Masoval As · OSL:MAS

Masoval As — Måsøval AS — Q4 2023 Earnings Presentation

25 slides from Masoval As's earnings presentation, Feb 27, 2024

  1. Slide 1: Måsøval AS Q4 2023 presentation

    Måsøval AS Q4 2023 presentation Oslo, February 27th, 2024 Helge Kvalvik, CEO | Anders Hagestande, CFO

  2. Slide 2: Disclaimer

    Disclaimer This presentation may contain forward-looking statements relating to the business, financial performance and results of Måsøval. Forward looking statements are statements that are not historical facts and may be identified by words such as “predicts", "anticipates", "believes", "estimates

  3. Slide 3: Agenda

    Agenda 1 Highlights 2 Segment information 3 Group financials 4 Special events 5 Outlook and Summary

  4. Slide 4: Highlights Q4 – 2023

    Group Operational EBIT (MNOK) Highlights Q4 – 2023 211 113 112 44 36 Group financials  Group revenue MNOK 688 (400) Q4 22 Q1 23 Q2 23 Q3 23 Q4 23  Total group operational EBIT MNOK 112 (44)  Proposed dividend of NOK 0.5 pr share Harvested Volume (GWT) 7 573 7 927 Segment farming 7 037 5 032  Har

  5. Slide 5: Segment information

    Segment information

  6. Slide 6: Farming Mid

    Key figures Q4 Q4 FY FY Farming Mid 2023 2022 2023 2022 Farming Mid Consolidated numbers in 1 000 NOK High harvest volume, with completion of autumn 22 Total operating Revenues 546 930 319 316 1 548 274 1 547 216 Operational EBIT 128 315 45 336 432 454 686 746  Harvested volume of 6 784 GWT (4 483)

  7. Slide 7: Farming West

    Key figures Q4 Q4 FY FY Farming West 2023 2022 2023 2022 Farming West Consolidated numbers in 1 000 NOK Biological challenges during the quarter Total operating Revenues 83 758 35 205 640 742 262 099  Harvested volume of 1 143 GWT (550) Operational EBIT 9 365 9 835 122 072 52 200  2023 generation

  8. Slide 8: Sales & Processing

    Sales & Processing Key figures Sales & Processing Q4 2023 Q4 2022 FY 2023 FY 2022 Consolidated numbers in 1 000 NOK  Sales volume 7 989 GWT (5 136) Total operating revenues 704 312 402 041 2 377 349 1 948 405  Operational EBIT of MNOK 5 (0.8%) Operational EBIT 5 453 811 11 839 20 062 Operational E

  9. Slide 9: Group financials

    Group financials

  10. Slide 10: Key income statement items

    Key income statement items Group operational EBIT Group operational EBIT per kg EPS (earnings/share*) 693 31.7 3.5 471 19.2 14.1 1.43 8.7 112 0.48 44 0.11 Q4 23 Q4 22 FY 23 FY 22 Q4 23 Q4 22 FY 23 FY 22 Q4 23 Q4 22 FY 23 FY 22 *Earnings per share restated to exclude fair value adjustment of biomass

  11. Slide 11: Income statement

    Key figures Group Q4 Q4 FY FY Consolidated numbers 2023 2022 2023 2022 in 1 000 NOK Income statement Sales revenue salmon 682 470 376 991 2 279 560 1 898 525 Other operating 5 928 23 336 120 788 93 606  Revenue and Group operational EBIT in quarter is up from Q4 2022 revenues due to higher harvest

  12. Slide 12: Group balance sheet items

    Group balance sheet items Asse t s NI BD 10 20 -10 -20 Financial position 1 668 1 534 312  NIBD increased MNOK 121 due to seasonal variations  Solid equity ratio at 34.7% 1 653 1 392  Bank and leasing facilities to finance all upcoming capex 3 483 3 459 Covenant breach subsidiary 162 31.12.2023 3

  13. Slide 13: Changes in NIBD

    Changes in NIBD  Working capital increase +121 * PBT (profit before tax) excludes interest expenses that is included in financial items

  14. Slide 14: Taxation

    Taxation  Resource rent tax on salmon farming 2023  Extra resource tax 25% exclusively on farming at sea on conventional licenses  Måsøval has an integrated value chain resulting in only parts of the group operating within the special resource rent taxation  Estimates on actual effective taxatio

  15. Slide 15: Special events

    Special events

  16. Slide 16: Group reorganization

    Group reorganization  Ongoing demerger/merger process  Earlier informed and approved in EGM 25.09.2023  Preparations for future uplisting  Sum zero for all shareholders in Måsøval AS  Negative outcome from the tax authorities on initial binding advanced tax ruling  An amended request for a new

  17. Slide 17: Increasing Harvesting Capacity

    Increasing Harvesting Capacity Securing harvesting capacity  Bid acceptance on Mowi’s harvesting facility at Ulvan Hitra (TL-45)  Ongoing process for conclusion of contract and start operation  Secures inhouse primary capacity for current and planned production and VAP capacity Capacities TL-45 

  18. Slide 18: Pure Norwegian Seafood

     Nøytralt bilde Pure Norwegian Seafood  Måsøval controls 65 % of the processing and sales company Pure Norwegian Seafood AS (PNS) in Averøy. Måsøval and PNS have publicized irregularities that we discovered in PNS’ sales of certain categories of frozen salmon.  These were first suspected in late

  19. Slide 19: Complaint regarding Exhibition license accepted

     Bilde fra Atlanterhavsveien Complaint regarding Exhibition license accepted  Ministry of Trade, industry and fisheries rejected Måsøval Lisens AS application for an exhibition license in February 2020  Måsøval Lisens AS filed a complaint during March 2020, which was granted 23.02.24  Exhibition

  20. Slide 20: Outlook and summary

    Outlook and summary

  21. Slide 21: Segment Farming – Outlook

    Segment Farming – Outlook Harvest Volume (GWT)  Full year guiding 2024 of 25 700 – 26 700 GWT 10 000  75% - 80% region mid 9 000 8 000  Q1 2024 guiding of ~3 200 GWT 7 000  Build up of biomass 6 000 5 000  ~90% region mid 4 000 3 000  Cost per kg expected to fall in region mid and for the Grou

  22. Slide 22: Market outlook

    Market outlook  Market fundamentals still strong NASDAQ average price  Moderate global supply growth in 2024 120  Demand still resilient 110 Nasdaq price per kg (NOK)  Fish Pool forward indicate higher prices than 2023 100 90  Måsøval continues the market strategy to sell above 90% in 2019 spot

  23. Slide 23: Growth potential

    Growth potential Harvest volume 1000 GWT : : ; 2017 2018 2019 2020 2021 2022 2023 Firm Potential Harvest volume m™ Guided harvest Exhibition License mi Froya Laks. eS Masoval =

  24. Slide 24: Summary

    Summary Group financials  Operational EBIT MNOK 112 Q4, MNOK 471 FY23  NIBD increased MNOK 121  Proposed dividend DPS NOK 0.5 Farming  12% annual increase in harvest volume  Lower cost in the quarter Sales and processing  New capacity Outlook  Strong market fundamentals, favorable price outlo

  25. Slide 25: Slide 25

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