Andfjord Salmon Group As · OSL:ANDF
Andfjord Salmon Group As — Q4 2024 Earnings Presentation
40 slides from Andfjord Salmon Group As's earnings presentation, Mar 11, 2025
Slide 1: Status and Progress, March 2025
MARCH 2025 STATUS AND PROGRESS 11 MARCH 2025
Slide 2: Agenda
2025 AGENDA • ANDFJORD SALMON IN BRIEF • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 • Kvalnes Phase 2: Plans and ambitions • Financials • Summary and outlook Martin Rasmussen Bjarne Martinsen Jostein Nilssen CEO CFO Project Director
Slide 3: SH FA
SH FA EISH F RMING : CONSCIE NCE 7 ae. _ Dasiorsgner * ™
Slide 4: The Best of Two Worlds
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 3 3
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
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 salmo
Slide 8: Agenda
2025 AGENDA • Andfjord Salmon in brief • QUARTERLY HIGHLIGHTS AND SUBSEQUENT EVENTS • Status Kvalnes build-out: Phase 1 • Kvalnes Phase 2: Plans and ambitions • Financials • Summary and outlook
Slide 9: Highlights Q4 and Subsequent Period
2025 HIGHLIGHTS Q4 AND SUBSEQUENT PERIOD KVALNES PHASE 1 OPTIMISING INITIATING PHASE 2A RAISED FUNDS OF DE-RISKING FOR BUILD-OUT ON TRACK PRODUCTION CONSTRUCTION NOK 1.4 BN POTENTIAL LOGISTICS FOR +20% REGULATORY Waterways near HIGHER VOLUMES Initiating phase 2a with Through bank package, CHANGES co
Slide 10: Agenda
2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • STATUS KVALNES BUILD-OUT: PHASE 1 • 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 Illustration showing what Kvalnes may look like in 2027
Slide 12: Status and Progress – Waterways
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 Total tunnel length 4.4 km: o 6-7 m of outlet waterway remains o 70 m of inlet waterway left o Completed tunnel infrastructure below p
Slide 13: Infrastructure for Waterways and Pools in Place
2025 Q3 2023 INFRASTRUCTURE FOR WATER- WAYS AND POOLS IN PLACE TUNNEL INFRASTRUCTURE BELOW POOLS COMPLETED o 8 x vertical inlet shafts to provide pools with fresh seawater (most adjacent pools share one inlet) o 6 x vertical outlet shafts (adjacent pools share one outlet) o Completed sections from p
Slide 14: Status and Progress – Pools
2025 2023 STATUS AND PROGRESS – POOLS 4 POOLS BEING CONSTRUCTED o Workstream on track: 65% completion per 10 March 2025 o UHPC concrete wall elements produced by factory on site o Columns, supports and preparations for wall elements completed for K1 and K3 o UHPC wall elements being assembled in K1
Slide 15: Status and Progress – Harbour
2025 2023 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 originating from Andfjorden o Once harbour and port infrastructure are fully completed, temporary section
Slide 16: Build-Out of Phase 1 at Kvalnes Nearing Completion
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 (ahead of schedule) Initial schedule First smolt insert F
Slide 17: Agenda
2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 • KVALNES PHASE 2: PLANS AND AMBITIONS • Financials • Summary and outlook
Slide 18: Speed and Accuracy of Phase 1 Allows Immediate Start of Phase 2
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, on time and budget 2b • Decision to start Phase
Slide 19: Design Improvements for Optimized Pool Utilisation and +20% Output
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 water outlet water outlet water inlet water inlet flexibility of moving fish water outlet water outlet Reinforced concrete walls for wa
Slide 20: New and More Gentle Logistics System Reduces Operational Risk
2025 NEW AND MORE GENTLE LOGISTICS SYSTEM REDUCES OPERATIONAL RISK New fish logistics system developed in partnership with Cflow Key features of upgraded system Tank with fish Receiving tank(s) • Originally, Andfjord had planned for splitting between pools to utilize piping going over the walls, one
Slide 21: Ensuring More Stable, High Utilisation of the Current License
2025 ENSURING MORE STABLE, HIGH UTILISATION OF THE CURRENT LICENSE Current license (10,000t MAB) • New fish logistics system allowing for more flexibility in the relocation of fish between pools License utilization thanks to increased water flow, through the year Average with up to 24 times water MA
Slide 22: +20% Production Volume at Kvalnes
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 Tota
Slide 23: Optimizations Also Open for Adherence to Potential Regulatory Changes
2025 OPTIMIZATIONS ALSO OPEN FOR ADHERENCE TO POTENTIAL REGULATORY CHANGES 1 Fish transport system • The Norwegian Ministry of Trade, Industry and Fisheries has proposed changes to the regulations to ensure the sustainable development of aquaculture production on land: – The proposals will not affec
Slide 24: Agenda
2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 • Kvalnes Phase 2: Plans and ambitions • FINANCIALS • Summary and outlook
Slide 25: Total Capex for Kvalnes Down to an Estimated NOK 105/kg
2025 TOTAL CAPEX FOR KVALNES DOWN TO AN ESTIMATED NOK 105/KG Updated Kvalnes build-out plan increases production by +20% Illustrative EBITDA sensitivity to salmon prices, Kvalnes Phase 1 & 2 (NOKm) Previous accum. Updated accum. Previous capex1 Updated capex1 Phase 1 Phase 2a Phase 2b Phase, Kvalnes
Slide 26: Less Than Two Years Expected Payback on Production Optimizations
2025 LESS THAN TWO YEARS IN EXP. PAYBACK PERIOD ON PRODUCTION OPTIMIZATIONS Estimated annual production volumes Estimated EBITDA1 Estimated annual production volumes1 Tons, HOG & post-smolt – Kvalnes Phase 1 & 2a NOKm – Kvalnes Phase 1 & 2a Tons, HOG – Kvalnes Phase 1 & 2a +4,000 +200 NOK tons NOKm
Slide 27: New Bank Package to Complete Phase 2 Expansion
2025 NEW BANK PACKAGE TO COMPLETE PHASE 2 EXPANSION Debt funding plan for next expansion at Kvalnes Key terms of the bank facility Main terms Updated bank package • Andfjord Salmon has received a term sheet signed by the banks for an additional commitment for a construction loan of up to NOK Lenders
Slide 28: ~NOK 400M Sale of Infrastructure Asset
2025 ~NOK 400M SALE OF INFRASTRUCTURE ASSET Key terms of the sale leaseback to Asset Buyout Partners AS (“ABP”) • Andfjord Salmon signed a term sheet for the sale of the harbour area to ABP based on estimated cost of ~NOK 400m which, if such transaction is duly agreed and completed, will give ~NOK +
Slide 29: Constructing Growth and Enabling Production Boost
2025 CONSTRUCTING GROWTH AND ENABLING PRODUCTION BOOST 1600 NOKm Sources and uses ~1,375 ~1,375 Buffer and other 1400 ~25 ~175 Lease financing • Phase 2a construction, optimizations across the system and buffer Fish logistics system ~100 to amount to approximately NOK 1,375 million 1200 Leased equip
Slide 30: Highly Supportive Shareholder Group
2025 HIGHLY SUPPORTIVE SHAREHOLDER GROUP 28.0% 5.4% 4.5% ownership ownership ownership About Jerónimo Martins: About High Liner Foods: About Eidsfjord Sjøfarm (Holmøy Havbruk): • Portugal-based international industry group that operates in • North American processor and supplier of seafood • Convent
Slide 31: Agenda
2025 AGENDA • Andfjord Salmon in brief • Quarterly highlights and subsequent events • Status Kvalnes build-out: Phase 1 • Kvalnes Phase 2: Plans and ambitions • Financials • SUMMARY AND OUTLOOK
Slide 32: Summary and Outlook
2025 SUMMARY AND OUTLOOK KVALNES PHASE 1 OPTIMISING INITIATING PHASE 2A RAISED FUNDS OF SMOLT RELEASE IN Q3 BUILD-OUT ON TRACK PRODUCTION CONSTRUCTION NOK 1.4 BN LOGISTICS FOR +20% On track for smolt Waterways near HIGHER VOLUMES Initiating phase 2a with Through bank package, release in Q3 2025 comp
Slide 33: Q&A
2025 Q&A
Slide 34: Appendix
F onorson0" APPENDIX 2025
Slide 35: Statement of Comprehensive Income
Q4 2024 STATEMENT OF COMPREHENSIVE INCOME All amounts in NOK 1,000 Statement of comprehensive income Q4 2024 Q4 2023 2024 2023 1.10 – 31.12 1.10 – 31.12 1.1 – 31.12 1.1 – 31.12 Unaudited Unaudited Unaudited Operating income and expenses Revenue from contracts with customers 8 1 190 37 279 Other oper
Slide 36: Statement of Financial Position
Q4 2024 STATEMENT OF FINANCIAL POSITION All amounts in NOK 1,000 Assets 31.12.2024 - Unaudited 31.12.2023 Intangible assets 16 420 14 389 Property, plant & equipment 2 230 854 876 632 Right-of-use assets 13 060 17 640 Other non-current assets 139 113 Total non-current assets 2 260 473 908 774 Biolog
Slide 37: Statement of Financial Position
Q4 2024 STATEMENT OF FINANCIAL POSITION All amounts in NOK 1,000 Equity and liabilities 31.12.2024 - Unaudited 31.12.2023 Total equity 1 254 355 993 688 Borrowings 832 309 59 959 Lease liabilities 6 163 9 340 Total non-current liabilities 838 472 69 299 Borrowings - 7 666 Lease liabilities 4 276 4 5
Slide 38: Statement of Cash Flows
Q4 2024 STATEMENT OF CASH FLOWS All amounts in NOK 1,000 Statement of cash flows Q4 2024 Q4 2023 2024 2023 1.10-31.12 1.10-31.12 1.1 – 31.12 1.1 – 31.12 Unaudited Unaudited Unaudited Net cash flow from operating activities -22 089 -17 247 -63 227 -29 148 Net cash flow from investing activities -300
Slide 39: nan
nan FEEYER EERO WEEEREEGY Se a eet ee ee ee een
Slide 40: Next Quarterly Update: Q1 2025 Presentation
2025 NEXT QUARTERLY UPDATE: Q1 2025 presentation – 28 May 2025 For more information on this presentation and its contents, please contact: Bjarne Martinsen, CFO Andfjord Salmon bjarne.martinsen@andfjord.no.
Andfjord Salmon Group — Q4 2024 Earnings Presentation on 6ix