Kingfish Company N.v. · OSL:KING
Kingfish — The Kingfish Company — H1 2022 Earnings Presentation
24 slides from Kingfish's earnings presentation, Sep 2, 2022
Slide 1: Strategy update and H1 2022 results
Strategy update and H1 2022 results 2 September 2022 1
Slide 2: Contents
Contents 1 Company overview & strategy update 2 First half 2022 results 3 Q&A
Slide 3: Wild-catch and traditional aquaculture are insufficient to meet seafood demand
Wild-catch and traditional aquaculture are insufficient to meet the increasing seafood demand – RAS technology offers an environmentally responsible solution Significant Growing 2x Demand / c.40% 1 addressable market with limited supply demand Global protein supply gap Higher demand for proteins dem
Slide 4: The Kingfish Company produces a high-value species with strong sales prices
1 3 2 The Kingfish Company We focus on import- produces a high-value Our fish performs dependent markets, species generating very extremely well in our selling our premium strong average sales system with stellar product in the EU and US prices of EUR 12.51 per kg productivity scores and zero mass m
Slide 5: Proven track record, poised to enter expansion phase
NTIAL Built on a proven track record of design, construction and operational excellence, The Kingfish Company is poised to enter a supercharged expansion phase Strategically located in US and European premium import dependent seafood markets Business milestones Announced US East Coast site in NL Pha
Slide 6: Poised to rapidly deploy RAS capabilities in new markets
NTIAL Kingfish is poised to rapidly deploy its RAS capabilities in new markets with clear focus on capturing high-value volumes in Europe and US Strategically located to offer ultra-fresh products to total catchment area of ~600-700 million people, without any import related costs Netherlands, Europ
Slide 7: Mission-driven company pioneering best-in-class sustainability practices
CO D NTIAL Mission-driven company pioneering best-in-class practices to achieve key sustainability goals and superior quality Kingfish promotes sustainable aquaculture, minimizing greenhouse gas emissions Kingfish’s RAS technology removes many pain points of Increasing energy efficiency traditional
Slide 8: Integrated egg-to-plate business model with route-to-market capabilities
CO D NTIAL Integrated “egg-to-plate” business model, with significant route-to-market capabilities Kingfish owns the supply chain, ensuring best-in-class execution Processing and Design / Build-out Breeding / hatchery Production / Grow-out Sales and marketing distribution Upstream value chain Downst
Slide 9: Strategic downstream partnerships extend global route-to-market
CO D NTIAL Strategic downstream partnerships help the company extend its global route-to-market and gain further momentum in target markets Kingfish builds its brand by supplying Food service/HORECA premium product to high-profile partners, RETAIL attracting additional partners along the way Achieve
Slide 10: Netherlands Zeeland facility expanding from 1,500 to 3,500 tons
The Netherlands Zeeland facility –expanding from current capacity of 1,500 tons to 3,500 tons Operational since 2018, capacity expansion commenced construction early 2021 with fish in water from late 2022e Phase 1A launched in 2017 and completed in 2018 Phase Phase 1B launched in 2020 and 1A & 1
Slide 11: Contents
Contents 1 Company overview & strategy update 2 First half 2022 results 3 Q&A
Slide 12: Solid progress in H1 2022
Solid progress in H1 2022 Sales Development & Financing • Sales more than doubled from €3.8m in H1 ‘21 to €8.4m • NL (EU) Phase 2 construction is nearing completion in H1 ‘22 • Phase 2B ongoing to include hatchery, second • H1 ‘22 sales price for both small and large fish pumphouse and seawater pipe
Slide 13: Group Consolidated Profit and Loss statement
Group Consolidated Profit and Loss statement • Strong top-line, driven by strong market demand in Europe and the US • Revenue more than doubled from €3.8m in H1 2021 to €8.4m in 2021 • Net result is reflective of the scale-up phase of the business • Our operation in Zeeland is EBITDA break-even in H
Slide 14: Interim report H1 2022 Sales and production analysis
Interim report H1 2022 Sales and production analysis Full year sales stats H1 2022 H1 2021 Change Price large fish (EUR/kg) € 15.2 € 13.3 14.2% • Prices increased over half year to compensate Price small fish (EUR/kg) € 11.0 € 9.6 14.3% for increasing input prices Share Large fish (%) 38 % 52 % • St
Slide 15: EBITDA per kg improvements driven by economies of scale
EBITDA per kg improvements driven by economies of scale Cost analysis per kg Considerations EUR / kg Revenue: Prices are expected to gradually increase Group level NL operations NL operations over time with food inflation and unlocking more H1 20221 H1 20221 Phase 2 target markets Volume (tons) ~7
Slide 16: Target EBITDA of EUR ~17m from Phase 2 operations
Target EBITDA of EUR ~17m from Phase 2 operations in the Netherlands, driven by volume growth and improving unit economics Annual production volume (WFE tons) Phase 2 target 44.500 NL operations Volume ~3,500 tons × 27.500 EBITDA/kg EUR 5.2 19.500 = EBITDA ~EUR 17.1m 6.000 3.500 461 467 902 1.404 20
Slide 17: Group Consolidated Balance sheet
Group Consolidated Balance sheet H1 2022 FY 2021 € '000 € '000 • Investments in the Netherlands and the US Fixed assets 89 680 55 450 resulted in more than EUR 30m additional Deferred tax 8 228 6 977 fixed assets Right-of-use assets 472 2 653 Biological assets 6 080 5 673 • Biological assets value i
Slide 18: Group Consolidated Cash Flow Statement
Group Consolidated Cash Flow Statement • Increased investments as a result of construction of NL Phase 2 18
Slide 19: Consistent track record of improvement and reaching targets
Consistent track record of improvement and reaching targets Revenue and sales prices achieved per quarter Biomass growth and productivity 0,8 7 12,5 14 500 0,8 12,0 11,7 12,2 0,7 0,7 11,2 11,5 0,6 0,7 0,6 6 11,0 10,5 10,6 12 0,6 0,6 402 10,4 400 5 4,8 10 0,5 0,6 Kg growth/m3/day 334 340 324 0,5 3,8
Slide 20: Contents
Contents 1 Company overview & strategy update 2 First half 2022 results 3 Closing and Q&A
Slide 21: The Kingfish Company has proven its ability to deliver on targets
The Kingfish Company has proven its ability to deliver on targets Consistently delivered on previously announced targets The standing biomass has proven to be stable Mortality rate of ~5% compared to avg. and trending upwards in conjunction with mortality rate for salmon farmers of ~12% increasing p
Slide 22: The optimal foundation for future triggers
The Kingfish Company has the optimal foundation for future triggers Outlook • Production from Phase 2 in the Netherlands is expected to commence from Q4 2022 / Q1 2023 • Permits for Phase 3 in the Netherlands are expected to be achieved in first half of 2023 • Following Phase 3 NL, the next step in
Slide 23: Why invest in The Kingfish Company
Why invest in The Kingfish Company RAS is well positioned to RAS operator with Leader in a highly Proven unit Unique business become the third pillar consistent sector attractive market economics case maximizing the in global seafood leading performance strategic advantage supply of RAS High value s
Slide 24: The Kingfish Company
O THE KINGFISH COMPANY