Aqua Bio Technology Asa · OSL:ABTEC
Aqua Bio Technology Asa — H1 2017 Earnings Presentation
13 slides from Aqua Bio Technology Asa's earnings presentation, Aug 16, 2017
Slide 1: Results Presentation 1st Half Year 2017
Results Presentation 1st Half Year 2017 16 August, 2017 Technology by nature
Slide 2: Highlights for the 1st half year - 2017
Highlights for the 1st half year - 2017 • Business model expanded • Now including skin care products for consumers and professional users • Two new partnerships established • Both brand launched June/July • Results on underlying ordinary business positive • Result affected negatively by one-off lega
Slide 3: Technology by nature. From the Arctic to the South Pacific
Technology by nature. From the Arctic to the South Pacific ScandiDerma Zembra Restorsea AlgoSource Banco Español de Algas Moana Skincare
Slide 4: Income statement
Income statement NOK million H1 2017 H1 2016 2016 2015 Income 8,9 25,1 49.4 38.9 Operating costs 1) 12,3 -18,4 -29.6 -17.7 EBITDA -3,3 6,7 19.8 21.3 EBIT -3,6 3,8 2.9 15.4 EBT -3,8 3,7 2.2 15.0 Net result -2,9 2,8 1.5 17.4 EBITDA margin -37% 26,7% 40.1% 54.6% 1) Operating costs include non-recurring
Slide 5: Balance sheet
Balance sheet NOK million 30 Jun 2017 31 Dec 2016 31 Dec 2015 Fixed assets 7,5 6.5 11.1 Current assets 52,1 64.5 75.0 - of which is cash 29,5 46.2 42.0 Total equity 51,9 61.8 76.7 Long term debt 1,0 1,3 5.0 Short term debt 6,7 6,6 4.3 Total balance 59,6 71.4 86.1 Equity ratio 87,1% 87.0% 89.1%
Slide 6: Expanded business model
Expanded business model ABT’s proprietary U.S. • Commercialized partner enzyme technology Third party biotechnology A high growth, • Commercialization of new biotechnology global market Third party biotechnology seeking new • Developing new ingredients for skin care and sustainable Third party biote
Slide 7: Rationale – business model expansion
Rationale – business model expansion • Larger market footprint • Building on ABT’s expertise and market reach • Faster access to cash flow • Development cycle for new ingredient is 1-3 years • Establishing foothold in end-user markets takes 6-12 months • Combined business model is robust • Ingredien
Slide 8: Ingredient partners, product partners, exclusive partner Aquabeautine XL
INGREDIENT PARTNERS PRODUCT PARTNERS • AlgoSource (France) • Moana Skincare (New Zealand) • Green and red algae technology • Based on plants and seaweed from NZ • Ingredients to be launched in 2017 • ABT holds EMEA marketing rights • Being rolled out in Scandinavia • Zembra Group (UK) • ScandiDerma
Slide 9: Marketing strategy – skin care products
Marketing strategy – skin care products • Short term focus on available European markets • Moana: High-end, key opinion leaders in Scandinavia + DACHs • Cuvget: Retail, Norway, Sweden, Finland, Portugal • Next step is establishing foothold in the large and attractive Middle East markets • Strategic
Slide 10: Dispute with U.S. customer unresolved
Dispute with U.S. customer unresolved • The contract between the parties expired on 1 January, 2016; has not been renewed • Customer’s legal complaint rejected by U.S. federal court in Q2 2016 • Case referred to arbitration in London, as stipulated in original contract • Arbitration previously sched
Slide 11: Agreement with Restorsea extended
Agreement with Restorsea extended • First five-year contract term with Restorsea expired 31 December 2016 • Agreement extended for new five-year period, on terms stipulated in original contract • USD 1 million payment received in H1 2017 • Going forward, income from Restorsea will be purely sales ba
Slide 12: Outlook
Outlook • Revenue stream from Aquabeautine XL significantly reduced • First revenues from finished product sales in end Q2, expected to increase during second half 2017 • Revenues from AlgoSource ingredient expected in second half 2017 • Moderately increased opex due to marketing initiatives in both
Slide 13: Welcome back
Welcome back 2nd Half Year 2017 preliminary results 21st February, 2017 Technology by nature