Akva Group Asa · OSL:AKVA
Akva Group Asa — Q3 2010 Earnings Presentation
23 slides from Akva Group Asa's earnings presentation, Oct 28, 2010
Slide 1: 3Q 2010 presentation
The global leader in aquaculture technology 3Q 2010 presentation 28 October 2010 Morten Nærland, CFO & Acting CEO
Slide 2: Agenda
Agenda Background & highlights 3Q 2010 Financial review Outlook Q&A 2
Slide 3: Global leader in aquaculture technology
Global leader in aquacuture techmolopy. Nothiag more. Nothingless. AKVAI|ife 2008-2015
Slide 4: AKVA group in brief
AKVA group in brief Software systems Cage systems Facts about AKVA group & services • The leading supplier of aquaculture technology. • Strong market position for all main products • The only supplier with ”global” presence. • Leading supplier in a global growth industry. Feed barges Recirculation s
Slide 5: "One-stop-shop" in aquaculture technology
“One-stop-shop” in aquaculture technology Value Chain Software Land Based Farms Cage Based Farms 5
Slide 6: 3Q highlights
3Q highlights ● Operating revenues in 3Q were 212.3 MNOK versus 139.8 MNOK last year. ● The EBITDA in 3Q was 10.2 MNOK versus 7.4 MNOK last year. Last year had one-offs of net 6.7 MNOK affecting revenues and profit positively ● Order backlog at the end of 3Q2010 was 270 MNOK versus 203 MNOK last yea
Slide 7: 3Q highlights cont.
3Q highlights cont. ● Knut Molaug stepped down from the position as CEO Morten Nærland, the CFO, appointed to Acting CEO 7
Slide 8: Agenda
Agenda Background & highlights 3Q 2010 Financial review Outlook Q&A 8
Slide 9: 3Q Financials – P&L
3Q Financials – P&L P&L 2010 2010 2009 2010 2009 2009 (MNOK) 3Q 3Q YTD YTD Total OPERATING REVENUES 212,3 139,8 546,6 456,5 599,3 Operating costs ex depreciations 202,1 132,4 547,8 451,9 610,9 EBITDA 10,2 7,4 -1,2 4,5 -11,5 Depreciation 8,1 8,0 23,2 23,7 30,9 EBIT 2,1 -0,6 -24,4 -19,1 -42,4 Net inte
Slide 10: 3Q Financials – P&L comments
3Q Financials – P&L comments ● Operating revenue in 3Q10 was 212.3 MNOK vs 139.8 MNOK last year. Last year the profit from the sale of Surefish was included in the revenues (11.7 MNOK) The increase driven by the Norwegian market but basically an increase in all major markets including the export mar
Slide 11: Market segments
Market segments Geographic segments (YTD) Other 18 % • Norway is the dominating segment UK and Ireland 10 % • Growth in all markets over last year • Chilean market recovery is Latin America 9% Norway 57 % North becoming more evident America 6% Product Group Segments (YTD) SW REC 8% • HW= Hardware de
Slide 12: Market segments
Market segments AKVA group revenues within other species 140 MNOK 120 CAGR 2003-2009 ~50% 100 80 60 40 20 0 2003 2004 2005 2006 2007 2008 2009 2010* * Sales and order backlog for delivery in 2010 per 3Q. • The positive development within other species than salmon continue. 12
Slide 13: Balance sheet
Balance sheet BALANCE SHEET 2010 2009 2009 (MNOK) 30.9. 30.9. 31.12. Intangible fixed assets 239,4 244,4 243,9 Fixed assets 37,9 44,5 39,1 Long-term financial assets 1,0 1,1 1,1 FIXED ASSETS 278,3 289,9 284,1 Stock 139,1 121,7 116,2 Trade receivables 175,0 127,1 125,4 Other receivables 26,5 18,4 27,
Slide 14: Balance sheet items
Balance sheet items Working Capital (MNOK) ● Working Capital: MNOK 250 The company continue 199 to focus on maintaining 200 172 168 a low working capital. 141 150 128 120 115 113 106 100 50 0 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 ● Net interest bearing debt (NIBD): NIBD (MNOK) A waiver extend
Slide 15: Financial position
Financial position Equity (%) ● Equity: 60 % Equity position affected 50 % 46 % 46 % 45 % 45 % 46 % by the negative results 42 % 39 % 40 % 35 % 34 % 30 % 20 % 10 % 0% 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 -10 % Cash balance (MNOK) ● Cash Position: MNOK 60 57 51 52 56 54 50 Available cash 65 5
Slide 16: Cash flow statement
Cash flow statement CASH FLOW STATEMENT 2010 2009 2010 2009 2009 (NOK 1 000) 3Q 3Q YTD YTD Total Net cash flow from operational activities 4 340 15 797 -327 35 486 32 656 Net cash flow from investment activities -4 633 -1 742 -13 534 -17 688 -24 095 Net cash flow from financial activities -4 035 -13
Slide 17: Agenda
Agenda Background & highlights 3Q 2010 Financial review Outlook Q&A 17
Slide 18: Order backlog and inflow
Order backlog and inflow Order backlog (MNOK) MNOK 400 373 350 305 316 ● The order backlog was 300 253 263 260 270 270 MNOK at the end 250 200 200 183 203 204 of 3Q. 150 100 50 ● Well above last year 0 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 Order inflow (MNOK) MNOK 250 232 ● 3Q order
Slide 19: Outlook
Outlook • The market fundamentals in terms of salmon prices have remained high, and AKVA’s main customers are experiencing healthy earnings. • The order inflow should recover from the slowdown seen in 3Q • The recovery of the Chilean salmon industry is becoming more evident • Relative good amount of
Slide 20: Agenda
Agenda Background & highlights 3Q 2010 Financial review Outlook Q&A 20
Slide 21: AKVA group – global presence
AKVA group – global presence Norway Iceland Scotland Denmark Canada Canada Turkey AKVA office China AKVA representation Vietnam Chile All major industry players as customers 21
Slide 22: AKVA group – brief historic summary
AKVA group – brief historic summary 1974: World’s fist plastic cages (Polarcirkel) – today more than 40.000 units delivered 1978: First Seafood industry software solution 1980: World’s first automatic feed systems 1984: Maritech: first seafood industry PC based ERP software system Innovations: 1985:
Slide 23: New Management Structure
New Management Structure Morten Nærland Acting CEO Morten Nærland CFO Odd Martin Andrew Trond Solem Per A. Hjetland Stig M Bø Campbell Severinsen Director SW COO Nordic Sales Director CMO / Export Americas Jens Hernes Lars Holm Per A Hjetland Helgeland Lerke Møller HW Bryne Plast RAS DK 23