Annuncio • Jul 03
Northern Ocean Ltd. Announces Appointment of Lars Pedersen as Director Northern Ocean Ltd. announced the appointment of Lars Pedersen as a Director. Mr. Pedersen is an international maritime executive with more than 35 years of leadership experience across shipping and offshore support services. He has spent the past eight years with Frontline Management AS, where he serves as Chief Technical Officer, leading global fleet operations, digital transformation, ESG initiatives, and strategic growth, while also serving as Managing Director of Flex LNG Fleet Management. Previously, he held senior leadership positions with BW Group, A.P. Moller–Maersk, and Höegh. Lars brings extensive expertise in corporate governance, AI, Sale & Purchase (S&P), Mergers & Acquisitions (M&A), and major shipbuilding programs in China and South Korea. He serves on the board of Arundo Analytics and completed the Executive Board Leadership Programme at Copenhagen Business School. Following the appointment of Mr. Pedersen, the Board consisted of six directors. Reported Earnings • May 31
First quarter 2026 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2026 results: US$0.08 loss per share (further deteriorated from US$0.037 loss in 1Q 2025). Revenue: US$13.3m (down 76% from 1Q 2025). Net loss: US$23.1m (loss widened 106% from 1Q 2025). Revenue exceeded analyst estimates by 21%. Earnings per share (EPS) missed analyst estimates by 24%. Revenue is forecast to decline by 49% p.a. on average during the next 2 years, while revenues in the Energy Services industry in Norway are expected to remain flat. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has fallen by 13% per year, which means it is significantly lagging earnings. Major Estimate Revision • Mar 06
Consensus revenue estimates fall by 36% The consensus outlook for revenues in fiscal year 2026 has deteriorated. 2026 revenue forecast decreased from US$102.2m to US$65.4m. Forecast losses increased from -US$0.104 to -US$0.178 per share. Energy Services industry in Norway expected to see average net income growth of 30% next year. Consensus price target of kr11.00 unchanged from last update. Share price was steady at kr9.11 over the past week. Reported Earnings • Mar 02
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: US$0.34 loss per share (further deteriorated from US$0.23 loss in FY 2024). Revenue: US$279.4m (up 11% from FY 2024). Net loss: US$102.7m (loss widened 56% from FY 2024). Revenue exceeded analyst estimates by 21%. Earnings per share (EPS) missed analyst estimates by 82%. Revenue is expected to decline by 55% p.a. on average during the next 2 years, while revenues in the Energy Services industry in Norway are expected to grow by 5.4%. Over the last 3 years on average, earnings per share has increased by 43% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Price Target Changed • Feb 12
Price target increased by 18% to kr11.25 Up from kr9.50, the current price target is an average from 2 analysts. New target price is 21% above last closing price of kr9.30. Stock is up 17% over the past year. The company is forecast to post a net loss per share of US$0.19 next year compared to a net loss per share of US$0.23 last year. Annuncio • Feb 05
Northern Ocean Ltd., Annual General Meeting, May 12, 2026 Northern Ocean Ltd., Annual General Meeting, May 12, 2026. Major Estimate Revision • Feb 01
Consensus EPS estimates fall by 61% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from US$249.5m to US$231.0m. Losses expected to increase from US$0.12 per share to US$0.20. Energy Services industry in Norway expected to see average net income growth of 8.4% next year. Consensus price target of kr9.25 unchanged from last update. Share price was steady at kr9.14 over the past week. New Risk • Jan 30
New minor risk - Profitability The company is currently unprofitable and not forecast to become profitable over the next 2 years. Trailing 12-month net loss: US$66m Forecast net loss in 2 years: US$19m This is considered a minor risk. Companies that are not profitable are more likely to be burning through cash and less likely to be well established. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. Without profits, the company is under pressure to grow significantly while potentially having to reduce costs and possibly needing to take on debt or raise capital to remain afloat. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (12% average weekly change). Minor Risks Less than 1 year of cash runway based on current free cash flow (-US$54m). Currently unprofitable and not forecast to become profitable over next 2 years (US$19m net loss in 2 years). Breakeven Date Change • Jan 30
No longer forecast to breakeven The analyst covering Northern Ocean no longer expects the company to break even during the foreseeable future. The company was expected to make a profit of US$13.1m in 2026. New forecast suggests the company will make a loss of US$5.90m in 2027. Reported Earnings • Nov 29
Third quarter 2025 earnings: EPS and revenues miss analyst expectations Third quarter 2025 results: US$0.09 loss per share (improved from US$0.13 loss in 3Q 2024). Revenue: US$57.4m (up 52% from 3Q 2024). Net loss: US$25.9m (loss narrowed 28% from 3Q 2024). Revenue missed analyst estimates by 9.4%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 9.4% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Major Estimate Revision • Nov 27
Consensus estimates of losses per share improve by 31% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has improved. 2025 revenue forecast increased from US$231.6m to US$235.3m. EPS estimate increased from -US$0.169 per share to -US$0.117 per share. Energy Services industry in Norway expected to see average net income growth of 8.0% next year. Consensus price target of kr7.00 unchanged from last update. Share price was steady at kr8.11 over the past week. New Risk • Nov 26
New minor risk - Profitability The company is currently unprofitable and not forecast to become profitable over the next 2 years. Trailing 12-month net loss: US$76m Forecast net loss in 2 years: US$4.8m This is considered a minor risk. Companies that are not profitable are more likely to be burning through cash and less likely to be well established. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. Without profits, the company is under pressure to grow significantly while potentially having to reduce costs and possibly needing to take on debt or raise capital to remain afloat. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (12% average weekly change). Minor Risks Less than 1 year of cash runway based on current free cash flow (-US$81m). Currently unprofitable and not forecast to become profitable over next 2 years (US$4.8m net loss in 2 years). New Risk • Nov 17
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Norwegian stocks, typically moving 12% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (12% average weekly change). Minor Risk Less than 1 year of cash runway based on current free cash flow (-US$81m). Buy Or Sell Opportunity • Nov 11
Now 21% overvalued Over the last 90 days, the stock has fallen 7.9% to kr5.98. The fair value is estimated to be kr4.93, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 57% over the last 3 years. Earnings per share has grown by 22%. Revenue is forecast to grow by 28% in a year. Earnings are forecast to grow by 75% in the next year. Buy Or Sell Opportunity • Oct 16
Now 24% overvalued after recent price rise Over the last 90 days, the stock has risen 4.6% to kr6.08. The fair value is estimated to be kr4.90, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 57% over the last 3 years. Earnings per share has grown by 22%. Revenue is forecast to grow by 28% in a year. Earnings are forecast to grow by 75% in the next year. Price Target Changed • Sep 10
Price target decreased by 26% to kr7.00 Down from kr9.50, the current price target is provided by 1 analyst. New target price is 13% above last closing price of kr6.22. Stock is down 5.0% over the past year. The company is forecast to post a net loss per share of US$0.17 next year compared to a net loss per share of US$0.23 last year. Reported Earnings • Aug 31
Second quarter 2025 earnings: EPS and revenues exceed analyst expectations Second quarter 2025 results: US$0.05 loss per share (further deteriorated from US$0.033 loss in 2Q 2024). Revenue: US$52.6m (down 25% from 2Q 2024). Net loss: US$15.1m (loss widened 139% from 2Q 2024). Revenue exceeded analyst estimates by 67%. Earnings per share (EPS) also surpassed analyst estimates by 31%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 8.1% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has fallen by 16% per year, which means it is significantly lagging earnings. Breakeven Date Change • Aug 29 The 2 analysts covering Northern Ocean previously expected the company to break even in 2026. New consensus forecast suggests losses will reduce by 22% to 2025. The company is expected to make a profit of US$13.0m in 2026. Average annual earnings growth of 122% is required to achieve expected profit on schedule.
Buy Or Sell Opportunity • Aug 04
Now 20% overvalued Over the last 90 days, the stock has fallen 1.1% to kr6.28. The fair value is estimated to be kr5.23, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 68% over the last 3 years. Earnings per share has grown by 9.6%. Revenue is forecast to grow by 8.5% in a year. Earnings are forecast to grow by 48% in the next year. Major Estimate Revision • Jul 30
Consensus EPS estimates upgraded to US$0.12 loss, revenue downgraded The consensus outlook for fiscal year 2025 has been updated. 2025 revenue forecast fell from US$238.5m to US$234.3m. 2025 losses expected to reduce from -US$0.168 to -US$0.117 per share. Energy Services industry in Norway expected to see average net income growth of 20% next year. Consensus price target of kr9.00 unchanged from last update. Share price was steady at kr5.95 over the past week. Reported Earnings • May 05
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: US$0.23 loss per share (improved from US$0.39 loss in FY 2023). Revenue: US$252.9m (up 17% from FY 2023). Net loss: US$65.7m (loss narrowed 7.4% from FY 2023). Revenue missed analyst estimates by 3.3%. Earnings per share (EPS) also missed analyst estimates by 55%. Revenue is forecast to grow 7.3% p.a. on average during the next 3 years, compared to a 3.2% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has fallen by 14% per year, which means it is performing significantly worse than earnings. New Risk • Apr 28
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Norwegian stocks, typically moving 8.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Shareholders have been substantially diluted in the past year (66% increase in shares outstanding). Minor Risks Less than 1 year of cash runway based on current free cash flow (-US$75m). Share price has been volatile over the past 3 months (8.3% average weekly change). Price Target Changed • Apr 25
Price target decreased by 14% to kr9.50 Down from kr11.00, the current price target is an average from 2 analysts. New target price is 76% above last closing price of kr5.40. The company is forecast to post a net loss per share of US$0.16 next year compared to a net loss per share of US$0.23 last year. Major Estimate Revision • Mar 27
Consensus EPS estimates fall by 26% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from US$246.7m to US$238.0m. Losses expected to increase from US$0.14 per share to US$0.17. Energy Services industry in Norway expected to see average net income growth of 42% next year. Consensus price target of kr11.00 unchanged from last update. Share price rose 5.3% to kr7.00 over the past week. Major Estimate Revision • Mar 16
Consensus estimates of losses per share improve by 40% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has improved. 2025 revenue forecast increased from US$238.8m to US$243.0m. EPS estimate increased from -US$0.221 per share to -US$0.133 per share. Energy Services industry in Norway expected to see average net income growth of 42% next year. Consensus price target of kr11.00 unchanged from last update. Share price rose 4.5% to kr6.74 over the past week. Recent Insider Transactions • Mar 14
Chief Commercial Officer recently bought kr442k worth of stock On the 12th of March, Eirik Sunde bought around 68k shares on-market at roughly kr6.48 per share. This trade did not impact their existing holding. This was the largest purchase by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Breakeven Date Change • Feb 27
Forecast breakeven date moved forward to 2025 The 2 analysts covering Northern Ocean previously expected the company to break even in 2026. New consensus forecast suggests the company will make a profit of US$3.40m in 2025. Earnings growth of 145% is required to achieve expected profit on schedule. Reported Earnings • Feb 26
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: US$0.23 loss per share (improved from US$0.39 loss in FY 2023). Revenue: US$263.9m (up 22% from FY 2023). Net loss: US$65.7m (loss narrowed 7.4% from FY 2023). Revenue missed analyst estimates by 3.3%. Earnings per share (EPS) also missed analyst estimates by 55%. Revenue is forecast to grow 9.4% p.a. on average during the next 2 years, compared to a 2.4% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has fallen by 4% per year whereas the company’s share price has increased by 1% per year. Major Estimate Revision • Feb 07
Consensus EPS estimates fall by 41% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from US$273.0m to US$270.0m. Losses expected to increase from US$0.15 per share to US$0.21. Energy Services industry in Norway expected to see average net income growth of 55% next year. Consensus price target up from kr11.00 to kr11.50. Share price rose 4.0% to kr7.97 over the past week. Price Target Changed • Feb 06
Price target increased by 9.5% to kr11.50 Up from kr10.50, the current price target is an average from 2 analysts. New target price is 43% above last closing price of kr8.05. The company is forecast to post a net loss per share of US$0.21 next year compared to a net loss per share of US$0.39 last year. Annuncio • Jan 22
Northern Ocean Ltd., Annual General Meeting, May 08, 2025 Northern Ocean Ltd., Annual General Meeting, May 08, 2025. Major Estimate Revision • Jan 11
Consensus EPS estimates fall by 76% The consensus outlook for fiscal year 2024 has been updated. 2024 expected loss increased from -US$0.083 to -US$0.147 per share. Revenue forecast unchanged at US$268.4m. Energy Services industry in Norway expected to see average net income growth of 81% next year. Consensus price target up from kr10.50 to kr11.00. Share price was steady at kr8.19 over the past week. New Risk • Dec 01
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Norwegian stocks, typically moving 7.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Shareholders have been substantially diluted in the past year (66% increase in shares outstanding). Minor Risk Share price has been volatile over the past 3 months (7.3% average weekly change). Reported Earnings • Nov 24
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: US$0.19 loss per share (further deteriorated from US$0.097 loss in 3Q 2023). Revenue: US$39.9m (down 46% from 3Q 2023). Net loss: US$35.9m (loss widened 103% from 3Q 2023). Revenue missed analyst estimates by 4.0%. Earnings per share (EPS) also missed analyst estimates by 149%. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 4.0% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Major Estimate Revision • Nov 20
Consensus EPS estimates fall by 58%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from US$271.7m to US$274.8m. Forecast EPS reduced from -US$0.084 to -US$0.133 per share. Energy Services industry in Norway expected to see average net income growth of 71% next year. Consensus price target of kr10.50 unchanged from last update. Share price rose 13% to kr8.55 over the past week. New Risk • Nov 18
New major risk - Revenue and earnings growth Earnings have declined by 30% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 30% per year over the past 5 years. Shareholders have been substantially diluted in the past year (66% increase in shares outstanding). Breakeven Date Change • Nov 14
Forecast breakeven date pushed back to 2026 The 2 analysts covering Northern Ocean previously expected the company to break even in 2025. New consensus forecast suggests the company will make a profit of US$32.2m in 2026. Average annual earnings growth of 119% is required to achieve expected profit on schedule. Breakeven Date Change • Oct 25
Forecast breakeven date pushed back to 2026 The 2 analysts covering Northern Ocean previously expected the company to break even in 2025. New consensus forecast suggests the company will make a profit of US$40.5m in 2026. Average annual earnings growth of 122% is required to achieve expected profit on schedule. Breakeven Date Change • Oct 17
Forecast breakeven date pushed back to 2026 The 2 analysts covering Northern Ocean previously expected the company to break even in 2025. New consensus forecast suggests the company will make a profit of US$34.7m in 2026. Average annual earnings growth of 118% is required to achieve expected profit on schedule. Breakeven Date Change • Sep 29
Forecast breakeven date pushed back to 2026 The 2 analysts covering Northern Ocean previously expected the company to break even in 2025. New consensus forecast suggests the company will make a profit of US$41.2m in 2026. Average annual earnings growth of 122% is required to achieve expected profit on schedule. Annuncio • Sep 12
Northern Ocean Ltd. Appoints Eirik Sunde as Chief Commercial Officer, Effective as of 1 December 2024 Northern Ocean Ltd. has appointed Eirik Sunde as the new Chief Commercial Officer, effective as of 1 December 2024. Eirik Sunde joins NOL from Transocean, where he has served as Senior Marketing Manager, overseeing commercial processes for the Norwegian sector. Eirik holds a Masters degree in economics from the University of Edinburgh. Major Estimate Revision • Sep 04
Consensus estimates of losses per share improve by 45% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has improved. 2024 revenue forecast increased from US$254.7m to US$264.5m. EPS estimate increased from -US$0.212 per share to -US$0.117 per share. Energy Services industry in Norway expected to see average net income growth of 54% next year. Consensus price target of kr12.00 unchanged from last update. Share price fell 3.7% to kr6.94 over the past week. Reported Earnings • Aug 29
Second quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Second quarter 2024 results: US$0.03 loss per share (improved from US$0.099 loss in 2Q 2023). Revenue: US$73.3m (up 109% from 2Q 2023). Net loss: US$6.31m (loss narrowed 65% from 2Q 2023). Revenue exceeded analyst estimates by 1.6%. Earnings per share (EPS) missed analyst estimates by 7.4%. Revenue is forecast to grow 3.2% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Annuncio • Aug 21
Northern Ocean Ltd. Appoints Arne Jacobsen as New CEO, Effective 20 August 2024 The Board of Directors of Northern Ocean Ltd. has appointed Arne Jacobsen as the new Chief Executive Officer of NOL effective as of 20 August 2024. Arne Jacobsen was previously the Chief Executive Officer (CEO) of Orion, a joint venture between Hayfin Capital and Transocean, and has experience as a senior investment advisor for the oil and gas investment portfolio of Hayfin Capital. Beyond his background as an investment professional, Arne Jacobsen holds extensive commercial and operational experience from the oil and gas industry. Before joining Hayfin Capital, Jacobsen held leading positions in Songa Offshore and Ocean Rig, where he was positioned both in Brazil, South Korea and Norway. Annuncio • Aug 09
Hemen Holding Limited completed the acquisition of 6.62% stake in Northern Ocean Ltd. (OB:NOL) for NOK 140 million. Hemen Holding Limited launched a mandatory offer to acquire remaining 52.39% stake in Northern Ocean Ltd. (OB:NOL) for NOK 1.11 billion on July 10, 2024. Offer price is NOK 7 per share in Northern. As of the date hereof, Hemen holds 144,373,315 shares in Northern Ocean, representing 47.61% of the shares and votes in Northern Ocean. Offer period starts from 11 July 2024 to 8 August 2024. The Offer Price corresponds to the subscription price in the private placement announced on 19 June 2024 (the "Private Placement"), which also corresponds to the subscription price in the contemplated subsequent offering, which was also announced in connection with the Private Placement. The employees have not made any separate statement regarding the Offer. Based on a holistic and therefore judgmental evaluation of all the matters set out above, we have concluded that the terms of the Offer from a financial point of view does not represent a full and fair arm’s length price for all the outstanding shares of NOL.
Pareto Securities AS acted as a Receiving agent to Northern Ocean. KWC AS as an independent third party to provide a fairness opinion and independent assessment of the Offer (“Independent Statement”) on behalf of the Northern Ocean.
Hemen Holding Limited completed the acquisition of 6.62% stake in Northern Ocean Ltd. (OB:NOL) for NOK 140 million on August 8, 2024. At the expiry of the Offer Period, Hemen had received acceptances of the Offer amounting to 20,116,579 Shares, which taken together with the 144,373,315 Shares held by Hemen at commencement of the Offer Period equals 164,489,894 Shares, representing approximately 54.2% of the issued share capital and voting rights in NOL. The calculation of the number of shares tendered in the Offer is preliminary and may be subject to change until the shares tendered in the Offer have been collected from the VPS accounts of the NOL shareholders who have accepted the Offer following the standard T+2 settlement cycle, and such shares have been transferred to a settlement account of Pareto Securities AS (the \"Receiving Agent\"). The final result of the Offer will be announced once confirmed by the Receiving Agent, expected before the Oslo Stock Exchange opens on 14 August 2024. Cash settlement for the Offer will be made pursuant to the terms of the offer document and will take place no later than 22 August 2024, being 14 calendar days after expiry of the Offer Period. For further information on the Offer, refer to the offer document which is available at www.paretosec.com/transactions, subject to regulatory restrictions in certain jurisdictions. New Risk • Jun 27
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 66% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. This is currently the only risk that has been identified for the company. New Risk • Jun 23
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 50% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (7.2% average weekly change). Shareholders have been diluted in the past year (50% increase in shares outstanding). Annuncio • Jun 20
Northern Ocean Ltd. announced that it has received NOK 633.767995 million in funding Northern Ocean Ltd. announced a private placement of 90,538,285 new shares at a price of NOK 7 per share for the gross proceeds of NOK 633,767,995 on June 19, 2024. Major Estimate Revision • Jun 06
Consensus EPS estimates fall by 161% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from US$266.9m to US$257.1m. Losses expected to increase from US$0.079 per share to US$0.20. Energy Services industry in Norway expected to see average net income growth of 48% next year. Consensus price target of kr14.00 unchanged from last update. Share price fell 3.6% to kr8.77 over the past week. Reported Earnings • May 30
First quarter 2024 earnings: EPS and revenues miss analyst expectations First quarter 2024 results: US$0.05 loss per share (improved from US$0.092 loss in 1Q 2023). Revenue: US$85.4m (up 175% from 1Q 2023). Net loss: US$9.64m (loss narrowed 43% from 1Q 2023). Revenue missed analyst estimates by 2.0%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to grow 5.0% p.a. on average during the next 3 years, compared to a 5.3% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Apr 26
Consensus EPS estimates fall by 20%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from US$246.5m to US$255.4m. Forecast EPS reduced from -US$0.063 to -US$0.075 per share. Energy Services industry in Norway expected to see average net income growth of 81% next year. Consensus price target of kr14.00 unchanged from last update. Share price fell 5.1% to kr9.01 over the past week. Major Estimate Revision • Mar 06
Consensus EPS estimates fall by 12% The consensus outlook for fiscal year 2024 has been updated. 2024 expected loss increased from -US$0.058 to -US$0.065 per share. Revenue forecast unchanged at US$256.7m. Energy Services industry in Norway expected to see average net income growth of 72% next year. Consensus price target of kr14.00 unchanged from last update. Share price rose 17% to kr9.51 over the past week. Reported Earnings • Feb 29
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: US$0.39 loss per share (improved from US$0.80 loss in FY 2022). Revenue: US$236.9m (up US$215.3m from FY 2022). Net loss: US$70.9m (loss narrowed 24% from FY 2022). Revenue exceeded analyst estimates by 4.2%. Earnings per share (EPS) missed analyst estimates by 9.9%. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 7.6% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. New Risk • Jan 24
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Norwegian stocks, typically moving 8.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Less than 1 year of cash runway based on current free cash flow (-US$132m). Share price has been volatile over the past 3 months (8.1% average weekly change). Breakeven Date Change • Dec 24
Forecast breakeven date pushed back to 2025 The 2 analysts covering Northern Ocean previously expected the company to break even in 2024. New consensus forecast suggests losses will reduce by 62% per year to 2024. The company is expected to make a profit of US$33.2m in 2025. Average annual earnings growth of 87% is required to achieve expected profit on schedule. Breakeven Date Change • Dec 21
Forecast breakeven date pushed back to 2025 The 2 analysts covering Northern Ocean previously expected the company to break even in 2024. New consensus forecast suggests losses will reduce by 70% per year to 2024. The company is expected to make a profit of US$65.3m in 2025. Average annual earnings growth of 116% is required to achieve expected profit on schedule. Price Target Changed • Dec 13
Price target decreased by 13% to kr17.90 Down from kr20.50, the current price target is an average from 2 analysts. New target price is 83% above last closing price of kr9.78. Stock is up 2.5% over the past year. The company is forecast to post a net loss per share of US$0.37 next year compared to a net loss per share of US$0.80 last year. Reported Earnings • Nov 29
Third quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2023 results: US$0.097 loss per share (improved from US$0.24 loss in 3Q 2022). Revenue: US$74.2m (up US$73.9m from 3Q 2022). Net loss: US$17.7m (loss narrowed 36% from 3Q 2022). Revenue exceeded analyst estimates by 9.9%. Earnings per share (EPS) missed analyst estimates. Revenue is forecast to grow 26% p.a. on average during the next 3 years, compared to a 7.0% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has increased by 14% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Sep 26
Price target increased by 14% to kr20.50 Up from kr18.00, the current price target is an average from 2 analysts. New target price is 38% above last closing price of kr14.88. Stock is up 60% over the past year. The company is forecast to post a net loss per share of US$0.23 next year compared to a net loss per share of US$0.80 last year. Reported Earnings • Aug 31
Second quarter 2023 earnings: EPS and revenues exceed analyst expectations Second quarter 2023 results: US$0.099 loss per share (improved from US$0.28 loss in 2Q 2022). Revenue: US$35.0m (up US$34.6m from 2Q 2022). Net loss: US$18.0m (loss narrowed 38% from 2Q 2022). Revenue exceeded analyst estimates by 35%. Earnings per share (EPS) also surpassed analyst estimates by 20%. Revenue is forecast to grow 37% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has increased by 30% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Jun 02
Full year 2022 earnings released: US$0.80 loss per share (vs US$0.17 loss in FY 2021) Full year 2022 results: US$0.80 loss per share (further deteriorated from US$0.17 loss in FY 2021). Revenue: US$21.7m (down 63% from FY 2021). Net loss: US$92.9m (loss widened US$81.9m from FY 2021). Revenue is forecast to grow 45% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Jun 02
Consensus EPS estimates fall by 61%, revenue upgraded The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast increased from US$209.6m to US$214.5m. Forecast EPS reduced from -US$0.144 to -US$0.232 per share. Energy Services industry in Norway expected to see average net income growth of 102% next year. Consensus price target up from kr18.00 to kr20.00. Share price fell 4.3% to kr12.06 over the past week. Breakeven Date Change • May 03
Forecast breakeven date pushed back to 2024 The analyst covering Northern Ocean previously expected the company to break even in 2023. New forecast suggests losses will reduce by 70% to 2023. The company is expected to make a profit of US$23.0m in 2024. Average annual earnings growth of 98% is required to achieve expected profit on schedule. Reported Earnings • Apr 30
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: US$0.80 loss per share (further deteriorated from US$0.17 loss in FY 2021). Revenue: US$21.7m (down 63% from FY 2021). Net loss: US$92.9m (loss widened US$81.9m from FY 2021). Revenue missed analyst estimates by 79%. Earnings per share (EPS) also missed analyst estimates by 67%. Revenue is forecast to grow 43% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Energy Services industry in Norway. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has only increased by 18% per year, which means it is significantly lagging earnings growth. Recent Insider Transactions • Mar 16
Chief Financial Officer recently bought kr1.9m worth of stock On the 13th of March, Jonas Ytreland bought around 150k shares on-market at roughly kr12.72 per share. This trade did not impact their existing holding. This was the largest purchase by an insider in the last 3 months. This was Jonas' only on-market trade for the last 12 months. Reported Earnings • Mar 01
Full year 2022 earnings released: US$0.80 loss per share (vs US$0.17 loss in FY 2021) Full year 2022 results: US$0.80 loss per share (further deteriorated from US$0.17 loss in FY 2021). Revenue: US$21.7m (down 63% from FY 2021). Net loss: US$92.9m (loss widened US$81.9m from FY 2021). Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has fallen by 29% per year, which means it is significantly lagging earnings. Reported Earnings • Dec 01
Third quarter 2022 earnings released: US$0.24 loss per share (vs US$0.41 loss in 3Q 2021) Third quarter 2022 results: US$0.24 loss per share. Revenue: US$266.0k (down 92% from 3Q 2021). Net loss: US$27.4m (loss widened 4.9% from 3Q 2021). Revenue is forecast to grow 108% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Energy Services industry in Norway. Board Change • Nov 16
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 4 experienced directors. No highly experienced directors. No independent directors (4 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Reported Earnings • Aug 26
Second quarter 2022 earnings released: US$0.28 loss per share (vs US$0.39 loss in 2Q 2021) Second quarter 2022 results: US$0.28 loss per share. Revenue: US$417.0k (down 96% from 2Q 2021). Net loss: US$29.1m (loss widened 16% from 2Q 2021). Over the next year, revenue is forecast to grow 355%, compared to a 14% growth forecast for the Energy Services industry in Norway. Reported Earnings • May 28
First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind First quarter 2022 results: US$0.15 loss per share. Revenue: US$10.1m (down 60% from 1Q 2021). Net loss: US$14.2m (loss widened 25% from 1Q 2021). Revenue missed analyst estimates by 37%. Earnings per share (EPS) exceeded analyst estimates by 54%. Over the next year, revenue is forecast to grow 201%, compared to a 9.8% growth forecast for the industry in Norway. Board Change • Apr 27
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 4 experienced directors. No highly experienced directors. No independent directors (4 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Reported Earnings • Mar 28
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: US$0.17 loss per share (up from US$0.57 loss in FY 2020). Revenue: US$58.1m (down 34% from FY 2020). Net loss: US$11.0m (loss narrowed 70% from FY 2020). Revenue missed analyst estimates by 37%. Earnings per share (EPS) also missed analyst estimates by 54%. Over the next year, revenue is forecast to grow 82%, compared to a 13% growth forecast for the industry in Norway.