Odfjell Technology (OTL) Pareto Securities' 31st annual Energy Conference Presentation summary

Company overview and strategic positioning

• Highly integrated technology and engineering provider with 50+ years of experience, serving over 200 customers annually in 30 countries.

• Operates across Projects & Engineering, Well Services, and Operations, with a NOK 13.4bn order backlog and NOK 846m available liquidity as of Q2 2024.

• Strategic focus on expanding into new markets, enhancing service offerings, and supporting the energy transition, including geothermal and offshore wind.

• Maintains strong, long-term relationships with major energy companies, with 55% of revenue from energy majors and a diversified global customer base.

• Recent refinancing and capital structure improvements provide flexibility for investments, M&A, and increased shareholder returns.

Financial performance and growth

• Revenue grew 69% since Q1 2022 to NOK 5.3bn in Q2 2024, with EBITDA up 105% to NOK 868m.

• Leverage ratio reduced from 2.1x to 0.7x, and available liquidity nearly doubled, reflecting improved cash flow and capital discipline.

• Consistent revenue and EBITDA growth since listing, with LTM revenue and EBITDA at record highs.

• Cash from operations and free cash flow have strengthened, supporting both growth investments and shareholder distributions.

• Capex is focused on Well Services, with 2024 estimates at NOK 250-300m, prioritizing high-margin product lines.

Segment highlights

• Projects & Engineering: Specialized in offshore engineering, energy transition, and floating wind, contributing 12% of revenue and NOK 0.6bn backlog.

• Operations: Major platform drilling contractor in the North Sea, with 1,200 employees, 17 platforms, and NOK 9.6bn backlog, accounting for 47% of revenue.

• Well Services: Global provider with a NOK 4.3bn tool portfolio, serving 200+ customers in 30 countries, 36% of revenue, and NOK 3.2bn backlog.

• All segments have shown significant revenue and EBITDA growth since Q1 2022.