Blom ASA. Presentation at DnB NOR s SMB-seminar March 14th, CEO Dirk Blaauw

Transcription

1 Blom ASA Presentation at DnB NOR s SMB-seminar March 14th, 2007 CEO Dirk Blaauw

2 Disclaimer Forward Looking Statements This presentation contains forward-looking statements that involve risks and uncertainties. All statements other than statements of historical facts are forwardlooking. You should not place undue reliance on these forward-looking statements for many reasons. These forward-looking statements reflect current views with respect to future events and are by their nature subject to significant risk and uncertainties because they relates to events and depend on circumstances that will occur in future. There are a number of factors that could cause actual results and developments to differ materially form those expressed or implied by these forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot assure you that our future results, level of activity or performance will meet these expectations. Moreover, neither we nor any of other person assumes responsibility for the accuracy and completeness of the forwardlooking statements. Unless we are required by law to update these statements, we will not necessarily update any of these statements after the date of this presentation, either to conform them to actual results or to changes in our expectations.

3 Highlights Market cap: NOK 1.5 billion Number of shares 40.3 million Guidance revenue 2007: NOK 1,400 million+ Approx. 12 times larger revenues in 2007 than in 2003 while number of shares outstanding has increased by approx. 90% Guidance EBITDA 2007: exceeding18% Historically, exceeded guidance of 15-17% EBITDA margin Geographic Information: Collecting, processing and selling geographical information Offshore Technologies Mooring systems and subsea cables 1,050 employees Market conditions High barriers to entry Visibility indicates revenue growth Proposed de-merger

4 Blom Business Areas BLOM ASA OFFSHORE TECHNOLOGIES GEOGRAPHIC INFORMATION

5 Operation and Development - GI Technology development and key market trends supports increasing number of new commercial applications Digitalization Improved transmission and data storage capacity, Growing use of wireless applications and internet, e.g. MSN Local Live Blom shifts strategy from contract sales to 1. Database / multiple sales 2. IT / development of applications

6 European Structure Geographic Information Northern Europe UK Southern Europe Prod. Units Norway Denmark Sweden Finland Germany UK Italy Spain Portugal Indonesia Romania

7 Resources Blom operates 33 planes (owns 21 of 33) and 4 helicopters 9 high-tech lasers, 1 multispectral scanner, 20 digital and analogue cameras Software applications and storage capabilities 850 employees Access to capital markets Pictometry: Exclusive distribution agreement for 23 countries in Western Europe through 2015 Microsoft MSN first customer (5-year contract) B2C contract B2B contract Growing commercial and municipality demand for Pictometry First Norwegian customer (Drammen municipality) Sold European licence agreements for NOK 10 million

8 Commercial Use and Applications Examples Aerial photo Engineering planning Cadastral Mapping Laser Terrain models DTM DSM Corridor mapping Powerline Railway Highways Infrastructure Environmental management Flood Irrigation Mapping and modelling Maps Orthophotos 3D models Database Pictometry City planning Blue lights Web based mapping services Car navigation Telecommunication 3D visualization Internet application Computer games

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14 Same Picture Google Earth

15 PND demo

16 Blom Business Areas BLOM ASA OFFSHORE TECHNOLOGIES GEOGRAPHIC INFORMATION

17 ScanRope Products, Competition Cable Production (formerly ABB Subsea Cables) Product Areas: Subsea Control Cables Subsea Power Cables Competitors: Aker Kværner, Nexans, Technip, Oceaneering / Multiflex Customers: Statoil, APL, BP, FMC, Saipem Mooring Systems Product Areas: Fiber Offshore Steel Offshore Competitors fiber: Bridon Marlow, Quintas, Bexco Competitors steel: Bridon, Trefieldeurope, Ursa Martin Customers: International construction- and oil companies

18 Operation and Development Strong growth in number of FPSOs expected during Expected increase of 46 FPSOs to a total of 160 FPSOs at yearend 2009 Source: ODS-Petrodata (March 1, 2007) ScanRope s market conditions / visibility indicates revenue growth and increased margins Modernized production lines Product mix changed and revitalized Strong overall demand for Subsea cables / good visibility Partly market capacity restraints Power cables for offshore wind mill farms Growing demand and acceptance for fibre moorings Weight advantage over steel Advantage installation

19 ScanRope Mooring Systems - Fiber

20 ScanRope Subsea Cables Products Umbilicals Subsea power cable

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23 De-merger Objectives The strategic objective is to create two listed companies, each with a clear strategic ambition and strong focus The de-merger is part of a reorganisation of Blom, whose aim is the further development of the two business areas, geographic information and offshore technology It is the Company s view that each of the two divisions on a standalone basis will increase its organic and corporate growth potential, thereby contributing to increased visibility and shareholders values

24 De-merger Process Board has approved de-merger plan March 7 th % of business area Offshore Tchnology to be distributed to shareholders Blom ASA keeps 20% ownership in Scan Subsea ASA Blom ASA also owns a Scan Subsea convertible Exchange ratio 28% :72% between the remaining and the de-merged business area, respectively Time-schedule Approval by shareholders meeting April 12 th 2007 Thereafter creditors have 2 months to raise objections to the de-merger Separate listing of two shares 2 nd half of June 2007

25 De-merger Proforma Opening Balances As of Dec. 31, 2006 including January share issuance ASSETS Scan Subsea Group Blom Group Total fixed assets Total current assets TOTAL ASSETS EQUITY AND LIABILITIES Total equity Total liabilities TOTAL EQUITY AND LIABILITIES Equity ratio 37 % 33 % Current ratio 1,32 1,30 Net interest bearing debt / Equity 45 % 100 % Total interest bearing debt Cash Net interest bearing debt Numbers are in 1000s, unaudited and according to IFRS

26 Conclusion Continued focus on improved margins Platform for growth strategy in place Visibility indicating strong revenue growth Market acceptance for new applications Organic and corporate growth for both divisions Proposed de-merger to enhance shareholders value Guidance expected revenues OT: NOK 650m NOK 700m GI: NOK 700m NOK 750m EBITDA margin exceeding 18%