AMSC (AMSC) Q3 2024 earnings summary

Executive summary

• Acquired 980,000 additional shares in Solstad Maritime, raising ownership to 19.7%. Recognized NOK 156.4 million share of profit from Solstad Maritime in Q3 2024.

• Net profit from continuing operations was NOK 154.2 million in Q3 2024, up from NOK 31.2 million in Q3 2023. Year-to-date net profit reached NOK 818.6 million, compared to NOK 106.9 million in 2023.

• Quarterly dividend increased to NOK 0.60 per share, with NOK 45.7 million in expected dividends from Solstad Maritime in Q4.

• Sale of OSL1 completed in January 2024, recognized gain of NOK 370.4 million in Q1.

Financial highlights

• Q3 2024 EBITDA and EBIT from continuing operations were both negative NOK 6.3 million, improved from negative NOK 13.4 million in Q3 2023.

• Share of profit from equity-accounted Solstad Maritime was NOK 156.4 million in Q3 2024.

• Net financial income in Q3 2024 was NOK 5.8 million, up from NOK 0.7 million in Q3 2023, mainly due to higher interest income.

• Net profit before tax from continuing operations was NOK 153.6 million in Q3 2024, compared to a loss of NOK 13.5 million in Q3 2023.

• Year-to-date 2024 net profit from continuing operations was NOK 437 million, compared to a loss of NOK 59.8 million in 2023.

Outlook and guidance

• Offshore energy market fundamentals remain strong, with robust E&P spending and increased offshore wind activity supporting demand.

• AMSC expects continued positive exposure through its 19.7% stake in Solstad Maritime, which operates in both oil & gas and renewables.

• Some project scheduling risks remain, with potential for delays or postponements.