Kaldvik As · OSL:KLDVK
Kaldvik As — Ice Fish Farm AS — Q4 2021 Earnings Presentation
26 slides from Kaldvik As's earnings presentation, Feb 23, 2022
Slide 1: Ice Fish Farm AS Fourth Quarter 2021 results
Ice Fish Farm AS Fourth Quarter 2021 results 23 February 2021 Guðmundur Gíslason, CEO Róbert Róbertsson, CFO PRIVATE & CONFIDENTIAL
Slide 2: Forward looking statements
Forward looking statements This Presentation contains forward-looking information and statements relating to the business, financial performance and results of the Group and/or industry and markets in which it operates. Forward-looking statements are statements that are not historical facts and may
Slide 3: Table of contents
Table of contents Key Highlights Financial performance Combined Growth Path Outlook PRIVATE & CONFIDENTIAL Appendix 3
Slide 4: Highlights in Q4 2021
Highlights in Q4 2021 New Record harvest in Q4 in 2021 was 1.823 compared EBIT/kg (NOK) Salmon to 1.561 tons in 2020. 15,4 ICE FISH FARM AS harvested 5.451 tons in 2021 compared to 3.916 tons in 2020. 5,1 EBIT for salmon amounted to NOK –0,5 per kg in Q4 4,1 2021 compared to NOK 5,1 per kg in Q4 202
Slide 5: Table of contents
Table of contents Key Highlights Financial performance Combined Growth Path Outlook PRIVATE & CONFIDENTIAL Appendix 5
Slide 6: Financial summary
Financial summary Challenging Quarter Revenue Group (NOK’m) 322,8 283,5 Despite increased harvesting in Q4 2021 the revenues are similar in to Q4 2020 due to lower price achivement. Investments for the past couple of years cause icreased depreciation which cause Operational EBIT to be around 0 in Q4
Slide 7: Financial summary: strong balance sheet
Financial summary Strong balance sheet Assets NOKm Equity ratio Assets Increase of assets due to investments 442.595 in porduciton capacity on land and sea. 494.511 65,4% 65,5% Q4 investmetns amounted to 29M NOK. 1.270.332 973.164 Total net investments for the year ended at 305M NOK. 31.12.2021 31.1
Slide 8: Table of contents
Table of contents Key Highlights Financial performance Combined Growth Path Outlook PRIVATE & CONFIDENTIAL Appendix 8
Slide 9: Ice will become a market leader with full access of the East Fjord
Ice will become a market leader with full access of the East Fjord 2 + 2 fjords 1 fjord 3 + 2 fjords 6 + 4 sites 7 sites 13 + 4 sites 3 smolt facilities 3 smolt facilities 6 smolt facilities 1 harvest facility 1 harvest facility 1 harvest facility 20.8kt MAB granted 16kt MAB granted 36.8kt MAB grant
Slide 10: Production Synergy – Potential for significant improvement
Production Synergy – Potential for significant improvement Milestone 1: Reach Stable Yearly Production ≈ 30 000 tonnes. Yearly release 7-8 million post smolt >300 gram Reduced Biological Risk Bigger smolts - > reduced time in sea -> reduce exposure for risks 13 (17) sites and 3 (5) fjords Possibilit
Slide 11: Highlights in Q4 2021 – Combination of ICE FISH FARM and Laxar
Highlights in Q4 2021 – Combination of ICE FISH FARM and Laxar Transaction overview Harvested biomass (tons) Majority of shareholders in ICE FISH FARM AS and Laxar ehf have agreed to combine the companies, which was introduced on the 13th of December 2021 14,8 Ice will acquire Laxar with a relative
Slide 12: Certifications that ensure environmentally-friendly production
Certifications that ensure environmentally-friendly production Certified quality and sustainable aquaculture Differentiated from other salmon producers Salmon from Ice Fish Farm Icelandic branding has received international and pristine Icelandic recognition for its deep red nature color, high-quali
Slide 13: Clear strategical combination rationale
Clear strategical combination rationale Economics of Operational Regulatory Bigger smolts Sales & scale improvment Marketing Economics of scale Enhancing the MAB Higher probability of Access to big smolt Brand building through larger utilization by applying licenses to be production from Premium sal
Slide 14: Joint management team
Joint management team Management structure Joint management team CEO - Guðmundur Gíslason Boards of ICE and Laxar ▪ Bs in Business and MBA from University of Reykjavík ▪ Co-founder of ICE Fish Farm in 2012 ▪ Previous experience family car importer company B&L and bult up first data center in Iceland
Slide 15: Table of contents
Table of contents Key Highlights Financial performance Combined Growth Path Outloook PRIVATE & CONFIDENTIAL Appendix 15
Slide 16: Outlook combined company
Outlook combined company Future Growth Market Finalise acquisition of Laxar Price of salmon going up. 17th tons license pending in application. Good opportunity globally for Upon finalisation of expansion projects, premium salmon. total smolt capacity will be 8 million at average size of close to 40
Slide 17: PRIVATE & CONFIDENTIAL
. PREMIUM Bt ICELAND : OMEGA 100% © PROTEIN + QUALITY |; 6 Nowones RICH 17
Slide 18: Table of contents
Table of contents Key Highlights Financial performance Combined Growth Path Outlook PRIVATE & CONFIDENTIAL Appendix 18
Slide 19: Ice Fish Farm at a glance combined with Laxar
Ice Fish Farm at a glance combined with Laxar Key Highlights Established farming stronghold Fjords with granted licenses Fjords will have granted license in 2022 100% control of Region Fjords still waiting to get biomass 13 farming locations and 36,8th measurements, before an auction tons MAB licens
Slide 20: Laxabraut smolt station owned by Laxar
Laxabraut smolt station owned by Laxar Huge capacity Over 30 thousand cubic of tank space. Been in operation since 2017 Delivered big smolts with average weigh of 318gr Most likely biggest smolt station in the world Possible to double production in future Challenge has been sea transfer Good improve
Slide 21: Licenses status with 71,8 MAB potential
Licenses status with 71,8 MAB potential Issued licenses 36,8 MAB Current applications 17 MAB Potential licenses 18 MAB 15.800 2 10.000 3.500 3 1 6.500 12.800 7.000 2.300 16.000 56.000 2.300 41.000 34.500 18.500 Current license at Laxar license in Current license at Stöðvarfjörður Seyðisfjörður Seyði
Slide 22: Steps for improved production in 2022
Steps for improved production in 2022 Smolt farming Sea farming Processing and distribution End customer ► Ongoing investments for improved ► Production zones to lower risk ► A box factory is being set up at ► Majority of harvest for Q1 is contracted production and more capacity in all ► Shorten tim
Slide 23: Potential of 3.825 tons of big smolts
Potential of 3.825 tons of big smolts Capacity of smolt per Smolt stations year (millions) Size (grams) Biomass delivered (tons) Rifós and Kópasker 3-4 300-400 1.600 Laxabraut, Bakki and Fiskalón 3-4,5 300-400 1.600 Isþór 2,5 150-250 625 Total 10,5 325 3.825 Smolt facilities locations built where we
Slide 24: Structure of ICE FISH FARM
Structure of ICE FISH FARM Current Interim Merged Laxar (Consolidation) Ice Fish farm Ice Fish farm (Parent) Ice Fish farm (Parent) (Parent) Fiskeldi Austfjarða Fiskeldi Austfjarða Laxar (Consolidation) Laxar (Parent) (100%) ICE + Laxar + Rifós + Búlandstindur (100%) Laxar 100% (Subsidiary) Rifós 99
Slide 25: Risk diversion, smolt south and north, and spread farming over 18 locations
Risk diversion, smolt south and north, and spread faring over 18 locations Farming locations: Kòpasker (Post smolt station) Rifòs East Fjords (Smolt station) Seyðisfjörður Mjóifjörður Norðfjarðaflói Reyðafjörður 18 farming Fáskrúðsfjörður locations Stöðvafjörður Berufjörður Bulandstindur (Processing
Slide 26: PRIVATE & CONFIDENTIAL
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