Akva Group Asa · OSL:AKVA
Akva Group Asa — Q1 2007 Earnings Presentation
14 slides from Akva Group Asa's earnings presentation, May 15, 2007
Slide 1: 1Q 2007 presentation
The global leader in aquaculture technology 1Q 2007 presentation 15. May 2007 Knut Molaug, CEO Rolf Andersen, CFO Pro-forma ● Please note that unless otherwise stated all comments in this presentation are based on pro-forma numbers as if the merger between AKVAsmart, Helgeland Plast and the Wavemast
Slide 2: Agenda / AKVA group in brief
Agenda Background & highlights 1Q 2007 Financial review Acquisition of Maritech Outlook Q&A session 3 AKVA group in brief Cage systems Software systems and services Sensors & cameras AKVA group facts • The leading technology supplier Feed barges Feed systems • Only with global presence • The largest
Slide 3: 1Q highlights
1Q highlights ● Operating revenues in 1Q increased strongly versus the same period last year to 160.8 MNOK. ● The period’s EBITDA was 17.7 MNOK up 31% versus the same period last year. Growing order backlog – The order backlog stood at 291 MNOK at the end of the quarter, up 50 MNOK compared to the
Slide 4: 1Q financials – P&L
1Q financials – P&L P&L 2007 (Pro-forma 2006) 1Q 1Q Year (MNOK) 2007 2006 2006 Operating revenues 160.8 105.5 528.1 Operating costs excl. depreciation 143.0 -92.0 -456.7 EBITDA 17.7 13.5 71.4 Depreciation & Amortisation -3.6 -3.3 -13.6 EBIT 14.1 10.2 57.7 Net financial items 0.4 -1.4 -2.9 EBT 14.5 8
Slide 5: Business areas - OPTECH and INTECH
Business areas - OPTECH OPTECH OPTECH (MNOK) Pro-forma 60 54 50 Farm operations 50 43 43 49 Revenues technology 40 30 --- 20 2006 2007 10 Feed systems 0 1Q 1Q 2Q 2Q 3Q 3Q 4Q 4Q Cameras 20 12,1 10 7,2 6,0 8,5 6,3 EBITDA Sensors 0 Software ● Revenue in 1Q 2007 at approximately the same level as in 1Q
Slide 6: Business and market segments
Business segments 1Q 2007 Revenues 1Q 2007 Profits OPTECH OPTECH 27 % 34 % INTECH INTECH 66 % 73 % 11 Market segments Geographic segments Other 1% Norway 45 % • Norway and Chile – dominating Medit. segments • UK and Canada growing 1% UK 5% Canada Chile 13 % 35 % AKVA group revenues within other spec
Slide 7: Balance sheet
Balance sheet Balance sheet (legal) 31.03 31.12 (MNOK) 2007 2006 Intangible fixed assets 145.8 148.4 Tangible fixed assets 22.5 22.3 Long term financial assets 1.3 1.4 Fixed assets 169.6 172.2 Stock 106.1 96.3 Receivables 116.8 114.0 Cash and bank deposits 144.6 141.5 Current assets 368.1 351.8 Tota
Slide 8: Strong financial position / Cash flow statement
Strong financial position Equity (%) ● Equity: Strong equity position 70 % 60 % 56 % 56 % 50 % 40 % 37 % 30 % ● Cash Position: 30 % 20 % 10 % Very strong cash position 0% 2004 2005 2006 1Q07 Cash balance (MNOK) 200 175 ● Unbeaten acquisitive power 150 142 145 Low debt level and strong cash 125
Slide 9: Order backlog and inflow
Order backlog and inflow 2006 Order backlog and inflow per quarter (MNOK) 350 Backlog Inflow 291 300 241 250 211 211 200 184 169 145 150 100 50 na na. na. 0 1Q2006 2Q2006 3Q2006 4Q2006 1Q2007 ● Norwegian market main growth driver ● Canadian and UK market revived ● Chilean market strong and stable ●
Slide 10: Acquisition headlines
Acquisition headlines ● Purchase Agreement signed with TM Software hf to acquire 100% of the shares in Maritech International AS Agreement closed on May 4. - 2007 ● Agreement structured as a combination of acquisition of shares and purchase of assets. Main risks eliminated through asset purchase
Slide 11: Outlook
Background & highlights 1Q 2007 Financial review Acquisition of Maritech Outlook Q&A session 21 Outlook ● Favourable market conditions continue in all major salmon markets at present. Norway – large investments indicated by customers over the next years Chile – Still growing steadily UK – Revi
Slide 12: Outlook
Outlook ● Emerging cod industry contributing to growth Norway main region ● Continued good order inflow also into 2Q ● Organic revenue growth, today’s market trends indicates a growth above 20% for 2007. ● Margins for 2007 are expected to be slightly above 2006. 23 Background & highlights 1Q 2007
Slide 13: Vision statement and strategy
Appendix 25 Vision statement and strategy “The global leader in aquaculture technology” ● Lead the technological development ● Lead the consolidation of the global aquaculture supply industry ● Realise cost benefits through economies of scale Marketing and sales network Operations R&D ● Attrac
Slide 14: Key growth drivers
Key growth drivers ● Strong underlying growth in salmon farming Long term growth trend Strong outlook for investments by salmon farming industry ● Further industrialisation Larger fish farming companies require higher degree of control Larger production units require increased use of technol