Transcription
Hyundai Merchant Marine3Q 2016 Earnings Release
CautionThe business results herein are based on the K-IFRS Financial Statements.Forward-looking statements, projections, and figures in this presentation arebased on Hyundai Merchant Marine’s current expectations, assumptions,and analysis of the market and they may differ materially from actualoutcomes by the changes in global, political, economic and other conditions.We undertake no obligation to update or revise any forward–lookingstatements, whether as a results of new information, future events or otherfactors.2
13Q 2016 Review2Results of Restructuring Plan3Global Shipping Alliance Reorganization3
1-1. 3Q 2016 Review - Statements of Income[Unit : KRW Billion, %]3Q 2016(a)3Q 1,4754,402 26.9% 24.7%COGS1,2263,7241,4734,301 16.7% 13.4%SG&A82237802472.2% 4.2%OperatingIncome 230 647 78 146 196.4% 343.7%Net Income297237 39 219Turn intoProfitTurn intoProfit4
1-2. 3Q 2016 Review- Statement of Financial Position[Unit : KRW Billion, %]Item9M 2016LiabilitiesEquityDebt 007%TotalAssets2015 25.7% 49.2%446.6% 1,821%P5
1-3. 2Q 2016 Review - Liabilities and Debt ratioTotal Liabilities and Debt Ratio (Consolidated)[Unit : KRW trillion, %]Total LiabilitiesDebt 91000%960%2.0186%0.0500%0%2013201420153Q 2016 Achieved a stable financial condition with 186% of debt ratio which was dramatically improved by1,821%P from year 2015. This reflects successful results of restructuring program including debt-forequity swap and charter hire adjustment.6
1-4. 2Q 2016 Review - Borrowings[Unit : KRW billion, %]Item20159M 2015(a)9M 2016(b)YoY(b/a-1)Short-termborrowings6824432 99.6%Long-termborrowings2,1866231,660166.5%Bond, CP1,8711,866484 74.1%Financial leaseliabilities1141,90481 95.7%Total4,8534,8362,227 54.0%(Unit : KRW trillion)6Financial leaseliabilitiesBond, 1420153Q 2016 Drastic reduction in total borrowingsthrough debt-for-equity swap withbondholders and interest adjustment.7
13Q 2016 Review2Results of Restructuring Plan3Global Shipping Alliance Reorganization8
2-1. Results of Restructuring PlanDateItemRemark2013. 12. 23· Announced Hyundai Group Restructuring Plan2014. 4. 30· Signed Sales Agreement of HMM LNG Business· KRW 961.3bn2014. 7. 17· Signed SPA for Hyundai Logistics· KRW 322bn2015. 3. 12· HMM Capital increase with consideration· KRW 237.3bn2016. 2. 02· Announced HMM supplemental Restructuring Plan2016. 2. 05· Signed Sales Agreement of Dedicated Bulk Business· KRW 420.4bn2016. 2. 18· Private Fund Donation by Chairwoman Hyun Jeong-eun· KRW 30bn3. 25· Signed SPA for Hyundai Pusan New-Port Terminal· KRW 80bn4. 12· Signed SPA for Hyundai Security· KRW 1230.3bn5. 31 6. 01· Gained approvals from five of bondholders meeting· over 50% of debtconverting to equity6. 10· Announced the results of charter rate negotiation· KRW 530bn reduced7. 14· Signed MOU with 2M on Vessel Sharing Agreement· Pre-condition ofVoluntary Agreement7. 18 7. 19· Capital increase subscription from Debt-for-Equity swap7. 22· Signed an agreement for implementation of normalization plan8. 05· Listing of new shares from Debt-for-Equity swap8. 19· Additional capital reduction of major shareholders· KDB becomes a largestShareholder of HMM9
2-2. Changes of Major Shareholders[Unit : share, %]ShareholderNo.ShareKoreaDevelopmentBankCapital Increase(Debt-for-Equity Swap)(Jul ’16)1st Capital reduction(Apr ’16)%No.Share%2nd Capital reduction(Aug ndai et dai 7.76※ 2nd Capital reduction : The major shareholders(i.e.,Hyundai Elevator, Hyundai Global and Hyun Jeong-eun)※ New share price : KRW 9,530 won
13Q 2016 Review2Results of Restructuring Plan3Global Shipping Alliance Reorganization11
3-1. Global Shipping Alliance Reorganization(as of Jan 2017)Ocean AllianceTHE Alliance2M Alliance HMM(April 21, 2016)(May 13, 2016)(July 14, 2016)- Announced a formation ofnew shipping alliance byCMA CGM Group, ChinaCosco, Evergreen andOOCL- Announced a formation ofnew shipping alliance byHapag-Lloyd(incl. UASC),MOL, NYK, K-Line,Yang Ming and Hanjin- HMM signed anagreement to join theworld’s largest containershipping alliance ‘2M’- Expecting final signing onVessel Sharing Agreementby the end of Nov, 201612
3-2. Estimated Capacity Share by New Alliance Est. Far East-North America capacity share Est. Far East-Europe capacity shareThe estimated share by alliance is based on capacity operated by individual member carriers as at 1 June 2016(Source : Alphaliner Weekly Review no 26, 2016)13
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Bond, CP Long-term borrowings Short-term borrowings 1-4. 2Q 2016 Review - Borrowings Drastic reduction in total borrowings through debt-for-equity swap with bondholders and interest adjustment. (Unit : KRW trillion) Item 2015 9M 2015(a) 9M 2016(b) YoY (b/a-1) Short-term borrowings 682 443 2 99.6% Long-term borrowings Bond, CP
