Bakkafrost P/f · OSL:BAKKA

Bakkafrost P/f — Bakkafrost — Q1 2010 Earnings Presentation

19 slides from Bakkafrost P/f's earnings presentation, May 26, 2010

  1. Slide 1: Presentation Q1 2010

    Presentatio on Q1 2010 CEO Regin Jacobsen CFO Teitur Samuelsen Oslo Mayy 26th 2010

  2. Slide 2: Disclaimer

    Disclaimer  This presentation includes statements rega arding future results, which are subject to risks and uncertainties. Consequently, actuual results may differ significantly from the results indicated or implied in these statem ments.  No representation or warranty (expressed or o implied) is

  3. Slide 3: Summary

    Summary  Solid demand and lack of supply, both in EU market and USA Marked  Strong prices on both spot (fresh) and contract marked (VAP)  Merger of Bakkafrost and Ve estlax successfully completed Strategy  Listing of Bakkafrost carried d out  Good operational performance in North. Still far low

  4. Slide 4: Financial Highlights

    Financial Highlights  Operating p g revenue DKK 190 million (Proforma ( Q1 2009 DKK 185 million)) Q  Harvested volumes reduced by 22% to 5,744 gwt ( North: 4,983 gwt West: 761 gwt).  VAP 63% Whole fish 37% of sales  Operational EBIT* [million] DKK 50.4 – NOK 55.1 (Proforma Q1 2009 DKK 32.0)  NO

  5. Slide 5: Key financials

    Key financials Bakkaffrost Group ‐key figures Q1 Proforma Proforma  Revenue increased by 3%, volume DKK 1,000 2010 Q1 2009 2009 reduced d d by b 22% Operating revenue 190.448 185.696 921.688  Strong salmon prices both in spot and EBIT 58.699 32.519 239.319 VAP erest Net inte -2.331 -13.176 -38.177

  6. Slide 6: Segment Information

    SEGMENT INFORMATION Strictly Private and Confidential Pag ge 6

  7. Slide 7: Segments Farming

    Segments Farming  Revenue increased by 2% Farming segment 1Q Proforma Proforma 000 DKK1,0 2010 Q1 2009 2009 Operatting revenue 174.747 170.662 812.990 Deprecciation and amortisation ‐9.244 ‐8.223 ‐34.334  Volumes reduced by 22% Operatting expences ‐112.737 ‐155.940 ‐614.836 Fair val ue adjustments

  8. Slide 8: Farming - Harvest volume

    Farming - Harvest volume [1 000 tgw]  Lower volume due to implementation of strategy t t  Harvested volume:  North: 5.0 [5.1 Q1-2009 / 5.2 Q4-2009]  West 0.8 [2.2 Q1-2009 / 4.3 Q4-2009] Strictly Private and Confidential Pag ge 8

  9. Slide 9: Farming - Operational performance

    Farming - Operational performance  EBIT* /kg and margin in West negatively affected by:  Low volumes harvested due to shift from trout to salmon  Lower performance compared with North (Trout and costs in general)  Low capasity utilization * Aligned for fair value adjustment of biomass, onerous c

  10. Slide 10: Segments VAP

    Segments VAP Valu ue added p products 1Q Q Proforma Proforma VAP a part of our long term strategy DKK11,000 2010 Q1 2009 2009 Operrating revenue 120.328 68.314 358.709 Deprreciation and amortisation ‐993 ‐936 ‐3.800  Operating revenue increase by 76% Operrating expences ‐121.689 ‐68.245 ‐324.095 Pr

  11. Slide 11: VAP - Operational performance

    VAP - Operational performance  High capasity utilisation in VAP factory  VAP share increased from 36% to 63% of raw material base mainly due to reduction in harvested volumes  Strong market gives continuous increased prices  Time lag between spot prices and contract prices Strictly Private and C

  12. Slide 12: Group Financials

    GROUP FINANCIALS Strictly Private and Confidential Page e 12

  13. Slide 13: Profit and Loss – 1Q 2010

    Profit and Loss – 1Q 2010 Consolidated Profit and Loss Proforma Proforma Q1 Q1 DKK 1,000 2010 2009 2009 Operating revenue 190.448 185.696 921.688 Purchase of goods -37.207 37 207 -68.922 68 922 -272.638 272 638 Change in inventory and biological assets (at cos st) -13.725 -26.641 -105.659 Fair value

  14. Slide 14: Balance Sheet – as per 31. March 2010

    Balance Sheet – as per 31. March 2010 As of 31 March 2010 31 March Proforma DKK 1 1,000 000 2010 2009 ASSETS TOTAL NON-CURRENT ASSETS 493.749 484.161 Total inventory 383.432 354.778 Total receivables 106.437 129.283 Total current assets 500.859 519.741 TOTAL ASSETS 994.608 1.003.901 EQUITY AND LIABI

  15. Slide 15: Cash Flow – for 1Q 2010

    Cash Flow – for 1Q 2010 1Q Proforma DKK 1,000 2010 2009 O Operating ti profit fit (EBIT) 58 699 58.699 239 319 239.319 Adjustments for write-downs and depreciation d 10.237 38.134 Adjustments for value adjustmentss on biomass -45.760 -34.486 Taxes paid 0 0 Change in inventory -28.654 28 654 105 639

  16. Slide 16: Outlook

    Outlook Strictly Private and Confidential Page e 16

  17. Slide 17: Outlook

    Outlook  A strong market with reduced supply lea ads to high prices  Maintain focus on a healty biological env viroment  Building up biomass during 2010.  Production level expected for 2010 and 2011 2 in average to be around 60,000 tonnes gwt  Swiching to purely produce salmon from m late Q3-20

  18. Slide 18: Appendix

    APPENDIX Strictly Private and Confidential Page e 18

  19. Slide 19: Strictly Private and Confidential Page e 19

    Strictly Private and Confidential Page e 19

Bakkafrost — Q1 2010 Earnings Presentation on 6ix