Havyard Group ASA – 2016 Q2 results- Good operational performance, but challenging market

EBIT of NOK 29.5 million and EBIT-margin of 5.4 % in second quarter of 2016. EBIT of NOK 48.1 million in first half of 2016 with an EBIT-margin of 4.8% Progress on projects in work is on schedule and execution are expected to be satisfying, with good results.

Main concern is reduced order book and activity from second part of 2017, especially related to Havyard Ship Technology (shipyard).

New contract
Havyard Design & Solutions AS has signed a supply agreement for delivery of design and equipment for construction of a Havyard 832 multi-purpose vessel. The vessel shall be built at Cemre shipyard in Turkey, and the contract value is in excess of NOK 100 million.

Change in bond loan
The groups bond loan (“Havyard Group ASA 14/17 FRN”) was in bond holders meeting 30 June 2016 agreed to be extended with 18 months, until December 2018. Parts of the bond loan is agreed to be converted into shares.