Disclaimer
This presentation should be read in conjunction with Vard Holdings Limited’s results for the period
ended 30 September 2014 in the SGXNet announcement. Financial figures are presented according
to SFRS.
This presentation may contain forward-looking statements that involve risks and uncertainties.
Such forward-looking statements and financial information involve known and unknown risks,
uncertainties and other factors that may cause our actual results, performance or achievements,
or industry results, to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements and financial information.
Such forward-looking statements and financial information are based on numerous assumptions
regarding our present and future business strategies and the environment in which we will
operate in the future. As these statements and financial information reflect our current views
concerning future events, these statements and financial information necessarily involve risks,
uncertainties and assumptions. Actual future performance could differ materially from these
forward-looking statements and financial information. You are cautioned not to place undue
reliance on these forward looking statements, which are based on the Company’s current view of
future events.
29.11.2014 | Page 2
Vard Holdings Limited
SIAS Corporate Profile & Investment Seminar – 29 November 2014
Holger Dilling – Executive Vice President, Investor Relations
European network for Health Technology Assessment | JA2 2012-2015 | www.eunethta.eu
About VARD

VARD is one of the major global designers and shipbuilders of offshore and
specialized vessels used in the offshore oil and gas exploration and
production and oil services industries

Headquartered in Ålesund, Norway

Delivered more than 250 vessels since 2000

Listed on the Main Board of Singapore Exchange (SGX) in 2010

VARD’s majority shareholder is Italian shipbuilding group FINCANTIERI
11 631 employees
worldwide
29.11.2014 | Page 4
Every 2nd week,
a new VARD Vessel
is delivered
10 shipyards
located worldwide
Four core market segments
Vard 1-Series
Platform Supply Vessels
VARD 2-Series
Anchor Handling Tug Supply Vessels
VARD 3-Series
Offshore Subsea Construction Vessels
VARD 9-Series
Other Specialized Vessels
29.11.2014 | Page 5
>100 vessels delivered during the last 5 years
51
Platform Supply
Vessels
32
Anchor Handling Tug
Supply Vessels
13
Offshore Subsea
Construction Vessels
18
Other Specialized
Vessels
29.11.2014 | Page 6
As of December 2013
2013 |
Majority of shares acquired by FINCANTIERI of Italy; name changed to VARD
2012 |
Established Seaonics (subsidiary for offshore handling equipment)
2011 |
Commenced construction of second shipyard in Brazil, Vard Promar
2010 |
Company listed in Singapore; name changed to STX OSV
2008 |
Acquired by STX Group from Korea
2007 |
Commenced construction of Vung Tau shipyard, Vietnam
2004 |
Merged Brattvaag, Søviknes, Langsten and Aukra yards in Norway
2003 |
Acquired Brevik (Norway) and Braila (Romania) yards
2001 |
Acquired stake in Niterói shipyard, Brazil
2000 |
Acquired Tulcea shipyard in Romania; established in-house design company
29.11.2014 | Page 7
STX Europe / STX OSV
Acquired Vard Marine (design and engineering) in Canada and the US
Aker / Aker Yards
2014 |
VARD
Historical highlights
11 631 employees worldwide
10 Shipyards worldwide
Norway
Vard Aukra
Vard Brattvaag
Vard Brevik
Vard Langsten
Vard Søviknes
Brazil
Vard Niterói
Vard Promar
Romania
Vard Braila
Vard Tulcea
Vietnam
Vard Vung Tau
VARD is present in Norway, Romania, Vietnam, Brazil, Croatia, India, Poland,
Canada, US and Singapore with various entities supporting the shipbuilding process.
29.11.2014 | Page 8
Norwegian Executive Management Team
Roy Reite
Jan Ivar Nielsen
Stig Bjørkedal
Excecutive Director and
Chief Executive Officer
Executive Vice President
Chief Financial Officer
Executive Vice President
Business Development &
Strategy
29.11.2014 | Page 9
Magne Bakke
Magne Håberg
Knut Ola Tverdal
Holger Dilling
Executive Vice President
Chief Operating Officer
Executive Vice President
Sales & Marketing
Executive Vice President
Strategy Implementation
Executive Vice President
Investor Relations
International Board of Directors
Including two Singapore-based Independent Directors
Giuseppe Bono
Keen Whye Lee
Pier Francesco Ragni
Chairman of the Board and
Non-Executive Director
Independent Director
Non-Executive Director
Roy Reite
Sung Hyon Sok
Fabrizio Palermo
Excecutive Director and
Chief Executive Officer
Independent Director
Non-Executive Director
29.11.2014 | Page 10
Shareholding & corporate structure
Vard RO
Holding SRL
(Romania)
55.63%
Vard Marine Inc.
(Canada)
Vard Group AS
(Norway)
Vard Design AS
(Norway)
Vard Electro AS
(Norway)
44.37%
Other
Shareholders
(free float)
100%
Fincantieri
Oil & Gas S.p.A.
Vard Holdings
Limited
(Singapore)
27.49%
1.5%
Other
Shareholders
(free float)
Vard Promar SA
(Brazil)
Vard
Singapore Pte
Ltd. (Singapore)
100%
Fintecna
S.p.A.
72.51%
50.5%
80.1%
Cassa Depositi
e
Prestiti S.p.A.
FINCANTIERI
S.p.A.
Treasury
Shares
Vard Piping AS
(Norway)
Milan
listed
Singapore
listed
51%
Vard
Accommodation
AS (Norway)
Seaonics AS
(Norway)
Vard Brevik
Holding AS
(Norway)
Note:
Corporate structure simplified for illustration
29.11.2014 | Page 11
Vard Braila SA
(Romania)
Vard Niterói SA
(Brazil)
100%
Italian Bank
Foundations
18.4%
Ministry of the
Economy and
Finance of the
Republic of Italy
Vard Tulcea SA
(Romania)
Vard Vung Tau
Ltd (Vietnam)
About our largest shareholder, FINCANTIERI

One of the world’s largest shipbuilding groups

Over 200 years of maritime history

Built more than 7,000 vessels

A world leader in cruise ship construction, and a
reference player in other sectors, such as naval
vessels, mega yachts, offshore and marine systems

Eight shipyards in Italy and three in the US

Headquartered in Trieste, Italy

Listed on the Borsa Italiana (Milan, Italy)
29.11.2014 | Page 12
Vard Holdings: Key investment highlights
 Leading market position in design and construction of
high-end offshore support vessels
 Global manufacturing footprint
 Large portfolio of own designs, technologies and solutions
 Diversified international client base
 High order book visibility
 Positioned for growth through new shipyard development
in Brazil
 Strong balance sheet
 Recognized commitment to corporate governance and
transparency
29.11.2014 | Page 13
Leading market position in key high-end OSV
markets, both geographically and by vessel type
North Sea built
OSCVs
15.2 %
22.9 %
10.6 %
42.9 %
51.5 %
9.1 %
18.6 %
7.6 %
7.1 %
VARD
Note:
Kleven
6.1 %
8.6 %
IHC
Ulstein
Other
Based on number of vessels in the order book, as of 30 September 2014
OSCVs include ROVSV, DSV, LAYSV incl. DP
Source: RS Platou
29.11.2014 | Page 14
VARD
Eastern Shipuilding
IHC
Kleven
Cosco
Other
High-end means…
 High specifications, sophisticated vessels suitable for deep
water operations and harsh environments
 Complex project execution including integration of
specialized top-side equipment
 Own design, R&D and innovation as key success factors
 Ability and willingness to adapt vessels to customer needs
 Track record of vessel delivery according to agreed quality,
price and delivery date
 Highest standards for health, safety and the environment,
and quality management (HSEQ)
29.11.2014 | Page 15
Examples
Skandi Iceman | AHTS | VARD 2 12
Delivered October 2013 | Vard Søviknes, Norway
Deep Explorer | Diving Support Vessel | VARD 3 06
Contracted January 2014 | Vard Langsten, Norway
Normand tbn | OSCV | VARD 3 19
Contracted March 2014 | Vard Brattvaag, Norway
REM tbn | AHTS | VARD 2 06
Contracted June 2014 | Vard Brattvaag, Norway
29.11.2014 | Page 16
Global manufacturing footprint
Integrated value chain across countries and regions
29.11.2014 | Page 17
Ten shipyards in four countries
Vard Aukra
Vard Brattvaag
Vard Brevik
Vard Langsten
Vard Søviknes
Vard Braila
Vard Tulcea
Vard Vung Tau
Vard Niterói
Vard Promar
29.11.2014 | Page 18
Major investments in yard upgrades during the
last 18 months (Example: Vard Tulcea, Romania)
New blasting and
painting facilities
29.11.2014 | Page 19
Robots in the
production line
New piping
prefabrication facilities
Large portfolio of own designs, technologies
and solutions
Main Switchboards
Emergency Switchboards
Propulsion Systems
Converters
El Motors
Generators
Integrated Automation System
Transformers
Power Management System
Energy Management System
Blackout Prevention System
Bridge and ECR Consoles
29.11.2014 | Page 20
Cabin Concept
Navigation Systems
Bridge Alert Management System
Manoeuvring Chairs
Communication Systems
Infotainment
Module Handling & Well Intervention Systems
Deck Cranes & AHC Subsea Construction Cranes
Launch & Recovery Systems
Active Heave Compensated Winches
Deck Machinery
Drilling and Tensioning systems
Diversified international client base
Bugsér & Berging 1 N.N. 1
Rem Offshore 1
Simon Møkster 1
Solstad 1
Transpetro 8
Harkand 1
Orange Marine 1
Bourbon 1
Technip 1
E.R. Offshore 2
Island Offshore 6
Mermaid Marine Australia
2
Nordic American Offshore
2
Tidewater 2
Farstad Shipping 2
Note:
Based on 40 vessels in the order book as of 30 September 2014
Numbers indicate vessels on order per client
29.11.2014 | Page 21
DOF and Technip 4
DOF 3
High order book visibility due to strongest
order book in over five years
Order book (MNOK)
Order intake (MNOK)
25000
25000
20000
20000
+50%
15000
15000
10000
10000
5000
5000
0
0
3Q
4Q
2010
29.11.2014 | Page 22
1Q
2Q
3Q
2011
4Q
1Q
2Q
3Q
2012
4Q
1Q
2Q
3Q
2013
4Q
1Q
2Q
2014
3Q
Increased share of large, high-value OSCVs
in the order book
60
Number of vessels in order book
50
40
OSCV
30
PSV
20
AHTS
10
Other
0
3Q
4Q
1Q
2Q
2010
3Q
4Q
1Q
2Q
2011
3Q
4Q
1Q
2Q
2012
3Q
4Q
1Q
2013
2Q
3Q
2014
OSCV
4
4
2
2
2
1
3
5
5
7
10
9
13
13
15
13
11
PSV
21
26
27
32
31
30
26
26
21
18
14
11
11
10
13
14
14
AHTS
15
12
10
11
9
7
8
9
8
8
7
6
6
5
5
4
4
Other
8
7
7
6
8
16
16
15
15
15
15
15
13
13
12
12
11
29.11.2014 | Page 23
Positioned for growth through new shipyard
development in Brazil: Vard Promar


Key milestones

March 2011: Environmental license granted for new shipyard development

November 2011: Start of yard construction; contracts for eight LPG carriers
for Transpetro effective

June 2013: Shipyard construction largely complete; operations start with
first cutting of steel

August 2014: Launch of first vessel

November 2014: Ramp-up ongoing; four vessels currently under
construction

Mid-2015: Target production volume expected to be reached
Current order book

Eight LPG carriers for Transpetro (of which two outsourced and currently
undergoing outfitting at Vard Niterói)

Two Pipelayers (PLSVs) for JV of DOF and Technip
29.11.2014 | Page 24
Positioned for growth through new shipyard
development in Brazil: Vard Promar
November, 2011
29.11.2014 | Page 25
Greenfield development in less than 18 months
March 2013
29.11.2014 | Page 26
First vessel launched at the new shiypard
14 months after start-up of operations
29.11.2014 | Page 27
Revenues stable; margins since 2Q 2013
impacted primarily by Brazil operations
(MNOK)
4 000
30%
3 600
27%
3 200
24%
2 800
21%
2 400
18%
2 000
15%
1 600
12%
1 200
9%
800
6%
400
3%
0
0%
3Q
-400
4Q
2010
29.11.2014 | Page 28
1Q
2Q
3Q
2011
4Q
1Q
2Q
3Q
2012
4Q
1Q
2Q
3Q
2013
4Q
1Q
2Q
2014
3Q
-3%
Revenue
EBITDA %
Strong balance sheet with low long-term loans
and borrowings
As at
(NOK million)
30 September 2014
31 December 2013
Non-current assets
3 577
3 281
Current assets
9 920
10 390
Total assets
13 497
13 671
Total equity
3 714
3 708
Loans and borrowings and construction loans
4 982
5 012
Trade and other payables and construction work in progress
3 507
3 616
Other current liabilities
355
452
Long-term loans and borrowings
753
673
Other non-current liabilities
186
210
9 783
9 963
13 497
13 671
Total liabilities
Total equity and liabilities
29.11.2014 | Page 29
Solid cash position
Net Cash (NOK million)1
Construction Loans (NOK million)
1 000
6 000
5 000
767
800
668
4 707
4 745
31 Dec 2013
30 Sep 2014
4 000
600
3 000
400
2 000
200
1 000
0
0
31 Dec 2013
(1)
Cash and cash equivalents less
sum of short-term and long-term
interest bearing liabilities,
excluding construction financing
30 Sep 2014
Cash and Cash Equivalents (NOK million)
2 400
2 000
1 803
1 745
1 658
30 Sep 2013
31 Dec 2013
30 Sep 2014
1 600
1 200
800
400
0
29.11.2014 | Page 30
Restricted Cash
Non-restricted Cash
Outlook








Softer industry outlook on the back of reduced oil price and more cautious
investment climate
Continued demand for certain vessel types, in particular in the subsea
support and construction vessel market
VARD well positioned with long and solid orderbook
Ongoing contract negotiations for several projects, but below-average new
order intake expected in the near to medium term
Stable operations expected going forward in Europe, but strong focus on
efficiency and change required to meet demands of a challenging market
Vard Promar showing clear signs of operational improvement and better
visibility
Impact of legacy projects in Niterói and vessels outsourced from Promar
gradually decreasing
Positive EBITDA margin expected in Q4, and further improvements in 2015
29.11.2014 | Page 31
Recognized commitment to corporate governance
and transparency

2011 Singapore Corporate Awards
 Best Annual Report Award (Gold) 1)
 Best Investor Relations Award (Merit) 1)

2014 Singapore Corporate Awards
 Best Annual Report Award (Silver Winner) 2)

2014 SIAS Investors’ Choice Awards
 Most Transparent Company Award (Runner Up) 3)
1) New listings category
2) $300 million to $1 billion category
3) Foreign listings category
29.11.2014 | Page 32
Our name is VARD™
 Reflecting the company’s values,
tradition, culture and maritime
heritage
 The name is derived from the
Norwegian word «varde»
- a small tower made of stone
 These were the first navigation
marks along the coast, and the
first one was likely raised at the
time of the Vikings
 Marking out the shipping lanes
and guiding vessels in the right
direction
29.11.2014 | Page 33
Q&A
Q&A