Mowi Asa · OSL:MOWI

Mowi Asa — Investor Day (September 2024)

116 slides from Mowi Asa's investor day presentation, Sep 26, 2024

  1. Slide 1: Capital Markets Day 2024

    Capital Markets Day 2024 Brekstad, Norway 26 September 2024

  2. Slide 2: Group Management Team

    Group Management Team Ivan Vindheim (1971), CEO Kristian Ellingsen (1980), CFO Øyvind Oaland (1970), COO Farming CEO from 2019, prior to that CFO from 2019, prior to that COO Farming Norway from CFO for seven years. He has Group Accounting Director 2020. Prior to that Chief held various executive fo

  3. Slide 3: Agenda

    Agenda 08:00 08:25 Business and Strategy Update Ivan Vindheim 08:25 08:40 Finance Kristian Ellingsen 08:40 09:05 Sales & Marketing Ola Brattvoll 09:05 09:20 Break 09:20 09:45 Farming Norway and Iceland Øyvind Oaland 09:45 10:00 Farming Scotland, Faroes, Ireland and Canada East Ben Hadfield 10:00 10:

  4. Slide 4: Forward looking statements

    Forward looking statements This presentation may be deemed to include forward-looking statements, such as statements that relate to Mowi’s contracted volumes, goals and strategies, including strategic focus areas, salmon prices, ability to increase or vary harvest volume, production capacity, expect

  5. Slide 5: Business and Strategy update

    Nye bilder Business and Strategy update Capital Markets Day 2024 Ivan Vindheim CEO

  6. Slide 6: Mowi in brief

    Mowi in brief One of the world’s leading seafood companies The world’s largest producer of Atlantic salmon, (#1 measured by market capitalisation) 500,000 GWT in 2024E (~2.9 billion meals per year) #1 on sustainability (Coller FAIRR) Fully integrated value chain Listed on Oslo Stock Exchange HQ in B

  7. Slide 7: Mowi – Leading the Blue Revolution

    Mowi – Leading the Blue Revolution 2023 harvest volumes (1,000 GWT) 500 Global volumes of 2.5 million GWT 400 300 200 100 0 Mowi A B C D E F G H I J K L M N O P Q R S Source: Public disclosure and Kontali Analyse. Page 7 Note: Harvest volumes in Gutted Weight Tonnes (GWT) for last year reported, Atl

  8. Slide 8: Fully integrated value chain

    Fully integrated value chain Feed Breeding Smolt Sales & Farming Harvesting Processing Marketing Feed Farming Sales & Marketing #4 #1 #1 528k tonnes 500k GWT 232k tonnes Page 8 Note: Farming volumes in Gutted Weight Tonnes (GWT), Consumer Products volumes in product weight

  9. Slide 9: Feed production of 528,000 tonnes in 2023 – Self-sufficient in Europe

    Feed production of 528,000 tonnes in 2023 – Self-sufficient in Europe Total production capacity of 640,000 tonnes Valsneset, Norway 400,000 tonnes capacity Opened 2014 Kyleakin, Scotland 240,000 tonnes capacity Opened 2019 Page 9

  10. Slide 10: Farming harvest volumes of 500,000 GWT in 2024E

    Farming harvest volumes of 500,000 GWT in 2024E Harvest volumes in GWT Canada Ireland Iceland Faroes Norway Scotland 30,000 9,000 Arctic Fish (51%) 10,000 305,000 64,000 10,000 Harvest volumes Chile 72,000 Page 10

  11. Slide 11: Sales & Marketing – Consumer Products volumes of 232,000 tonnes in 2023

    Sales & Marketing – Consumer Products volumes of 232,000 tonnes in 2023 20 Secondary processing plants Europe 26 Sales offices 171,000 tonnes Germany Poland Norway France Netherlands Faroes Spain Belgium Ireland Consumer Italy Czech Sweden Products volumes sold Scotland Turkey Iceland Asia 30,000 to

  12. Slide 12: Atlantic salmon is a fantastic product with great product features

    Atlantic salmon is a fantastic product with great product features • Scientifically proven natural superfood – Nutritionally dense and great for one’s health (omega-3, protein, vitamins, potassium, antioxidants) • Top appetising taste, look, texture and colour • Versatile for traditional and evolvin

  13. Slide 13: And the beneficiary of strong megatrends

    And the beneficiary of strong megatrends Population Exploited growth Health resources Climate Growing middle change/Resource class Aging population efficiency Page 13

  14. Slide 14: Structural undersupply is expected to continue in the coming years

    Structural undersupply is expected to continue in the coming years 8% 4% 2% -1% 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024e 2025e 2026e 2027e 2028e 2029e Demand growth avg (2013-2023) Supply growth avg (2013-2024e) Supply growth avg (2025e-2029e) Demand growth p.a. Supply growth p.a

  15. Slide 15: Mowi is working along three main pillars

    Mowi is working along three main pillars Mowi Farming Volume Cost Sustainability Page 15

  16. Slide 16: Farming volume growth of 100,000 GWT to all-time high 600,000 GWT

    Farming volume growth of 100,000 GWT in the coming 5 years to all-time high 600,000 GWT • Farming volumes the mainstay of Mowi’s business model 650 600 600 • Strong volume growth of 125k GWT, from 375k GWT to 500k GWT for Mowi Harvest volumes GWT (1,000) 550 540 globally over the last 6 years 500 50

  17. Slide 17: Organic revenue growth of 7-8% annually until 2029

    Which translates into an organic revenue growth of 7-8% annually until 2029 • 2023-2029F: Topline CAGR 7-8% pa – Farming volume CAGR 4.0% pa (475k GWT 2023 to 600k GWT 2029F) – Product enhancement, branding, inflation CAGR 3-4% • 2018-2023: Topline CAGR 7.6% pa – Farming volume CAGR 4.8% pa (375k GW

  18. Slide 18: How to deliver on this organic growth?

    How to deliver on this organic growth? Increased smolt stocking on unutilised licenses and increased productivity by postsmolt on utilised licenses (~40 million postsmolt by end of 2024 / 25% coverage / Norway 50% ex RN) Norway - Fjæra commissioned Norway - Nordheim commissioned Norway - Haukå commi

  19. Slide 19: Productivity programme revived farming volume growth

    Productivity programme revived farming volume growth Mowi Farming volumes since the big merger in 2006 650 600 600 540 Harvest volumes GWT (1,000) 550 500 500 475 450 400 340 350 375 300 250 125k GWT 100k GWT 200 Page 19

  20. Slide 20: From lagging behind to being ahead – farming volume growth vs listed peers

    From lagging behind to being ahead – farming volume growth vs listed peers Mowi Farming volumes versus indexed listed peers since 2018 550 500 Harvest volumes GWT (1,000) 500 475 450 Mowi 400 375 ? Listed peers indexed 350 300 2018 2019 2020 2021 2022 2023 2024E Page 20

  21. Slide 21: Mowi #1 CAGR EPS and organic farming volume growth last 5 years

    Has made Mowi #1 CAGR EPS and organic farming volume growth last 5 years But negatively impacted by increased taxes, doubling of feed prices, loss of 20k GWT in BC, FX 10.0 % CAGR EPS 6.8% CAGR volumes 4.8% 5.0 % Company A 0.0 % -3.0 % -2.0 % -1.0 % 0.0 % 1.0 % 2.0 % 3.0 % 4.0 % 5.0 % 6.0 % Company

  22. Slide 22: Improve our cost-leading position in the seven countries where we operate

    Improve our cost-leading position in the seven countries where we operate • Mowi #1 or #2 on cost in every EBIT per kg – Mowi consistently #1 and #2 in all regions farming country Mowi ranking 2 1 1 1 2 1 by country • Biology and operational performance 25 22.5 20.0 19.6 20 the main cost drivers EBI

  23. Slide 23: Develop our position as one of the world's most sustainable animal protein producers

    And further develop our position as one of the world’s most sustainable animal protein producer Rating agencies About the rating Score (1) Salmon is the most sustainable animal protein alternative Mowi ranked as the most sustainable animal protein producer in the world (amongst the 1st largest 60 an

  24. Slide 24: Grow the feed division with the farming division

    Grow the feed division with the farming division The production journey of Mowi Feed Self sufficient Cover 100% of Mowi’s feed need in Europe 2014 2019 2020 2027 Valsneset Kyleakin Valsneset Mowi opened its first feed Mowi’s second feed plant opened A new line increasing total plant in Trøndelag, No

  25. Slide 25: Further develop our number one position downstream

    Name of the Presentation Further develop our number one position downstream Customer value Operational Product Excellence Branding Page 25

  26. Slide 26: Continue the transforming of the value chain through digitalisation and automation

    Continue the transforming of the value chain through digitalisation and automation • Mowi 4.0 – Mowi’s digitalisation strategy – Full digitally integrated value chain from roe to plate • Smart Farming – Remote operation centres, real time monitoring of biomass, digital lice counting, assisted and au

  27. Slide 27: Finance

    Finance Capital Markets Day 2024 Kristian Ellingsen CFO

  28. Slide 28: Cost: One of Mowi's strategic pillars

    Cost: One of Mowi’s strategic pillars • Mowi #1 or #2 on cost in every farming EBIT per kg – Mowi consistently #1 and #2 in all regions country Mowi ranking by country 2 1 1 1 2 1 • Cost-cutting initiatives are important to 25 22.5 20.0 combat inflation, biological measures, 20 19.6 EBIT/kg NOK and

  29. Slide 29: Mowi Norway consistently #1 on EBIT/kg in Region North, West and South

    Mowi Norway consistently #1 on EBIT/kg in Region North, West and South Improvement initiatives underway in Region Mid Norway North #1 Norway Mid #3 35 35 30 26.8 30 24.3 25 25 23.1 20.7 19.6 20.4 19.3 18.9 19.2 20 20 NOK/kg NOK/kg 13.7 14.3 15 15 10 10 5 5 0 0 Mowi A B C Avg. A B Mowi C D Avg. Norwa

  30. Slide 30: EBIT per kg: Mowi consistently #1 in all other countries except Faroes

    EBIT per kg Mowi consistently #1 in all other countries except from Faroes (#2) Scotland #1 Chile #1 Canada West #1 25 1.5 25 1.1 20 1.0 20 0.6 0.6 0.5 NOK/kg 0.5 0.4 15 15 13.6 NOK/kg 0.1 0.0 10 9.1 USD/kg 10 8.3 Mowi A B C D E Avg. 5.7 -0.5 5 5 1.5 0 -1.4 -2.5 -1.0 0 Mowi A -1.5 Mowi A B C Avg. -5

  31. Slide 31: Mowi Norway outperforming the wider industry on cost performance

    Mowi Norway outperforming the wider industry on cost performance • Gap is set to increase in the Full cost per kg – Mowi Norway vs. all salmon farmers in Norway coming years through postsmolt, Mowi 4.0 and cost savings initiatives Postsmolt Mowi 4.0 Volume growth > industry Cost savings Cost/kg Prod

  32. Slide 32: Significant inflationary pressure since 2021 is now easing

    Significant inflationary pressure since 2021 is now easing • Recent easing of the Realised blended Farming cost per kg for Mowi group significant post-Covid inflationary pressure 6.05 5.84 – Driven by feed prices which increased significantly 2021-2023 but have been reduced by ~5% EUR/kg YTD Q2 2024

  33. Slide 33: Realised cost savings of EUR 307 million 2018-2024 YTD Q2

    Realised cost savings of EUR 307 million 2018-2024 YTD Q2 • Total cost savings of EUR 307 million 2018-2024 Cost savings per year and business area (EUR million) YTD, of which EUR 207 million in Farming 0 55 – ~1 700 initiatives across different categories 207 • Cost Savings Programme has covered se

  34. Slide 34: Taking the Cost Savings Programme to the next level

    Taking the Cost Savings Programme to the next level Reduce variations Cost control, not Category Life-cycle Standardisation between business just cost savings management analysis units • Safeguarding • Comparability • Capitalise on • Capitalise on • Ensure that total results achieved Mowi best categ

  35. Slide 35: Strong performance on productivity and FTE development

    Strong performance on productivity and FTE development • Productivity programme F E reductions based on “as is” volumes – Salary and personnel expenses second largest cost item in Mowi; EUR 648 million in 2023 – Productivity increase of 18% 2019-2024 YTD Q2, i.e. delivering well in excess of the 10%

  36. Slide 36: Strong focus on cost containment and cost leadership

    Strong focus on cost containment and cost leadership Productivity Mowi 4.0 Mowi 4.0 Cost Savings Postsmolt Programme on Sales & Farming Programme FTEs Marketing • Less treatments • Improved FCR • Cost control • Continued strict • Efficiency FTE focus • Reduced • Lower health cost • Standardisation •

  37. Slide 37: Overview of Mowi's financing – target 100% green financing

    Overview of Mowi’s financing – target 100% green financing • Total committed financing of EUR 2,648 million ex Arctic Fish Share of sustainable funding – Approx. EUR 940 million in cash and undrawn lines • Comfortably compliant with equity covenant of 35%. No earnings covenant • Bank Facility: EUR 2

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  39. Slide 39: Sales & Marketing

    Sales & Marketing Capital Markets Day 2024 Ola Brattvoll COO Sales & Marketing

  40. Slide 40: Mowi Sales & Marketing

    Mowi Sales & Marketing Business highlights Geographical overview of assets • Focus on creating customer value through 20 Secondary processing plants 26 Sales offices – Product – Branding – Operational Excellence • Putting the customer at the core of everything we do downstream • Strong result improv

  41. Slide 41: Salmon: The food icon of the 21st century

    Salmon The food icon of the 21st century Salmon is addressing megatrends better than most other popular food offers.

  42. Slide 42: Significant growth potential in all markets

    Significant growth potential in all markets Market size Consumption per capita 700,000 9 8.2 8 600,000 7 Market size in tonnes WFE Kg WFE per capita 500,000 6 4.9 400,000 5 4.5 4.5 4.5 3.9 300,000 4 3.3 2.7 2.6 3 2.4 2.4 2.4 2.3 200,000 2.2 1.9 1.5 2 1.3 1.4 100,000 0.9 1.0 0.6 0.7 0.6 1 0.5 0.4 0.5

  43. Slide 43: Mowi Sales & Marketing has a unique position in the salmon market

    Mowi Sales & Marketing has a unique position in the salmon market • Global processing and sales presence – Asia: 6 VAP factories, 7 sales offices – Europe: 11 VAP factories, 14 sales offices – Americas: 3 VAP factories, 5 sales offices • Cost effective and market adopted foot-print – Strong cost per

  44. Slide 44: The mission of the MOWI brand: De-commoditising the salmon category

    The mission of the MOWI brand: De-commoditising the salmon category • More value for consumers – More choice – More innovation – Higher quality • More value for customers – New shoppers – Higher shopping frequency – Higher basket value • More value for Mowi – >30% price premium to private label – Mo

  45. Slide 45: Social media and in store activities: Engaging consumers and customers

    Social media and in store activities: Engaging consumers and customers Page 45

  46. Slide 46: MOWI has become the world's largest global salmon brand in just 5 years

    MOWI has become the world’s largest global salmon brand in just 5 years • The MOWI-brand launched in 2019 • Present in 16 markets • OpEBIT break-even in 2024 Page 46

  47. Slide 47: MOW! Now available at Amazon Fresh

    MOW! Now available at Amazon Fresh Amazon Fresh available exclusively to Prime members in select markets

  48. Slide 48: Cost cutting, yield and efficiency improvements are pivotal for our business

    Cost cutting, yield and efficiency improvements are pivotal for our business Our Global Processing Excellence team is active in 32 factories in 18 countries YIELD IMPROVEMENTS EFFICIENCY IMPROVEMENTS OTHER IMPROVEMENTS Yield Critical Control Pilot based approach Centralised standards Point for all n

  49. Slide 49: Consumer Products: Achieved annualised savings from 2018

    Consumer Products: Achieved annualised savings of EUR 75 million from 2018 ANNUALISED ANNUALISED ANNUALISED YIELD SAVINGS EFFICIENCY SAVINGS OTHER SAVINGS EUR 38 million EUR 20 million EUR 17 million FTE reductions from productivity improvements and efficiency gains Year Reduction % 2020 516 -5.5% 2

  50. Slide 50: Significant savings potential from introducing more technology (Mowi 4.0)

    Significant savings potential from introducing more technology (Mowi 4.0) YIELD EFFICIENCY OTHER AREAS Extension of super lines across all Mowi Production System Automation of low-value adding sites processes Digital learning tool Auto-allocation of Raw Material to Quality Camera Systems and Auto- t

  51. Slide 51: We will continue to add value

    We will continue to add value • Cost cutting – Global Processing Excellence Team – Digital technology – Automation • Branding – Volume and EBIT growth – Stimulating salmon category growth – Significant long-term potential • Growth in selected private label segments – Overall CP growth in line with F

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  53. Slide 53: Farming Norway

    Farming Norway Capital Markets Day 2024 Øyvind Oaland COO Farming Norway & Iceland

  54. Slide 54: Farming Norway

    Farming Norway Business highlights Geographical overview of assets • Volume growth from 305k GWT to 355k GWT by 2029 11 Broodstock Sites Licenses- MAB tonnes – Primarily by postsmolt 21 Freshwater (smolt) Sites Grow out: 186,348/ 148 Seawater Sites 239 Licenses (L) • Cost improvements 4 Primary Proc

  55. Slide 55: Further strengthen industry leading license utilisation by postsmolt

    Further strengthen industry leading license utilisation by postsmolt Harvest volume (GWT) per standard license (780 tonnes)1) Chart Title 1,500 1,450 Industry Mowi 1,400 1,300 1,244 1,206 1,200 1,102 1,100 1,076 996 1,000 900 800 2018 2023 2024E 2029F Note: 1)Includes companies with >10 standard lic

  56. Slide 56: Farming Norway South

    Farming Norway South Business highlights Geographical overview of assets • Closed gap on license utilisation 4 1) Broodstock Sites Licenses - MAB tonnes – >30k GWT and 85% volume increase from 2018 6 Freshwater (smolt) Sites Grow out2): 43,119 29 Seawater Sites Brood: 1,560 – Site restructuring and

  57. Slide 57: Farming Norway West

    Farming Norway West Business highlights Geographical overview of assets • Delivered on turn-around with >80k GWT established as new 6 Freshwater (smolt) Sites Licenses - MAB tonnes baseline 36 Seawater Sites Grow out: 49,546 1 Primary Processing Plant Other1): 780 – Strong performance in a challengi

  58. Slide 58: Farming Norway Mid

    Farming Norway Mid Business highlights Geographical overview of assets • Demerged, turnaround plan in progress 4 1) Broodstock Sites Licenses - MAB tonnes 3 Freshwater (smolt) Sites Grow out: 32,307 – To improve biological performance and cost position 24 2) Seawater Sites Brood: 2,340 1 Primary Pro

  59. Slide 59: Farming Norway North

    Farming Norway North Business highlights Geographical overview of assets • Mowi’s best performing farming region 3 Broodstock Sites Licenses - MAB tonnes 6 Freshwater (smolt) Sites Grow out: 61,376 – Good cost control, site availability and biological conditions 59 1) Seawater Sites Brood: 2,340 1 P

  60. Slide 60: Postsmolt to give further organic growth and improve biological metrics

    Postsmolt to give further organic growth and improve biological metrics • Almost 30 million capacity or 50% Fjæra commissioned Nordheim commissioned postsmolt ratio in Norway, excluding Region North, by 2024 Site Region Postsmolt Total smolt tonnes capacity tonnes Fjæra South 3,300 4,400 Nordheim Mi

  61. Slide 61: The next phase of our postsmolt strategy

    The next phase of our postsmolt strategy • Next phase of the postsmolt strategy includes four postsmolt projects - Nordheim (Mid) – Expansion of existing postsmolt site Postsmolt expansion plans Norway Existing postsmolt sites land - Rovde (West) – Green field project Existing postsmolt sites sea (c

  62. Slide 62: Postsmolt improves survival, welfare and productivity

    Postsmolt improves survival, welfare and productivity • Optimising biological conditions and improving welfare are multifactorial - involves interrelated challenges and parallel ~ 200 approaches Fewer production days in sea – Improving industry-wide biosecurity practices – Genetic selection for fish

  63. Slide 63: Mowi 4.0 - Smart Farming

    Mowi 4.0 - Smart Farming • Giving the analogue world in sea a digital voice through the Smart Farming concept 26 Sea sites with sensor technology 205 Pens with sensor technology • Real time monitoring of biomass, lice, growth performance and feed conversion Tidal 8 • Remote Operations Centres establ

  64. Slide 64: Mowi is technology neutral

    Mowi is technology neutral Implementing technology which improves welfare, are cost-effective and scalable • Closed containment – Vast experience since 2013 – Viable alternative for postsmolt – Not yet proven technology for full cycle at scale Closed containment system at Slåttenes • Subsea farming

  65. Slide 65: Farming Iceland (Arctic Fish)

    Farming Iceland (Arctic Fish) Capital Markets Day 2024 Øyvind Oaland Chairman Arctic Fish

  66. Slide 66: Farming Iceland (Arctic Fish)

    Farming Iceland (Arctic Fish) Business highlights Geographical overview of assets • Realising volume growth and license utilisation 0 Broodstock Sites Licenses - MAB(t) 1 Freshwater (smolt) Sites Fertile salmon: 27,000 • Organic growth to 25k GWT by 2029 13 Seawater Sites Trout: 2,800 • Increased sm

  67. Slide 67: Attractive and sustainable value chain

    Attractive and sustainable value chain • Freshwater production – Modern and high capacity smolt facility with RAS technology – Good geothermic conditions • Seawater production – Seawater sites strategically located in all fjords in the Westfjords – Production may be alternated to minimise biological

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  69. Slide 69: Farming Scotland

    Farming Scotland Capital Markets Day 2024 Ben Hadfield COO Farming Scotland, Faroes, Ireland and Canada East

  70. Slide 70: Mowi Scotland

    Mowi Scotland Business highlights Geographical overview of assets • Harvest volume capacity >80,000 GWT 2 Broodstock Sites 8 Freshwater (smolt) Sites • Postsmolt strategy to drive improvements in the years to come 54 Seawater Sites 1 Primary Processing Plant • Mowi Broodstock at purpose built Ardess

  71. Slide 71: Biological turnaround of Scotland I: Postsmolt and Large Smolt

    Biological turnaround of Scotland I: Postsmolt (Loch Etive) and Large Smolt (Loch Awe) >50% coverage • Increasingly challenging environmental conditions call for more robust salmon and shorter production cycle • Thus, acquired the Dawnfresh bankruptcy estate’s trout sites in 2023 as a move into post

  72. Slide 72: Biological turnaround of Scotland II: 100% self-sufficient for eggs

    Biological turnaround of Scotland II: 100% self-sufficient for eggs • Another important part of Mowi Scotland’s biological turnaround plan is to become self- sufficient in eggs as restricted supply of poor-quality Ova is having a clear detrimental impact on much of the Scottish Industry • Mowi nucle

  73. Slide 73: Cost reduction and cost control

    Cost reduction and cost control • Continuation of the fewer and larger pen strategy - move from 120 metre pens to 160/200 metre pens has been ongoing since 2020 and is progressing (approx. 50% completed) • Right-sizing ongoing with FTE reduction from 900 (post acquisitions) to 760 FTE • Optimise wel

  74. Slide 74: Farming Faroes, Ireland and Canada East

    Farming Faroes, Ireland and Canada East Capital Markets Day 2024 Ben Hadfield COO Farming Scotland, Faroes, Ireland and Canada East

  75. Slide 75: Mowi Faroes

    Mowi Faroes • …. Business highlights Geographical overview of assets • Maintain and enhance high-quality, low production cost performance 1 Freshwater (smolt) Sites • Small incremental production increases in exposed locations assist in cost 3 Seawater Sites dilution 1 Primary Processing Plant • Eva

  76. Slide 76: Mowi Ireland

    Mowi Ireland Business highlights Geographical overview of assets • High demand for premium Irish Organic Salmon continues 1 Broodstock Sites – Focus on quality and exceptional customer service 3 Freshwater (smolt) Sites – Improved cost focus and rebuilding of farming volumes 12 Seawater Sites 1 Prim

  77. Slide 77: Mowi Canada East

    Mowi Canada East Business highlights Geographical overview of assets • Our third year of stable and improving biology, low sea lice levels, 2 Broodstock Sites decreasing ISA prevalence and high average harvest weights 3 Freshwater (smolt) Sites 51 Seawater Sites • Native regional strain broodstock,

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  79. Slide 79: Farming Chile and Canada West

    Farming Chile and Canada West Capital Markets Day 2024 Fernando Villarroel COO Farming Chile/Canada West

  80. Slide 80: Mowi Chile

    Mowi Chile Business highlights Geographical overview of assets • Strategy continues to focus on organic growth within current 2 Broodstock/ Genetic Sites regulatory framework 3 Freshwater (smolt) Sites 36 Seawater Sites 2 Primary Processing Plant • 5% annual volume growth; using dormant licenses by

  81. Slide 81: Organic growth within existing regulatory framework

    Organic growth within existing regulatory framework • Organic growth – Harvest increased by 20,000 GWT from 2018 and plans to add >20,000 GWT by 2029 – Steady and sustained organic growth has been achieved at considerably lower cost than acquiring capacity • Regulatory framework for growth − Regulat

  82. Slide 82: Focus on efficient production and low cost

    Focus on efficient production and low cost • Efficient production through value chain – The lowest cost producer compared with peers in Chile – Larger and fewer sites for economies of scale – Use of large well-boats for fish movement and FW treatments – Lowest feed cost in the group due to raw mater

  83. Slide 83: Competitive biology and welfare

    Competitive biology and welfare • Survival – Survival rate amongst the best in the industry – Use of data science for decision making and own lab for testing – Improving fish robustness through new available nutritional concepts • Mowi´s Genetics programme – Dissemination family programme, using gen

  84. Slide 84: Advancing toward Mowi 4.0

    Advancing toward Mowi 4.0 • Feeding – Remote Operations Centre for centralised feeding – Multipurpose cameras for feeding and biomass estimation – Photoperiod (LED) manipulation for growth – Use of AI for pellet recognition and fish feeding behaviour • Environmental – Use of drones for aerial monito

  85. Slide 85: Mowi Canada West

    Mowi Canada West • Freshwater Business highlights Geographical overview of assets • In June 2024 the Government of Canada announced a 2 Broodstock Sites 5 Freshwater (smolt) Sites new 5-year licensing period to 30 June 2029 24 Seawater Sites 1 Primary Processing Plant • A new policy was also announc

  86. Slide 86: Feed

    Feed Capital Markets Day 2024 Atle Kvist COO Feed

  87. Slide 87: Mowi Feed to continue to grow in line with farming volumes

    Mowi Feed to continue to grow in line with farming volumes • Efficient, high-performance feed, low and Geographical overview of assets competitive cost • Sourcing sustainable feed raw materials • Develop new sustainable feed ingredients • With a smaller investment - increase production Valsneset, No

  88. Slide 88: An impressive development from 2019

    An impressive development from 2019 • >20% productivity improvement: FTEs down 10%, and volume up more than 10% • Mowi’s farming operations were ~ 5% supplied with Mowi's own feed in 2023 • Excellent feed performance Valsneset – opened 2014 Kyleakin – opened 2019 • Premium coastal location, deep-wat

  89. Slide 89: Smart Operations in Mowi Feed

    Smart Operations in Mowi Feed • Productivity increased through Smart Sinking speed Operations – Drives change through entire value chain • Reduces manufacturing and supply chain costs • Enhances sustainability – Improved energy efficiency & raw material utilisation • Quality tool development – sinki

  90. Slide 90: Feed tailored to match life-cycle needs of the fish

    Feed tailored to match life-cycle needs of the fish • Our guiding principle: – Every single pellet must deliver 100% of what the fish needs, every day • Our job: – Widest available spectrum of raw materials • Continued investment in feed R&D • Feed formulas and feeding skills make us a net producer

  91. Slide 91: Sustainability

    Sustainability Environmental impact (base 2019) • Greenhouse gas emissions – Scopes 1&2 - reduction 51% – Scope 3 - reduction 28% • FLAG (Forest, Land & Agriculture) – Reduction 33% New feed raw materials • Target: 10 -15% inclusion by 2030 – 4% inclusion in 2023 Global Supplier Engagement tools (fu

  92. Slide 92: Mowi's policy on sourcing sustainable raw feed materials

    Mowi’s policy on sourcing sustainable raw feed materials Page 92

  93. Slide 93: R&D and ESG

    R&D and ESG Capital Markets Day 2024 Catarina Martins CTO and CSO

  94. Slide 94: Mowi with extensive R&D experience for years

    Mowi with extensive R&D experience for 20 years EUR 102 million 4 Invested in R&D in R&D Excellence the last 3 years Centers (Feed, B&G, Farming and Processing) Norway Iceland R&D Canada West R&D network Scotland network Canada East Ireland Faroes ✓ Fish Health & Welfare ✓ Sea lice ✓ Postsmolt ✓ Sma

  95. Slide 95: Mowi's Smart Farming concept

    GRDT – STRATEGIC OUTLOOK 2024–2029 Mowi's Smart Farming concept FRESHWATER PRODUCTION CLOSED CONTAINMENT SEAWATER PRODUCTION PROCESSING SYSTEMS

  96. Slide 96: Mowi's Smart Factory concept

    Mowi's Smart Factory concept Remote Value Chain Optimizing & Data Analytics Hub PRIMARY PROCESSING TRADING SECONDARY PROCESSING SALES & DISTRIBUTION MARKETING & BRANDING

  97. Slide 97: Mowi's digital real-time biomass monitoring

    Mowi's digital real-time biomass monitoring • 200 Deployed next-generation underwater cameras • All-in-one solution Biomass, lice count, OWI, autonomous feeding • Real-time Biomass estimate and growth trajectory Page 97

  98. Slide 98: Mowi is optimising timing of treatments with real-time lice counts

    Mowi is optimising timing of treatments with real-time lice counts • Automatic lice counting Stress-free • Early Planning and intervention Page 98

  99. Slide 99: Mowi's autonomous feeding for better FCR and growth

    Mowi’s autonomous feeding for better FCR and growth • Autonomous-feeding Based on pellet detection and behavioral cues • Remote Operation Centers Optimised feeding • Exception-based management Focus where it matters Expedite pen-level decisions Page 99

  100. Slide 100: Mowi is keeping nets cleaned with innovative robotic technology

    Mowi is keeping nets cleaned with innovative robotic technology • >70 units of robotic cleaning devices in Norway • Improved fish welfare from high-pressure cleaning of nets to gentle and continuous cleaning • Net monitoring in operation Page 100

  101. Slide 101: Adapting to climate change using drones, AI-based plankton detection and shielding

    Mowi is adapting to climate change by using drones, AI-based plankton detection and shielding technology • 100% Implementation of mitigation systems in Chile and Canada West • Drones For surveillance of Harmful Algae Blooms and Jellyfish • Automatic water sampling & AI- based plankton monitoring • D

  102. Slide 102: Mowi's subsea farming for lice control

    Mowi’s subsea farming for lice control • Sea lice reduction Subsea farming away from lice exposure • Advanced Monitoring Underwater cameras and sensors • Stable temperatures Submerged to ~25-30m • Water Feeding Page 102

  103. Slide 103: Closed containment system in sea

    Closed containment system in sea Page 103

  104. Slide 104: Producing food from the ocean makes sense

    Producing food from the ocean makes sense Health Farmed salmon is a super food helping fight malnutrition Climate change Farmed salmon has lower GHG emissions compared to land animal proteins Land use More food from the ocean, frees up land for schools, hospitals and accommodation Fresh water Salmon

  105. Slide 105: Develop our position as one of the world's most sustainable animal protein producers

    And further develop our position as one of the world’s most sustainable animal protein producer Rating agencies About the rating Score (1) Salmon is the most sustainable animal protein alternative Mowi ranked as the most sustainable animal protein producer in the world (amongst the 1st largest 60 an

  106. Slide 106: Mowi's sustainability strategy is walking the talk

    Mowi’s sustainability strategy is walking the talk 36% 99% of harvest volumes are 95% of our marine sites with GHG scope 1+2 reduction vs 2019; scope 3 with 4% certified sustainable minimum seabed impact reduction vs 2019 100% compliant with 82% of plastic packaging 95% of waste at processing sustai

  107. Slide 107: Mowi's climate targets are aligned with 1.5⁰ C

    Mowi’s climate targets are aligned with 1.5⁰ C Page 107

  108. Slide 108: Salmon and land farmed animals have different reproductive strategies

    Salmon and land farmed animals have different reproductive strategies External Fertilisation 10-15 000 • R-strategists eggs • higher number of reproductive cells • lower survival rates • more influenced by environmental conditions 250 eggs Internal Fertilisation 36 • K-strategists • lower number of

  109. Slide 109: Farmed salmon have much higher survival rates than wild salmon

    Farmed salmon have much higher survival rates than wild salmon Farmed Atlantic salmon Wild Atlantic salmon 82-87% 5-35% survival survival (Directorate of (Charput, 2012) Fisheries) Page 109

  110. Slide 110: Atlantic salmon production time is significantly longer than for most land farmed animals

    Atlantic salmon production time is significantly longer than for most land farmed animals, and mortality rates are therefore naturally higher... AVERAGE PRODUCTION TIME (MONTHS) AVERAGE PRODUCTION CYCLE MORTALITY (%) 18 15 15 15 9 6 5 6 3 1.2 Source: Land animals- Animalia Norway (2023). Mortality r

  111. Slide 111: Monthly mortality rates for farmed salmon are significantly lower than land animal proteins

    ...however, monthly mortality rates for farmed salmon are significantly lower than for the majority of land animal proteins MONTHLY MORTALITY (%) 2.9 2.2 1.5 0.7 0.3 Source: Animalia ( 0 ) and Mowi’s own data; complete production cycle (freshwater + seawater) Page 111

  112. Slide 112: Mortality rates for Atlantic Salmon relatively stable over the past 30 years

    Mortality rates for Atlantic Salmon relatively stable over the past 30 years 35% 30% 25% 20% 15% 10% 5% 0% 92G 93G 94G 95G 96G 97G 98G 99G 00G 01G 02G 03G 04G 05G 06G 07G 08G 09G 10G 11G 12G 13G 14G 15G 16G 17G 18G 19G 20G 21G 22G Loss rate* Linear (Loss rate*) Source: Kontali Page 112 *Loss rate =

  113. Slide 113: Postsmolt and Smart Farming are improving biological metrics and fish welfare

    Our strategic programmes of Postsmolt and Smart Farming are improving biological metrics and will improve fish survival and welfare Postsmolt strategy Training 100% trained staff; dedicated fish health Reduce the time spent in sea by up to six months, substantially improving biological and welfare t

  114. Slide 114: Summary

    Summary Capital Markets Day 2024 Ivan Vindheim CEO

  115. Slide 115: Summary Capital Markets Day

    Summary Capital Markets Day • Organic growth from 500k GWT in 2024 to 600k GWT in 2029 and topline growth of 7- 8% p.a. (CAGR) to EUR 8.5 billion in operating revenues – Main focus fjord-based farming and related technology – However, monitoring developments in other production forms • M&A when an o

  116. Slide 116: Q&A session

    Q&A session Capital Markets Day 2024

Mowi — Investor Day (September 2024) on 6ix