Marine Harvest Q4 2012 Presentation

advertisement
Leading the Blue Revolution
May 2014
Marine Harvest - Henrik Heiberg
Forward looking statements
This presentation may be deemed to include forward-looking statements, such as statements that
relate to Marine Harvest’s contracted volumes, goals and strategies, including strategic focus areas,
salmon prices, ability to increase or vary harvest volume, production capacity, expectations of the
completion and capacity of our fish feed plant, trends in the seafood industry, including industry supply
outlook, exchange rate and interest rate hedging policies and fluctuations, dividend policy and
guidance, asset base investments, capital expenditures and net working capital guidance, NIBD target,
cash flow guidance and financing update, guidance on financial commitments and cost of debt and
various other matters (including developments with respect to laws, regulations and governmental
policies regulating the industry and changes in accounting policies, standards and interpretations) on
Marine Harvest's business and results. These statements speak of Marine Harvest’s plans, goals,
targets, strategies, beliefs, and expectations, and refer to estimates or use similar terms. Actual results
could differ materially from those indicated by these statements because the realization of those
results is subject to many risks and uncertainties.
Our registration statement on Form 20-F filed with the US Securities and Exchange Commission in
2014 contain information about specific factors that could cause actual results to differ, and you are
urged to read them. Marine Harvest disclaims any continuing accuracy of the information provided in
this presentation after today.
2
Implied protein consumption driven by population
growth only
Assumption: Constant consumption of protein per capita
Sources:
FAO (2009); FAOstat Food Balance Sheets,
United Nations population data; World Population Prospects: the 2012 Revision
Farmed Atlantic salmon relatively small
Atlantic
salmon
Sources:
OECD-FAO Agricultural Outlook 2013
Kontali Analyse
4
Large opportunities within aquaculture species
Note:
Source:
Size of circles indicates harvest volume
Kontali Analyse
5
Examples of protein co’s and area of potential
6
A unique nutritional package
Proteins:
High quality,
easy digestable
proteins
Omega-3:
High content of
Omega-3 fatty
acids
Vitamins:
Rich in A, D og
B12 vitamins
Mineral:
High content of
iodine & selen,
taurin og
sterols
7
Farmed salmon - Highly efficient use of resources
8
Farmed salmon - Highly efficient use of resources
Feed conversion
4-10
3
2.2
1.2
Energy retention
27%
14%
10%
27%
Protein retention
15%
18%
21%
24%
Edible yield
41%
52%
46%
68%
4-10 kg
17 kg
21 kg
57 kg
30 kg
3.4 kg
5.9 kg
2.9 kg
Edible meat pr 100 kg fed
Carbon footprint
Notes:
(1) FCR of cattle varies between 4.2 and 9.8 depending on feed (finished on cereal or grass).
(2) Carbon equivalent per kg of edible product
Sources:
Ytrestøyl et. al. (2014), Nationl Beef Association UK (2014), Volden, H and N. I. Nielsen, (2011) Energy and metabolizable protein supply, Skretting (2012)
Delivering SUSTAINABLE FEED SOLUTIONS for aquaculture, SINTEF Report (2009) Carbon Footprint and energy use of Norwegian seafood products
9
Value CAGR of 12% - Volume CAGR of 6%
10
Farmed Atlantic salmon by market
Source:
Kontali Analyse
11
Historic price–volume relationship
 Both 2012 and 2013 clear outliers compared to historical relationship
Source:
Kontali Analyse
12
Estimates of the market for farmed Atlantic salmon
Source:
Kontali Analyse
13
Historical price development
Note: Reference price in Oslo
14
Current licensing regime in Norway
Source:
Kontali Analyse
15
We own ~25% of the global production capacity!
Marine Harvest business areas
Bilder
New
Bilder
#1
#1
Position:
220 thousand tonnes vs. global
production of ~2.6m
405 thousand tonnes vs. global
production of c.1.85m (22%)
Global sales network
Leading position in VAP
Focus areas:
Successful construction and
implementation by June/July 2014
Acquisitive growth in Norway
and Chile
Integration of Morpol
Restructuring programme in VAP
Organic growth in VAP
16
Fish feed project proceeding according to plan
 220 thousand tonnes capacity – 60% of MHG requirement in Norway(1)
 ~NOK 800m investment - Completion June/July 2014
Notes: (1) Based on 2014 harvest volume estimate
17
Marine Harvest farming regions
Norway
Region North
Volume: 61 000
Faroe Islands
Volume: 9 000
Canada
Volume: 29 000
Norway
Region Mid
Volume: 63 000
Scotland
Volume: 49 500
Norway
Region West
Volume: 84 000
Ireland
Volume: 6 000
Norway
Region South
Volume: 56 000
Chile
Volume: 59 500
MH harvest volume 2014E (tonnes HOG)
18
Biological risk - Benefit of geographic diversification
19
Marine Harvest’s Sales & Marketing network
Scotland
Norway
Asia
Canada
Poland
Ireland
The Czech
Republic
China
France
Japan
Italy
Belgium
South
Korea
Spain
Taiwan
The
Netherlands
USA
Hong Kong
Chile
Singapore
Head office
Primary and secondary processing
Feed factory
Sales
Significant consumer good processing assets in Europe, US and Asia
Note:
All figures are volume guidance for 2014 (except VAP Europe which is the 2013 figure). Actual harvest volumes will be affected by e.g. water
temperatures, development in biological growth, biological challenges such as diseases, algea blooms etc. and market developments.
20
Morpol – acquired in 2013
 Major step in becoming a leading integrated protein player
 The leading secondary processing entity in Europe
 Complementary market position to Marine Harvest
 ~About 4,000 employees
21
Q1 2014 segment overview
SOURCES OF ORIGIN
Marine Harvest Group - analytical figures
NOK million
Scotland
Canada
Chile
720
107
112
103
4
42
32
- 13
- 33
28
- 4
1
10
0
0
17
0
0
0
0
0
1
0
0
- 3
- 8
- 6
85
- 25
- 38
706
133
122
119
4
44
- 16
1 111
- 21
- 21
- 37
1 090
OPERATIONAL EBIT
MH FARMING
MH SALES AND MARKETING
MH Markets
MH VAP Europe
Morpol Processing
SUBTOTAL
Other enities
1)
Norway
Ireland
Faroes
2)
TOTAL
Other
MH Group
1 090
706
133
122
119
4
44
55 107
10 468
6 368
17 741
476
2 084
92 243
12.82
0.58
12.66
2.67
19.10
1.51
6.73
0.95
8.70
-0.14
20.98
0.61
12.05
0.92
- of which MH VAP Europe
-0.24
-0.35
0.00
-0.01
-0.47
0.00
-0.27
- of which Morpol Processing
-0.59
0.07
0.00
0.00
0.00
0.00
-0.41
Price achievement/reference price (%) 4)
Contract coverage (%)
Quality - superior share (%)
Exceptional items (NOK million) 5)
Exceptional items per kg (NOK) 5)
94%
40%
91%
-75
-1.36
93%
64%
95%
0
0.00
99%
0%
76%
0
0.00
103%
29%
84%
-1
-0.08
96%
90%
0
0.00
101%
0%
97%
0
0.00
95%
37%
89%
-76
-0.83
68 000
264 000
33%
15 000
49 500
46%
7 000
29 000
0%
15 000
59 500
17%
1 000
6 000
0%
3 000
9 000
0%
109 000
417 000
31%
Harvest volume gutted weight tons (salmon)
Operational EBIT per kg (NOK)
- of which MH Markets
3)
GUIDANCE
Q2 2014 harvest volume (gutted weight tons)
2014 harvest volume (gutted weight tons)
Q2 2014 contract share (%)
1)
Operational EBIT arising from non salmon speices and 3rd party salmon not allocated to source of origin
2)
Sterling White Halibut, Headquarter and Holding companies
3)
Excluding Sterling White Halibut, Headquarter and Holding companies
4)
MH Markets' price achievement to third party, MH VAP Europe and Morpol
5)
Exceptional items impacting operational EBIT
22
2013 segment overview
2013
SOURCES OF ORIGIN
Marine Harvest Group - analytical figures
NOK million
OPERATIONAL EBIT
MH FARMING
MH SALES AND MARKETING
MH Markets
MH VAP Europe
Morpol Processing
SUBTOTAL
Other enities
Ireland
Faroes
Scotland
Canada
Chile
2 245
494
288
- 78
- 30
81
186
- 37
16
105
- 4
8
48
0
0
13
0
0
1
- 1
0
3
0
0
- 10
- 16
39
346
- 58
63
2 410
603
337
- 66
- 30
84
14
3 352
-140
- 140
- 126
3 212
2)
TOTAL
Other
1)
Norway
MH Group
3 001
2 410
603
337
- 66
- 30
84
222 494
48 389
33 059
28 281
5 883
5 665
343 772
- of which MH Markets
10.83
0.84
12.45
2.16
10.19
1.46
-2.32
0.45
-5.02
0.23
14.86
0.48
9.75
1.01
- of which MH VAP Europe
-0.17
-0.08
0.00
0.00
-0.14
0.00
-0.17
0.07
0.16
0.00
0.00
0.00
0.00
0.18
94%
37%
88%
-188
-0.84
92%
61%
93%
-17
-0.36
101%
2%
86%
-17
-0.51
101%
32%
87%
-18
-0.64
93%
87%
-55
-9.38
98%
6%
95%
0
0.00
95%
37%
89%
-295
-0.86
47 000
254 500
42%
10 000
49 500
69%
6 000
28 000
0%
14 500
56 000
36%
500
8 000
95%
2 000
9 000
na
80 000
405 000
45%
Harvest volume gutted weight tons (salmon)
Operational EBIT per kg (NOK)
3)
- of which Morpol Processing
Price achievement/reference price (%) 4)
Contract coverage (%)
Quality - superior share (%)
Exceptional items (NOK million) 5)
Exceptional items per kg (NOK) 5)
GUIDANCE
Q1 2014 harvest volume gutted weight tons
2014 harvest volume gutted weight tons
Q1 2014 contract share
1)
Operational EBIT arising from non salmon speices and 3rd party fish not allocated to source of origin
2)
Sterling White Halibut, Headquarter and Holding companies
3)
Excluding Sterling White Halibut, Headquarter and Holding companies
4)
MH Marktes' price achievement to third party, MH VAP Europe and Morpol Processing
5)
Exceptional items impacting operational EBIT. Refer to Note 6 to theinterim financial statements for further details
23
Industry supply outlook
2008
2009
2010
2011
2012
2013
HOG tonnes (thousands)
Norw ay
667
Chile
363
North America
125
UK
123
Other
69
Total
1,347
770
215
124
130
88
1,328
850
117
126
129
89
1,310
905
199
124
139
103
1,471
1065
328
140
143
123
1,799
1029
421
122
142
124
1,839
Q2 2008
HOG tonnes (thousands)
Norw ay
162
Chile
82
North America
32
UK
28
Other
17
Total
321
Q2 2009
176
47
33
29
20
306
Q2 2010
195
30
28
29
19
301
Q2 2011
201
40
28
34
24
327
Q2 2012
253
77
35
35
27
428
Low
1,101
426
118
140
130
1,914
Estim ates 2014
Y/Y grow th
High
7%
1,151
1%
456
-3%
125
-2%
147
4%
137
4%
2,015
Y/Y grow th
12%
8%
2%
3%
10%
10%
Low
255
100
28
32
29
444
ESTIMATES Q2 2014
Q/Q grow th
High
11%
265
4%
105
-11%
31
-5%
35
-1%
32
6%
468
Q/Q grow th
15%
9%
-2%
4%
9%
11%
Low
610
195
66
78
70
1,019
ESTIMATES Q3/Q4 2014
Q/Q grow th
High Q/Q grow th
8%
650
15%
-10%
220
2%
14%
70
20%
-2%
82
3%
9%
74
16%
3%
1,096
11%
Q2 2013
230
96
32
34
29
420
Q3/Q4 2008 Q3/Q4 2009 Q3/Q4 2010 Q3/Q4 2011 Q3/Q4 2012 Q3/Q4 2013
HOG tonnes (thousands)
Norw ay
350
430
459
514
570
567
Chile
201
76
56
125
184
216
North America
63
61
67
69
71
58
UK
66
74
68
76
73
80
Other
38
47
50
56
65
64
Total
717
689
701
841
963
985
Actual harvest volumes will be affected by e.g. water temperatures, development in biological growth, biological challenges such as diseases, algae blooms etc. and
market developments.
24
MHG – 2014 volume guidance
Salmon species
HOG tons (1000)
Q1 2013
Actual
Q2 2013
Actual
Q3 2013
Actual
Q4 2013
Actual
2013
Actual
Q1 2014
Actual
Q2 2014
Estimate
Q3-Q4 2014
Estimate
2014
Estimate
Norway
47
54
53
69
222
55
68
141
264
Chile (1)
8
0
6
14
28
18
15
27
60
Canada
12
9
6
6
33
6
7
16
29
Scotland
10
13
14
12
48
10
15
24
50
3
4
2
3
12
3
4
8
15
80
79
81
103
344
92
109
216
417
Other Units
Total
Actual harvest volumes will be affected by e.g. water temperatures, development in biological growth, biological challenges such
as diseases, algae blooms etc. and market developments.
25
Outlook
 Strong demand expected to continue
 Forward prices of NOK 38.8 per kg for Q2-Q4 2014
 However, higher supply growth expected for remainder of year
 Strategic focus areas
 Successful development of green-field feed capacity
 Acquisitions in Norway and Chile
 Integration of Morpol
 High sea lice awareness in Norway – Chile remains concerning
 Risk of adverse regulatory change in Norway
 Quarterly dividend of NOK 5 per share proposed to AGM
26
Download
Related flashcards

Finance

14 cards

Payment systems

18 cards

Banking

30 cards

Banks of Germany

43 cards

Create Flashcards