Höegh Evi (EVI) Q4 2023 earnings summary

Executive summary

• Q4 2023 total income was USD 125.7m and EBITDA USD 78.1m, down from USD 131.0m and USD 89.4m in Q3; net profit after tax was USD 15.8m versus USD 27.5m.

• FY 2023 total income rose to USD 520.9m from USD 380.8m in 2022; EBITDA was USD 338.2m versus USD 153.2m, and net profit was USD 97.0m versus a USD 55.4m loss.

Financial highlights

• Q4 operating profit was USD 48.2m versus USD 59.5m in Q3; Q4 profit before tax was USD 17.6m and income tax expense USD 1.8m.

• FY 2023 time charter revenues were USD 485.6m, versus USD 361.2m in 2022; vessel operating expenses were USD 131.9m versus USD 113.2m.

• Q4 operating cash flow increased USD 18.1m QoQ to USD 89.6m, mainly on positive working-capital movements; investing outflows were USD 5.4m.

Outlook and guidance

• FSRU demand is expected to remain strong; all FSRUs are contracted long term, with active dialogue on potential projects seeking capacity.

• A five-month LNGC charter was secured for Hoegh Gandria from its current charter's expected end in late Q1 2024, reducing potential idle time.

• Hoegh Giant was expected to begin commissioning in Santos, Brazil, toward the end of Q1 2024.