Cadeler A/S

Good morning and welcome to Caddler's Q1 2026 earnings presentation. Presenting today are Mikael Glierup, Chief Executive Officer, and Peter Brogard, Chief Financial Officer. Please be reminded that the presenter's remarks today will include forward-looking statements. Actual results may differ materially from those contemplated. The risks and uncertainties that could cause Caddler's results to differ materially from today's forward-looking statements include those detailed in Caddler's annual report, on Form 20F, on file with the United States Securities and Exchange Commission. Any forward-looking statements made this morning are based on assumptions as of today, and Cadler undertakes no obligation to update these statements as a result of new information or future events. This morning's presentation includes both IFRS and certain non-IFRS financial measures. A reconciliation of non-IFRS financial measures to the nearest IFRS equivalent is provided in Caddler's annual report. The annual report and today's earnings presentation are available on Caddler's website at caddler.com forward slash investor. We ask that you please hold all questions until the completion of the formal remarks, at which time you will be given instructions for the question and answer session. As a reminder, this call is being recorded today. If you have any objections, please disconnect at this time. Mikael, clear up, you may begin.

Thank you very much, and hello to everyone, and thank you for joining this Q1, 2026 presentation from Cattler. Just to start off the presentation, really a quarter that it has been running exactly as expected, financial performance in line with our expectations, continuing a robust backlog of work, standing currently at 2.7 billion Euro, which we believe provides a very solid earnings visibility for the company. New build program on track. We named the second A-class vessel in April, and she is about to deliver in the next couple of months as per the schedule. The third A-class vessel is delivering next year and is also on the schedule. have continued with solid execution across the globe and i'm also very pleased to say that wind ally and wind orca are fully mobilized and first complete monopile foundation has been installed on horn c3 which is very very important and a very important milestone for 2026 and we have a little bit extra on that further in the presentation very strong utilization vessels operating across the world and the next row has secured utilization on multi On the utilization, I would like just to quickly say that obviously we have many vessels that have been shifting between projects, so a lot of mobilization in the first quarter of the year, which has also been exactly as expected. In terms of commercial highlights, vessels continuing to execute on projects across the fleet, really a busy, busy, busy over on projects due to many different factors but really overall I would also say a quarter where we have been able to support our clients and to do what has been necessary to help them on their projects where they are currently engaged. Also very pleased to see that when Keepa has started its operation with Vestas and is performing on the project with Vestas as we speak. Next slide, please. On Horn C3, as I said, really from concept to delivery, we have had many, many questions over the course of the last four years where we have been in process towards the Horn C3 execution. A lot of planning is now finally coming to fruition. And it's very pleasing to be able to say that we now have proof of concept on the project with the first full monopile installed and also all the secondary and being commissioned and handed over to the client. And actually, we have eight monopiles in the water as per today's date. We have seven full. installed and five fully commissioned monopiles out there so really the project is going as per the plan the equipment that we have invested in that we are using on the project is working as we expected it and we are now slowly ramping up the speed on the project to get up to the speed where we want to be and to really make sure that there will be a smooth installation on this for our clients. So very, very pleased to say that we have proof of concept and that we are now delivering the full TNI foundation project. Still sitting on a very significant backlog across key markets, 2.7 billion backlog, as I said, already provides a very solid earnings visibility. We continue to operate in the US, in Europe and in APAC. and are really working on a lot of different opportunities for the future years. As we have said in this quarter also, we have executed and also for a rock dumping installation vessel that we believe all will strengthen our portfolio and our ability to support the clients going forward. We have also projects that are not in the backlog, but where we are currently working and projects that will be added to the backlog as and when they come to fruition. But all in all, I would say that we have been reaffirmed in our opinion since the beginning of the year that we are looking at a very, very busy 26-27 year We were when we did the annual report. And for 2029, we are working on some very, very interesting prospects at the moment. When we look into the new decade, we are also seeing very interesting projects and also a lot of projects currently in what we call category high. So this is really the category where we are working already now intensively with the client and where we believe that our vessels will be busy in the beginning of the next decade. On the backlog, 82% of the backlog have reached FID. We believe that that is a very, very solid number and also gives us the earnings visibility that we really need as a company. We also see the start of Nexra and the foundation of Our ambitions on Nextra continues to be strong and we continue to see that our main market for Nextra is the plus 11, 12 megabit segment where we believe that we have a very good foundation to play for the main components replacements for the bigger turbine sets in the industry. We also have preferred supply agreement that is not included in the backlog and where we currently are negotiating with a client for installation in 2018. In terms of the progress on the new builds, the wind days, we expect a delivery in the beginning of the third quarter this year. We have basically done most of the material work there, but we are still having some tests and on budget. We had the naming ceremony this year and we were proud to have Ms. Lisa Weston naming the vessel for us. The Wind Apex, as we also talked about on the annual report, we expect the Wind Apex to deliver in Q2-27 and we have been negotiating with the yard to manage early delivery of this vessel because we are working with a client for the Wind Apex immediately after its return to Europe and where client here in Europe. A few pictures from the naming ceremony on Wednesdays. A very big day for us as a team. Second foundation installation vessel delivered and the vessel will, after its delivery from the shipyard, return to Europe for the full mobilization for the East Anglia II project that we are commencing next year. the 1C3 project and implementing them into the EA2 project so we can ensure that our clients get the best possible product from Catalan. On the financial highlights, I will hand over to you now, Peter.

Thank you very much. Yes, for Q126, revenue was €124.7 million as compared to €65.5 million last year. XG ratio 47.6% and the adjusted utilization 77.7%, which is satisfactory for us. We adjust the utilization for transfer from the yard and plant at dry docks. And we had serotonin not on high in Q1. So this is really what is expected. Market cap is 2.3 billion euro. EBITDA was 47 million euro as compared to 23.7 million euro. Net profit minus 7 million euro impacted as also communicated at annual report. by interest on our bank facilities. We are now in a territory where we have delivered 10 vessels on the fleet and only two vessels under construction. Hence, more of the borrowing costs go to the P&L than we saw in strong backlog three months daily average turnover 7.7 million euro we have adjusted for the price placement that we did the 26th of March if we look at the P&L I think it's important to emphasize that it is Exactly as planned by us and totally in line with our own expectations. It goes for all the lines, both revenue and cost lines. It was as expected and we regarded it as a strong start to the year. Of course, a revenue increase as compared to last year because we have three more vessels on water. Cost of sales goes up. also due to the bigger fleet goes up of course relatively more than revenue because that we had some we had three vessels in transit we had vessels going from one project to another and we also had I think it's important to explain that, according to IFRS, we cannot start revenue recognition on a project before we start installing. Vindala has been mobilizing for the 43 project in June 1, but we have not taken any revenue in. That will be done later. Of course, we earn revenue on the contract under the mobilization, but cannot be taken to revenue in the P&L. Is DNA increased to last year? But again, A modest increase that shows, again, the picture that we have explained in previous quarters, that we did early a man-up of the organization to enable a bigger fleet, but also a foundation project. And that now shows the scalability of our organization. So the early investments now pays off. Finance debt continued to be up against last year, but due to this more OPEX per day is 40,837 euro per day, and that is a little bit higher than it would be the rest of the year due to mobilization on Ally and Saratang, and there was some smaller one-off expenses. Balance sheet, strong balance sheet, of course, increased by the equity, it's increased by the capital rates, we did 26 of Mars, and also lifting the equity ratio from 44% to 48%. Package program, it's a slide we have shown in the past to demonstrate that we are able to to finance the expansion of the fleet that we have planned. So, as you can see, we have signed committee financing for A-class. We are in the advanced discussions with the banks to launch the Apex financing in Q2. Here in Q2, 26 are expected to sign early Q3 for the vessels that is delivered next year. So in total, we have 641 available funding for that and a net of the outstanding installments with a net funding of 218. And we have not, in this waterfall, we have not taken in the cash that we have. on the balance sheet and the available facilities that we have not drawn on. So cash and available liquidity as per 31st of March was 221 million and available liquidity was 369 million. Of course, then we also have not, that should also come and order and discover rock installation vessels that we have announced in connection with the private placement. Still, we do our hedging policy which we stretch follow. It's 50% of US dollar exposure is hedged and 50% of interest exposure hedged for the first five years of the expected facilities. This is the financial, we should focus on what has happened since annual report. We have extended the RCFP that was supposed to terminate in June 26th. We have extended it for 18 months until the 27th. And we are in advanced negotiation on the accordion. on the corporate load that we have with HSBC. Euro 80 million, we expect to sign that here in Q2. And the reason for this is, you know, it is to have a reasonable offer when we are looking at available liquidity so we are 100% sure that we can go through the coming years and the CapEx program with the current financing. The full year outlook remains the same. It's unchanged and there's nothing we have seen from the performance in Q1 or until today that is not according to plan. Hence, course we maintain the outlook for the year the timing of the year is something that has maybe surprised some but we have always planned with a somewhat weaker Q1 in terms of revenue and income and then Q2, Q3 bigger quarters in terms of revenue and income and in total the outlook for the full outlook is unchanged. I will hand back to you, Sven.

Thank you very much, Peter. In terms of market outlook, a slight repetition of what we saw around the annual report, but what we are adding here is that we believe that the recent geopolitical tensions are increasingly pointing toward a higher demand for locally produced energy, energy security and affordability. And we believe that offshore wind will play a massive role of that coming our way, also with auctions in Europe that have momentum as one of the award criterias where we see that coming fast to the grid with a certain supply chain is something that is given a positive impact on the award criteria. And that's something we like to see because it's also something that is playing both in the direction of us as a company, but also for our clients. And we do believe that, as I said already, that we are in a very strong situation at the moment, two very strong years ahead of us here between 26 and 27. At 28, that is the annual report presentation. And then at 29, where we see a lot of interesting stuff that we are currently discussing with clients. So then we come into the next decade. And in the next decade, I think that the number of projects we see in the various years there, whether you look at the various consultant reports or whether we talk to the clients, we can see that there is a very, very significant amount of projects we are trying to prepare for together with our clients to make sure that we also see the projects that previously were uncertain or projects that were delayed. They are now back with a firm timeline and will be also tendered in the various rounds that we see across Europe. So all in all, I think we are moving into positive territory with also the utilities saying that it looks like a very strong comeback for offshore wind in Europe in the coming years. So I think that all in all, also auction round eight still move forward and still something that we are waiting to see the impact for. But I think that it's really something where we believe that there are some clients that are lined up to take an award in the UK round eight. Yes, please. We still believe in what we have discussed in the previous presentations regarding supply and demand. It is driven by factors like increased outbuild, as we have seen from North Sea Summit, various tender rounds across Europe. I think it's also important that... Not everything is as it seems to be. And I think that we have seen examples of that yesterday where there was announcements from Germany that maybe were over-interpreted by some and then was corrected later during the day. And I think that that is the situation. We are in an offshore wind. Very small changes create a lot of noise. trend of these announcements. But I believe that the supply and demand imbalance is certainly present, both on average, but also if we look especially into the next decade. And also, as I said, driven by new projects that are coming, but also driven to a certain degree for the demand from other areas, in particular O&M that is taking some demand, that has some demand that takes some supply away, but also some of the And that is something that we see very, very clearly. So we executed a successful private placement where we raised around 175 million euro. And we believe that that really unlocks the potential for us to go ahead with the two proposed T-class new wells and the acquisition of a scour protection vessel. And why did we do that? We have spoken to lots of investors since, and thanks for all the support from the investors. We were massively oversubscribed on the deal and are really grateful for the support we see in the market. We believe in a structural vessel undersupply, and we believe that with the delivery window, we have decided that we will be prepared for a very strong because they are featuring something that nobody else can offer at this stage. We believe that the experience we have with delivering vessels and also the relationship we have built up with the whole supply chain on the vessels but also the shipyards have given us an access to a very competitive pricing model on these vessels which is of course incredibly important when you have to live with them for 25 years after delivery. We also are looking into the scar protection asset, as we have already discussed, and for us, And we also believe that that will also be a de-risking of our foundation projects because we do not become solely depending on other companies providing this service to us or to our clients. And we believe that all in all, that is a better strategy, both for us and for our clients. And I would also like to say in this forum that the decision to go into that area is a decision that has been taken together with our clients who had a desire for us to be playing a role in this. announce utilization on such a vessel when the whole process towards the vessel has been finalized. And I think that all in all, the additional assets will allow us to continue to be flexible and have an integrated solution for our clients, which should all in all allow Kettler to get a but also something that we believe is driving a premium when we are executing a project because we are able to give the client a flexibility but also a redundancy that we believe is pretty unique for our industry. And in terms of how the market looks like, we in this presentation looking not discounting anything in terms of capability or efficiency, but have added the two T class vessels as potential vessels to be and are yet again manifesting being the largest company of our kind in the industry with a very, very solid asset base that is in very, very high demand from the clients. So all in all, as Peter said, and as I said, a quarter that has formed as we expected, and we have continued to build the company for a future that we believe will be very, very busy. So key investment highlights, as we already talked about, largest and most capable versatile fleet, which really means redundancy for the clients. And redundancy means a lot. If we look at where clients historically had issues on their project, it's really when the redundancy is non-existent. And that leads me to the next point with strong relationship with our clients. I am arguing that we have very, very strong relations. We are constantly in touch with our clients to make sure that they get the service from us that they something is not going to plan and we have a leading industry position as i said we believe that that will lead to a higher than fair share of market we are working globally and we can work everywhere and we also now have experience in working in every a role. We believe in a structured under supply and an increasing market demand and all in all we are building the fleet to handle that and to make sure that we return maximum value to our investors. Very strong track record and backlog and a backlog that we will continue to build over the coming quarters. And with that said I think that we are going into the Q&A

Thank you. At this time, we invite those analysts wishing to ask a question to click on the raise hand button, which can be found on the black bar at the bottom of your screen. You may remove yourself from the queue at any time by lowering your hand. When it is your turn, you will hear your name called and receive a prompt to be promoted. Please accept, wait a moment, and once you've been promoted, you may unmute yourself and ask your question. We encourage you to turn your video on as well. We will wait one moment to allow the queue to form. Our first question is from Jamie Franklin from Jefferies. Please unmute your line and ask your question.

Hey, guys. Thanks for taking my questions. Firstly, I just wanted to ask on utilization and how to think about the rest of the year. Is it fair to assume a sort of similar profile that we saw in 2025 utilization ramping up at a similar sort of magnitude? in 2Q, 3Q and maybe given that we're now halfway through the second quarter, are you able to give a bit more clarity on the kind of a range of utilization we might expect or if there are any specific factors that would result in 2Q vessel utilization being lower year on year?

I think that you're right in your first statement that we expect that utilization is coming up in the following quarters of this year. the Q1 being as per expectation. So we are completely in line with that. We can also say that the Q1 has been defined very much by vessels being swapped around, being in dry dock and preparing for projects. And that is work that has been done now. And we only have very little of that left for the remainder of the year. So hence, we believe that the utilization will be strong for the remainder of the year.

Thank you. And then maybe thinking about cash flow through the remainder of 2026. I believe that most of the remaining capex this year is obviously during the third quarter with the final installment on wind days. So you just wanted to confirm that and whether there's any additional capex to think about through the remainder of this year, please.

Yes, definitely there is. We also have an installment on this year on the around 90 million euros and then we expect also to sign the contract on the T-class vessels this year and then we also need to pay the first installment that we don't know exactly but it could probably be to the tune of 110 million euros or something for both vessels So that is the main components that we have in CapEx. Of course, there's also some on Windkeeper that will be finalized, but most of that was in Q1. So we have very little rest of the year on that one. And then there will also be something on the foundation project. So that is the run through of that.

Okay, very helpful. And then finally, you touched on wind apex and the potential for early delivery. Last results, you said it could be up to one month early. So is is the is that still the timeframe you sort of thinking about? And would there be any additional cost to the yard associated with early delivery? And if so, is that expected to be funded by the client?

Yes, so it's correct. We expect that the wind apex is now delivering towards the end of April, very early start of May. And that is already confirmed and signed with the shipyard. And there is a small associated cost with that, that is being part of the project negotiation with the client. Yes, that's correct.

Okay, that's very helpful. I'll hand it over. Thanks, guys. Thank you.

Thank you, Jamie. As a reminder, if anyone else would like to raise their hands, please use the raise hand feature at the bottom of your Zoom screen. We appear to have no further questions at this time. Thank you so much for your participation. I will now hand the floor back to Mikael Glierup for any closing remarks.

Thank you very much for listening in on this Q1 presentation. We are looking forward to a year that will very much be defined by execution and also the assets that we have discussed since the private placement. Thanks for the support from every investor.