6-K
BW LPG Ltd (BWLP)
6-K
2024-12-02
For: 2024-12-02
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April 10, 2026
UNITED STATES
SECURITIES AND EXCHANGECOMMISSION
Washington, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TORULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of December, 2024
Commission File Number: 001-42008
| BW LPG Limited |
|---|
| (Translation<br> of registrant’s name into English) |
| c/o BW LPG Holding Pte Ltd<br><br> <br>10 Pasir Panjang Road,<br><br> <br>#17-02 Mapletree Business City, Singapore 117438 |
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| (Address<br> of principal executive office) |
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
DOCUMENTS TO BE FURNISHED AS PART OF THIS FORM 6-K
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BW LPG Limited | ||
|---|---|---|
| By: | /s/ Samantha Xu | |
| Name: | Samantha Xu | |
| Title: | Chief Financial Officer | |
| Date: December 2,<br> 2024 |
Exhibit 99.1
BW LPG Limited - Financial Results for Q3 2024
Singapore, 2 December 2024
Highlights and Subsequent Events
| - | Another good quarter for shipping with TCE income - Shipping Q3 2024 concluded at US$46,800 per available<br>day and US$46,500 per calendar day (total). |
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| - | Avance Gas vessels deliveries commenced 1 November and a total of nine ships are expected to be delivered<br>in time to receive Q3 dividends. |
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| - | The nine ships represent a share issuance of 14.4 million shares, increasing the total shares outstanding<br>eligible for Q3 dividend from 132.3 million to 146.7 million. When all twelve ships are delivered, total shares outstanding will amount<br>to 151.6 million. |
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| - | Declared a Q3 2024 cash dividend of US$0.42 per share, representing 100% payout ratio of Shipping NPAT.<br>This amounts to US$61.6 million based on 146.7 million shares outstanding. |
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| - | BW Product Services generated a net accounting profit of US$58M in Q3, comprising a negative US$14.4M<br>of realised trading result and US$85.8M of unrealised MTM gain from cargo and paper positions. |
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| o | The high accounting profit does not represent an immediate uplift to the Company’s dividend capacity<br>as it stems from MtM valuation of unrealised positions. |
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| - | BW LPG signed a new seven-year US$460M RCF at a competitive margin in Nov 2024 and voluntarily prepaid<br>as well as cancelled the US$400M Facility in Oct 2024. |
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| - | Strategic fleet renewal with sale of 2007-bult BW Cedar, and purchase of 2019-built BW Kizoku. |
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Financial Performance
BW LPG Limited (“BW LPG”, the “Company”, NYSE ticker code: “BWLP”, OSE ticker code: “BWLPG.OL”) reported a Q3 2024 Net Profit After Tax (NPAT) of US$ 120 million, yielding an annualised return on equity of 30%. The Q3 profit attributable to equity holders of the company was US$ 105 million, and earnings per share was US$ 0.79.
The Company’s net leverage ratio was 21% in Q3 with available liquidity at US$ 750 million at the end of the quarter. Avance Gas vessel deliveries commenced 1 November and a total of nine ships are expected to be delivered in time with the right to receive Q3 dividend. The nine ships represent a share issuance of 14.4 million shares increasing total shares outstanding eligible for Q3 dividend from 132.3 million to 146.7 million. The Board has declared a cash dividend of US$ 0.42 per share, representing 100% payout ratio of Shipping NPAT and an annualised dividend yield of 14%. Total Q3 dividend amount to US$61.6 million based on 146.7 million shares outstanding.
Commercial Performance Shipping – Q3 VLGC freight rates averaged US$ 46,800 per available day or US$ 46,500 per calendar day, with 98% fleet utilisation. Time Charter Equivalent (TCE) income was US$ 145.5 million for the quarter, and our India subsidiary contributed a stable TCE income of US$ 32.9 million for Q3.
Product Services – Product Services reported a US$ 71.7 million gross profit for Q3. After considering other expenses, comprising mainly of G&A and income tax expenses, Product Services reported a net profit after tax of US$ 58.5 million for the quarter. This accounting profit does not immediate uplift the Company's dividend capacity as it stems from MTM valuation of unrealised positions which will fluctuate and realise over time.
Corporate Update
With reference to the press release dated 19 November 2024, BW LPG announced a strategic fleet renewal, with the sale of 2007-built BW Cedar for further trading, and the exercise of a purchase option for 2019-built BW Kizoku.
BW LPG’s 52% owned subsidiary BW LPG India sold its 2007-built vessel BW Cedar for approximately US$65 million. On a 100% basis, the sale is expected to generate a net book gain of around US$33 million and about US$51 million in net cash after repayment of its existing bank loan. The vessel will be delivered to the new owners in Q1 2025.
BW LPG also declared a purchase option for BW Kizoku, for a consideration of US$69.8 million, expected to be delivered in January 2025.
Through these transactions, BW LPG are renewing its fleet by capitalizing on strong asset prices in the second-hand market for older vessels while acquiring a modern vessel at a competitive price translating to a new building equivalent of US$ mid-80 million.
Please see press release for further information here: https://www.bwlpg.com/media/pressrelease/bw-lpg-limited-strategic-fleet-renewal-with-sale-and-purchase-of-very-large-gas-carriers/
Market Update
The third quarter of 2024 began on a challenging note for VLGC owners, as the Panama Canal normalized operations, putting sailing distances and VLGC utilization under pressure. Weather and technical issues also meant fluctuations in export volumes. This translated to volatility in spot rates, swinging as low as US$23,000/day and US$50,000 during the quarter.
In the US, export volumes were negatively affected in July by Hurricane Beryl. Subsequently, exports rebounded in August. Towards the end of September however, one export terminal announced it had to close for unscheduled maintenance due to problems with their chilling capacity. This negatively impacted overall VLGC loadings in both September and October. These issues were eventually resolved, and going into November, all major US Gulf Coast export terminals were running at full capacity.
Despite these challenges, LPG exports carried on VLGCs out of North America grew 6.7% in the third quarter, compared to the same period in 2023, reflecting the strong underlying trend in production and exports.
The new locks in the Panama Canal are operating near full capacity, with the old locks increasing throughput as well. While this reduces fleet wide inefficiencies, LNG carriers and dry bulk vessels are also gradually returning to the canal, increasing the competition for transit slots.
In the Middle East, OPEC+ announced in early November that the voluntary production cut would be extended to the end of December. The voluntary production cut contributed to LPG on exports on VLGCs only growing 0.6% for the third quarter compared to Q3 2023.
Fleet Capacity
Year-to-date, 20 new VLGC vessels have been delivered, and there are plans for the delivery of 2 more throughout the remaining months of 2024, and 13 VLGCs for delivery in 2025. Established shipbuilders are indicating deliveries no earlier than 2027 for new VLGC orders.
VLGC Freight Market Outlook
Following a quarter with disruptions in exports and volatility in rates, it is encouraging to note that LPG export terminals are again back to high levels of exports. Going forward, several terminal expansion projects in the US, are expected to support growth for North American LPG export growth in the high single-digits for the next three years.
Middle East LPG exports are expected to grow in the mid-single digits over the coming years, driven by higher gas production from new projects in Qatar, UAE and other countries in the region.
Furthermore, Chinese PDH plants are currently operating at above average run-rates, with 5 and 6 new PDH plants scheduled to start up in 2025 and 2026 respectively, supporting growth in LPG imports.
The Houston-Chiba FFA market for CAL2025 is currently trading at ~US$ 40,000 per day, although with limited liquidity.
The spot market is expected to fluctuate however, driven by weather changes, geopolitical situation, Panama Canal availability and other drivers of the VLGC market.
Q3 2024 Earnings Presentation and Interim Financial Report
Please see the attachments for the Q3 2024 Earnings Presentation and Interim Financial Report.
| - | BW LPG Q3 2024 Earnings Presentation |
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| - | BW LPG Q3 2024 Interim Financial Report |
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BW LPG will present its financial results at 14:00hrs CET today. The presentation will be hosted by Kristian Sørensen (CEO) and Samantha Xu (CFO).
The Presentation will be held live via Zoom. Please register at the link below: https://bit.ly/BWLPGQ32024EP
A presentation recording will also be available after the event on the Company’s website at: https://www.investor.bwlpg.com
For further information, please contact:
Kristian Sørensen, CEO
Samantha Xu, CFO
E-mail: investor.relations@bwlpg.com
About BW LPG
BW LPG is the world’s leading owner and operator of LPG vessels, owning and operating Very Large Gas Carriers (VLGC) with a total carrying capacity of over 3 million CBM. With five decades of operating experience in LPG shipping, an in-house LPG trading division and a growing presence in LPG terminal infrastructure and distribution, BW LPG offers an integrated, flexible, and reliable service to customers along the LPG value chain. More information about BW LPG can be found at www.bwlpg.com
BW LPG is associated with BW Group, a leading global maritime company involved in shipping, floating infrastructure, deepwater oil & gas production, and new sustainable technologies. Founded in 1955 by Sir YK Pao, BW controls a fleet of over 450 vessels transporting oil, gas and dry commodities, with its 200 LNG and LPG ships constituting the largest gas fleet in the world. In the renewables space, the group has investments in solar, wind, batteries, biofuels and water treatment.
This information is subject to disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act.
Exhibit 99.2
BW LPG Limited – Key information relating to the cash dividendfor Q3 2024
Singapore, 2 December 2024
BW LPG Limited (“BW LPG" or the "Company", OSE ticker code: "BWLPG.OL", NYSE ticker code "BWLP") provides the following key information relating to the Company's cash dividend for Q3 2024:
The Board has approved a dividend of US$0.42 per share on 1 December 2024. Dividends payable to shares registered with Euronext VPS will be distributed in NOK, with the exchange rate made available on the day of payment.
Record date: 12 December 2024
Shares registered with Euronext VPS Oslo Stock Exchange
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Last trading day including the right to receive this dividend: 10 December 2024
Ex-date: 11 December 2024
Dividend payment date: On or about 27 December 2024
Shares registered with Depository Trust Company
- NYSE
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Last trading day including the right to receive this dividend: 11 December 2024
Ex-date: 12 December 2024
Dividend payment date: On or about 19 December 2024
For further information, please contact:
Samantha Xu
Chief Financial Officer
E-mail: investor.relations@bwlpg.com
About BW LPG
BW LPG is the world’s leading owner and operator of LPG vessels, owning and operating Very Large Gas Carriers (VLGC) with a total carrying capacity of over 3 million CBM. With five decades of operating experience in LPG shipping, an in-house LPG trading division and a growing presence in LPG terminal infrastructure and distribution, BW LPG offers an integrated, flexible, and reliable service to customers along the LPG value chain. More information about BW LPG can be found at www.bwlpg.com
BW LPG is associated with BW Group, a leading global maritime company involved in shipping, floating infrastructure, deepwater oil & gas production, and new sustainable technologies. Founded in 1955 by Sir YK Pao, BW controls a fleet of over 450 vessels transporting oil, gas and dry commodities, with its 200 LNG and LPG ships constituting the largest gas fleet in the world. In the renewables space, the group has investments in solar, wind, batteries, biofuels and water treatment.
This information is subject to disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act.
1
Exhibit 99.3
| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>Interim<br>Financial<br>Report<br>Q3 2024 (unaudited) |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>2<br>FORWARD-LOOKING STATEMENTS<br><br>Matters discussed in this unaudited interim financial report may constitute “forward-looking statements”. The<br>Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements<br>to encourage companies to provide prospective information about their business. Forward-looking statements<br>include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying<br>assumptions and other statements, which are other than statements of historical facts or present facts and<br>circumstances. We desire to take advantage of the safe harbor provisions of the Private Securities Litigation<br>Reform Act of 1995 and are including this cautionary statement in connection with this safe harbor legislation.<br>This unaudited interim financial report and any other written or oral statements made by us or on our behalf<br>may include forward-looking statements, which reflect our current views with respect to future events and<br>financial and operational performance.<br>These forward-looking statements may be identified by the use of forward-looking terminology, such as the<br>terms “anticipates”, “assumes”, “believes”, “can”, “continue”, “could”, “estimates”, “expects”, “forecasts”,<br> “intends”, “likely”, “may”, “might”, “plans”, “should”, “potential”, “projects”, “seek”, “will”, “would” or, in each<br>case, their negative, or other variations or comparable terminology. They include statements regarding BW LPG’s<br>intentions, beliefs or current expectations concerning, among other things, the financial strength and position of<br>the Group, operating results, liquidity, prospects, growth, the implementation of strategic initiatives, as well as<br>other statements relating to the Group’s future business development, financial performance and the industry<br>in which the Group operates.<br>Prospective investors in BW LPG are cautioned that forward-looking statements are not guarantees of future<br>performance and that the Group’s actual financial position, operating results and liquidity, and the development<br>of the industry and potential market in which the Group may operate in the future, may differ materially from<br>those made in, or suggested by, the forward-looking statements contained in this unaudited interim financial<br>report. BW LPG cannot guarantee that the intentions, beliefs or current expectations upon which its forward-looking statements are based, will occur.<br>By their nature, forward-looking statements involve, and are subject to, known and unknown risks, uncertainties<br>and assumptions as they relate to events and depend on circumstances that may or may not occur in the future.<br>Actual results may differ materially from those expressed or implied in the forward-looking statements due to<br>various factors including, but not limited to:<br> • general economic, political and business conditions;<br> • general LPG market conditions, including changes in LPG freight rates, charter rates, vessel values and<br>bunker fuel prices and other operating costs;<br> • changes in demand in the LPG shipping industry;<br> • any adverse developments in the maritime LPG transportation business;<br> • changes in, and the Group’s compliance with, governmental, tax, environmental, safety, data protection<br>and privacy and other laws and regulations;<br> • failure in the management of climate and environmental risks and delivery and performance of<br> • management environmental objectives;<br> • changes in competition rules and regulations for the shipping industry;<br> • failure to manage disruptions, including due to climate change, abnormal weather conditions,<br> • pandemics, piracy, strikes and boycotts, political instability, sanctions and breaches of IT systems;<br> • failure to implement the Group’s business strategy or manage the Group’s growth;<br> • damages or breakdowns of the Group’s vessels, including due to weather conditions, mechanical<br> • failures, wars or other circumstances and events;<br> • failure to obtain new customers or the loss of any existing major customers;<br> • failure to maintain sufficient cash reserves to make capital expenditures necessary for the Group’s<br> • vessels’ maintenance;<br> • failure to attract and retain key management personnel, technically skilled officers and other<br> • employees;<br> • default by third parties with whom the Group has entered into chartered-in arrangements;<br> • failure of the Group’s third-party technical managers or other counterparties to meet their obligations;<br> • the ageing of the Group’s fleet which could result in increased operating costs; |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>3<br><br>FORWARD-LOOKING STATEMENTS (continued)<br> • delays in deliveries of or cost overruns in relation to newbuilds (if any);<br> • failure to integrate assets or businesses acquired from third parties;<br> • failure to identify or take advantage of arbitrage opportunities, effectively implement the Products<br> • Services division’s hedging strategy and source LPG from third-party suppliers;<br> • loss of major tax disputes or successful tax challenges to the Group’s operating structure or to the<br> • Group’s tax payments;<br> • the availability of and the Group’s ability to obtain financing to fund capital expenditures, acquisitions<br> • and other general corporate activities, the terms of such financing and the Group’s ability to<br> • comply with the restrictions and other covenants set forth in the Group’s existing and future debt<br> • agreements and financing arrangements;<br>Additional information about material risk factors that could cause actual results to differ materially from<br>expectations and about material factors or assumptions applied in making forward-looking statements may be<br>found under “Item 3. Key Information – 3.D. Risk Factors” of BW LPG’s Registration Statement on Form 20-F, filed<br>with the U.S. Securities and Exchange Commission on 8 April 2024. |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>4<br><br>SELECTED KEY FINANCIAL INFORMATION<br><br><br>Statement of Comprehensive Income<br><br>Q3 2024<br>US$<br>million<br>Q3 2023<br>US$<br>million<br>Increase/<br>(Decrease)<br>%<br><br>YTD<br>September<br>2024<br>US$ million<br>YTD<br>September<br>2023<br>US$ million<br>Increase/<br>(Decrease)<br>%<br>Profit after tax<br><br>120.5 122.3 (1)<br><br>355.1 331.2 7<br>Profit attributable to equity holders of the<br>Company<br><br>104.7 113.0 (7)<br><br>323.4 318.5 2<br>TCE income - Shipping1 145.5 195.4 (26) 480.6 562.8 (15)<br>Gross profit/(loss) - Product Services1 71.7 14.9 N.M 129.4 (6.2) N.M<br><br>(US$ per share)<br>Basic and diluted EPS2 0.79 0.85 (7) 2.44 2.39 2<br>Dividend per share 0.42 0.80 (48) 2.00 2.56 (22)<br><br><br>Balance Sheet<br><br><br>30 September<br>2024<br>US$ million<br>31 December<br>2023<br>US$ million<br>Increase/<br>(Decrease)<br> %<br><br>Cash and cash equivalents 313.5 287.5 9<br>Total assets 2,531.0 2,520.5 -<br>Total liabilities 893.7 934.3 (4)<br>Total shareholders’ equity 1,637.3 1,586.2 3<br><br><br>Cash flow<br><br>Q3 2024<br>US$<br>million<br>Q3 2023<br>US$<br>million<br>Increase/<br>(Decrease)<br>%<br><br>YTD<br>September<br>2024<br>US$ million<br>YTD<br>September<br>2023<br>US$ million<br>Increase/<br>(Decrease)<br>%<br><br>Net cash from operating activities 54.5 77.1 (29) 512.9 350.8 46<br>Capital expenditure (82.0) (2.3) N.M (18.7) 88.9 N.M<br>Adjusted free cash flow3<br>(27.5) 74.8 N.M 494.2 439.7 12<br><br><br>Financial Ratios<br><br><br>Q3 2024<br>%<br>Q3 2023<br>%<br>Increase/<br>(Decrease)<br> %<br><br>30<br>September<br>2024<br>%<br>30<br>September<br>2023<br>%<br>Increase/<br>(Decrease)<br> %<br>ROE4<br>(annualised) 29.8 31.0 (4) 29.4 28.0 5<br>ROCE5<br>(annualised) 25.9 22.9 13 23.4 20.6 14<br>Net leverage ratio6 21.3 21.6 (1) 21.3 21.6 (1)<br><br><br>Other Information<br><br><br><br><br>30 September<br>2024<br><br>31 December<br>2023<br>Increase/<br>(Decrease)<br> %<br> Shares – end of period (shares)<br><br>140,000,000 140,000,000 -<br>Treasury shares – end of period (shares) 7,743,557 8,926,105 (13)<br>Share price (NOK) 150.5 151.3 (1)<br>Market cap (NOK million) 21,070.0 21,182.0 (1)<br>Market cap (USD million) 2,006.1 2,076.2 (3)<br>[1] TCE income and gross profit/(loss) reflect the Shipping and Product Services segments’ performance, respectively.<br>[2] Basic and diluted EPS (earnings per share) is computed based on Q3 2024: 132.7 million (YTD Q3 2024: 132.1 million) shares, the weighted<br> average number of shares outstanding less treasury shares during the period.<br>[3] Adjusted free cash flow is a non-IFRS measure and is computed as net cash from operating activities minus cash outflows for deposit for vessel<br>acquisition held in escrow, additions in property, plant and equipment and additions in intangible assets, sale of assets held-for-sale and sale<br>of vessels. See page 18 for a reconciliation of adjusted free cash flow to the nearest IFRS measure.<br>[4] ROE (return on equity) is computed as, with respect to a particular period, the ratio of the profit after tax for such period to the average of the<br>shareholders’ equity, calculated as the average of the opening and closing balance for the period.<br>[5] ROCE (return on capital employed) is a non-IFRS measure and is computed, with respect to a particular period, as the ratio of the operating<br>profit for such period to capital employed defined as the average of the total shareholders’ equity, total borrowings and total lease liabilities,<br>calculated as the average of the opening and closing balance for such period as presented in the consolidated balance sheet. See page 19 for<br>a reconciliation of ROCE to the nearest IFRS measure.<br>[6] Net leverage ratio is computed as the sum of total borrowings and total lease liabilities minus cash and cash equivalents as set out in the<br>consolidated statement of cash flows, divided by the sum of total borrowings, total lease liabilities and total shareholders’ equity minus cash<br>and cash equivalents as set out in the consolidated statement of cash flows. |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024<br>1<br> TCE income – Shipping per available and calendar day (total) are non-IFRS measures and are computed as TCE income – Shipping divided<br> by available days and calendar days (total), respectively. See pages 17 and 18 for a reconciliation of TCE income – Shipping per available<br> day and calendar day (total) to the nearest IFRS measure.<br>2<br> Shipping profit attributable to equity holders is calculated as profit attributable to equity holders of BW LPG, minus BW LPG’s share of BW<br>LPG Product Services Pte. Ltd.’s net profit/(loss) after tax. See page 16.<br>HIGHLIGHTS AND SUBSEQUENT EVENTS – Q3 2024<br> • Q3 2024 profit attributable to equity holders of the Company ended at US$104.7 million or an earnings per<br>share of US$0.79 or NOK8.30.<br> • TCE income – Shipping Q3 2024 concluded at US$46,820 per available day1 and US$46,520 per calendar day<br>(total)1<br>..<br> • Entered into agreements to acquire 12 modern VLGCs from Avance Gas Holdings Ltd. (“Avance Gas”) for a<br>total consideration of US$1,050.0 million, which will be partially funded through the issuance of 19.282<br>million new BW LPG shares to Avance Gas.<br>- Deposit of US$82.2 million paid into escrow during the quarter<br>- Delivery of the Avance Gas vessels commenced 1 November and a total of nine ships are expected<br>to be delivered before last trading date 11 December 2024<br>- The nine ships represent a share issuance of 14.6 million shares, increasing the total shares<br>outstanding eligible for Q3 dividend from 132 million to 146.4 million. When all twelve ships are<br>delivered, total shares outstanding will amount to 152.7 million<br> • Exercised the purchase option for BW Kizoku for a consideration of US$69.8 million with an estimated delivery<br>in January 2025.<br> • The Company declared a Q3 2024 cash dividend of US$0.42 per share, which translates to a 53% and 100%<br>payout ratio as a percentage of total profit attributable to equity holders and shipping profit2 attributable to<br>equity holders for the quarter respectively.<br> • The Company signed a new seven-year US$460 million Revolving Credit Facility at a competitive margin in<br>November 2024 and voluntarily prepaid as well as cancelled the US$400 million facility in October 2024.<br> • Entered into an agreement to sell BW Cedar in November 2024 with an estimated delivery in Q1 2025. The<br>sale is priced at approximately US$65.0 million and is expected to generate a net book gain of approximately<br>US$33.0 million.<br>PERFORMANCE REVIEW – Q3 2024 and YTD September 2024<br>Q3 2024<br><br>Profit after tax was US$120.5 million for Q3 2024 (Q3 2023: US$122.3 million). The decrease in profit after tax<br>can be attributed to higher income tax expense of US$18.0 million, which is partially offset by an increase in<br>operating profit of US$11.0 million, and a decrease in net finance expenses of US$5.1 million.<br>Time Charter Equivalent (“TCE”) income for the Shipping segment was US$145.5 million for Q3 2024 (Q3 2023:<br>US$195.4 million), US$49.9 million lower than Q3 2023 mainly due to LPG spot rate reduction of 35% to<br>US$47,940 per day, partially offset by higher time charter revenue from increased coverage and slightly higher<br>rates. IFRS 15 adjustment was a positive US$6.4 million to TCE income for Q3 2024 (Q3 2023: negative US$23.6<br>million), as spot voyages that straddle the quarter-end are accounted for on a load-to-discharge basis. Our India<br>subsidiary continues to contribute stable TCE income of US$32.9 million for Q3 2024 (Q3 2023: US$32.3 million)<br>mainly from fixed rate time charters. |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>6<br><br>PERFORMANCE REVIEW – Q3 2024 and YTD September 2024 (continued)<br>Q3 2024 (continued)<br>Product Services achieved a US$71.7 million gross profit for Q3 2024 (Q3 2023: gross profit of US$14.8 million.<br>The increase of US$56.8 million was mainly due to an increase of US$108.4 million in unrealised MTM gains on<br>the open cargo positions, partially offset by a decrease in realised positions of US$51.5 million. Product Services<br>recorded a net profit after tax of US$58.5 million for Q3 2024, after netting off other expenses, which includes<br>primarily income tax of US$14.0 million. This net profit does not have an immediate impact on the Company’s<br>dividend distribution for Q3 2024, as pursuant to the Company’s dividend policy distributions are generally based<br>on the performance of the Shipping segment (although may be adjusted based on, among other things, the<br>amount of dividends distributed by Product Services to the Company).<br><br>YTD September 2024<br>Profit after tax was US$355.1 million for YTD September 2024 (YTD September 2023: US$331.2 million). The<br>increase in profit after tax is mainly due to an increase in operating profit of US$39.3 million, and lower net<br>finance expenses of US$11.4 million, which partially offset by higher income tax expense of US$26.7 million.<br>TCE income – Shipping was US$480.6 million for YTD September 2024 (YTD September 2023: US$562.8 million).<br>The decrease of US$82.1 million was mainly due to lower LPG spot rates of US$56,990 per day and lower<br>available fleet days, which decreased by 16% and 5% respectively when compared with the same period in<br>2023. IFRS 15 adjustment was a positive US$32.9 million to TCE income for YTD September 2024 (YTD September<br>2023: negative US$8.6 million), where spot voyages that straddle the quarter-end are accounted for on a load-to-discharge basis. Our India subsidiary continues to contribute stable TCE income of US$92.2 million for YTD<br>September 2024 of which approximately 80% are from fixed rate time charters.<br>Product Services reported a US$129.4 million gross profit for YTD September 2024 (YTD September 2023: gross<br>loss of US$6.2 million. The increase of US$135.6 million includes unrealised MTM gains on the open cargo position<br>of US$142.8 million and lower realised positions of US$7.2 million. Net of general and administrative expenses<br>of US$12.4 million and income tax expense of US$21.8 million, Product Services recorded a net profit after tax<br>of US$95.3 million for YTD September 2024.<br>BALANCE SHEET<br>As of 30 September 2024, BW LPG controls a fleet of 41 VLGCs, including eight vessels which are owned and<br>operated by our subsidiary operating in India. Total assets amounted to US$2,531.0million (31 December 2023:<br>US$2,520.5 million), of which US$1,382.4 million (31 December 2023: US$1,457.1 million) represented the<br>carrying value of the vessels (including dry docking), and US$218.2 million (31 December 2023: US$151.8 million)<br>represented the carrying value of right-of-use assets (vessels). Inventories as at 30 September 2024 decreased<br>to US$114.5 million as compared to US$188.6 million largely due to the decrease in numbers of LPG cargoes<br>traded in transit.<br>Cash and cash equivalents amounted to US$313.5 million as at 30 September 2024 (31 December 2023:<br>US$287.5 million). Cash flow from operating activities generated a net cash surplus of US$513.4 million for aYTD<br>September 2024 (YTD September 2023: US$350.8 million), of which a positive net cash inflow of US$9.2 million<br>(YTD September 2023: net cash outflow of US$118.7 million) related to changes in working capital. Investing<br>activities amounted to a net cash outflow of US$27.8 million for YTD September 2024 (YTD September 2023:<br>US$100.3 million) which were mainly due to the deposit of US$82.2 million into escrow for the acquisition of<br>vessels, a US$30.2 million investment for a minority stake in Confidence Petroleum India Limited, but partially<br>offset by proceeds from sale of one vessel in Q1 2024. The cash generated was used to repay bank borrowings,<br>interest on bank borrowings and dividend payments.<br>Net leverage ratio increased from 20.5% as at 31 December 2023, to 21.4% as at 30 September 2024 mainly<br>due to increase in short term Product Services trade finance lines drawn, increase in lease liabilities from new<br>and extended time charter-in agreements as at 30 September 2024, offset partially by repayment of term loan. |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>7<br><br>CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)<br><br><br>Q3 2024 Q3 2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br>US$’000 US$’000 US$’000 US$’000<br>Revenue - Shipping 220,419 308,745 778,867 887,794<br>Revenue - Product Services 584,602 404,710 1,941,134 1,177,737<br>Cost of cargo and delivery expenses - Product Services (495,581) (342,712) (1,776,415) (1,069,012)<br>Voyage expenses - Shipping (83,623) (143,833) (309,934) (388,982)<br>Vessel operating expenses (20,286) (19,968) (62,869) (64,528)<br>Time charter contracts (non-lease components) (4,925) (4,771) (14,589) (15,784)<br>General and administrative expenses (10,864) (10,801) (45,460) (32,877)<br>Charter hire expenses - (7,411) (2,214) (24,120)<br>Fair value (loss)/gain from equity financial asset - - 1,326 -<br>Finance lease income 235 60 432 238<br>Other operating income/(expense) - net (1,414) (101) 949 (2,838)<br>Depreciation (49,184) (55,057) (144,701) (163,111)<br>Amortisation of intangible assets (212) (205) (631) (556)<br>Gain on derecognition of right-of-use assets (vessels) - - - 319<br>Gain on disposal of assets held-for-sale - (497) 20,391 42,702<br>Operating profit 139,167 128,159 386,286 346,982<br>Foreign currency exchange gain/(loss) - net 1,028 113 (496) 919<br>Interest income 3,153 2,897 12,379 7,665<br>Interest expense (4,132) (8,095) (13,043) (21,440)<br>Other finance expenses (646) (648) (2,009) (1,668)<br>Finance income/(expenses) – net (597) (5,733) (3,169) (14,524)<br><br>Profit before tax 138,570 122,426 383,117 332,458<br>Income tax expense (18,105) (107) (27,979) (1,245)<br>Profit after tax 120,465 122,319 355,138 331,213<br><br>Other comprehensive (loss)/income:<br>Items that will not be reclassified to profit or loss:<br>Equity investments at FVOCI<br>- fair value loss 1,330 - (1,070) -<br><br>Items that may be reclassified subsequently to<br> profit or loss:<br>Cash flow hedges<br>- fair value (loss)/gain 3,699 (29,945) 56,027 (69,663)<br>- reclassification to profit or loss (7,655) 11,551 (10,960) 23,099<br>Currency translation reserve 952 (4,718) 517 (755)<br>Other comprehensive (loss)/income, net of tax (1,674) (23,112) 44,514 (47,319)<br>Total comprehensive income 118,791 99,207 399,652 283,894<br><br>Profit attributable to:<br>Equity holders of the Company 104,675 112,974 323,429 318,484<br>Non-controlling interests 15,790 9,345 31,709 12,729<br>120,465 122,319 355,138 331,213<br>Total comprehensive income:<br>Equity holders of the Company 102,847 92,047 367,854 271,710<br>Non-controlling interests 15,944 7,160 31,798 12,184<br>118,791 99,207 399,652 283,894<br>Earnings per share attributable to the equity holders<br> of the Company:<br>(expressed in US$ per share)<br>Basic/Diluted earnings per share 0.79 0.85 2.44 2.39 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>8<br><br>CONDENSED CONSOLIDATED BALANCE SHEET (UNAUDITED)<br>30 September<br>2024<br>31 December<br>2023<br>US$’000 US$’000<br><br>Intangible assets 848 1,242<br><br>Investment in joint venture 301 301<br>Equity financial assets, at fair value 29,092 -<br>Derivative financial instruments 5,253 11,002<br>Other receivables 7,731 13,206<br>Finance lease receivables 5,004 -<br>Deferred tax assets 6,922 6,855<br>Total other non-current assets 54,303 31,364<br><br>Vessels and dry docking 1,382,366 1,457,086<br>Right-of-use assets (vessels) 218,192 151,784<br>Other property, plant and equipment 218 277<br>Property, plant and equipment 1,600,776 1,609,147<br><br>Total non-current assets 1,655,929 1,641,753<br><br>Inventories 114,509 188,592<br>Trade and other receivables 261,560 315,238<br>Equity financial assets, at fair value 2,769 3,271<br>Derivative financial instruments 174,600 37,083<br>Finance lease receivables 8,150 2,684<br>Assets held-for-sale - 44,296<br>Cash and cash equivalents 313,497 287,545<br>Total current assets 875,085 878,709<br><br>Total assets 2,531,012 2,520,462<br><br>Share capital 287,253 1,400<br>Share premium - 285,853<br>Treasury shares (48,387) (56,438)<br>Contributed surplus - 685,913<br>Other reserves 649,654 (56,494)<br>Retained earnings 596,540 609,479<br> 1,513,708 1,469,713<br>Non-controlling interests 123,600 116,447<br>Total shareholders’ equity 1,637,308 1,586,160<br><br>Borrowings 160,119 199,917<br>Lease liabilities 79,256 78,363<br>Derivative financial instruments - 679<br>Total non-current liabilities 239,375 278,959<br><br>Borrowings 207,310 212,432<br>Lease liabilities 155,518 79,476<br>Derivative financial instruments 102,091 90,214<br>Current income tax liabilities 19,958 8,121<br>Trade and other payables 169,452 265,100<br>Total current liabilities 654,329 655,343<br><br>Total liabilities 893,704 934,302<br><br>Total equity and liabilities 2,531,012 2,520,462 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024<br>9<br>CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (UNAUDITED)<br><br>Attributable to equity holders of the Company<br>Share<br>capital<br>Share<br>premium<br>Treasury<br>shares<br>Contributed<br>Surplus<br>Capital<br>reserve<br>Hedging<br>reserve<br>Share-based<br>payment<br>reserve<br>Currency<br>translation<br>reserve<br>Other<br>reserves<br>Retained<br>earnings Total<br>Non-controlling<br>interests<br>Total<br>equity<br>US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000<br>Balance at 1 January 2024 1,400 285,853 (56,438) 685,913 (36,259) (27,542) 3,905 419 2,983 609,479 1,469,713 116,447 1,586,160<br><br>Profit after tax - - - - - - - - - 323,429 323,429 31,709 355,138<br>Other comprehensive income/(loss)<br>for the financial period - - - - - 45,067 - 427 (1,070) - 44,424 89 (554)<br>Total comprehensive income/(loss)<br>for the financial period - - - - - 45,067 - 427<br><br>- 323,429<br><br>367,853 31,798 399,651<br>Effects of re-domiciliation 285,853 (285,853) - (685,913) 685,913 - - - - - - - -<br>Share-based payment reserve<br>- Value of employee services - - - - - - 1,639 - - - 1,639 - 1,639<br>Share capital reduction of<br> Subsidiary - - - - - - - - - - - (4,500) (4,500)<br>Purchases of treasury shares - - (100) - - - - - - - (100) - (100)<br>Transfer of treasury shares 1,091 - - - - - - - 1,091 - 1,091<br>Share options exercised - - 7,060 - - - (3,342) - - (3,143) 575 - 575<br>Dividend paid - - - - - - - - - (326,848) (326,848) (21,657) (348,505)<br>Changes in interest in NCI - - - - - - - - - (215) (215) 1,512 1,297<br>Tonnage tax - - - - - - - - 6,162 (6,162) - - -<br>Total transactions with owners,<br> recognised directly in equity - - 8,051 - - - (1,703) -<br><br>6,162 (336,368)<br><br>(323,858) (24,645)<br><br>(348,503)<br>Balance at 30 September 2024 287,253 - (48,387) - 649,654 17,525 2,202 846 8,075 596,540 1,513,708 123,600 1,637,308 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>10<br>CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (UNAUDITED) (continued)<br>Attributable to equity holders of the Company<br>Share<br>capital<br>Share<br>premium<br>Treasury<br>shares<br>Contributed<br>surplus<br>Capital<br>reserve<br>Hedging<br>reserve<br>Share-based<br>payment<br>reserve<br>Currency<br>translation<br>reserve<br>Other<br>reserves<br>Retained<br>earnings Total<br>Non-controlling<br>interests<br>Total<br>equity<br>US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000<br>Balance at 1 January 2023 1,419 289,812 (47,631) 685,913 (36,259) 24,777 2,141 (761) 325 556,996 1,476,732 119,858 1,596,590<br><br>Profit after tax - - - - - - - - - 318,484 318,484 12,729 331,213<br>Other comprehensive (loss)/income<br>for the financial period - - - - - (46,564) - 349 - - (46,215) 62 (46,153)<br>Total comprehensive (loss)/income<br>for the financial period - - - - - (46,564) - 349<br><br>- 318,484<br><br>272,269 12,791 285,060<br>Share-based payment reserve<br>- Value of employee services - - - - - - 3,036 - - - 3,036 - 3,036<br>Purchases of treasury shares - - (23,698) - - - - - - - (23,698) - (23,698)<br>Share options exercised - - 1,467 - - - (382) - 1,833 (2,492) 426 - 426<br>Shares cancellation (19) (3,959) 12,215 - - - - - (8,237) - - -<br>Dividend paid - - - - - - - - - (300,591) (300,591) - (300,591)<br>Others - - - - - - - - 320 - 320 - 320<br>Total transactions with owners,<br> recognised directly in equity (19) (3,959) (10,016) - - - 2,654 -<br><br>2,153 (311,320)<br><br>(320,507) -<br><br>(320,507)<br>Balance at 30 September 2023 1,400 285,853 (57,647) 685,913 (36,259) (21,787) 4,795 (412) 2,478 564,160 1,428,494 132,649 1,561,143 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024<br>11<br>CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)<br><br>Q3 2024 Q3 2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br> US$’000 US$’000 US$’000 US$’000<br><br><br>Cash flows from operating activities<br><br><br><br>Profit before tax 138,570 122,426 383,117 332,458<br>Adjustments for:<br> - amortisation of intangible assets 212 205 631 556<br> - depreciation charge 49,184 55,057 144,701 163,111<br> - gain on disposal of vessels - 497 (20,391) (42,702)<br> - fair value loss/(gain) from equity financial assets - - (1,326) -<br> - interest income (3,153) (2,897) (12,379) (7,665)<br> - interest expenses 5,296 7,604 16,817 22,510<br> - other finance expenses 903 393 2,792 1,260<br> - share-based payments 567 1,891 1,639 3,036<br> - finance lease income (235) (60) (432) (238)<br> - gain on derecognition of right-of-use assets - - - (319)<br>191,344 185,116 515,169 472,007<br>Changes in working capital:<br> - inventories (43,972) (52,167) 74,083 4,728<br> - trade and other receivables 2,761 (104,765) 54,299 (37,621)<br> - trade and other payables 15,868 41,130 (89,163) (93,337)<br> - derivative financial instruments (64,500) 38,997 (81,988) 102,122<br> - margin account held with broker (42,113) (29,735) 51,973 (94,557)<br>Total changes in working capital (131,956) (106,540) 9,204 (118,665)<br><br>Taxes paid (4,873) (1,487) (11,428) (2,512)<br>Net cash from operating activities 54,515 77,089 512,945 350,830<br><br>Cash flows from investing activities<br>Deposit for vessel acquisition held in escrow (82,200) (1,753) (82,200) (77,743)<br>Additions in property, plant and equipment 181 (1,753) (1,640) (77,743)<br>Additions in intangible assets - (35) (237) (625)<br>Proceeds from sale of vessels - - 65,337 -<br>Purchase of equity financial assets - - (30,162) -<br>Proceeds from sale of asset held-for-sale - (497) - 167,307<br>Repayment of finance lease receivables 1,956 1,970 5,926 5,852<br>Interest received 3,388 2,957 12,811 7,903<br>Sale of equity financial assets, at fair value - - 2,343 -<br>Net cash from investing activities (76,675) 2,642 (27,822) 102,694 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024<br>12<br><br>CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED) (continued)<br><br>For the purpose of presenting the consolidated statement of cash flows, cash and cash equivalents comprise the<br>following:<br>30<br>September<br>2024<br>30<br>September<br>2023<br>US$’000 US$’000<br><br>Cash and cash equivalents per consolidated balance sheet 313,497 299,661<br>Less: Deposit for vessel acquisition held in escrow (82,200) -<br>Less: Margin account held with broker (73,535) (109,793)<br>Cash and cash equivalents per consolidated statement of cash flows 157,762 189,868<br> Q3 2024 Q3 2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br>US$’000 US$’000 US$’000 US$’000<br><br>Cash flows from financing activities<br>Proceeds from borrowings 16,988 55,000 34,064 55,000<br>Repayments of bank borrowings (19,974) (126,586) (118,312) (156,598)<br>Payment of lease liabilities (25,858) (23,408) (74,151) (70,156)<br>Interest paid (5,811) (6,468) (17,759) (20,892)<br>Other finance expense paid (903) - (2,792) (809)<br>Purchase of treasury shares - (3,651) (100) (23,698)<br>Sale of treasury shares - - 1,091 -<br>Drawdown of trust receipts 565,397 286,717 1,642,241 742,743<br>Repayment of trust receipts (499,810) (216,213) (1,601,972) (709,570)<br>Dividend payment (76,709) (106,127) (326,848) (300,591)<br>Dividend payment to non-controlling interests (7,568) - (21,657) -<br>Contribution from non-controlling interests 1,297 - 1,297 -<br>Capital return to non-controlling interests - - (4,500) -<br>Net cash used in financing activities (52,951) (140,736) (489,398) (484,571)<br><br>Net (decrease)/increase in cash and cash equivalents (75,111) (61,005) (4,275) (31,047)<br>Cash and cash equivalents at beginning of the financial<br> period 232,873 250,873 162,037 220,915<br><br>Cash and cash equivalents at end of the financial period 157,762 189,868 157,762 189,868 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>13<br><br>9. Segment information<br>The executive management team (“EMT”) is the Group’s chief operating decision-maker. The Group<br>identifies segments on the basis of those components of the Group that the EMT regularly reviews. The<br>Group considers the business from each individual business segment perspective which comprises the<br>Shipping and Product Services segments.<br>The reported measure of segment performance is gross profit, which the EMT uses to assess the<br>performance of the operating segments. For the Shipping segment, gross profit is reflected as TCE income<br>- Shipping. Operating segment disclosures are consistent with the information reviewed by the<br>Management.<br>Segment performance is presented below:<br>1<br> “TCE income” denotes “time charter equivalent income” which represents revenue from time charters and voyage charters less<br>voyage expenses comprising primarily fuel oil, port charges and commission.<br>2 Gross profit from Product Services represents the net trading results which comprise revenue and cost of LPG cargo, derivative<br> gains and losses, and other trading attributable costs, including depreciation from Product Services’ leased in vessels.<br><br>Shipping<br>Product<br>Services<br>Inter-segment<br>elimination Total<br>US$’000 US$’000 US$’000 US$’000<br>Q3 2024<br><br>Revenue from spot voyages 167,961 - - 167,961<br>Inter-segment revenue 18,818 - (18,818) -<br>Voyage expenses (83,622) - - (83,622)<br>Inter-segment expense (10,111) - 10,111 -<br>Net income from spot voyages 93,046 - (8,707) 84,339<br>Revenue from time charter voyages 52,458 - - 52,458<br>TCE income - Shipping<br>1 145,504 - (8,707) 136,797<br>Revenue from Product Services - 584,602 - 584,602<br>Inter-segment revenue - 10,111 (10,111) -<br>Cost of cargo and delivery expenses - (495,581) - (495,581)<br>Inter-segment cost - (18,818) 18,818 -<br>Depreciation - (8,638) - (8,638)<br>Gross profit - Product Services<br>2<br>- 71,676 8,707 80,383<br><br>Segment results 145,504 71,676 - 217,180<br><br>YTD September 2024<br><br>Revenue from spot voyages 642,519 - - 642,519<br>Inter-segment revenue 55,121 - (55,121) -<br>Voyage expenses (309,934) - - (309,934)<br>Inter-segment expense (43,988) - 43,988 -<br>Net income from spot voyages 343,718 - (11,133) 332,585<br>Revenue from time charter voyages 136,348 - - 136,348<br>Inter-segment revenue 562 - (562) -<br>TCE income - Shipping 1<br> 480,628 - (11,695) 468,933<br><br>Revenue from Product Services - 1,941,135 - 1,941,135<br>Inter-segment revenue - 43,988 (43,988) -<br>Cost of cargo and delivery expenses - (1,776,416) - (1,776,416)<br>Inter-segment cost - (55,683) 55,683 -<br>Depreciation - (23,589) - (23,589)<br>Gross profit - Product Services 2<br> - 129,435 11,695 141,130<br><br>Segment results 480,628 129,435 - 610,063 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>14<br>9. Segment information (continued)<br>1<br> “TCE income” denotes “time charter equivalent income” which represents revenue from time charters and voyage charters less<br> voyage expenses comprising primarily fuel oil, port charges and commission.<br>2 Gross profit from Product Services represents the net trading results which comprise revenue and cost of LPG cargo, derivative<br>gains and losses, and other trading attributable costs, including depreciation from Product Services’ leased in vessels.<br><br><br>Shipping<br>Product<br>Services<br>Inter-segment<br>elimination Total<br>US$’000 US$’000 US$’000 US$’000<br>Q3 2023<br><br>Revenue from spot voyages 263,884 - - 263,884<br>Inter-segment revenue 62,406 - (62,406) -<br>Voyage expenses (143,833) - - (143,833)<br>Inter-segment expense (31,917) - 31,917 -<br>Net income from spot voyages 150,540 - (30,489) 120,051<br>Revenue from time charter voyages 44,861 - - 44,861<br>TCE income - Shipping 1<br> 195,401 - (30,489) 164,912<br><br>Revenue from Product Services - 404,710 - 404,710<br>Inter-segment revenue - 31,917 (31,917) -<br>Cost of cargo and delivery expenses - (342,712) - (342,712)<br>Inter-segment cost - (62,406) 62,406 -<br>Depreciation - (16,651) - (16,651)<br>Gross loss - Product Services 2<br> - 14,858 30,489 45,347<br><br>Segment results 195,401 14,858 - 210,259<br><br>YTD September 2023<br><br>Revenue from spot voyages 755,319 - - 755,319<br>Inter-segment revenue 138,632 - (138,632) -<br>Voyage expenses (388,982) - - (388,982)<br>Inter-segment expense (74,677) - 74,677 -<br>Net income from spot voyages 430,292 - (63,955) (366,337)<br>Revenue from time charter voyages 132,475 - - 132,475<br>TCE income - Shipping 1<br> 562,767 - (63,955) 498,812<br><br>Revenue from Product Services - 1,177,737 - 1,177,737<br>Inter-segment revenue - 74,677 (74,677) -<br>Cost of cargo and delivery expenses - (1,069,012) - (1,069,012)<br>Inter-segment cost - (138,632) 138,632 -<br>Depreciation - (50,930) - (50,930)<br>Gross (loss)/profit - Product Services 2<br> - (6,160) 63,955 57,795<br><br>Segment results 562,767 (6,160) - 556,607 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>15<br>9. Segment information (continued)<br>Reconciliation of segment results:<br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br><br>10. Investment in subsidiaries<br>Set out below are the summarised financial information for BW LPG India Pte. Ltd. (“BW India”) and BW<br>LPG Product Services Pte. Ltd (“BW Product Services”), which have non-controlling interest that are<br>material to the Group. These are presented before inter-company eliminations.<br><br>Summarised balance sheet:<br>BW India BW Product Services<br>30 September<br>2024<br>31 December<br>2023<br>30 September<br>2024<br>31 December<br>2023<br>US$’000 US$’000 US$’000 US$’000<br>Assets<br>Current assets 26,505 27,935 470,996 431,420<br>Includes<br>Cash and cash equivalents 19,252 15,882 125,190 77,980<br>Non-current assets 316,183 347,933 101,497 75,727<br><br>Liabilities<br>Current liabilities 32,609 33,901 385,579 402,789<br>Includes<br>Borrowings 27,663 27,929 215,972 138,380<br>Non-current liabilities (Borrowings) 93,120 112,473 59,065 40,815<br>Net assets 216,959 229,494 127,849 63,543<br><br><br> Q3 2024 Q3 2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br>US$’000 US$’000 US$’000 US$’000<br><br>Total segment results for reportable segments 217,180 210,259 610,063 556,607<br>Vessel operating expenses (20,286) (19,968) (62,869) (64,528)<br>Time charter contracts (non-lease components) (4,925) (4,771) (14,589) (15,784)<br>General and administrative expenses (10,864) (10,801) (45,460) (32,877)<br>Charter hire expenses - (7,411) (2,214) (24,120)<br>Fair value (loss)/gain from equity financial<br>asset - - 1,326 -<br>Finance lease income 235 60 432 238<br>Other operating income/(expense) - net (1,414) (101) 949 (2,838)<br>Depreciation - Shipping segment (40,547) (38,406) (121,112) (112,181)<br>Amortisation (212) (205) (631) (556)<br>Gain on disposal of vessels - (497) 20,391 42,702<br>Gain on derecognition of right-of-use assets<br>(vessels) - - - 319<br>Finance income/(expenses) – net (597) (5,733) (3,169) (14,524)<br>Income tax expense (18,105) (107) (27,979) (1,245)<br>Profit after tax 120,465 122,319 355,138 331,213 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>16<br><br>10. Investment in subsidiaries (continued)<br>Summarised statement of comprehensive income:<br><br><br><br> BW India Product Services<br> Q3 2024 Q3 2023 Q3 2024 Q3 2023<br>US$’000 US$’000 US$’000 US$,000<br><br>TCE income – Shipping 32,880 32,276 - -<br>Revenue from Product Services - - 565,087 436,627<br>Cost of cargo and delivery expenses - - (484,773) (405,118)<br>Vessel operating expense (5,517) (4,854) - -<br>Depreciation and amortisation (8,823) (9,270) (8,664) (16,651)<br>Finance expense (2,242) (1,472) (498) (1,493)<br>Other expenses – net (4,299) (814) (12,630) (1,687)<br>Net profit after tax 11,999 15,866 58,522 11,678<br><br>Other comprehensive loss (currency<br>translation effects) - - 952 (115)<br>Total comprehensive income 11,999 15,866 59,474 11,563<br><br>Total comprehensive income allocated to<br> non-controlling interests 5,712 7,552 10,111 1,734<br> BW India Product Services<br><br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br>US$’000 US$’000 US$’000 US$,000<br><br>TCE income – Shipping 92,914 84,237 - -<br>Revenue from Product Services - - 1,955,497 1,252,414<br>Cost of cargo and delivery expenses - - (1,802,473) (1,207,644)<br>Vessel operating expense (17,330) (16,170) - -<br>Depreciation and amortisation (26,862) (25,314) (23,667) (50,930)<br>Finance (expense)/income - net (7,306) (6,887) (402) (3,563)<br>Other expenses – net (7,553) (3,916) (33,688) (6,286)<br>Net profit after tax 33,180 31,950 95,267 (16,009)<br><br>Other comprehensive (loss)/income<br>(currency translation effects) - - 516 349<br>Total comprehensive income 33,863 31,950 95,783 (15,660)<br><br>Total comprehensive income allocated to<br> non-controlling interests 16,119 15,208 15,679 (2,417) |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>17<br><br>APPENDIX - Non-IFRS financial measures<br>This interim financial report contains a number of non-IFRS financial measures that Management uses to<br>monitor and analyse the performance of the Group’s business. Non-IFRS financial measures exclude<br>amounts that are included in, or include amounts that are excluded from, the most directly comparable<br>measure calculated and presented in accordance with IFRS, or are calculated using measures that are not<br>calculated in accordance with IFRS. Non-IFRS financial measures may be considered in addition to, but not<br>as a substitute for or superior to, information presented in accordance with IFRS.<br>The Group believes that these non-IFRS financial measures, in addition to IFRS measures, provide an<br>enhanced understanding of the Group’sresults and related trends, therefore increasing transparency and<br>clarity of the Group’s results and business.<br>There are no generally accepted accounting principles governing the calculation of these measures and the<br>criteria upon which these measures are based can vary from company to company. The non-IFRS financial<br>measures presented in this interim financial report may not be comparable to other similarly titled measures<br>used by other companies, have limitations as analytical tools and should not be considered in isolation or<br>as a substitute for analysis of the Group’s operating results as reported under IFRS. The Group encourages<br>investors and analysts not to rely on any single financial measure but to review the Group’s financial and<br>non-financial information in its entirety.<br>The following non-IFRS measures are presented in this interim financial report.<br><br>TCE income – Shipping per calendar day (total)<br><br>The Group defines TCE income - Shipping per calendar day (total) as TCE income - Shipping divided by<br>calendar days (total).<br>The Group defines calendar days (total) as the total number of days in a period during which vessels are<br>owned or chartered-in is in its possession, including technical off-hire days and waiting days. Calendar days<br>(total) are an indicator of the size of the fleet over a period and affect both the amount of revenue and the<br>amount of expense that the Group records during that period.<br>The Group defines waiting days as the number of days its vessels are unemployed for market reasons,<br>excluding technical off-hire days. Ballast voyages, positioning voyages prior to deliveries on time charters<br>and time spent on cleaning of tanks when vessels are switching from one cargo type to another are not<br>considered waiting time. Waiting days per vessel are calculated as total waiting days for owned and<br>chartered-in vessels divided by the number of owned and chartered-in vessels (not weighted by ownership<br>share in each vessel).<br>The Group defines technical off-hire as the time lost due to off-hire days associated with major repairs,<br>drydockings or special or intermediate surveys. Technical off-hire per vessel is calculated as an average for<br>owned, bareboat and chartered-in vessels (not weighted by ownership share in each vessel).<br>The Group believes TCE income - Shipping per calendar day (total) is meaningful to investors because it is a<br>measure of how well the Company manages the fleet technically and commercially.<br>The reconciliation of TCE income - Shipping per calendar day (total) to TCE income - Shipping for the period<br>ended 30 June 2024 is provided below.<br><br>Q3 2024 Q3 2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br><br>TCE income – Shipping (US$’000) 145,504 195,401 480,628 562,767<br>Calendar days (total) 3,128 3,164 9,360 9,812<br>TCE income – Shipping per calendar day (total) (US$) 46,520 61,760 51,350 57,350 |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>18<br><br>APPENDIX - Non-IFRS financial measures (continued)<br><br>TCE income – Shipping per available day<br><br>The Group defines TCE income – Shipping per available day as TCE income – Shipping divided by available<br>days.<br>The Group defines available days as the total number of days (including waiting time) in a period during<br>which each vessel is owned or chartered-in, net of technical off-hire days. The Group uses available days to<br>measure the number of days in a period during which vessels actually generate or are capable of generating<br>revenue.<br>The Group defines waiting days as the number of days its vessels are unemployed for market reasons,<br>excluding technical off-hire days. Ballast voyages, positioning voyages prior to deliveries on time charters<br>and time spent on cleaning of tanks when vessels are switching from one cargo type to another are not<br>considered waiting time. Waiting days per vessel are calculated as total waiting days for owned and<br>chartered-in vessels divided by the number of owned and chartered-in vessels (not weighted by ownership<br>share in each vessel).<br>The Group defines technical off-hire as the time lost due to off-hire days associated with major repairs, dry<br>dockings or special or intermediate surveys. Technical off-hire per vessel is calculated as an average for<br>owned, bareboat and chartered-in vessels (not weighted by ownership share in each vessel).<br>The Group believes TCE income – Shipping per available day is meaningful to investors because it is a<br>measure of how well the Group manages the fleet commercially.<br>The reconciliation of TCE income – Shipping per available day to TCE income – Shipping for the period ended<br>30 September 2024 is provided below.<br>Q3 2024 Q3 2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br><br>TCE income – Shipping (US$’000) 145,504 195,401 480,628 562,767<br>Available days 3,108 3,096 9,134 9,569<br>TCE income – Shipping per available days (US$) 46,820 63,110 52,090 58,810<br>Adjusted free cash flow<br>The Group defines adjusted free cash flow as net cash from operating activities minus cash outflows for<br>additions in property, plant and equipment and additions in intangible assets, sale of assets held-for-sale<br>and sale of vessels.<br>The Group believes adjusted free cash flow is meaningful to investors because it is the measure of the funds<br>generated by the Group available for distribution of dividends, repayment of debt or to fund the Group’s<br>strategic initiatives, including acquisitions. The purpose of presenting adjusted free cash flow is to indicate<br>the ongoing cash generation within the control of the Group after taking account of the necessary cash<br>expenditures for maintaining the operating structure of the Group (in the form of capital expenditure). |
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| BW LPG Limited<br>Interim Financial Report (Unaudited)<br>Q3 2024 and YTD September 2024<br>19<br><br>APPENDIX - Non-IFRS financial measures (continued)<br>Adjusted free cash flow (continued)<br>The reconciliation of adjusted free cash flow to net cash inflow from operating activities for the periods<br>ended 30 September 2024 and 2023 is provided below.<br>Q3 2024<br>US$’000<br>Q3 2023<br>US$’000<br>YTD<br>September<br>2024<br>US$’000<br>YTD<br>September<br>2023<br>US$’000<br><br>Net cash from operating activities 54,515 77,089 512,954 350,830<br>Deposit for vessel acquisition held in escrow (82,200) - (82,200) -<br>Additions in property, plant and equipment 181 (1,753) (1,640) (77,743)<br>Additions in intangible assets - (35) (237) (625)<br>Proceeds from sale of vessels - (497) 65,337 167,307<br>Adjusted free cash flow (27,504) 74,804 494,205 439,769<br><br>Return on capital employed (ROCE)<br>The Group defines return on capital employed (“ROCE”) as, with respect to a particular financial period, the<br>ratio of the operating profit for such period to capital employed defined as the average of the total<br>shareholders’ equity, total borrowings and total lease liabilities, calculated as the average of the opening<br>and closing balance for such period as presented in the consolidated balance sheet.<br>The Group believes ROCE is meaningful to investors because it measures the Group’s financial efficiency and<br>its ability to create future growth in value.<br>The reconciliation of ROCE to operating profit for the periods ended 30 September 2024 and 2023 is provided<br>below.<br><br>Q3 2024 Q3 2023<br>YTD<br>September<br>2024<br>YTD<br>September<br>2023<br><br>Operating profit (US$’000) 139,167 128,159 386,286 346,982<br>Average of the total shareholders’ equity (US$’000)(1) 1,611,734 1,578,867 1,611,734 1,578,867<br>Average of the total borrowings (US$’000)(1) 389,889 444,970 389,889 444,970<br>Average of the total lease liabilities (US$’000)(1) 196,307 217,216 196,307 217,216<br>Capital employed (US$’000) 2,197,930 2,241,052 2,197,930 2,241,052<br>ROCE 6.3% 5.7% 17.6% 15.5%<br>ROCE (annualised) 25.3% 22.9% 23.4% 20.6%<br><br>(1) Calculated as the average of the opening and closing balances for the period as presented in the consolidated balance<br>sheet<br><br>Rounding of figures<br>Certain financial information presented in tables in this interim financial report has been rounded to the<br>nearest whole number or the nearest decimal place. Therefore, the sum of the numbers in a column may<br>not conform exactly to the total figure given for that column. In addition, certain percentages presented in<br>the tables in this interim financial report reflect calculations based upon the underlying information prior to<br>rounding, and, accordingly, may not conform exactly to the percentages that would be derived if the relevant<br>calculations were based upon the rounded numbers. |
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Exhibit 99.4
| Earnings Presentation<br>Q3 2024<br>2 December 2024 ● BW LPG Earnings Presentation |
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| Disclaimer and Forward-Looking Statements<br>NOT FOR RELEASE, PUBLICATION, DISTRIBUTION OR FORWARDING, IN WHOLE OR<br>IN PART, DIRECTLY OR INDIRECTLY, IN OR IN TO ANY JURISDICTION IN WHICH THE<br>SAME WOULD BE UNLAWFUL. BY ATTENDING THE MEETING WHERE THIS<br>PRESENTATION IS MADE, OR BY READING THE PRESENTATION SLIDES, YOU<br>ACKNOWLEDGE AND AGREE TO COMPLY WITH THE FOLLOWING RESTRICTIONS.<br>This presentation has been produced by BW LPG Limited (“BW LPG”) exclusively for<br>information purposes. This presentation may not be reproduced or redistributed, in whole or<br>in part, to any other person.<br>Matters discussed in this presentation and any materials distributed in connection with this<br>presentation may constitute or include forward–looking statements. Forward–looking<br>statements are statements that are not historical facts and may be identified by words such<br>as “anticipates”, “believes”, “continues”, “estimates”, “expects”, “intends”, “may”, “should”,<br> “will” and similar expressions, such as “going forward”. These forward–looking statements<br>reflect BW LPG’s reasonable beliefs, intentions and current expectations concerning, among<br>other things, BW LPG’s results of operations, financial condition, liquidity, prospects, growth<br>and strategies. Forward–looking statements include statements regarding: objectives, goals,<br>strategies, outlook and growth prospects; future plans, events or performance and potential<br>for future growth; liquidity, capital resources and capital expenditures; economic outlook and<br>industry trends; developments of BW LPG’s markets; the impact of regulatory initiatives; and<br>the strength of BW LPG’s competitors. Forward–looking statements involve risks and<br>uncertainties because they relate to events and depend on circumstances that may or may<br>not occur in the future. The forward–looking statements in this presentation are based upon<br>various assumptions, many of which are based, in turn, upon further assumptions, including<br>without limitation, management’s examination of historical operating trends, data contained in<br>BW LPG’s records and other data available from Fourth parties. Although BW LPG believes<br>that these assumptions were reasonable when made, these assumptions are inherently<br>subject to significant known and unknown risks, uncertainties, contingencies and other<br>important factors which are difficult or impossible to predict and are beyond its control.<br>Forward–looking statements are not guarantees of future performance and such risks,<br>uncertainties, contingencies and other important factors could cause the actual results of<br>operations, financial condition and liquidity of BW LPG or the industry to differ materially from<br>those results expressed or implied in this presentation by such forward–looking statements.<br>No representation is made that any of these forward–looking statements or forecasts will<br>come to pass or that any forecast result will be achieved and you are cautioned not to place<br>any undue influence on any forward–looking statement.<br>2<br>No representation, warranty or undertaking, express or implied, is made by BW LPG, its<br>affiliates or representatives as to, and no reliance should be placed on, the fairness,<br>accuracy, completeness or correctness of the information or the opinions contained herein,<br>for any purpose whatsoever. Neither BW LPG nor any of its affiliates or representatives shall<br>have any responsibility or liability whatsoever (for negligence or otherwise) for any loss<br>whatsoever and howsoever arising from any use of this presentation or its contents or<br>otherwise arising in connection with this presentation. All information in this presentation is<br>subject to updating, revision, verification, correction, completion, amendment and may<br>change materially and without notice. In giving this presentation, none of BW LPG, its<br>affiliates or representatives undertakes any obligation to provide the recipient with access to<br>any additional information or to update this presentation or any information or to correct any<br>inaccuracies in any such information. The information contained in this presentation should<br>be considered in the context of the circumstances prevailing at the time and has not been,<br>and will not be, updated to reflect material developments which may occur after the date of<br>the presentation.<br>The contents of this presentation are not to be construed as legal, business, investment or<br>tax advice. Each recipient should consult its own legal, business, investment or tax adviser<br>as to legal, business, investment or tax advice. By attending this presentation you<br>acknowledge that you will be solely responsible for your own assessment of the market and<br>the market position of BW LPG and that you will conduct your own analysis and be solely<br>responsible for forming your own view on the potential future performance of the business of<br>BW LPG. This presentation must be read in conjunction with the recent financial information<br>and the disclosures therein.<br>A number of measures are used to report the performance of our business, which are non-IFRS measures, such as TCE income – Shipping per available day, TCE income – Shipping<br>per calendar day and Return on capital employed (ROCE). These measures are defined and<br>reconciliations to the nearest IFRS measure are available in BW LPG’s Q3 2024 Interim<br>Financial Report and BW LPG’s Registration Statement on Form 20-F.<br>Neither this presentation nor anything contained herein shall form the basis of, or be relied<br>upon in connection with, any offer or purchase whatsoever in any jurisdiction and shall not<br>constitute or form part of an offer to sell or the solicitation of an offer to buy any securities in<br>the United States or in any other jurisdiction. The securities referred to herein may not be<br>offered or sold in the United States absent registration with the United States Securities and<br>Exchange Commission or an exemption from registration under the U.S. Securities Act of<br>1933, as amended (the “Securities Act”). BW LPG does not intend to register any part of any<br>offering in the United States or to conduct a public offering in the United States of the shares<br>to which this presentation relates.<br>In the EEA Member States, with the exception of Norway (each such EEA Member State, a<br> “Relevant State“), this presentation and the information contained herein are intended only<br>for and directed to qualified investors as defined in Article 2(e) of Regulation (EU) 2017/1129<br>of the European Parliament and of the Council of 14 June 2017 (the “Prospectus<br>Regulation”). The securities mentioned in this presentation are not intended to be offered to<br>the public in any Relevant State and are only available to qualified investors except in<br>accordance with exceptions in the Prospectus Regulation. Persons in any Relevant State<br>who are not qualified investors should not take any actions based on this presentation, nor<br>rely on it.<br>In the United Kingdom, this presentation is directed only at, and communicated only to,<br>persons who are qualified investors within the meaning of Article 2(e) of the Prospectus<br>Regulation as it forms part of domestic law in the United Kingdom by virtue of the European<br>Union (Withdrawal) Act 2018 who are (i) persons who fall within the definition of "investment<br>professional" in Article 19(5) of the Financial Services and Markets Act 2000 (Financial<br>Promotion) Order 2005, as amended (the “Order”), or (ii) persons who fall within Article<br>49(2)(a) to (d) of the Order, or (iii) persons to whom it may otherwise be lawfully<br>communicated (all such persons referred to in (i), (ii) and (iii) above together being referred<br>to as “Relevant Persons”). This presentation must not be acted on or relied on by persons in<br>the United Kingdom who are not Relevant Persons. |
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| Agenda<br>01 Highlights<br>02 Market<br>03 Performance<br>04 Q&A |
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| 2024 Q3 Highlights and Market Outlook<br>Highlights and Subsequent Events<br> • Another good quarter for shipping with TCE income – Shipping Q3 2024 concluded at US$46,800 per<br>available day and US$46,500 per calendar day (total).<br> • Avance Gas vessels deliveries commenced 1 November and a total of nine ships are expected to be<br>delivered in time to receive Q3 dividends.<br> • The nine ships represent a share issuance of 14.4 million shares, increasing the total shares<br>outstanding eligible for Q3 dividend from 132.3 million to 146.7 million. When all twelve ships are<br>delivered, total shares outstanding will amount to 151.6 million.<br> • Declared a Q3 2024 cash dividend of US$0.42 per share, representing 100% payout ratio of Shipping<br>NPAT2<br>.. This amounts to US$61.6 million based on 146.7 million shares outstanding.<br> • BW Product Services generated a net profit after tax of US$58M in Q3, comprising a negative<br>US$14.4M of realised trading result and US$85.8M of unrealised MTM gain from cargo and paper<br>positions.<br> • The high accounting profit does not represent an immediate uplift to the Company’s dividend<br>capacity as it stems from MtM valuation of unrealised positions.<br> • BW LPG signed a new seven-year US$460M RCF at a competitive margin in Nov 2024 and voluntarily<br>prepaid as well as cancelled the US$400M Facility in Oct 2024.<br> • Strategic fleet renewal with sale of 2007-bult BW Cedar, and purchase of 2019-built BW Kizoku.<br>4<br>Market Outlook<br>We have a positive market view for the remainder of 2024 and calendar year 2025, although<br>rate fluctuation is expected:<br> • LPG exports from the US have normalized after a quarter with disruptions due to weather<br>and maintenance on export facilities.<br> • With normalized export volumes, freight rates in the US Gulf seem to have found an<br>equilibrium level around the US$ 40,000/ day range. This is without congestion in the<br>Panama Canal.<br> • The VLGC market is currently finely balanced, and we expect spot market volatility to<br>prevail in the medium-term.<br> • Next phase of US export growth is set to commence 2H 2025 driven by announced export<br>terminal expansion, while Middle East export volumes will enter its planned expansion<br>stage from 2026.<br> • The demand picture remains unchanged, with supportive demand growth continuing in<br>China, South-East Asia and the Indian sub-continent.<br> • The Houston-Chiba FFA market for CAL2025 is currently trading at ~US$ 40,000 per day,<br>although with limited liquidity.<br>TCE per day presented is for the Shipping Segment<br>1. This does not constitute an offer to sell or the solicitation of an offer to buy any securities of BW LPG nor shall there be any sale of any securities of BW LPG in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or<br>qualification under the securities laws of any such jurisdiction.<br>2. Shipping NPAT is calculated as profit attributable to equity holders of BW LPG [Q3 2024: US$104.7 million (YTD Q3 2024: US$323.3 million)], minus BW LPG's share of BW PS' net profit/(loss) after tax [Q3 2024: US$48.5 million (YTD Q3 2024: US$79.7<br>million)].<br>$46,800<br>TCE income – Shipping<br>per available day<br>98%<br>Fleet utilisation<br>$46,500<br>TCE income – Shipping<br>per calendar day<br>1%<br>Technical offhire<br>Commercial Performance Financial Performance Return to Shareholders<br>$120M<br>Net profit after tax<br>$501M<br>Available liquidity<br>$0.79<br>Earnings per share<br>21%<br>Net leverage ratio<br>$0.42<br>Dividend per share<br>14%<br>Annualised<br>Dividend Yield<br>30%<br>ROE (annualised)<br>109%<br>YTD Payout Ratio<br>Shipping NPAT2 |
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| Market<br>5<br>02 |
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| 34 36 32 32 31 32 29 37 34 38 35<br>20 24 25 23 26 22 26<br>25<br>18 16 23<br>18<br>18 18 15 15 16 11<br>17<br>18 19 16<br>12<br>12 11<br>12 11 12<br>11<br>14<br>14 14 11<br>0<br>10<br>20<br>30<br>40<br>50<br>60<br>70<br>80<br>90<br>100<br>Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec<br>EHT ET: Nederland Targa: Galena Park<br>P66: Freeport Corpus Christi Run rate target<br>Spot Market Snapshot – Recovery and Growth<br>6<br>Export terminals have recovered from hurricane and technical issues<br>US – Far East spot rates<br>TCE US$‘000/day US Gulf Coast VLGC Loadings<br>#loadings<br>Q3 earnings volatility<br>Hurricane related disruptions<br>Unscheduled maintenance at one US terminal<br>US LPG export pace has recovered<br>All major USGC export terminals are now operating<br>at full capacity, setting November up to be one of<br>the strongest months for exports in 2024<br>Other factors<br>Panama Canal operating near full capacity<br>20 newbuildings delivered so far in 2024<br>Sources: S&P, Bloomberg, BW LPG<br>Note: Spot rate and loading data updated 28th November 2024<br>0<br>20<br>40<br>60<br>80<br>100<br>120<br>140<br>Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec<br>3y average 2024 Spot rate FFA'25 |
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| 52<br>56<br>60<br>66<br>38 41 43 45<br>2023 2024F 2025F 2026F<br>North America Middle East<br>0<br>2<br>4<br>6<br>8<br>10<br>12<br>1Q24 2Q24 3Q24 4Q24<br>Container VLGC LNG<br>Bulk Other Capacity<br>Energy Transfer: Nederland (8Mtpa)<br>[Ethane / Propane flexible]<br>Enterprise: Neches River<br>(11Mtpa) [Ethane / Propane<br>flexible]<br>Enterprise:<br>Hydrocarbons<br>Terminal (9Mtpa)<br>40<br>50<br>60<br>70<br>80<br>90<br>2024 2025 2026 2027<br>Current capacity LPG Exports<br>VLGC market driven by US supply growth...<br>7<br>Terminal expansions to support continued growth in LPG exports<br>N. America and Middle East LPG exports<br>Million tons (VLGC only)<br>US LPG export capacity growth<br>Million tons per annum<br>Panama Canal transits<br>Transits per day (New locks)<br>Expansions under construction<br>Several US exporters are working on expanding<br>their export capacity<br>Significant LNG expansion<br>Qatar and ADNOC LNG expansion projects from<br>2026 onwards<br>Strong fundamentals<br>Average US propane production up 6.2% YTD, net<br>exports up 10.2% YTD, according to EIA1<br>More expansions likely<br>Exporters intend to build additional capacity, citing<br>strong demand growth<br>Panama Canal near full capacity<br>LNG and bulkers gradually returning while VLGC<br>transits have increased<br>Potential for inefficiencies<br>Further traffic increase could cause higher transit<br>fees and delays<br>Sources: NGLS, Energy Transfer, Enterprise, EIA, BW LPG, Clarksons |
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| 33<br>37<br>41<br>44<br>2023 2024EE 2025EE 2026EE<br>20.4<br>21.6 22.3 23.2<br>2024E 2026E 2028E 2030E<br>....balanced against robust demand growth in Asia<br>8<br>Asia continues to grow, supporting demand for long haul shipping of LPG<br>US dependent<br>50% of imports in Q3 originated from United States<br>Demand potential from new PDH plants<br>LPG demand from PDH plants is projected to<br>nearly double by 2035<br>Retail driven market<br>Government initiatives and infrastructure<br>enhancements have increased access to LPG<br>Long haul volumes<br>29% of imports originate in United States<br>Overlooked by many<br>Imports expected to grow 23% from 2024 to 2027<br>China LPG imports<br>Million tons<br>India LPG imports<br>Million tons<br>South-East Asia LPG imports<br>Million tons<br>First 9 months<br>India takes 47% of ME export volumes<br>Making Far East more reliant on US exports<br>+11%<br>First 9 months<br>13.6<br>14.4<br>15.4<br>16.8<br>2024E 2025E 2026E 2027E<br>Source: NGLS, S&P CAS |
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| 13<br>6<br>10 11<br>13<br>3 3<br>1<br>1 3<br>2<br>3<br>4 4 4<br>1<br>1 1 1<br>1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26<br>Existing Newbuild - Ammonia Newbuild - Non-ammonia<br>69%<br>16%<br>7%<br>9%<br>0-15 years<br>15-20 years<br>20-25 years<br>25 years +<br>VLGC Fleet and Newbuildings<br>9<br>Modest fleet growth over the next 18 months<br>Sources: BW LPG, Clarksons<br>1. Total VLGC fleet on water (not including orderbook)<br>2. Delivery times for established shipyards in China and South Korea. Newcomer shipyards in China are promoting end-2026 delivery<br>Fleet growth next 6 quarters<br>represent ~6% of total VLGC fleet<br>VLGC fleet profile and newbuilding market<br>399<br>total VLGC<br>fleet1<br>~$123M<br>VLGC delivery year for<br>newbuild contracts<br>2027<br>Chinese shipyards<br>Current VLGC dual-fuel<br>newbuild price<br>Quarterly delivery schedule<br># of VLGCs<br>Total orderbook<br>number<br>98 |
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| Performance<br>10<br>03 |
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| 2024<br>% of total<br>Fleet<br>Revenue/<br>(Cost) in $M<br>Average<br>day rate<br>TC out 20% $113 $44,500<br>TC in 20% ($82) $32,400<br>Net $31<br>Remaining<br>TC out 12% $69 $44,500<br>Shipping – Performance<br>11<br>Achieved 98% fleet utilisation generating TCE income - Shipping of $46,800 per available day<br>2024 Q3 performance<br>Q4 2024<br> ▪ Fixed ~90% of our available fleet days at an<br>average rate of ~$36,000 per day4<br>Guidance<br>2024 Charter portfolio<br> ▪ 32% covered by TC out at $44,500 per day<br> ▪ 13% covered by FFA hedges at $55,400 per day<br>1%<br>99%<br>TCE income by calendar days<br>$46,500/ day1<br>Technical Offhire<br>Available days<br>38%<br>60%<br>TCE income by available days<br>$46,800/ day2<br>$47,9002<br>(incl. waiting time and FFA)<br>Spot<br>$45,9003<br>(excl. waiting time and FFA)<br>Time Charter<br>$45,000<br>Waiting<br>2%<br>1. TCE rates per day are inclusive of both commercial waiting and technical offhire days (i.e. 100% of calendar days)<br>2. TCE rates per day are inclusive of commercial waiting days and exclusive of technical offhire days (i.e. 100% of available days)<br>3. TCE rates per day are exclusive of both commercial waiting and technical offhire days<br>4. Discharge to discharge basis |
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| 1Gross profit from Product Services represents the net trading results which comprise revenue and cost of LPG cargo, derivative gains and losses, and other trading attributable<br>costs, including depreciation from Product Services’ lease-in vessels<br>2Net profit does not include the effects of currency translation from foreign operations<br>12<br>Product Services – Performance<br>$71M<br>Gross Profit1<br>$58M<br>Net Profit2<br>$128M<br>Net asset value End of Q3<br>$5M<br>Average VAR<br>12%<br>BW LPG VLGC cargoes<br>lifted by BW PS<br>2024 Q3 Performance Book Equity ($m)<br>Strong Q3 trading performance driven largely by MTM gains from open cargo positions<br> .7<br>(14.4)<br>105.1<br>(19.3)<br>(12.2)<br>127.9<br> et assets Q2 2024 Realised positions Unrealised cargo Unrealised paper Other expenses et assets Q3 2024 7<br>Q3 Net profit:<br>$58M2 |
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| $0.15<br>$1.91<br>$1.46<br>$0.09 $0.85 $0.84 $0.56<br>$1.28<br>$3.46<br>$2.00<br>2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 YTD<br>2024<br>Financial Highlights<br>13<br>Low leverage, strong liquidity, ready for growth opportunities<br>Earnings Yield2 (annualised) 23%<br>Dividend Yield3<br>(annualised) 14%<br>ROE4 (annualised) 30%<br>ROCE5 (annualised) 26%<br>Net leverage ratio6 21%<br>1. EPS (earnings per share) is computed based on the weighted average number of shares<br>outstanding less treasury shares during the period<br>2. Earnings yield: EPS divided by the share price at the end of the period in USD terms<br>3. Dividend yield: Annualised dividend divided by the share price in USD on 29th Nov 2024<br>4. ROE (return on equity): with respect to a particular financial period, the ratio of the profit<br>after tax to the average of the shareholders’ equity, calculated as the average of the opening<br>and closing balance for the financial period as presented in the consolidated balance sheet.<br>5. ROCE (return on capital employed): with respect to a particular financial period, the ratio of<br>the operating profit to capital employed defined as the average of the total shareholders’<br>equity, total borrowings and lease liabilities, calculated as the average of the opening and<br>closing balance for the financial period as presented in the consolidated balance sheet.<br>6. Net leverage ratio: The sum of total borrowings and lease liabilities minus cash and cash<br>equivalents as set out in the consolidated statement of cash flows, divided by the sum of the<br>total borrowings, total lease liabilities, and shareholders’ equity minus cash and cash<br>equivalents as set out in the consolidated statement of cashflows<br>7. Operating cash breakeven: Total expected cash costs (excluding capex) divided by available<br>days, owned fleet or total fleet<br>Financial Ratios Q3 2024<br>Income Statement<br>Profit after tax $120<br>Profit to equity holders $105<br>Earnings per share1 $0.79<br>Dividends per share $0.42<br>Balance Sheet<br>Total assets $2,531<br>Total liabilities $894<br>Total shareholders’ equity $1,637<br>Dividends per Share<br>YTD 2024 Daily TCE Income $51,400<br>YTD 2024 Daily OPEX $8,400<br>FY 2024 Operating cash breakeven7<br>Owned $18,800<br>Total fleet $22,800<br>Shipping Per Day Statistics (USD/Day)<br>Key Financials Q3 2024 (USD million) |
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| US$ million As of 30 Sept 2024 Pro forma balance post AG transaction³<br>Undrawn amount under revolving credit facility 592 394<br>Cash1 158 158<br>Total available liquidity 750 552<br>$400M ECA<br>(o/s $49M)⁴<br>$221M ECA<br>(o/s $47M)<br>$198M Term<br>Loan<br>(o/s $120M)<br>$592M<br>Revolving Credit<br>Facilities (RCF)⁵<br>Undrawn RCF - $592M<br>O<br>utsta<br>nding<br>Debt - $216M<br>Financial – Financing Structure and Repayment Profile<br>14<br>Ample liquidity of $750M and light debt at Q3 supports healthy post transaction liquidity level<br>Trade financing structure2<br>Total Available Liquidity<br>1. Cash presented excludes $74M held in broker margin accounts and $82M held in escrow<br>2. Excludes lease liabilities, capitalised fees, and interest payable, as of 30 Sept 2024<br>3. Liquidity takes into account $460M RCF facility arranged in Nov 2024, with transaction requirements drawn from RCF and unchanged cash position<br>4. Outstanding subsequently voluntarily prepaid in Oct 24<br>5. Includes BW Group revolving shareholder loan of $250M (voluntarily reduced from $350M given sufficient liquidity)<br>Ship financing structure2<br>136<br>54<br>115<br>23<br>11<br>0<br>50<br>100<br>150<br>200<br>250<br>300<br>350<br>2024 2025 2026 2027 2028 and<br>2029<br>USD millions<br>$796M Trade Finance Facilities - o/s $123M<br>$198M BW LPG India Term Loan - o/s $120M<br>Revolving credit facilities (RCF) - o/s $0M<br>$221M ECA 2029 - o/s $47M<br>$400M ECA 2028 - o/s $49M<br>Repayment profile2<br>Letter of<br>credit<br>$125M<br>Drawndown<br>$123M<br>$796M Trade<br>Finance Facilities<br>Unutilised Facilities - $548M<br>Utilised<br>Facilities - $248M<br>Below excludes liabilities related to two sale-and-leaseback vessels of $128M, which will be effective<br>upon delivery of vessels in Q4 2024<br> ⁴ |
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| Q&A<br>15<br>04 |
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| Q&A<br>CEO Kristian Sørensen<br>CFO Samantha Xu |
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| Contact Us<br>Investor Relations<br>investor.relations@bwlpg.com<br>Ticker (OSE) / Ticker (NYSE)<br>BWLPG / BWLP<br>LinkedIn<br>linkedin.com/company/bwlpg<br>Telephone<br>+65 6705 5588<br>Website<br>https://investor.bwlpg.com<br>Address<br>10 Pasir Panjang Road<br>Mapletree Business City #17<br>-02<br>Singapore 117438<br>17 |
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| Appendices<br>18<br>05 |
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| 1. Vessels with scrubbers installed<br>2. LGC (Large Gas Carrier)<br>3. Bareboat charter<br>4. BW Kizoku to be delivered into the owned fleet in Q1 2025<br>50 VLGCs and 2 LGCs Operated by BW LPG as of 10 December<br>BW LPG 26 100% ownership<br>BW LPG 9 Time charter/bareboat in<br>BW LPG India<br>52% ownership 8 9 Operated<br>21<br>Vessels with dual-fuel propulsion technology Vessels retrofitted with scrubber technology Vessels on compliant fuels<br>13 18<br>Name Year Shipyard Name Year Shipyard Name Year Shipyard Name Year Shipyard Beneficiary<br>BW Rigel 2023 DSME BW Capella 3 2022 DSME BW Pine 2011 Kawasaki S.C. Gas Jupiter 2023 Jiangnan Sinogas Maritime<br>BW Messina 2017 DSME BW Polaris 3 2022 DSME BW Lord 2008 DSME Kaede 2023 Hyundai H.I. Product Services<br>BW Mindoro 2017 DSME BW Yushi 1 2020 Mitsubishi H.I. BW Tyr 2008 Hyundai H.I. Gas Venus 2021 Jiangnan Sinogas Maritime<br>BW Malacca 2016 DSME BW Kizoku 1,4 2019 Mitsubishi H.I. BW Loyalty 1 2008 DSME Gas Gabriela 1 2021 Hyundai H.I. Product Services<br>BW Magellan 2016 DSME Gas Zenith 1 2017 Hyundai H.I. BW Oak 2008 Hyundai H.I. Reference Point 1 2020 Jiangnan Product Services<br>BW Frigg 2016 Hyundai H.I. Oriental King 2017 Hyundai H.I. BW Elm 2007 Hyundai H.I. Clipper Wilma 1 2019 Hyundai H.I. Product Services<br>BW Freyja 2016 Hyundai H.I. Doraji Gas 2017 Mitsubishi H.I. BW Birch 2007 Hyundai H.I. BW Tokyo 2009 Mitsubishi H.I. Exmar<br>BW Volans 2016 Hyundai H.I. Berge Nantong 2006 Hyundai H.I. BW Cedar 2007 Hyundai H.I. Denver 2 2009 Hyundai H.I. Product Services<br>BW Brage 2016 Hyundai H.I. Berge Ningbo 2006 Hyundai H.I. Helsinki 2 2009 Hyundai H.I. Product Services<br>BW Tucana 2016 Hyundai H.I.<br>BW Var 2016 Hyundai H.I.<br>BW Njord 2016 Hyundai H.I.<br>BW Balder 2016 Hyundai H.I.<br>BW Pampero 2015 Jiangnan<br>BW Orion 2015 Hyundai H.I.<br>BW Chinook 2015 Jiangnan<br>BW Libra 2015 Hyundai H.I.<br>BW Levant 1 2015 Jiangnan<br>BW Sirocoo 1 2015 Jiangnan<br>BW Passat 1 2015 Jiangnan<br>BW Leo 2015 Hyundai H.I.<br>BW Gemini 2015 Hyundai H.I.<br>BW Carina 1 2015 Hyundai H.I.<br>BW Mistral 1 2015 Jiangnan<br>BW Aries 1 2014 Hyundai H.I.<br>BW Kyoto 2010 Mitsubishi H.I.<br>19 |
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| 2024 Time charter<br>% of total Revenue/ Average<br>Fleet (Cost) in $M day rate<br>TC out 20% $113 $44,500<br>TC in 20% ($82) $32,400<br>Net - $31<br>Remaining TC out 12% $69 $44,500<br>1. % of fleet ratio is basis: TC out is based on total available days and TC in is based on total calendar days<br>VLGC Charter Portfolio Overview<br>20<br>Time charter-out coverage for 2024 at 32% at an average rate of $44,500 per day<br>Revenue in USD millions % of total available days of the whole fleet Cost in USD millions % of total available days of the whole fleet<br>Avg. TC out rate Avg. TC in rate<br>Time charter-out<br>Time charter rate (US$ thousands / day)<br>Time charter-in<br>Net time charter position<br>$39 $42 $54 $47 $48 $50 $49 $43<br>29%<br>34%<br>38%<br>29% 26% 27% 26%<br>24%<br>1Q 24 2Q 24 3Q 24 4Q 24 1Q 25 2Q 25 3Q 25 4Q 25<br>Quarterly<br>$182 $189<br>32%<br>26%<br>2024 2025<br>Yearly<br>$20 $21 $21 $20 $17 $18 $18 $16<br>25%<br>21% 21%<br>19%<br>14% 14% 14% 12%<br>1Q 24 2Q 24 3Q 24 4Q 24 1Q 25 2Q 25 3Q 25 4Q 25<br>Quarterly<br>$82 $69<br>20%<br>13%<br>2024 2025<br>Yearly<br>$44.6 $42.8 $45.0 $45.4 $45.5 $45.7 $45.6 $45.5<br>$27.3<br>$32.7 $32.6 $31.9 $32.4 $32.3 $32.3 $32.4<br>1Q 24 2Q 24 3Q 24 4Q 24 1Q 25 2Q 25 3Q 25 4Q 25<br>Quarterly<br>$44.5 $45.6<br>$32.4 $32.3<br>2024 2025<br>Yearly |
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| 0.16<br>0.32<br>0.16 0.16 0.17<br>0.53 0.53 0.53 0.53 0.53 0.7 0.7<br>0.00 0.16 0.16 0.16 0.17<br>0.53 0.53 0.53 0.53 0.53 0.7 0.7<br>Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24<br>Fleet Safety Statistics<br>21<br>Safety and Zero Harm onboard remain our key focus<br>Total Recordable Case Frequency (TRCF): Work-related fatalities and injuries per one million hours worked<br>Lost Time Injury Frequency (LTIF): Work-related fatalities and injuries per one million hours worked that leads to lost work time<br>TRCF 12 Month Rolling Average (MRA)<br>LTIF 12 Month Rolling Average (MRA)<br>Data as of 30th September 2024 |
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| Q1 2024 Q2 2024 Q3 2024 Q4 2024E 2024E 2025E<br>Owned days 2,517 2,457 2,484 2,787 10,245 14,266<br>Time charter in days 621 637 644 639 2,541 2,123<br>Total calendar days 3,138 3,094 3,128 3,426 12,786 16,389<br>Offhire1<br>104 10 20 41 175 390<br>Total available days (Net of offhire) 3,034 3,084 3,108 3,385 12,611 15,999<br>Spot days (Net of offhire) 2,145 2,037 1,941 2,394 8,517 11,852<br>Time charter out days (Net of offhire) 889 1,047 1,167 991 4,094 4,147<br>% Spot days 71% 66% 62% 71% 68% 74%<br>% TC days 29% 34% 38% 29% 32% 26%<br>TCE rates<br>Spot $68,500 $53,300 $47,900 - - -<br>Time charter out $44,600 $42,800 $45,000 $45,400 $44,500 $45,600<br>VLGC TCE rate (Net of offhire) $61,500 $49,700 $46,800 - - -<br>Shipping Segment Charter Portfolio 2024-2025<br>22<br>Time Charter Out contract coverage stands at 32% for 2024 (as of 12 November 2024)<br>Notes:<br>BW LPG India Charter Portfolio is a subset of the Shipping Segment Charter Portfolio<br>Pool revenue distributed to participants and the associated days are excluded from the presentation<br>1. Offhire is assumed to be 3 days per year per vessel, distributed equally per quarter, during the years the vessel does not have planned dry dockings |
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| BW LPG India Charter Portfolio 2024-2025<br>23<br>Time Charter Out contract coverage stands at 83% for 2024 (as of 12 November 2024)<br>1. Offhire is assumed to be 3 days per year per vessel, distributed equally per quarter, during the years the vessel does not have planned dry dockings<br>Q1 2024 Q2 2024 Q3 2024 Q4 2024E 2024E 2025E<br>Owned days 728 728 736 736 2,928 2,586<br>Time charter in days - - - - - -<br>Total calendar days 728 728 736 736 2,928 2,586<br>Offhire1<br>56 - - 5 61 69<br>Total available days (Net of offhire) 672 728 736 731 2,867 2,517<br>Spot days (Net of offhire) 134 177 78 92 481 351<br>Time charter out days (Net of offhire) 538 551 658 639 2,386 2,166<br>% Spot days 20% 24% 11% 13% 17% 14%<br>% TC days 80% 76% 89% 87% 83% 86%<br>TCE rates<br>Spot $60,000 $39,500 $46,900 - - -<br>Time charter out $40,600 $42,600 $40,000 $45,900 $42,300 $47,700<br>VLGC TCE rate (Net of offhire) $43,900 $42,000 $44,700 - - - |
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