was NOK 3.5 million (unrealized agio gain NOK 73.5 million), and value adjustment of debt was NOK - 13.4 million (NOK 126.8 million).
- The profit before tax was NOK 236.8 million (NOK -2.3 million).
Result 2021
- Total operating income amounted to NOK 545.5 million (NOK 705.7 million).
- Total operating expenses were NOK 385.4 million whereof NOK - 24.5 million is change of loss on trade receivables (NOK 525.4 million whereof NOK 73.2 million is change of loss on trade receivables). Ordinary operating expenses amounted to NOK 409.8 million (NOK 452.3 million).
- The operating profit before depreciation was NOK 160.1 million (NOK 180.2 million).
- Depreciation was NOK 203.6 million (NOK 231.0 million).
- Net reversal of impairment charge of fixed assets was NOK 235.3 million (impairment charge NOK 1,033.0 million).
- Net financial items were NOK - 124.7 million (NOK 2,286.0 million), whereof unrealized agio loss was NOK 21.3 million (unrealized agio gain NOK 12.2 million) and value adjustment of debt NOK - 102.1 million (NOK 2,408.1 million including the implementation effects of the restructuring agreement with the company’s lenders).
- The profit before tax was NOK 65.8 million (NOK 1,213.3 million).
Balance and liquidity per 31/12/21
Total current assets amounted to NOK 245.2 million on 31/12/21, whereof bank deposits were NOK 100.9 million (of this NOK 5.4 million restricted withholding tax). On 31/12/20, total current assets amounted to NOK 272.4 million, whereof bank deposits amounted to NOK 106.5 million (of this NOK 5.0 million restricted withholding tax).
Net cash flow from operations was in 2021 NOK 116.8 million (NOK 134.5 million). Cash flow from investing activities was NOK 25.9 million (NOK -52.1 million). Payment of loan instalments and lease liabilities constituted a net change from financing activities of NOK -148.7 million (NOK - 60.3 million whereof NOK 100.0 million was raising a convertible shareholder loan).
As of 31/12/21, the book value of the fleet is NOK 1,583 million. The company has carried out new impairment assessments on 31.12.19 and 30.06.20 following orders from Finanstilsynet. The effects of the changes are shown in note 7.
Total long-term loan debt recognized in the balance sheet was per 31/12/21 NOK 1,571.4 million, of which interest-bearing debt amounts to NOK 1,481.4 million and non-interest-bearing debt NOK 90.0 million. As of 31/12/21, nominal value of interest-bearing debt was NOK 2,439.6 million, and nominal value of non-interest-bearing debt was NOK 1,505.7 million. Of nominal interest-bearing debt 16.5 % are loans in USD, while the remaining loans are in NOK. Secured debt are classified as long term debt, except from known instalments which is classified as short term debt.
Fleet
Havila Shipping ASA operates 22 vessels,
13 PSV
- Four owned externally
- One owned 50% and not consolidated
5 AHTS
3 Subsea (one hired out on bareboat contract)
1 RRV (bareboat)
Employees
Havila Shipping ASA had per 31/12/21 445 employees on the company’s vessels and 16 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 the Norwegian Securities Trading Act
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