Announcement under Regulation 30 (LODR)-Investor Presentation

We enclose copy of updated presentation to be made by us in Investor/Analyst Meeting.

19 days ago

INVESTOR PRESENTATION

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Sentiments detected

Positive 18
  • Mr. Bharat K Sheth Deputy Chairman & Managing Director “All four of our shipping sectors did well in Q1, some better than take advantage of the market strength.

  • Strong cash flows from the business, coupled with an increase in asset values, resulted in a significant increase in Net Asset Value for the quarter.

  • A long period of underinvestment in energy seems to have caught up with the oil market, boosting demand for rigs and vessels.

  • Counter Cyclical Growth Committed to health & safety; Maintain superior fleet Philosophy Patient Capital Allocation Focus on Quality 21

  • Prudent Capital Allocation across a diversified fleet Strong balance sheet enables capacity expansion in low markets operations with low balance sheet leverage Strong cash flows High level of operating leverage in shipping to take advantage of high freight markets 22

  • Crude and Product Tankers  The Russia-Ukraine conflict provided a fillip to tanker markets as it led to significant altering of trade flows and increased fleet inefficiencies.

  • Spot earnings rose 4-5X y-o-y after  The recovery in spot earnings was led by Product tankers due to supply tightness in products, mainly in Atlantic markets.

  • 4%DB Freight softened in Q1FY23 Y-O-Y, but Sub-Capes outperformed Capes Avg.

  •  Global Coal trade was up by 2 % y-o-y on the back of higher coal export volumes from Indonesia.

  • Minor bulks trade growth continued to support the market.

  • Spot earnings sustained healthy levels during Q1 FY-23 and were higher YoY in comparison to Q1 FY-22.

  • Gas • VLGC spot earnings averaged USD 46,000 / day during Q1 FY-23 up 29 % y-o-y basis.

  • Global VLGC trade grew 11 % y-o-y whereas fleet growth was 6.5 % y-o-y. •

  • Scrapping for crude and product tankers was particularly restrained due to optimistic sentiment ofan earnings recovery in the near term.

  • Jack Up Utilisation : Gradual Improvement Market Trends:

  • We have entered into a new contract for one JU Rig which will start after completion of the existing 6 4 1 1 contract.

  • • Reduced our annual CO2 emissions by about 40,000 tons between FY2019 and FY2022, by investing invarious energy saving technologies.

  • From a modest beginning… ...to most admired globally 1948 2022

Negative 11
  • -66 Foreign Currency Exchange losses/(gains)(J)

  •  Global refineries were running at close to full capacity as margins remained at record levels during the quarter amidst low inventory levels.

  •  Crude and product trade remain 4% and 1% below pre-COVID levels.

  •  During the quarter, spot earnings for Capes averaged significantly lower (down 32%), whereas those for sub capes rose 14% on a y-o-y basis respectively.

  •  Global Iron ore trade declined 2.5 % y-o-y mainly driven by lower exports from India and Brazil, whereas, global grain Dry Bulk  Overall, Dry bulk trade growth was flat to marginally negative (-0.5% to -1% y-o-y) during the quarter mainly impacted by lower iron ore and grain trade.

  • trade was down 10 % y-o-y chiefly due to loss of exports from Ukraine.

  •  Whilst DB fleet grew by 3.5% y-o-y, congestion remained elevated during the quarter, curbing effective fleet supply growth.

  • 7.10% continues to be at very low levels.

  • 33% 598 Cold Stacked more than 3 years 48 There is a large potential for scrapping over next few years if the market continues to remain weak.

  • • Utilization levels across asset classes dropped to historic lows, charter rates came down to levels that barely generated any +ve EBIDTA.

  • Most challenging years for the offshore sector since the late 80s.

Mentioned Phrases & Organizations

Important keywords detected (20+)

share (21)
fleet (21)
usd (19)
debt (15)
shipping (12)
asset (12)
earnings (12)
net (11)
operating (11)
industry (11)
value (10)
carriers (10)
price (9)
cash (9)
days (9)
bulk (9)
change (8)
spot (8)
product (8)
supply (8)

Organizations identified (10+)

r pA (24)
u J (21)
n aJ (12)
USD (8)
VLGC (5)
n u J (3)
INR Cr (2)
Jackup Rigs (2)
ya M (2)
SERVIETTFARAND (1)

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