Havila Kystruten (HKY) Investor presentation summary

Strategic positioning and operations

• Operates four vessels on the Norwegian Coastal Route, connecting 34 ports and serving as vital infrastructure for passengers, freight, and tourism across 2,500 nautical miles.

• Holds a long-term contract with the Norwegian Ministry of Transport through 2030, with a one-year extension option, ensuring predictable revenue.

• Market is protected and regulated, with only two operators and high barriers to entry due to flag, crew, operational, and environmental requirements.

• Route is commercially attractive, offering exclusive access to Norway’s fjords and landscapes, supporting strong tourism demand.

Environmental leadership and fleet

• Operates some of the world’s most environmentally friendly coastal vessels, featuring LNG and battery-hybrid propulsion, with up to four hours of zero-emission operation.

• Achieves 35-40% CO2 reduction with LNG and up to 90% reduction with biogas, plus 90% lower NOx & SOx emissions compared to 2017 diesel vessels.

• Fleet includes four modern ships delivered between 2021 and 2023, with hydrogen-ready capabilities and energy-efficient hull designs.

• Locally sourced food and heat recovery systems further enhance sustainability.

Revenue model and financial outlook

• Revenue is built from three streams: government contract (~20%), ticket sales (55-65%), and onboard/other spend (15-20%).

• Government contract is index-adjusted annually and covers local and regional passenger transport at regulated fares.

• Ticket revenue is driven by tourists, commuters, and short-haul passengers, while onboard spend includes excursions, dining, and amenities.

• Targeting NOK 600m EBITDA in 2026 with occupancy of 75-80% and average cabin revenue growth of 10-15% over 2025.

• 66% of 2026 capacity is already booked as of March 2026, indicating strong forward demand.