Fourth-quarter and preliminary annual results 2017 - Net Asset Value up by 20.4 per cent to NOK 41.8 billion - cash dividend of NOK 18 per share pro...
The net asset value ("NAV") of Aker ASA and holding companies ("Aker") increased by 20.4 per cent in the fourth quarter to NOK 41.8 billion (NOK 562 per share), compared to NOK 34.7 billion as per 30 September 2017. Aker's NAV stood at NOK 34.3 billion as per year-end 2016.
The Aker share increased 23.2 per cent in the fourth quarter. This compares to a 4.0 per cent increase in the Oslo Stock Exchange's benchmark index ("OSEBX"). The Aker share gained 24.8 per cent in 2017, and 30.7 per cent dividend included, compared to a 19.1 per cent increase in the OSEBX.
Aker's Board of Directors proposes a payment of NOK 18 per share ordinary cash dividend for 2017. The proposal corresponds to a 4.5 per cent yield to the share price and 3.2 per cent of NAV at the close of 2017. Aker's policy is to pay annual dividends of 2-4 per cent of the company's NAV.
"Fourth quarter marked the end of yet another strong year for Aker. In 2017, Aker's NAV appreciated 25.7 per cent, dividend included. The Aker board of directors proposes to pay NOK 18 per share in cash dividend to our shareholders for the fiscal year 2017. Strong underlying performance in our portfolio companies, increased upstream cash flow to Aker, M&A and improved outlook in oil and gas have been main contributors to the positive development. In 2018, we would like to see more of the same," said Aker's President and CEO Øyvind Eriksen.
The value of Aker's Industrial Holdings portfolio rose to NOK 44.6 billion in the fourth quarter, up from NOK 36.0 billion at the end of the third quarter and NOK 35.1 billion as per year-end 2016. The quarterly increase is primarily explained by a NOK 7.3 billion value increase of the listed holdings and Aker's NOK 1.6 billion investment in shares in Aker BP. The value of Aker's Financial Investments portfolio stood at NOK 5.8 billion at the end of the fourth quarter, up from NOK 5.6 billion as per 30 September 2017, and down from NOK 8.0 billion as per 31 December 2016.
Aker's liquidity reserve, including undrawn credit facilities, stood at NOK 4.0 billion as per 31 December 2017. Cash and liquid fund investments amounted to NOK 1.7 billion at the end of the fourth quarter, slightly up from prior quarter and down from NOK 4.9 billion as per year-end 2016.
"Aker's financial position remains solid. Our financial robustness allows us to both pay a competitive dividend to our shareholders and employ capital," Eriksen said.
The value-adjusted equity ratio was 83 per cent, on par with prior quarter and up from 80 per cent per 31 December 2016.
The full report can be downloaded from www.akerasa.com .
Net asset value (NAV) is Aker ASA's core performance indicator. Aker is an investment company with a majority of listed companies in its portfolio. Therefore, NAV is a more relevant indicator of the development of Aker's underlying value than the company's consolidated accounts.
For further information, please contact:
Per Kristian Reppe, Head of Investor Relations
Phone: +47 24 13 00 67
Mobile: +47 90 03 32 03
Atle Kigen, Head of Corporate Communications
Phone: +47 24 13 00 08
Mobile: +47 90 78 48 78
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.