Aker Seafoods – fourth quarter 2012 CEO Olav Holst-Dyrnes CFO Eldar Farstad
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
1
Welcome
Agenda Topic
Speaker
Operational Update Highlights
Olav Holst-Dyrnes, CEO
Financials Key figures Cash flow Net interesting bearing debt and cash
Eldar Farstad, CFO
Outlook
Olav Holst-Dyrnes, CEO
,
Q&A session
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
2
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Highlights – Q4 2012
Efficient operations – lower profitability Q4: Continued reduction in prices for all species Increased efficiency compensates lower prices Increased operating margins in the quarter Sale of the "Nordfjordtrål" completed with a capital gain of NOK 5 million 2012: Historic good catch rate Lower prices The renewal of the fleet according to plan Interim presentation fourth quarter 2012 19 Februar 2013
© Aker Seafoods
3
Aker Seafoods – Q4 2012
Financial key indicators Operating Revenues
EBITDA
EBIT
50
241 201
Earnings per share (NOK)
70
197
36
171 165 51 45
31
29
38 29
17 0,32 0,21 0,15
Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012
Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012
0,03
0,17
Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods - Q4 2012
High volumes of haddock, decreased prices Operating Revenues
EBIT / EBIT margin EBIT
EBIT margin (%)
25
241 20
50
201
197 171
15
165
36 31
29
10
17
5
Total volumes increased by 5% Catch rates increased by 15 %, catch value per day decreased by 10 % Prices of cod decreased by 24 % compared to Q4 2011 Prices decreased by 18 % for saithe and 12 % for haddock Sales gains from “Nordfjordtrål” of 5 MNOK in Q4 Lower operational cost in Q4
0 Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods
Harvested volumes Total harvested volumes 2009 – 2012 MT (H/G weight)
Quota utilization 2012 MT (H/G weight)
Harvested volumes decreased by 1% in 2012 compared to 2011 Increase in volume of cod, decrease in volume of saithe and haddock Operating days reduced from 3 302 in 2011 to 3 229 in 2012
Good catches of cod in Q4 – reduced volumes of haddock 9 vessels in operation in Q4. “Hekktind” sold in August. “Doggi” out of operations from August - October “Nordfjordtrål” sold in December
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods
Price development Achieved prices per quarter
Achieved prices 2008 - 2012
NOK/KG
NOK/KG
24,0 22,0 20,0 18,0 16,0 14,0 12,0 10,0 8,0 6,0 Cod Haddock Saithe
24,0 22,0 20,0 18,0 16,0 14,0 12,0 10,0 8,0 6,0
2008 22,9 11,0 8,2
2009 15,7 10,3 8,7
2010 16,4 11,3 11,6
2011 17,9 11,7 12,9
2012 15,6 10,7 12,6
Decreasing price trend from 2011 for cod, haddock and saithe Cod prices increasing trend in 2009 – 2011, decrease in 2012 Increasing trend for saithe prices since 2008
Cod Haddock Saithe
Q4'11
Q1'12
Q2'12
Q3'12
Q4'12
17,8 12,8 12,4
17,6 12,5 14,4
16,99 10,98 12,11
14,93 9,48 10,74
13,51 11,27 10,08
Significant decrease in prices in Q4 2012 Cod prices decreased by 24 % compared to Q4 2011 Prices for haddock decreased by 12 % compared to Q4 2011 Prices for saithe decreased by 18 % compared to Q4 2011
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods
Catch value per day per vessel Catch value per day 2009 - 2012 kNOK/day
Catch value per day per quarter kNOK/day
Decreased catch value per day in 2012 compared to 2011 Lower prices Total volumes decreased by 1 %, mainly haddock Increasing volumes of cod Catch rates per day increased by 1 %
Value per day decreased by 10 % compared to Q4 2011 Lower prices Higher volumes of cod, lower volumes of haddock Catch rates per day increased by 15 %
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods
Operating cost per kilo development Cost development 2009 - 2012
Cost development per quarter
NOK/kg
NOK/kg
5,0 4,5 4,0 3,5 3,0 2,5 2,0 1,5 1,0 0,5 0,0
6,0 5,0 2009 2010
4,0
Q4'11
3,0
Q1'12
2011 2012
Q2'12
2,0
Q3'12
1,0 0,0 Bunker oil
Personnel cost Maintenance
Other costs
Bunker oil
Depreciation
Bunker oil cost increased trend during 2009 - 2012 Personnel cost decreased compared to 2011 due to lower prices Salary system is based on share of harvested value
Maintenance cost per kg decreased in 2012, other costs slightly higher than previous years
Personnel Maintenance Other costs Depreciation cost
Bunker oil cost higher than Q4 2011, lower than Q3 2012 Lower personnel costs per kg in Q4 compared to previous quarters – lower prices Maintenance lower than previous quarters, both pr. kg and in absolute figures Other costs and depreciation higher than previous quarter, but lower than Q4 2012
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods
EBIT per kilo EBIT per kilo 2009 - 2012
EBIT per kilo per quarter
NOK/kg
NOK/kg
Non recurring items excluded.
Profitability per kilo decreased from 2,6 NOK/kg in Q4 2011 to 2,1 NOK/kg in Q4 2012 Lower prices Increasing trend from 2009 – 2011 in profitability per kilo Volume, price and mix of species Lower profitability in 2012, mainly due to lower prices Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Agenda Topic
Speaker
Operational Update Highlights
Olav Holst-Dyrnes, CEO
Financials Key figures Cash flow Net interesting bearing debt and cash
Eldar Farstad, CFO
Outlook
Olav Holst-Dyrnes, CEO
Q&A session
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
11
Aker Seafoods - financials
Key figures (NOK million)
Q4 11
Operating revenues EBITDA Non-recurring items
Q1 12
Q2 12
Q3 12
Q4 12
YTD 11
YTD 12
201
241
197
171
165
863
774
51
70
38
29
45
232
183
0
0
0
28
5
0
33
29
50
17
36
31
154
134
EBIT-margin (%)
14.4
20.7
8.8
21.2
18,4
17.8
17.3
Profit before tax
18
38
4
24
19
113
85
Net profit from continuing operations
13
27
3
17
14
81
62
6
-
-
(31)
-
EBIT
Net profit/loss from discontinued operations Net profit for the period Earnings per share* (NOK) Total assets
18
27
3
17
14
50
62
0.15
0.32
0,03
0,21
0,17
0,96
0,73 2 186
2 910
2 246
2 275
2 250
2 186
2 910
Equity
858
885
869
872
871
858
871
Equity ratio (%)
29,5
39.4
38,2
38,7
39,9
29,5
39,9
Net interest bearing debt
692
703
726
747
652
692
652
* Based on average number of shares in the period for continuing operations
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods
Main changes in Q4 2012 vs. Q4 2011 NOK millions 29
31
5 11 11
45
1 11 10
EBIT Q411 Sales gains
Prices
Catch volumes
Personell
Fuel
Maintenance
Other
EBIT Q412
EBIT increased from 29 MNOK in Q4 2011 to 31 MNOK in Q4 2012 Sales gains from “Nordfjordtrål” Lower prices for all species Higher catch efficiency -higher volumes of cod and saithe Decreased personnel costs due to lower catch value Maintenance and other operating costs lower than Q4 2011
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
13
Aker Seafoods
Main changes in 2012 vs. 2011 NOK millions
154
33 82
0
EBIT 2011 Sales gains
Prices
Catch volumes
25
Personell
6
6
5
Fuel
Maintenance
Other
134
EBIT 2012
EBIT decreased from 154 MNOK in 2011 to 134 MNOK in 2012 Sales gains from “Hekktind” and“Nordfjordtrål” Lower prices for all species Higher catch efficiency -higher volumes of cod Decreased personnel costs due to lower catch value Higher fuel costs due to higher prices. Reduced volume of fuel Maintenance and other operating costs lower than 2011
Interim presentation fourth quarter 2012 © Aker Seafoods
19 februar2013
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Aker Seafoods - financials
Cash flow Cash flow break down Q4 2012 NOK millions
Cash flow from operations NOK +66: Reduced working capital manly due to lower inventory of frozen fish
23 38 52
Cash flow from investments NOK +23 million: Sales of “Nordfjordtrål” +43 MNOK New building program -15 MNOK Other investments -5 MNOK
66
Cash flow from financing NOK -38: Short terms loans -17 MNOK Installments -21 MNOK
2
Cash balance at beginning of period
Cash flow Cash flow from from operations investments
Cash flow from financing
Cash balance at end of period*
Cash available including unutilized credit facility of 139 MNOK
* Additional liquidity available through credit facility was NOK 87 million per end of Q4 Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
15
Aker Seafoods - financials
Cash flow Cash flow break down 2012 NOK millions
Cash flow from operations NOK +109: Cash flow from investments NOK -175 million: Sales of “vessels” +90 MNOK New building program -96 MNOK Norway Seafoods -100 MNOK Shares in Nordland Havfiske - 24 MNOK Other investments -45 MNOK
109
175 60
52
Cash flow from financing NOK +59:
59
Cash balance at beginning of period
Cash flow Cash flow from from operations investments
Cash flow from financing
Cash balance at end of period*
New loans 170 MNOK Installments -108 MNOK Dividends -3 MNOK
Cash available including unutilized credit facility of 139 MNOK
* Additional liquidity available through credit facility was NOK 87 million per end of 2012 Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods - financials
Net interest bearing debt and liquidity Net interest bearing debt per Q4 12
Cash and cash equivalents incl. unused credit facility
NOK millions
NOK millions
879
139
135
0
19
195
117 97
52
652 65
Bank facility
Innovasjon Norge
Credit facility
Interst bearing receivables
Cash
Net interest bearing debt
Bank facility per end of Q4 12 was NOK 879 million Other interest bearing debt was NOK 19 million NIBD has decreased from 747 MNOK in Q3 2012
4Q11
1Q12
2Q12
3Q12
4Q12
Liquidity position - NOK 139 million available per end of Q4 2012 NOK 87 million available through unutilized credit facility
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
17
Agenda Topic
Speaker
Operational Update Highlights
Olav Holst-Dyrnes, CEO
Financials Key figures Cash flow Net interesting bearing debt and cash
Eldar Farstad, CFO
Outlook
Olav Holst-Dyrnes, CEO
Q&A session
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
18
9
Aker Seafoods
Outlook Quota situation in 2013 is very good • Availability of cod and haddock has been good in January. • Vessels will concentrate on the fishing of other species than cod in the coming period.
Still uncertain market situation • Demand has been fair for most species and sizes, however at lower prices. • Most challenging for cod 2,5-4,0 kg.
Other issues • Delivery of “Gadus Poseidon” planned for Q2/13. • Preparation for “Glitnir” case ongoing – no substantial changes since Q3. • Lofoten district court ruled in favor of Aker Seafoods in the “Hekktind” case. Case appealed by the Police. • Directorate of fisheries calls for a revoke of licenses for “Jergul”, “Skaidi” and “Stamsund” due to alleged breach of delivery obligations. Appeal filed to the ministry of Fisheries and Costal affairs. No ruling on appeal yet.
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
19
Agenda Topic
Speaker
Operational Update Highlights
Olav Holst-Dyrnes, CEO
Financials Key figures Cash flow Net interesting bearing debt and cash
Eldar Farstad, CFO
Outlook
Olav Holst-Dyrnes, CEO
Q&A session
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
20
10
Aker Seafoods fourth quarter 2012
Enclosures
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
21
Aker Seafoods - financials
Income statement NOK million Operating revenues Operating expenses EBITDA Depreciation Non-recurring items Operating profit Net financial items
Q4 11
Q1 12
Q2 12
Q3 12
Q4 12
YTD 11
201
241
197
171
165
863
YTD 12 774
(151)
(170)
(159)
(142)
(120)
(631)
(592)
51
70
38
29
45
232
183
(22)
(21)
(20)
(21)
(19)
(78)
(82)
0
0
0
28
5
0
33
29
50
17
36
31
154
134 (49)
(11)
(11)
(13)
(12)
(11)
(41)
Profit before tax
18
38
4
24
19
113
85
Tax on ordinary profit
(6)
(11)
(1)
(6)
(5)
(32)
(23)
Net ordinary profit from continuing operations
13
27
3
17
14
81
62
6
(0)
0
0
0
(31)
0
Net profit/loss from discontinued operations Net profit for the period Earnings per share* (NOK)
18
27
3
17
14
50
62
0.15
0.32
0,03
0,21
0,17
0,96
0,73
* Based on average number of shares in the period for continuing operations
Interim presentation fourth quarter 2012 © Aker Seafoods
part of Aker
19 Februar 2013
11
Aker Seafoods - financials
Cash flow (NOK million)
Q4 11
Profit before tax Sales losses/gains Depreciation and amortisation Changes in other net operating assets
Q1 12
Q2 12
Q3 12
Q4 12
YTD 11
YTD 12
18
38
4
24
19
113
85
0
0
0
(28)
(5)
0
(33)
22
21
20
21
19
78
82
1
(14)
(16)
(27)
32
8
(25)
Cash flow from operating activities
41
45
8
(10)
66
199
109
Cash flow from investing activities
(53)
(165)
(30)
(3)
23
(76)
(175)
Cash flow from financing activities
(49)
90
40
(33)
(38)
(170)
59
Total cash flow reporting period
(61)
(30)
18
(46)
51
(47)
(8)
0
0
0
0
0
0
0
121
60
30
48
2
108
60
60
30
48
2
52
60
52
Effect on changes in exch.rates on cash Cash and cash equivalent at the beginning of period Cash and cash equivalent at end of period
Not utilized credit facility is 87 million kroner in Q4 2012
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods - financials
Balance sheet - Assets NOK million
31.12.11
31.03.12
30.06.12
30.09.12
31.12.12
1 121
1 121
1 121
1 134
1 116
697
693
677
654
614
1 818
1 893
1 798
1 788
1 730
Financial interest-bearing fixed assets
90
188
187
186
190
Financial interest-free fixed assets
41
80
106
121
136
0
0
0
0
0
131
269
293
307
326
Intangible assets Tangible fixed assets Total intangible/tangible fixed assets
Shares and other equity investments Total financial fixed assets Total fixed assets
1 949
2 083
2 091
2 095
2 056
Inventory
53
47
88
115
54
Interest-free short-term receivables
50
76
39
31
19
0
10
10
7
5
60
30
48
2
52
Total current assets
163
163
184
155
130
Assets discontinued operations
799
0
0
0
0
2 910
2 246
2 275
2 250
2 186
Interest-bearing short-term receivables Liquid assets
Total assets
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Aker Seafoods - financials
Balance sheet - Equity and liabilities NOK million
31.12.11
31.03.12
30.06.12
30.09.12
31.12.12
836
863
850
868
866
22
22
20
4
5
Total shareholders' equity and minority interests
858
885
869
872
871
Provisions and other interest-free long-term liabilities
261
272
272
281
268
Interest-bearing long-term debt
764
853
893
840
820
1 025
1 125
1 165
1 121
1 089
151
158
163
155
148
78
78
78
102
78
Total shareholders' equity Minority interests
Total long-term liabilities Interest-free short-term debt Interest-bearing short term debt Liabilities to shareholders
286
Total short-term liabilities
515
236
241
257
226
Liabilities discontinued operations
513
0
0
0
0
2 910
2 246
2 275
2 250
2 186
Total shareholders' equity and liabilities
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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Disclaimer This Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this Presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Aker Seafoods ASA including subsidiaries and affiliates. These expectations, estimates and projections are generally identifiable by statements containing words such as ”expects”, ”believes”, ”estimates” or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Aker Seafoods' businesses, fish prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the Presentation. Although Aker Seafoods ASA believes that its expectations and the Presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the Presentation. Aker Seafoods ASA is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Presentation, and neither Aker Seafoods ASA nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use.
Interim presentation fourth quarter 2012 © Aker Seafoods
19 Februar 2013
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