Aker BioMarine ASA · OSL:AKBM

Aker BioMarine ASA — Q4 2009 Earnings Presentation

16 slides from Aker BioMarine ASA's earnings presentation, February 2010

  1. Slide 1: Superba™ Krill EU approved – growth continues

    Aker BioMarine Superba™ Krill EU approved – growth continues Q4 2009 Hallvard Muri, CEO Fredrik Dokk Nygaard, CFO Matts Johansen, EVP Sales & Marketing The preferred partner part of Aker

  2. Slide 2: Agenda

    Agenda ƒ Q4 results ƒ Refinancing plan ƒ Outlook 2010 The preferred partner part of Aker © Aker |

  3. Slide 3: Highlights Q4 2009

    Aker BioMarine Highlights Q4 2009 ƒ 48 % growth in sales of Superba™ Krill compared to Q3 – total 50 MT sold in 2009 ƒ Schiff International experiences strong demand growth for MegaRed® following launch in WalMart and Sam’s Club ƒ New exclusive supplier agreements with Valensa International and Merc

  4. Slide 4: Studies proves accelerated growth with Qrill™

    Aker BioMarine Studies proves accelerated growth with Qrill™ The preferred partner part of Aker © Aker |

  5. Slide 5: Key performance indicators

    Aker BioMarine Key performance indicators Last five quarters (Q4/08 – Q4/09) Revenues* Operating cash flow* Superba™ Krill sold QrillTM feed sold NOKm NOKm MT MT 50 0 30 3 000 45 -20 25 2 500 40 35 -40 20 2 000 30 -60 25 15 1 500 20 -80 15 10 1 000 -100 10 5 500 -120 5 0 -140 0 0 Q4 Q1 Q2 Q3 Q4 Q4 Q

  6. Slide 6: Income statement

    Q4 2009 Income statement Actual Actual Actual Year Year ƒ Continued revenue growth from Amounts in NOK million Q3 2009 Q4 2009 Q4 2008 2009 2008 increased sales of Superba™ Krill • Superba ™ krill ‐ NOK 24m Operating revenues 41 50 18 145 85 • Qrill™ ‐ NOK 12m Inventory change -16 -24 5 -16 48 • Roy

  7. Slide 7: Balance sheet and cash flow

    Q4 2009 Balance sheet and cash flow Balance sheet Q3/09 Q4/09 Q4/08 YE 2009 YE 2008 Total assets 1,678 1,621 1,924 1,621 1,924 Total equity 305 196 500 196 500 Net interest bearing debt 775 836 471 836 471 Equity % (including convertible debt) 42% 40% 45% 40% 45% Cash flow Q3/09 Q4/09 Q4/08 2009 200

  8. Slide 8: Background refinancing

    Refinancing plan Background refinancing ƒ NOK 750m bond and NOK 90m short term loan matures May 2010 ƒ Current book equity of only 12% (excluding convertible debt) ƒ Complex balance sheet with intra‐Aker group positions and debt instruments ƒ Too high leverage as a “start‐up” phase company ƒ Additio

  9. Slide 9: Outline refinancing plan

    Refinancing plan Outline refinancing plan* Netting of Aker group Minimum share issue to other 1 positions and debt conversion 2 shareholders 3 Bond restructuring NOKm NOKm NOKm Short term 83% 17% 750 loan 91 40% Extend facility 473 other three years Aker 448 bonds Aker Ocean 166 Harvest 473 60% Nett

  10. Slide 10: Substantial strengthened company

    Refinancing plan Substantial strengthened company Pro forma balance sheet 31.12.2009* NOKm Cash Current liabilities ƒ Equity ratio improved Secured debt from 12% to 60% Current assets Restructured ƒ Net interest bearing debt bond reduced from to NOK Intangibles 836m to NOK 326m ƒ Actual transaction

  11. Slide 11: Company guidance

    Company guidance 2010 guiding ƒ 120 – 160 tonnes of Superba™ Krill at 2009 prices ƒ 8,000 – 10,000 tonnes of Qrill™, company will through documentation prove Qrill™ value and gradually increase pricing ƒ Krill segment to be marginal EBITDA positive The preferred partner part of Aker © Aker |

  12. Slide 12: Why krill is one of the most promising nutraceuticals

    Why krill is one of the most promising nutraceuticals 1 Superior and documented health benefits ƒ Clinical proven significantly more effective compared to Omega 3 from fishoil, the best documented dietary supplement in history 2 Clean and all natural ƒ From the cleanest water ƒ Sustainable and eco‐f

  13. Slide 13: Two approaches to Superba™ krill 2010 guiding

    Two approaches to Superba™ krill 2010 guiding Bottom Up (120) Trended (160) 160 22 120 95 25 40 98 U.S. Europe Total Current New biz Base Total forecast forecast run rate growth* Existing customers The preferred partner “Market researcher Nielsen notes omega‐3 products have bucked the recession to r

  14. Slide 14: Overview of Superba's addressable markets

    Overview of Superba’s addressable markets Short term Midterm Long term Generic omega‐3 oil Condition specific Functional food formulations OMEGA‐3 ingredient Market Medium Low High growth 57 2,20 Addressable Relevant 0,82* ƒ Joints markets ƒ Heart (billion U$) 28% ƒ Eye The preferred partner part of

  15. Slide 15: Improve price level through documentation

    Improve price level through documentation Documenting biological and financial ..to drive demand and establish effects of QrillTM … premium pricing Value distribution (NOK/kg feed) USD/MT 1,6 1,4 1,2 1 0,8 1,42 0,6 0,4 0,2 0,23 0 Value Farmer/Feeder Qrill Premium market price Value distribution (NOK

  16. Slide 16: Implementing new sales process for Qrill™

    Implementing new sales process for Qrill™ Phase A Phase B Phase C Frame contracts Spot ƒ No volume ƒ Fixed volume ƒ Residual supply Scope limitation ƒ Fixed minimum ƒ Weekly spot ƒ Fixed price price levels set prices minimum price Mar 2010 levels set Jan 2010 ƒ 2,000 MT committed by end Q4 ƒ Good re

Aker BioMarine — Q4 2009 Earnings Presentation on 6ix