Auga Group Ab · OMXVSE:AUG1L
Auga Group Ab — 9M 2021 Earnings Presentation
26 slides from Auga Group Ab's earnings presentation, December 2021
Slide 1: Presentation on the Financial Results for 9 Months of 2021
aU ga Toroup PRESENTATION ON THE FINANCIAL RESULTS FOR 9 MONTHS OF 2021 AUGA group, AB
Slide 2: Presented by
PRESENTED BY Kestutis Juscius CEO YY Y 9M2021 Mindaugas Ambrasas CFO
Slide 3: Results 2021 9M
RESULTS 2021 9M aU Poor financial results mainly driven by challenges in the crop 2°4 worst harvest in AUGA growing segment. group's history. EUR million 20219M 209M : Revenue 54.90 62.38 12% 47.05 COVID-19, problems in é a 40 198 5 8.00 production did not allow to ross profit 1 ™ B58 : reduce the l
Slide 4: Results by segment: Crop growing
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Slide 5: Crop growing: yields affected by record heat
CROP GROWING Yields were affected by the record heat in June and July. All main cultures have lower yield compared to previous season. Legumes and other summer cultures were especially affected. Organic farms are more sensitive to extreme summer weather conditions due to crop structure. In order to
Slide 6: Crop growing: cost level per ha is stable
CROP GROWING Cost level per ha is stable q2 +3% YoY for already fully 2019 9M 2020 9M 20219M harvested crop. We expect Wheat, EUR/ha slightly better result for all harvest. Legumes, EUR/ha 830 839 829 Increase in diesel prices, labor and land rent costs were mitigated by: * Increased efficiency; ° D
Slide 7: Crop growing: growing prices had limited effect on results
CROP GROWING Growing prices had limited effect on au AUGA group results g Organic vs. Conventional wheat price in Germany*, EUR/t Positive trends: * Conventional wheat price was higher EUR/t by 30%, organic - by 8% in Q32021 vs 600 Q32020. Average sales price of AUGA 450 Organic Wheat (Food) group's
Slide 8: Crop growing 2021 9M results
CROP GROWING 2021 9M results 43 Change in gain (loss) on 202192020 2019 9M revaluation of biological Total cultivated land, ha 39,139 39,637 1% 38,564 assets corresponds to change = Agee 20219m | 20209M 2019 9M of gross profit. Total gain (loss) on revaluation of biological assets (crops) (a3) Gain
Slide 9: Results by segment: Dairy
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Slide 10: Dairy: milk yield and price dynamics
DAIRY The Group faced issues in the production in HY2021. However, results in Q3 improved. Milk yield in the Q32021 grew by 3% compared to Q32020. The Group produced 20,691 tonnes of milk in 2021 vs. 20,433 tonnes in 2020. Herd renewal and the use of new technologies are expected to further improve
Slide 11: Dairy 2021 9M results
DAIRY 2021 9M results aU Increasing efficiency remains the primary focus. ga slightly due to fluctuation in sales as the Group approaches new Total quantity of products sold, t 20,168 20,387 -1% 19,576 markets and increased amount of Milk 19,112 19,307 1% 18,598 milk used for newly born heifers. Mil
Slide 12: Results by segment: Mushroom growing
Slide 13: Mushroom growing 2021 9M results: challenges in production
MUSHROOM 2021 9M results q2 GROWING Challenges in production. Production output in Q3 decreased Sales of produced mushrooms, tonnes by 18% (vs Q2 2021) due to several 1” reasons: 1200 * High weather temperature had 1100 negative impact on the compost production processes; 7000 + Increase in the numb
Slide 14: Mushroom growing 2021 9M results
MUSHROOM 2021 9M results q2 GROWING Results affected by COVID-19. Decrease in production output is Ss Worse ry 2019 9M the main reason for lower Scld mucireemns, & 9,072 9,652 -6% 9,013 results. ts Average price (Eur/t) 2,326 2,231 +4% 2138 Sales of compost remain lower than in previous years. Sales
Slide 15: Results by segment: FMCG
CARROT SOUP 7 ORGANI Ss BEETROOT SOUP ORGANI CHAMPIGNON SOUP ORGANIC SPICY CURRY SOUP ORGANIC au ga BUTTERNUT SQUASH SOUP MINESTRONE SOUP ORGANIC TOMATO soup - ORGANIC THREE LENTIL SOUP _ ORGANIC
Slide 16: FMCG 2021 9M results
FMCG 2021 9M results aU =] The segment continues to grow in 2021. g The third quarter showed the 20219M | 20209M 2019 9M strongest results in 2021. Revenue 4.88 3.37 +45% 1.83 Sales in Q32021 were 66% Cost of goods sold 3.41 3.08 +11% 1.82 higher compared to Q32020. Gross profit 1.47 0.29 +407% 0.01
Slide 17: FMCG: effect from logistical challenges
FMCG Effect from logistical challenges aU Sales fluctuation in 2021 vs. 2020, th. Eur Record quarter sales are ss00 partly affected by logistical challenges: 2000 * Customers reduce quantity of orders but increase their 1500 value; 1000 * Some orders being moved soo from Q2 to Q3. : qi Q2 @3 =2020 =
Slide 18: Financial information
Slide 19: Main factors for EBITDA change
FINANCIAL Main factors for EBITDA change q2 INFORMATION Crop growing results have the largest impact to the EBITDA decrease. Th EUR 18000 16000 14000 12000 10000 8000 6000 340 Mushrooms 867 Dairy _ 4000 - 830 FMCG 4497 IFRS 16 effect .! 2000 IFRS 16 effect -2.13 -2361 Cent. OPEX Cent. OPEX EBITDA 20
Slide 20: Working capital dynamics and financing
FINANCIAL Working capital dynamics and financing q2 INFORMATION 50,0 45,6 44,7 45,8 45,0 43,0 . 41,8 | 42,0 402| 403 305 42,0 40,0 EYAA - 138.4 Net debt increased and aso 09 | reached EUR 65.91 million in soo 289 29.6 2021 9M. ‘ 261 25,0 Contrarily to previous years, 200 28 | 9 maximum leverage was
Slide 21: Key priority going further
FINANCIAL Key priority going further q2 INFORMATION The Group started feeling * The Group is considering additional funding options to the effects of climate speed up commercialization of already tested technologies change, so accelerating and development/testing of new ones. innovation agenda becom
Slide 22: R&D and investments
R&D AND wanes g3 INVESTMENTS The Group continues to allocate its resources to achieve goals determined in the strategy — to deliver organic food with no cost to nature by implementing these Specialised feed plant . . Crop growing Dairy projects: (50% leguminous Beef cattle grasses) Poultry 1. Biogas
Slide 23: AUGA M1 - first hybrid biomethane-electric tractor for professional use
R&D AND AUGA M1 - first hybrid biomethane- aU INVESTMENTS electric tractor for professional use ge ar Introduced in September 2027. There were 140 publications in ~® “ +6 - pm global media in 25 countries (from USA to India). few AUGA group is aiming to start using tractors in it's activity from Q3
Slide 24: Share price information
FINANCIAL Share price information q2 INFORMATION AUGA group, AB share price on Nasdaq Vilnius, EUR 0,7 The share price increased by 22.17% (from EUR 0.442 to EUR 0.540 per share) from the beginning of 2021 to 30 November 2021. The average monthly turnover was EUR 0.87 million. Top 3 corporate bond t
Slide 25: More information
gU G3 YY Y 9M2021 More information: q2 * Nasdaq Vilnius, Baltic Main List: AUGIL * Nasdaq Vilnius, green bonds: AUGBO60024A * Information for investors: http://auga.lt/en/for-auga-investors e Analyst reports, data in MS Excel format: https://auga.|t/en/investors/reports-and-presentations * News for
Slide 26: Organic food with no cost to nature
aU ga Yoroup ORGANIC FOOD WITH NO COST TO NATURE