Du är här

2014-05-13

Kværner ASA: First quarter results 2014

13 May 2014 - Predictable performance in the first quarter. Kvaerner delivered
a strong positive development in the financial results compared to one year
ago. Operating revenues for the first quarter 2014 were NOK 3 489 million,
which is an increase of 31 percent compared to NOK 2 663 million in first
quarter in 2013. The EBITDA was NOK 170 million, an improvement of 55 percent
compared to the EBITDA of NOK 110 million one year ago. The EBITDA margin
improved to 4.9 percent in first quarter 2014 from 4.1 percent for the
corresponding quarter last year.
We deliver predictably, both in terms of the projects we execute for our
customers, and with respect to our financial results. Our immediate priority
is to execute our existing project portfolio safely and according to plans
and budgets, continuing the positive trend we have established, says Jan Arve
Haugan, President&CEO of Kvaerner.

Kvaerner is a leading contractor for deliveries of complete upstream oil and
gas offshore platforms and onshore plants to oil companies. The high activity
and good utilisation of resources continued in first quarter 2014. The order
intake in the first quarter of NOK 1.3 billion included two completion
contracts for the Aasta Hansteen project, in addition to some growth in
existing contracts.

- This is an industry with a high degree of visibility with respect to when
new projects can be expected. We knew already one year ago that we would have
12 - 18 months with relatively few project awards. This has not been, and is
not today, a big concern for us, as we a year ago had an order backlog of
almost NOK 30 billion. At the end of first quarter of 2014, our order backlog
was almost NOK 20 billion, which will be reflected in high activity level
this year and next year. Simultaneously, there are many new projects up for
bidding in 2014 and 2015. We are optimistic about Kvaerner's opportunities in
our target markets, says Haugan.

During May 2014, the Jackets business area will complete the Martin Linge
jacket for Total at the Verdal fabrication yard. This is currently the last
jacket order but the organisation will be utilised on other on-going projects
and the Verdal yard will contribute with fabrication for the Nyhamna onshore
expansion project.

- We are evaluating the opportunities for future jacket fabrication at Verdal.
We will conclude before the summer how we view the opportunities for
continuing this production.

At the fourth quarter presentation in February, Kvaerner announced that the
on-going improvement initiatives are targeted to result in a 15 percent cost
reduction for a typical EPC project.

- I am pleased to say that the implementations of these improvements are
gaining momentum. Much hard work remains but I must both thank and
congratulate the organisation for the dedication everyone demonstrates. I am
confident that our improvements will ensure that we are in a good position to
win the new projects we prioritise to bid for, Haugan concludes.

The full report and presentation can be downloaded below and
atwww.kvaerner.com.

ENDS
For further information, please contact:

Investor Relations:
Ingrid Aarsnes, SVP Investor Relations&Communications, Kvaerner, Tel: +47 67
59 50 46, Mob: +47 950 38 364

Media:
Torbjørn Andersen, VP Communications, Kvaerner, Mob: +47 928 85 542

About Kvaerner:

Kvaerner is a leading provider of engineering, procurement and construction
(EPC) services, and delivers offshore installations and onshore plants for
upstream oil and gas production around the world. Kværner ASA, through its
subsidiaries and affiliates ("Kvaerner"), is an international contractor and
preferred partner for oil and gas operators and other engineering and
fabrication contractors. Kvaerner and its approximately 2 800 HSSE-focused
and experienced employees are recognized for delivering some of the world's
most amazing and demanding projects.

In 2013, the Kvaerner group reported consolidated annual revenues of close to
NOK 13 billion and the company reported an order backlog at 31 March of
almost NOK 20 billion. Kvaerner is publicly listed with the ticker "KVAER" at
the Oslo Stock Exchange. For further information, please
visitwww.kvaerner.com.

To subscribe or unsubscribe to our press releases, please see our web
page:http://www.kvaerner.com/en/toolsmenu/Media/Subscribe-to-releases/

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

1st quarter results 2014 report
http://hugin.info/134981/R/1784710/611652.pdf
1st quarter results 2014 presentation
http://hugin.info/134981/R/1784710/611662.pdf

---------------------------------------

This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Kværner ASA via Globenewswire

HUG#1784710

Författare Hugin

Tala om vad ni tycker

Tala om vad ni tycker

Ni är just nu inne på en betaversion av nya aktiespararna. Lämna gärna feedback på vad ni tycker i formuläret nedan.