Akastor ASA

Good afternoon and welcome to the presentation of Akastor's fourth quarter results. My name is Øyvind Pålske, CFO, and I'm joined today by our CEO, Mr. Karl-Erik Kjellstad. We're also pleased to be joined by the HMH leadership team today from two different locations, so we hope that will run smoothly. They are represented by Erik Bergsvik, CEO, Tom McKee, CFO, and David Bratton, SVP Finance. We'll take questions at the end of the session, and you can send them in at any time through the online Q&A function. To kick things off, Kalle will walk us through the headline developments from the quarter. Kalle, over to you.

Thank you, Eivind, and good afternoon, and good morning to our U.S. participants, and thank you to everyone for joining us today. Let us start with the key highlights for the fourth quarter on slide two. Acosto continues to be in a solid financial position. We maintain a positive net cash position and have no draw on our corporate SEF. With this backdrop, we are pleased to announce another cash distribution of LUC 0.4 per share, supported by DDB Offshore's sale of the Scania Atlantic vessel in January this year. This marks our third consecutive quarterly distribution and confirms our strategy of returning excess capital to our shareholders while maintaining a solid capital structure. Turning to HMH, the company continues to deliver strong financial performance, illustrated in this quarter by an EBITDA of US$58 million, corresponding to 28% EBITDA margin. Importantly, HMH also generated US$66 million in cash flow, underscoring both the quality of its operations and the company's strong value creation capabilities. Also during the quarter, HMH successfully refunded its Nordic bond, lowering financing costs and also establishing an important foundation for potential future liquidity events. The value for ownership in HMH now represents close to 80% of the total capital employed. The book value stood at NOK 3.5 billion at the end of the quarter, or almost NOK 13 kroner per cost of share. Somewhat higher than last quarter, following the positive earnings contributions from HMH. Our costs offshore. The Arkov-Santos vessel was in the fourth quarter formally awarded a new four-year MPSV contract with Petrobras, expected to commence in January 2027. Early this quarter, the current contract was extended to January 2027, ensuring a seamless transition into the new contract and safeguarding earnings for Arkovs through the period. In addition, the ARCA wafer was nominated during the quarter for a new four-year SESVS contract with Petrobras, expected to start in the third quarter of 2027, with a final formal signing expected soon. It is again worth noting that our current book value of ARCA reflects a conservative measure driven by historic costs and the company's accumulated losses to date. It does not capture the underlying asset values or the strengthened contract portfolio, under which all three vessels will be operating on new, significantly improved terms from 2027 and onwards. We continue to see material upside potential in ACOVS, and we remain focused on ensuring that this value is increasingly recognized over time. DDB Offshore During the quarter, DDB offshore completed a fleet refinancing that will reduce future financing costs. The book value for investment at year-end corresponds to NOK 1.2 kroner per Acosta share, an average book value per vessel of around USD 10 million. Post the quarter, DDB sold the Scania Atlantic vessel for USD 22.75 million, significantly above the book value of this vessel of USD 9 million. With that, I'm pleased to introduce HMH CFO and EVP Thomas McGee, who will take us through HMH's fourth quarter results. Tom, please, the floor is yours.

Yes, thank you. Before I would like to say a few words to open up.