Norway: DOF Reports Third Quarter Results

DOF ASA , a company which serves the subsea market, announces the total income for the 3rd quarter of 2012 was NOK 63.1 million (NOK 92.0 million in 3rd quarter 2011), with an EBITDA of NOK 57.6 million (NOK 54.9 million) and an EBIT of NOK 46.8 million (NOK 35.5 million) after depreciation and write-downs of NOK 10.7 million (NOK 19.3 million).

The net finance cost amounted to NOK 32.7 million (NOK 33.9 million) including unrealized loss on financial instruments of NOK 6.6 million, giving a pretax profit of NOK 14.0 million (NOK 1.6 million) and a profit after tax of NOK 14.0 million (NOK 1.8 million).

The total income for the 9 first months of 2012 was NOK 209.5 million (NOK 205.5 million in 2011), with an EBITDA of NOK 195.5 million (NOK 106.9 million) and an EBIT of NOK 146.2 million (NOK 61.7 million) after depreciation and write-downs of NOK 49.2 million (NOK 45.1 million).

The net finance cost amounted to NOK 93.1 million (NOK 78.2 million) including unrealized loss on financial instruments of NOK 8.8 million (NOK 1.7 million), giving a pretax profit of NOK 53.1 million (NOK -16.4 million) and a profit after tax of NOK 53.1 million (NOK -14.8 million).

The total assets were NOK 2 917 million (NOK 3 032 million), where fixed assets amounted to NOK 2 798 million (NOK 2 743 million). The total current assets amounted to NOK 119.8 million (NOK 289.4 million) of which NOK 56.3 million (NOK 199.8 million) was cash and cash equivalents.

The book equity was NOK 1 145 million (NOK 1 082 million) and the long-term liabilities was NOK 1 547 million (NOK 1 708 million) of which NOK 1 547 million was debt to credit institutions. The short-term liabilities amounted to NOK 225.6 million (NOK 240.9 million) of which NOK 164.0 million was short-term portion of long-term debt to credit institutions.

By 30th of September the book equity ratio was 39.2 % whilst the value adjusted equity ratio was 40.2 %.

 MAJOR EVENTS

During the 3rd quarter the Skandi Skolten and the Skandi Skansen have been working in the Atlantic region whilst the Skandi Hercules has been working in the Asia Pacific region.

Skandi Skolten has been operating in the North Sea and have been doing Subsea construction work for Conoco Phillips since.

The Skandi Skansen has been doing construction work for SS7. Skandi Hercules has been doing constru ction work for Woodside in Australia until the 10th of July when the vessel went to yard in Singapore in order to do some modifications and installing of an A-frame.

The vessel stayed at the yard until the 17th of August and thereafter she has been working on construction projects in the region and is currently working on the Bien Dong project in Vietnam.

MARKET OUTLOOK

The current spot market for large AHTS is weak and the Board of Directors expects a volatile market for large AHTS vessels for the next twelve months.

The company vessels are on Bareboat contracts and currently working in the Subsea market. Since the vessels are working in the Subsea market the charter contracts have been changed from TC contracts to BB contracts from the shipowning company.

Skandi Skolten has since early July been working for ConocoPhillips, Skandi Skansen will continue on the contract with SS7 and they are both working in the North Sea.

Skandi Hercules will be working for Bien Dong off the coast of Vietnam and thereafter the vessel will do a job in India. The Board of Directors will continue working towards obtaining medium and long-term contracts on all of the company vessels.

The quarterly report has been prepared in accordance with NRS 11 for interim reporting. The quarterly financial statement is unaudited.

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Press Release, November 19, 2012