Andfjord Salmon Group As · OSL:ANDF
Andfjord Salmon Group As — Q1 2025 Earnings Presentation
35 slides from Andfjord Salmon Group As's earnings presentation, May 28, 2025
Slide 1: Q1 2025 Status and Progress
Q1 2025 STATUS AND PROGRESS 28 MAY 2025
Slide 2: Agenda
Q1 2025 AGENDA • ANDFJORD SALMON IN BRIEF • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 and phase 2A • Next smolt release • Kvalnes Phase 2: Plans and ambitions • Financials • Summary and outlook Martin Rasmussen Bjarne Martinsen Jostein Nilssen CEO CFO Project Dir
Slide 3: SH FA
SH FA EISH F RMING : CONSCIE NCE 7 ae. _ Dasiorsgner * ™
Slide 4: The Best of Two Worlds
Q1 2025 THE BEST OF TWO WORLDS 3 BENEFITS OF SEA BASED NET PEN FARMING 3 BENEFITS OF LAND BASED FARMING First pool, Kvalnes First pool, Kvalnes 1 1 NO PROBLEMS WITH NATURAL OPTIMAL SALMON LICE AND WATER TEMPERATURES POISONOUS ALGAE 2 2 OXYGEN-RICH AND NATURAL ESCAPE CLEAN ARCTIC PREVENTION SEAWATER
Slide 5: Natural Flow – Andfjord Salmon's Flow-Through System
JUNE 2023 NATURAL FLOW – ANDFJORD SALMON’S FLOW-THROUGH SYSTEM
Slide 6: Andfjord Salmon
ANDFJORD™ SALMON
Slide 7: Key Figures – First Production Cycle
Q1 2025 KEY FIGURES – FIRST PRODUCTION CYCLE HIGH LOW FEED STRONGER LOWER ENERGY HIGH SUPERIOR SURVIVAL RATE CONVERSION GROWTH COSTS SHARE RATE 97.5% 1.05 +1 kilo 1 kWh 91.1% Industry average Industry average Extra growth Energy use per kilo Industry average = 83.3%* = 1.27** compared to produced sa
Slide 8: Agenda
Q1 2025 AGENDA • Andfjord Salmon in brief • QUARTERLY HIGHLIGHTS AND SUBSEQUENT EVENTS • Status Kvalnes build-out: Phase 1 and phase 2A • Next smolt release • Kvalnes Phase 2: Plans and ambitions • Financials • Summary and outlook
Slide 9: Highlights Q1 and Subsequent Period
Q1 2025 HIGHLIGHTS Q1 AND SUBSEQUENT PERIOD OPTIMISED PHASE 2A RAISED FUNDS OF KVALNES PHASE 1 SUCCESSFUL PRODUCTION CONSTRUCTION NOK ~1.4 BN BUILD-OUT ON TRACK BREAKTHROUGH TO LOGISTICS FOR +20% INITIATED FOR Q3 SMOLT ANDFJORDEN HIGHER VOLUMES Through bank package, RELEASE Initiated phase 2a with p
Slide 10: Agenda
Q1 2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • STATUS KVALNES BUILD-OUT: PHASE 1 AND PHASE 2A • Next smolt release • Kvalnes Phase 2: Plans and ambitions • Financials • Summary and outlook
Slide 11: Kvalnes phases illustration
PHASE 2 B: K11 K12 K9 – K12 K10 K9 K8 PHASE 2 A: K7 K5 – K8 K6 K5 K4 K3 PHASE 1: K1 – K4 K1 K2 Note: Illustration showing what Kvalnes may look like in 2027
Slide 12: Status and Progress – Waterways
Q1 2025 STATUS AND PROGRESS – WATERWAYS WATERWAYS ON TRACK o Capacity to support annual production of 48,100 tonnes (HOG + post-smolt) of salmon o Workstream on track o Breakthrough to sea/Andfjorden safely conducted on 22 May 2025 o Outlet tunnel currently filled with seawater Pool K0 o Successful
Slide 13: Piping and Technical Infrastructure Nearing Completion
PIPING AND ASSOCIATED INSTALLATIONS OF TECHNICAL INFRASTRUCUTRE NEARING COMPLETION o 100,000 meters of pipes (OPI) for electrical cabling and wiring o Fish logistics system o Feed system o Sludge handling system o Oxygen system o Fresh seawater support system Sludge Sludge facility facility Piping f
Slide 14: Status and Progress – Pools
Q1 2023 2025 STATUS AND PROGRESS – POOLS 4 POOLS BEING CONSTRUCTED o Workstream on track o Columns, supports and preparations for wall elements completed for K1 and K3 o All UHPC wall elements for pool K1 produced. o Ongoing Installation of technical infrastructure in K1 and K3 o Additional developm
Slide 15: Status and Progress – Harbour
Q1 2023 2025 STATUS AND PROGRESS – HARBOUR QUAY AND BREAKWATER BEING CONSTRUCTED o Workstream on track o Temporary breakwater constructed to shield ongoing construction work from waves and currents from Andfjorden • Dredging of harbour, to make it deeper, is more or less completed • Initiated constr
Slide 16: Build-out of Phase 1 at Kvalnes Nearing Completion
Q1 2025 BUILD-OUT OF PHASE 1 AT KVALNES NEARING COMPLETION Construction Production Phase 1 Production Phase 2a Q3’23 Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 Q1’25e Q2’25e Q3’25e Q4’25e Q1’26e Q2’26e Q3’26e Excavation of Phase 1 and 2 Status: 100% finished Initial schedule First smolt insert First post- First
Slide 17: Agenda
Q1 2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 and phase 2A • NEXT SMOLT RELEASE • Kvalnes Phase 2: Plans and ambitions • Financials • Summary and outlook
Slide 18: Planned Smolt Release
Q1 2023 2025 PLANNED SMOLT RELEASE o Initiating release of smolt from September o Pools K0 and K1 (for future splitting) to be stocked first o Smolt to be transferred to pools K3, K2 and K4 as biomass density increases o Smolt release represents a significant scale up of commercial operations for An
Slide 19: Agenda
Q1 2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 and phase 2A • Next smolt release • KVALNES PHASE 2: PLANS AND AMBITIONS • Financials • Summary and outlook
Slide 20: Speed and Accuracy of Phase 1 Allows Immediate Start of Phase 2 Expansion
Q1 2025 SPEED AND ACCURACY OF PHASE 1 ALLOWS FOR IMMEDIATE START OF PHASE 2 EXP. • Kvalnes construction plan follows a four-by- four pool expansion • Construction of Phase 1 and shared operational infrastructure for all 12 pools to be finalized by Q2 2025 2b 2a • Phase 2a construction started, reapi
Slide 21: Design Improvements for Optimized Pool Utilisation and +20% Output
Q1 2023 2025 DESIGN IMPROVEMENTS FOR OPTIMIZED POOL UTILISATION AND +20% OUTPUT OLD NEW water flow and fish logistics water flow and fish logistics New system for increased flexibility of moving fish, enabling water outlet water outlet water inlet water inlet significantly higher pool utilization wa
Slide 22: +20% Production Volume at Kvalnes
Q1 2025 +20% PRODUCTION VOLUME AT KVALNES Construction start in 2023-2025: Construction start in 2028 +22,500 tons (target): 5 +5,100 tons license expansion +13,900 tons (exact location to be decided) Construction start in 2027 (target): 1 2 3 +5,400 tons 4 Pilot Construction completed: 1,200 tons T
Slide 23: Agenda
Q1 2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 and phase 2A • Next smolt release • Kvalnes Phase 2: Plans and ambitions • FINANCIALS • Summary and outlook
Slide 24: February 2025: Announced NOK ~1.4 bn Funding for Phase 2 Expansion
Q1 2025 FEBRUARY 2025: ANNOUNCED NOK ̴1.4 BN FUNDING FOR PHASE 2 EXPANSION NEW BANK PACKAGE SALE OF INFRASTRUCTURE ASSET SUCCESSFUL PRIVATE PLACEMENT o Construction loan of up to NOK 400 o Term sheet for the sale of harbour area to o Raised NOK 600 million million (up to 50% loan to Phase 2a Asset B
Slide 25: Statement of Comprehensive Income
Q1 2025 STATEMENT OF COMPREHENSIVE INCOME All amounts in NOK 1,000 Statement of comprehensive income Q1 2025 Q1 2024 2024 1.1 – 31.3 1.1 – 31.3 1.1 – 31.12 Unaudited Unaudited Operating income and expenses Revenue from contracts with customers - 57 190 Other operating income - - 134 Total operating
Slide 26: Statement of Financial Position
Q1 2025 STATEMENT OF FINANCIAL POSITION All amounts in NOK 1,000 Assets 31.03.2025 - Unaudited 31.12.2024 31.03.2024 - Unaudited Intangible assets 16 350 16 420 15 077 Property, plant & equipment 2 897 667 2 230 854 1 067 333 Right-of-use assets 12 387 13 060 16 243 Other non-current assets 9 139 44
Slide 27: Statement of Financial Position
Q1 2025 STATEMENT OF FINANCIAL POSITION All amounts in NOK 1,000 Equity and liabilities 31.03.2025 - Unaudited 31.12.2024 31.03.2024 - Unaudited Total equity 1 807 461 1 254 355 978 819 Borrowings 830 771 832 309 57 626 Lease liabilities 5 406 6 163 8 365 Total non-current liabilities 836 177 838 47
Slide 28: Statement of Cash Flows
Q1 2025 STATEMENT OF CASH FLOWS All amounts in NOK 1,000 Statement of cash flows Q1 2025 Q1 2024 2024 1.1 – 31.3 1.1 – 31.3 1.1 – 31.12 Unaudited Unaudited Net cash flow from operating activities -18 519 -20 590 -69 945 Net cash flow from investing activities -447 031 -174 594 -1 208 411 Net cash fl
Slide 29: Revised Capex Plan
[MAY] Q1 2025 REVISED CAPEX PLAN: MAINTAINS MAXIMUM PROGRESS AND ACHIEVES EFFICIENCY GAINS FOR FUTURE BUILD-OUT PHASES Estimated capex per phase, revised Comments Capex1 Added production Accumulated • Andfjord Salmon has been informed by main contractor Hæhre that the final construction cost Phase,
Slide 30: Strong Shareholder Support: Immediate Resolution for Capex Financing
[MAY] Q1 2025 STRONG SHAREHOLDER SUPPORT: IMMEDIATE RESOLUTION FOR CAPEX FINANCING Equity issue • To finance the updated CAPEX, an equity injection totaling NOK 400 million has been secured from certain existing shareholders at a subscription price of NOK 36.80 per share: About Jerónimo Martins: • J
Slide 31: Preparing for Production: Planned Bond Issue
[MAY] Q1 2025 PREPARING FOR PRODUCTION: PLANNED BOND ISSUE TO COVER WORKING CAPITAL NEEDS Upcoming production cycle: Working capital Fixed income meetings Upcoming production cycle, starting Q3 2025 (September): Fixed income meetings: • July/August 2025: Testing of all equipment and infrastructure,
Slide 32: Agenda
Q1 2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 and phase 2A • Next smolt release • Kvalnes Phase 2: Plans and ambitions • Financials • SUMMARY AND OUTLOOK
Slide 33: Summary and Outlook
Q1 2025 SUMMARY AND OUTLOOK OPTIMISED PHASE 2A STRONG FINANCING KVALNES PHASE 1 SUCCESSFUL PRODUCTION CONSTRUCTION SUPPORT BUILD-OUT ON TRACK BREAKTHROUGH TO LOGISTICS FOR +20% INITIATED FOR Q3 SMOLT ANDFJORDEN HIGHER VOLUMES Q1: Raised NOK ̴1.4 bn RELEASE Initiated phase 2a with Through bank packag
Slide 34: Q&A
Q1 2025 Q&A
Slide 35: Next Quarterly Update
Q1 2025 NEXT QUARTERLY UPDATE: Q2 2025 presentation – 4 Sept 2025 For more information on this presentation and its contents, please contact: Bjarne Martinsen, CFO Andfjord Salmon bjarne.martinsen@andfjord.no.
Andfjord Salmon Group AS — Q1 2025 Earnings Presentation on 6ix