Bonheur : Report for the third quarter 2020

10/23/2020

Financial and operating highlights 3Q20 (3Q19 in brackets):

• Operating revenues were NOK 1 371 million (NOK 2 233 million)
• EBITDA was NOK 144 million (NOK 525 million)
• EBIT was NOK -306 million (NOK 267 million)
• Net result after tax was NOK -398 million (NOK 30 million)

Segment highlights 3Q20 (3Q19 in brackets):

Renewable energy

• EBITDA NOK 131 mill. (NOK 124 mill.)

• Total generation up 7%
• Rising power prices from a low level in 2Q20

• Högaliden project, estimated completion by year end

Shipping / Offshore wind

• EBITDA NOK 151 mill. (NOK 289 mill.)

• Brave Tern mobilized and on contract in Taiwan
• Solid execution on blade repair for Bold Tern
• Low utilization on Blue Tern
• Strong performance in GWS

Cruise

• EBITDA NOK -141 mill. (NOK 157 mill.)

• Two cruise ships acquired, named Borealis and Bolette
• Boudicca and Black Watch sold in October, with an impairment of NOK 187 million
• The fleet renewal creates a solid runway until greener propulsion technologies become available
• Estimated lay-up costs and overhead costs going forward GBP 3.0 mill. per month
• Solid demand for cruises for 2021

Other Investments

• NHST continued development of new digital products and services and progressed the cost reduction program in line with plans

Financial information

The unaudited Group accounts for 3Q20 comprise Bonheur ASA (the 'Company') and its subsidiaries (together the 'Group of companies') and the Group of companies' ownerships in associates.The main business segments of the Group of companies are Renewable energy, Shipping / Offshore wind, Cruise and Other investments.

The Group of companies' operating revenues in the quarter amounted to NOK 1 371 million (NOK 2 233 million). Renewable energy had operating revenues of NOK 276 million (NOK 248 million), Shipping / Offshore wind NOK 839 million (NOK 957 million), Cruise NOK 0 million (NOK 715 million). Other investments had operating revenues of NOK 255 million (NOK 313 million), of which NHST Media Group comprised of NOK 255 million (NOK 288 million).

EBITDA in the quarter was NOK 144 million (NOK 525 million). Renewable energy achieved EBITDA of NOK 131 million (NOK 124 million), Shipping/Offshore wind NOK 151 million (NOK 289 million), Cruise NOK -141 million (NOK 157 million). Within Other investments EBITDA was NOK 3 million (NOK -45 million), of which NHST contributed with NOK 29 million (NOK 8 million).

Depreciation in the quarter was NOK -263 million (NOK -240 million) and impairment in the quarter was NOK -187 million (NOK -18 million).

EBIT in the quarter was NOK -306 million (NOK 267 million).

Net financial items in the quarter were NOK -89 million (NOK -177 million). Net interest expenses were NOK -99 million (NOK -87 million). Other financial items amounted to NOK -18 million (NOK -10 million). In addition, there were net unrealized financial gains of NOK 29 million (NOK -79 million) in the quarter, which consist mainly of unrealized net gain on foreign currency of NOK 32 million (NOK 75 million), unrealized hedging effects of NOK 6 million (NOK -110 million) and impairment of investments of NOK -9 million
(NOK -45 million).

Net Result in the quarter was NOK -398 million (NOK 30 million) of which NOK -378 million (NOK 41 million) is attributable to the shareholders of the parent company. The non-controlling interests' share of the net result in the quarter was NOK -20 million (NOK -11 million).

For the first nine months of the year, revenues were NOK 4 601 million (NOK 5 943 million) while EBITDA was NOK 338 million (NOK 1 286 million). Operating result (EBIT) was NOK -735 million (NOK 559 million).

Net financial items were NOK -124 million (NOK -648 million).

Net result for the first nine months of the year was NOK -913 million (NOK -181 million), of which NOK -856 million (NOK -170 million) are attributable to the shareholders of the parent company. The non-controlling interests´ share of net result was NOK -57 million (NOK -11 million).