Q1 2019 Presentation Oslo 10 May 2019 Hallvard Muri, CEO Simon - PowerPoint PPT Presentation

Q1 2019 Presentation Oslo – 10 May 2019 Hallvard Muri, CEO Simon Nyquist Martinsen, CFO

Agenda Highlights Financial performance Outlook Q&A

Highlights Q1 2019 – by CEO Hallvard Muri

Record high order intake – 1.1 billion NOK Order intake • 1.1 billion NOK order intake - strong across all regions +73% 1 107 • 44 Another quarter with positive development in the Cage SW 997 Based segment, driven especially by Nordic CBT and 46 300 LBT Egersund Net 218 778 639 48 • Major land based contract awarded by Svaberget Smolt AS 45 546 of appr. 300 MNOK 557 33 303 448 51 53 471 38 33 92 43 • Barge Supply and Sales Contract signed with Grieg NL 34 87 762 CBT 732 Seafarms Ltd in Q3 2018, not included in order backlog yet 543 471 427 421 376 342 • Last twelve months order intake of 3,023 MNOK, compared to 2,555 MNOK full year 2018 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19

Strong revenue growth Revenue • 45% increase in revenue compared to Q1 2018 +45% • Revenue growth from acquisition and organically • Americas another positive quarter with revenue of 145 MNOK, up from 113 MNOK in Q1 2018 852 • Strong order intake development in Nordic CBT, driving 726 revenue, increase of 20 % compared to last year 637 627 589 557 537 484 • Good development in both net sales and net service after integration of AKVA / Egersund net organizations 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19

EBITDA development • EBITDA of 97 MNOK in the quarter, including 15 MNOK in effect of EBITDA reclassification due to IFRS 16 (leases) +64% • Americas continued positive development with an EBITDA of 15 97 MNOK compared to 6 MNOK in Q1 2018, driven first and foremost 7 8 by improved margins. • Nordic CBT segment 10% increase in EBITDA YoY, previous operational challenges at Helgeland Plast no longer hampering results 82 71 65 61 60 59 • 57 Steady improvement in the Land Based segment with an EBITDA of 52 11 MNOK compared to 9 MNOK in Q1 2018 • The effect of IFRS 16 is 15 MNOK in the quarter, mainly related to 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 property rental agreements IFRS 16 - EN IFRS 16 - AKVA

Highest order backlog ever Order backlog • First quarter 2019 – Highlights +13% – 1 611 Strong start of the year; order backlog at end of March of 1.6 BNOK 1 430 1 380 1 381 – 1 356 Highest order intake ever in a quarter of 1.1 billion NOK 1 318 1 274 629 479 – Significant order with Svaberget Smolt AS awarded in March 2019 1 085 448 537 629 449 620 – Integration of Egersund Net as planned and development in net 359 sales and service strong 982 951 908 – Dividend of 0.75 MNOK per share paid out in March 2019 844 825 751 726 698 – Divestment of Wise lausnir ehf continued to be pushed out in time due to regulatory process in Iceland 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 Land Based

Key financial metrics Revenue EBITDA EPS +100% +121% +125% 0,10 0,15 0,11 852 97 0,06 0,94 0,87 589 59 510 0,60 54 385 43 0,45 Q1 16 Q1 17 Q1 18 Q1 19 Q1 16 Q1 17 Q1 18 Q1 19 Q1 16 Q1 17 Q1 18 Q1 19 Amortization from intangible assets related to acquisitions In August 2018, number of shares increased from 25 834 303 to 33 334 303. When calculating the EPS in 2018 the monthly average shares outstanding has been used.

Our presence AKVA group Agents and distributors

Revenue in geographical regions AKVA group’s geographical regions – absolute and relative 852 726 637 627 589 557 61% 63% 537 66% 68% 69% 70% 74% 633 484 79% 506 392 412 372 379 423 334 22% 19% 20% 20% 139 23% 113 125 24% 17% 145 11% 177 128 98 61 18% 17% 14% 106 105 11% 90 10% 74 9% 9% 54 52 49 6% 42 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Nordic Americas EME

Development in OPEX based revenue • Egersund Net contributing with 90 MNOK in the quarter 33,8% 300 35 234 29,0% 28,2% 245 30 • 27,5% 250 27,1% Stable development for the rental business (Scotland and 26,1% Norway) in 2019. 25 22,5% 22,1% 200 94 90 20 • 31 Service in ASA Nordic started the year with higher revenue and 150 margins compared to Q1 2018 following a strong end to last year 15 100 10 • Stable revenue from the Software business, 44 MNOK in Q1 151 149 146 145 144 140 141 130 50 2019, compared to 47 MNOK in Q1 2018 5 0 0 • Higher activity level in the Norwegian marine service business in 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 Q1 2019 compared to Q1 2018, and with healthy order backlog % of total revenue OPEX Based revenue Egersund Net

Revenue by product group and species By product groups – Q1 2019 By species – Q1 2019 852 852 44 56 1 23 726 726 118 44 74 637 1 637 627 627 42 589 589 40 129 47 42 557 1 55 189 557 1 537 538 47 52 51 Software 46 1 46 124 484 Non seafood 54 116 484 41 34 0 54 1 108 32 LBT S&AS 28 38 46 201 Other species 0 124 112 98 37 83 140 LBT 82 774 99 104 CBT S&AS 102 610 539 526 500 503 471 Salmon 456 401 370 351 352 334 287 CBT 279 260 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 Salmon = Revenue from technology and services sold to production of salmon Cage Based Technology = Cages, barges, feed systems and other operational systems for cage based aquaculture Other species = Revenue from technology and services sold to production of other species than salmon S&AS Cage Based = Service and after sales for cage based aquaculture Non Seafood = Revenue from technology and services sold to non seafood Software = Software and software systems customers Land Based Technology = Recirculation systems and technologies for land based aquaculture S&AS Land Based = Service and after sales for land based aquaculture

Q1 – Operational Highlights • Significant improvement at Helgeland Plast but still a way to go to achieve full effect of investments • Norwegian feed barge business – strong competition and limitations in supply (suppliers/yards) • Continued positive market sentiment in Chile and increasing margins following improvement programs • Secured new larger Land Based orders in Norway • Revisited strategy within Software and control systems in the works • Plans for establishing foothold in New Foundland developing well • Egersund Net integration – sales success of “total solutions” • Senior Mng. Team strengthened; new (interim) CDO and new CTO

1. Atlantis Subsea Farming AS applied for 6 development licenses the 29th of January 2016 2. The Norwegian Directorate of Fisheries have informed the company that the company’s concept has progressed another step further in the process to get awarded development licenses. 3. The Directorate will go ahead with processing the application limited to 2 licenses, but have rejected the application in terms of the other 4 permits applied for. Risk management 4. On May 9th 2017 the company appealed the decision of rejecting the 4 permits. 5. On June 16th 2017 the Directorate forwarded the appeal to the Norwegian Ministry of Trade, Industry and Fisheries, for their final decision. On December 18 th 2017 The Ministry rejected the appeal. The decision is final and 6. cannot be appealed. On February 22 nd 2018, The Directorate announced that the Company has been 7. granted one license. 8. Atlantis Subsea Farming AS is now in a technology testing phase with regards to Submerge and raise the cage – safe and remote execution of the project. Underwater feeding Fish health operations Daily operations (dead fish removal, surveillance, cleaning, etc) Air to the salmon Artificial air space

Financial performance Q1 2019 – by CFO Simon Nyquist Martinsen

Q1 2019 – Financial highlights Revenue 852 • Last twelve months order intake and revenue now at 3,023 MNOK and 2,842 MNOK respectively 726 637 627 589 • The order book has increased to 1,611 MNOK at the end of 557 537 510 Q1 2019, which is a 255 MNOK increase in the quarter 484 449 408 393 354 • Several periods of strong order intake in Norway are now flowing through to revenue • The sales teams of Egersund Net and AKVA have joined forces, sales of new nets and net services are developing as expected Q1 Q2 Q3 Q4 2016 2017 2018 2019

Q1 2019 – Financial highlights EBITDA (MNOK) 97 100 • Strong contribution from Americas as well as inclusion of 80 71 65 Egersund Net when comparing to the same quarter last year 61 60 59 57 54 52 60 43 40 38 40 24 • The pipe factory in Mo i Rana experienced a strong 20 0 quarter with high and efficient production Q1 Q2 Q3 Q4 2016 2017 2018 2019 • EBITDA positively affected by 15 MNOK due to implementation of IFRS 16 EBITDA % 10,1% 15 12,6% 10,0% 11,4% 12,1% • The margins in the Land Based segment continue to 11,1% 10,8% 10,8% 10,6% 10,4% 10 8,3% improve with an EBITDA margin of 10,1% compared to 7,8% 5,3% 8,5% in Q1 2018 5 0 Q1 Q2 Q3 Q4