Atria Oyj

Quarterly Report • May 3, 2022

Atria Plc Interim Report

1 January – 31 March 2022

Atria's net sales grew in all business areas – EBIT was brought down by increased costs

January–March 2022

• Consolidated net sales totalled EUR 374.8 million (EUR 361.3 million).
• Consolidated EBIT was EUR 2.3 million (EUR 6.6 million), or 0.6 per cent (1.8%) of net sales.
• Consolidated net sales grew, which was due to increased sales to feed and Foodservice customers.
• Sales prices increased slightly in the retail and Foodservice channels.
• Increased costs weakened EBIT.
• In January 2022, Atria Finland received an export licence for poultry products to South Korea. The first product batch to South Korea was delivered in March.
• Atria made the decision to exit the fast food business in Russia.
• The Board of Directors proposes to the Annual General Meeting that a dividend of EUR 0.63 (EUR 0.50) be paid per share for the 2021 financial period.

After the review period

• Atria divested the Malmö plant in Sweden, one-off impact on result approximately EUR 10 million.

	Q1	Q1
EUR million	2022	2021	2021
Net sales
Atria Finland	274.3	260.2	1,105.7
Atria Sweden	82.1	76.7	351.7
Atria Denmark & Estonia	26.0	24.5	104.9
Unallocated*	0.0	10.0	15.0
Eliminations	-7.6	-10.1	-37.1
Net sales, total	374.8	361.3	1,540.2
EBIT before items affecting
comparability
Atria Finland	3.0	9.8	48.1
Atria Sweden	-0.9	-1.2	2.7
Atria Denmark & Estonia	0.8	1.9	5.1
Unallocated*	-0.6	-4.0	-6.8
Adjusted EBIT	2.3	6.6	49.2
Adjusted EBIT, %	0.6 %	1.8 %	3.2 %
Items affecting comparability
of EBIT:
Atria Sweden
Refund of employment pension contribution**	0.0	0.0	2.3
Unallocated
The effect of the sale of the subsidiary***	0.0	0.0	-45.1
EBIT	2.3	6.6	6.4
EBIT, %	0.6 %	1.8 %	0.4 %
Profit before taxes	2.9	5.1	4.8
Earnings per share, EUR	0.09	0.13	-0.24
Adjusted earnings per share, EUR	0.09	0.13	1.27

* "Unallocated" consist of Group costs and in 2021 also Net sales and EBIT of the sold subsidiary.

** Included in other operating income in 2021.

*** Included in other operating expenses in 2021.

Juha Gröhn, CEO

"The beginning of 2022 has been exceptional in many ways. The cost increase that started last year has continued. Russia's invasion of Ukraine continued to spur the rise in costs, and the pricing of many commodities is no longer based on the traditional market economy, but we are experiencing the pricing of exceptional circumstances. The omicron variant of the coronavirus has proved to be highly contagious, and even in Atria's personnel, absences due to illnesses have roughly doubled compared to the normal situation. Although the supply

chain has been unstable, Atria's performance has remained good and there have been no significant deviations in the production and delivery of products.

Net sales during the first quarter totalled EUR 375 million. The year-on-year growth is approximately EUR 13 million. The growth is partly due to price increases, which were not sufficient in relation to cost increases, as EBIT weakened from EUR 6.6 million to EUR 2.3 million. Of the sales channels, the strongest performance has been in the Foodservice sector, which is recovering from the coronavirus, and in the feed trade.

The cost increase affects the entire food system across the world, so it touches all of Atria's functions. Compared to the beginning of last year, EBIT weakened in all business areas except Sweden. In particular, the cost of raw materials has increased in all business areas. The good news is that our commercial position has remained strong and we have even been able to strengthen it. Attention has now been focused on margin management and pricing.

After Russia invaded Ukraine, Atria made the decision to exit the fast food business in Russia. The measures to implement the decision are ongoing and are estimated to be completed during the second quarter. Atria has not had any industrial operations in Russia since spring 2021, when Pit-Product was sold.

Major investments in the Nurmo poultry plant and the Sköllersta meat product plant in Sweden are proceeding on schedule. The Nurmo investment is still estimated to remain at the EUR 155 million level. The investment in Sweden was estimated at EUR 30 million, but due to the increase in material costs, the investment will be somewhat higher than budgeted.

The price of food has risen all over the world and the rise continues. There will be no turnaround to falling prices in the near future. Atria's growth and profitability are greatly influenced by consumers' purchasing behaviour, i.e. what, where and when people buy their food. The setting of consumer prices is carried out by Atria's customers, but it is assumed that the cost inflation will also be reflected in consumer prices, and price changes will always have an impact on consumer decisions."

January–March 2022

Atria Group's net sales for January–March amounted to EUR 374.8 million (EUR 361.3 million). Consolidated EBIT was EUR 2.3 million (EUR 6.6 million), or 0.6 per cent (1.8%) of net sales. Consolidated net sales grew due to increased sales to Foodservice, resulting from the removal of coronavirus restrictions on restaurants. Sales to feed customers grew in Finland. Feed prices were higher year-on-year, which was the result of an increase in the cost of feed raw materials. Sales to retail in Finland and Sweden were on level with the corresponding period of the previous year, in Estonia and Denmark sales to retail grew. Easter sales fall in the second quarter this year.

EBIT was lower than in the corresponding period of the previous year due to higher prices for meat raw materials, materials, supplies, commodities and external services in all business areas. Meat producer prices were higher year-on-year. During the first quarter, there have been a large number of personnel absences related to the coronavirus, and the costs incurred were higher than those incurred during the comparison period.

In January, Atria Finland received an export licence for poultry products to South Korea. The first product batch was delivered in March. South Korea is one of Atria's longest-standing export destinations, where pork has been exported since the 1990s.

In March, Atria made the decision to exit the fast food business in Russia. It is estimated that the exit will be taken place during the second quarter.

EUR million	31.3.2022	31.3.2021	31.12.2021
Shareholders´ equity per share EUR	16.33	15.22	16.08
Interest-bearing liabilities	220.5	227.6	209.9
Equity ratio, %	49.2 %	47.5 %	48.7 %
Net gearing, %	45.6 %	49.4 %	32.6 %
Gross investments	21.5	8.5	55.6
% of net sales	5.7 %	2.4 %	3.6 %
Average FTE	3,724	4,461	3,711

Key indicators

Atria reduces its carbon footprint with concrete projects

Atria aims to reduce methane emissions from cows with the help of the Bovaer® feed additive. In the early part of the year, Atria, together with Valio, has been the first in Finland to test the Bovaer® feed additive manufactured by the Dutch company DSM, which has been proven to reduce methane emissions from cows by 30 per cent. The tested additive has produced promising test results in Europe and North America. During the test period, 400 cows were fed for several weeks with feed containing the Bovaer® feed additive. Bovaer® has recently been granted marketing authorisation in the EU. A-Rehu aims to start producing feed containing the Bovaer® feed additive during this year.

Atria is participating in the project in which the design of a wind farm in Nurmo was started in 2021. The project took a significant step forward in March 2022, when the Seinäjoki City Board approved the zoning initiative of the project company Lakeuden Taivaanraapija Oy. In the zoning initiative, Lakeuden Taivaanraapija proposes the location of up to seven power plants in the immediate vicinity of Atria's Nurmo plant. The aim is for the zoning plan to be approved by the end of 2023. The construction of the wind farm will take approximately two years and, if realised, will be a nationally unique project to integrate solar and

wind farms with significant industrial production. The project contributes to Atria's goal of carbon-neutral food production and the current improvement of energy self-sufficiency and security of supply.

A new biofuel boiler was installed at the Atria Borås plant in Sweden in March. The energy consumption of the plant is now completely fossil-free, and carbon dioxide emissions are reduced by 580 tonnes per year.

Business development by area January–March 2022

Atria Finland

	Q1	Q1
EUR million	2022	2021	2021
Net sales	274.3	260.2	1,105.7
EBIT	3.0	9.8	48.1
EBIT, %	1.1%	3.8%	4.4%

Atria Finland's net sales for January–March totalled EUR 274.3 million (EUR 260.2 million). The growth in net sales is due to increased sales of feed and Foodservice products. Feed sales prices were higher yearon-year, which was the result of an increase in the cost of feed raw materials. The growth in Foodservice sales was a result of the removal of coronavirus restrictions on restaurants. Sales to retail were level with the corresponding period of the previous year. Easter sales fall in the second quarter this year. Exports were lower than the previous year's figures. Sales prices increased slightly in the retail and Foodservice channels, but not correspondingly to the cost increases. EBIT was EUR 3.0 million (EUR 9.8 million). EBIT was lower than in the corresponding period of the previous year due to higher costs for raw materials, supplies, commodities and external services. Meat producer prices were higher year-on-year. During the first quarter, there have been a large number of personnel absences related to the coronavirus, and the costs incurred were higher than those incurred during the comparison period.

In retail, the market has been in slight decline during the first quarter, while the Foodservice market has grown clearly. As coronavirus restrictions have been lifted, Finns have returned to restaurant services.

In the retail market, the market was down by 0.5 per cent in Atria's product groups in January–March. The convenience food product group continues its long-standing strong growth and was +7.9 per cent during the review period. Atria's supplier share in the product groups it represents was 24.3 per cent, on level with the previous year.

The Foodservice market grew by approximately 8 per cent in the review period compared to the corresponding period in the previous year. The kitchens of restaurants and cafeterias are also increasingly using convenience food and processed meat, as in the Foodservice market, these product groups grew most strongly, by approximately 10 per cent. Atria's supplier share was 21.2 per cent with a growth of 0.5 percentage points. (Source: Atria market insight)

The status of meat on Finnish consumers' plates has remained steady. The majority of Finns have maintained their consumption of meat and 93 per cent eat meat in some form. Finnish origin continues to be an important criterion for Finns when choosing meat. A study commissioned by Lihatutkimus (the Meat

Information Association) shows that the total use of meat and the number of people eating meat have remained stable among Finns. Kantar's October 2021 study investigated Finns' meat consumption and the factors guiding it. Compared to 2020, the number of people eating meat has remained at the same level. The number of people not eating meat has also remained at the same level. The number of people eating meat daily or almost daily has risen. 78 percent of households eat meat several times a week. (Source: Factors Guiding Meat Consumption 2021, Kantar TNS Agri Oy)

In January, Atria Finland received an export licence for poultry products to South Korea. The first product batch was delivered in March. South Korea is one of Atria's longest-standing export destinations, where pork has been exported since the 1990s.

The construction project of the new poultry plant has progressed as planned. At the moment, the last parts of the frame phase of the building and the installation of roof and wall structures are underway. Building technology installations have also started.

Atria Sweden

	Q1	Q1
EUR million	2022	2021	2021
Net sales	82.1	76.7	351.7
Adjusted EBIT	-0.9	-1.2	2.7
Adjusted EBIT, %	-1.1%	-1.6%	0.8%
Items affecting comparability of EBIT:
Refund of employment pension contribution	0.0	0.0	2.3
EBIT	-0.9	-1.2	5.0
EBIT, %	-1.1%	-1.6%	1.4%

Atria Sweden's net sales for January–March amounted to EUR 82.1 million (EUR 76.7 million). In the local currency, net sales grew by 11.2 per cent year-on-year. With the removal of coronavirus restrictions, sales of Foodservice and Sibylla products in Sweden were clearly better year-on-year. Sales to retail were level with the corresponding period of the previous year. EBIT was EUR -0.9 million (EUR -1.2 million). Increased raw-material, transport and energy costs brought down EBIT during the review period. The increase in costs was partly compensated for by price increases and improved production efficiency.

In the review period, sales to retail of the product groups represented by Atria were in slight decline: the sausage market decreased by 3.3 per cent, the cold cuts market decreased by 0.2 per cent, and the poultry products market decreased by 0.8 per cent in value. Atria's market shares in retail strengthened in all the product groups represented by the company. In January–March, Atria's supplier share was 20.7 per cent in sausages, 13.4 per cent in cold cuts and 18.8 per cent in fresh chicken products. (Source: AC Nielsen).

Atria's sales to Foodservice customers recovered in the review period with the lifting of coronavirus restrictions. All restrictions on restaurants were lifted in February. The Swedish fast food market has also started to grow compared to the corresponding period of the previous year.

Due to the changed geopolitical situation, Atria made the decision in March to exit the fast food business in Russia. The fast food company operating in Russia has net sales of approximately 1.5 per cent of the Group's total net sales, the EBIT has been positive and the value of the company's net assets on 31 March 2022 was EUR 4.8 million. The Russian fast food business is reported in the Atria Sweden segment.

Atria Denmark & Estonia

	Q1	Q1
EUR million	2022	2021	2021
Net sales	26.0	24.5	104.9
EBIT	0.8	1.9	5.1
EBIT, %	3.0%	7.9%	4.9%

Atria Denmark & Estonia's net sales for January–March amounted to EUR 26.0 million (EUR 24.5 million). EBIT amounted to EUR 0.8 million (EUR 1.9 million). Atria's year-on-year net sales in Estonia increased by over 8 per cent. The increase in net sales was due to the strengthening of Atria's market share, especially in consumer-packed meat. In Denmark, sales to retail, Foodservice and export customers increased year-on-year. In Denmark, sales prices were higher than in the previous year. During the review period, EBIT was weighed down by rising costs of meat raw materials, materials, supplies, energy and external services. Absences due to illness caused by the coronavirus and the resulting higher production costs weakened the result.

The total market for the product groups represented by Atria in Estonian retail trade grew by almost 7 per cent in terms of value during the review period. The growth was due to an increase in consumer-packed meat sales: +16.2 per cent compared to the previous year. Atria's market share in consumer-packed minced meat increased to 17.9 per cent in terms of value. In Denmark, the market share of the product groups represented by Atria in retail trade increased markedly. The project to relocate the production of cold cuts sold in Denmark from the Malmö plant to Denmark will be completed by the end of this year.

Personnel by Business Area average FTE

Personnel by Business Area	Q1	Q1
average FTE	2022	2021	2021
Atria Finland	2,395	2,379	2,390
Atria Sweden	899	884	876
Atria Denmark & Estonia	430	436	445
Total	3,724	3,699	3,711

Financial position

Consolidated interest-bearing net liabilities on 31 March 2022 amounted to EUR 216.5 million (31 December 2021: EUR 152.6 million).

During the period under review, the Group's free cash flow (operating cash flow - cash flow from investments) was EUR -56.7 million (EUR -21.6 million). Operating cash flow amounted to EUR -35.2 million (EUR -11.9 million). The increase in costs and the normal seasonal increase in working capital items weakened the operating cash flow. The construction of the poultry plant increased the cash flow from investments, which amounted to EUR -21.4 million (EUR -9.6 million).

Equity ratio at the end of the review period was 49.2% (31 December 2021: 48.7%). The change in translation differences in equity was EUR -1.5 million (EUR -0.9 million).

The Group's liquidity has remained good over the review period. On 31 March 2022, the Group had undrawn committed credit facilities worth EUR 85.0 million (31 December 2021: EUR 85.0 million). The average maturity of loans and committed credit facilities at the end of the review period was 4 years 7 months (31 December 2021: 4 years 11 months).

Events after the review period

In April 2022, Atria came to an agreement on selling its Malmö industrial property in Sweden. Atria launched an efficiency improvement programme in Sweden in 2020 and decided in 2021 to concentrate production from the Malmö plant to Sköllersta in Örebro. As part of the efficiency improvement programme, Atria has decided to sell the Malmö industrial property for approximately EUR 22 million. Atria will continue to run industrial operations on the premises until the end of 2023. The transaction was completed on 26 April 2022. The divestment of the factory will result a non-recurring sales profit of approximately EUR 10 million on the consolidated EBIT. In the balance sheet on March 31, 2022, the factory property is presented as Held for sale assets.

Business risks in the review period and short-term risks

Atria's business, net sales and earnings can be affected by several uncertainties. Atria's 2021 Annual Report provides comprehensive information on risk management and business risks and can be found at https://www.atria.fi/en/group/investors/financial-information/annual-reports/.

Russia's invasion of Ukraine in February 2022 has increased risks in Atria's operations. The war affects world trade in food, grains and energy, both through product availability and price changes.

Ukraine is a major producer of feed grains. Last summer was dry and exceptionally warm in Europe. Grain harvests were small, and there was a shortage of feed grains already before the war. The war further undermines the adequacy of feed grain. As a result, the costs of production farms have increased, and the price of meat has risen.

The risk associated with energy prices has also increased due to the war, as Russia is a major energy producer in Europe. The price of fuels and electricity has been on the rise since the start of the war, and significant price volatility in energy costs is projected to continue.

In particular, cybersecurity and information warfare have become topics of discussion in the wake of the war. Atria is prepared for increasing cybercrime and information system failures. The purpose of systematic monitoring is to ensure rapid responsiveness in the event of an incident. At Atria, improving cybersecurity is an ongoing process.

The Covid-19 virus affects Atria's operations for the third consecutive year. The impact can be seen, for example, in customers' purchasing behaviour, variation in the delivery reliability of suppliers, and in the operation of the logistics chain. The number of sick leave cases has been significant in the first quarter of the year and it is possible that cases will also occur in the second quarter. It is still difficult to predict the mutation of the virus, and controlling the pandemic through vaccination programmes contains uncertainties.

Atria strives to prevent the impact of the pandemic on the health and safe working of its personnel and to ensure a smooth supply chain. Safety-enhancing ways of working, protective equipment, social distancing, information and guidance, and restrictions on visits and travel are used as tools.

A significant part of the pork processed at Atria's Nurmo plant is exported to China. On the Chinese market, the price and demand of meat can fluctuate very quickly, which is a risk to both volume and profitability.

African swine fever is encountered in several European countries, China and Russia. The poultry market experienced uncertainty, as cases of highly pathogenic avian influenza were detected in Europe. Considering the risk of these diseases spreading to Finland, Atria employs prevention measures at its own production plants and contract production farms.

Outlook for the future

In 2022, Atria Group's adjusted EBIT is estimated to be lower than in the previous year (EUR 49.2 million).

The significant and rapid rise in costs and the imbalance between global pork demand and supply will create uncertainty in the business environment in 2022. However, Atria's strong market position, long-term investment in its own brands, as well as good customer relationships and reliable industrial processes provide the preconditions for business stability even in these market situations.

Board of Directors' proposal for profit distribution 2021

The Board of Directors proposes that a dividend of EUR 0.63 (EUR 0.50) be paid for each share for the 2021 financial period.

Financial calendar 2022

The Annual General Meeting will be held on 3 May 2022.

Atria Plc will publish one more interim report and one half-year report in 2022:

• Half-year report January–June on 19 July 2022 at approximately 8:00 am
• Interim report January–September on 26 October 2022 at approximately 8:00 am

Financial releases can also be viewed on the company's website at www.atria.com immediately after their release.

Decisions of the General Meeting 2021

The decisions of the General Meeting were published as a company announcement on 29 April 2021. The announcement can be viewed on Atria's investor pages at https://www.atria.fi/en/group/investors/annualgeneral-meeting/yhtiokokous-2021/.

Valid authorisations to acquire the company's own shares or issue shares, grant special rights and make donations

The General Meeting resolved, in accordance with the proposal of the Board of Directors, to authorise the Board of Directors to resolve on the acquisition of a maximum of 2,800,000 of the company's own series A shares in one or more instalments with funds belonging to the Company's unrestricted equity, subject to the provisions of the Finnish Companies Act on the maximum number of treasury shares. The authorisation may be used for the financing or execution of any acquisitions or other arrangements or investments relating to the company's business, for the financing of investments, for the implementation of the company's incentive programme, for improvement of the company's capital structure, or to be otherwise assigned, kept by the company, or cancelled.

The shares shall be acquired in a proportion other than that of the shareholders' current shareholdings in the company in public trading arranged by Nasdaq Helsinki Ltd at the market price at the time of acquisition. The shares shall be acquired and paid according to the rules of Nasdaq Helsinki Ltd and Euroclear Finland Ltd. The Board of Directors was authorised to decide on the acquisition of the company's own shares in all other respects.

The authorisation supersedes the authorisation granted by the Annual General Meeting on 29 April 2020 to the Board of Directors to decide on the acquisition of the company's own shares, and is valid until the closing of the next Annual General Meeting or until 30 June 2022, whichever is first.

The General Meeting decided, in accordance with the Board of Directors' proposal, to authorise the Board of Directors to decide, on one or several occasions, on an issue of a maximum of 5,500,000 new series A shares or on the disposal of any series A shares held by the company through a share issue and/or by granting option rights or other special rights entitling holders to shares as referred to in Chapter 10, section 1 of the Limited Liability Companies Act. The authorisation may be exercised to finance or execute any acquisitions or other arrangements or investments related to the company's business, to implement the company's incentive programme or for other purposes at the Board's discretion.

The Board of Directors is also authorised to decide on all terms and conditions of the share issue and of the granting of special rights as referred to in Chapter 10, Section 1 of the Limited Liability Companies Act. The authorisation thus also includes the right to issue shares in a proportion other than that of the shareholders' current shareholdings in the company under the conditions provided by law, the right to issue shares against payment or without charge and the right to decide on a share issue without payment to the company itself, subject to the provisions of the Companies Act on the maximum number of treasury shares.

The authorisation supersedes the share issue authorisation granted by the Annual General Meeting on 29 April 2020 to the Board of Directors, and is valid until the closing of the next Annual General Meeting or until 30 June 2022, whichever is first.

The General Meeting resolved, in accordance with the proposal of the Board of Directors, to authorise the Board of Directors to donate a maximum of EUR 100,000 of the company's distributable funds to support activities of colleges, universities or other educational institutions or to support other charitable or similar purposes and at the same time authorised the Board to decide on payment schedules for donations and other terms of the donation.

Shares

Atria Plc's share capital consists of a total of 28,267,728 shares, divided into 19,063,747 series A shares and 9,203,981 series KII shares. Each series A share entitles its holder to one (1) vote at a General Meeting and each series KII share to ten (10) votes. Atria Plc's shareholders are entitled to a total of 111,103,557 votes. The company holds 66,182 series A treasury shares.

Corporate governance principles

Atria's Corporate Governance Principles and deviations from the Finnish Corporate Governance Code, as well as the Remuneration Report, are published on the company's website at www.atria.com.

ATRIA GROUP

Consolidated income statement

EUR million	1-3/2022	1-3/2021	1-12/2021
Net sales	374.8	361.3	1,540.2
Costs of goods sold	-343.2	-323.2	-1,363.7
Gross profit	31.5	38.2	176.5
Sales and marketing expenses	-18.4	-18.9	-81.0
Administrative expenses	-10.9	-12.7	-45.8
Other operating income	1.3	1.1	6.0
Other operating expenses	-1.2	-1.1	-49.4
EBIT	2.3	6.6	6.4
Finance income and costs	-0.9	-2.3	-4.9
Income from joint ventures and associates	1.4	0.8	3.4
Profit before taxes	2.9	5.1	4.8
Income taxes	-0.2	-0.9	-10.2
Profit for the period	2.7	4.2	-5.4
Profit attributable to:
Owners of the parent	2.5	3.8	-6.9
Non-controlling interests	0.2	0.4	1.5
Total	2.7	4.2	-5.4
Basic earnings per share, EUR	0.09	0.13	-0.24
Diluted earnings per share, EUR	0.09	0.13	-0.24

Consolidated statement of comprehensive income

EUR million	1-3/2022	1-3/2021	1-12/2021
Profit for the period	2.7	4.2	-5.4
Other comprehensive income after tax:
Items that will not be reclassified to profit or loss
Actuarial losses from benefit-based
pension obligations	0.0	0.0	0.2
Changes in fair value of equity items at fair
value through other comprehensive income	0.0	0.0	-0.4
Items reclassified to profit or loss
when specific conditions are met
Cash flow hedges	6.0	0.2	5.7
Currency translation differences	-1.5	-0.9	42.7
Total comprehensive income for the period	7.1	3.4	42.8
Total comprehensive income attributable to:
Owners of the parent	6.9	3.0	41.3
Non-controlling interests	0.2	0.4	1.5
Total	7.1	3.4	42.8

Consolidated statement of financial position

Assets
EUR million	31.3.2022	31.3.2021	31.12.2021
Non-current assets
Property, plant and equipment	386.3	370.4	385.5
Biological assets	0.6	0.6	0.6
Right-of-use assets	34.9	31.4	30.4
Goodwill	161.9	162.8	162.7
Other intangible assets	75.7	80.2	77.5
Investments in joint ventures and associates	18.6	15.2	17.2
Other financial assets	0.8	1.2	0.8
Loan and other receivables	10.6	4.8	6.1
Deferred tax assets	1.9	2.1	1.8
Total	691.3	668.9	682.6
Current assets
Inventories Biological assets	120.9 4.0	92.8 3.8	109.6 3.6
Trade and other receivables	135.5	119.9	108.3
Cash and cash equivalents	4.0	9.2	57.3
Total	264.4	225.7	278.9
Assets classified as held for sale	9.8	38.6	0.0
Total assets	965.5	933.2	961.5
Equity and liabilities
EUR million	31.3.2022	31.3.2021	31.12.2021
Equity attributable to the shareholders of the parent company	461.6	430.2	454.6
Non-controlling interests	13.2	12.1	12.9
Total equity	474.8	442.2	467.6
Non-current liabilities
Loans	176.1	138.2	176.1
Lease liabilities	25.7	23.9	21.3
Deferred tax liabilities	37.5	37.0	37.4
Pension obligations	7.2	7.0	6.7
Other non-interest-bearing liabilities	2.7	4.0	3.0
Provisions	0.0	0.2	0.0
Total	249.2	210.3	244.5
Current liabilities
Loans	9.0	57.5	2.9
Lease liabilities	9.7	8.0	9.6
Trade and other payables	222.8	209.7	236.8
Total	241.5	275.1	249.3
Liabilities classified as held for sale	0.0	5.5	0.0
Total liabilities Total equity and liabilities	490.7 965.5	490.9 933.2	493.9 961.5

Consolidated statement of changes in equity

EUR million	Equity attributable to the shareholders of the parent company					Non-	Total
	capital	Share Treasury shares	Other funds	Inv. non-rest. equity fund	Trans lation diff.	Retained earnings	Total cont	rolling inte rests	equity
Equity 1.1.2021	48.1	-1.2	-1.3	249.5	-62.7	190.4	422.8	16.1	438.9
Profit for the period Other comprehensive income						3.8	3.8	0.4	4.2
Cash flow hedges			0.2				0.2		0.2
Currency translation differences					-0.9		-0.9		-0.9
Changes in shares
of non-controlling interest						4.3	4.3	-4.4	-0.1
Equity 31.3.2021	48.1	-1.2	-1.1	249.5	-63.6	198.5	430.2	12.1	442.2
Equity 1.1.2022	48.1	-1.1	4.0	249.4	-20.0	174.2	454.6	12.9	467.6
Profit for the period						2.5	2.5	0.2	2.7
Other comprehensive income Cash flow hedges			6.0				6.0		6.0
Currency translation differences					-1.5		-1.5		-1.5
Changes in shares
of non-controlling interest						0.1	0.1		0.1
Equity 31.3.2022	48.1	-1.1	10.0	249.4	-21.5	176.8	461.6	13.2	474.8

Consolidated cash flow statement

EUR million	1-3/2022		1-3/2021 1-12/2021
Cash flow from operating activities
Operating activities before financial items and taxes	-32.0	-5.5	105.6
Financial items and taxes	-3.2	-6.4	-17.4
Net cash flow from operating activities	-35.2	-11.9	88.2
Cash flow from investing activities
Investments in tangible and intangible assets	-21.0	-8.6	-55.8
Acquired operations	0.0	-0.1	-0.1
Sold operations	0.0	0.0	30.3
Increase (-) / decrease (+) in long-term receivables	0.4	-0.3	-0.4
Change in short-term receivables	-0.8	-0.7	-0.5
Dividends received	0.0	0.0	0.7
Net cash used in investing activities	-21.4	-9.6	-25.8
Cash flow from financing activities
Draw down of long-term borrowings	0.0	0.0	120.0
Repayment of long-term borrowings	0.0	-7.4	-89.7
Increase (+) / decrease (-) in short-term loans	6.1	19.1	-35.3
Principal elements of lease payments	-2.6	-2.4	-9.5
Acquisition of non-controlling interest	0.0	-4.0	-4.0
Contribution by non-controlling interest	0.0	0.3	0.9
Dividends paid	0.0	0.0	-14.6
Net cash used in financing activities	3.5	5.6	-32.2
Change in liquid funds	-53.2	-16.0	30.2
Cash and cash equivalents at beginning of year	57.3	26.6	26.6
Effect of exchange rate changes on cash flows	-0.2	-1.4	0.6
Cash and cash equivalents at the end of period	4.0	9.2	57.3

Interim report notes

Interim report accounting principles

This interim report has been prepared in accordance with the IAS 34 Interim Financial Reporting standard. Atria has applied the same principles in preparing this interim report as in preparing the 2021 annual financial statements. However, as of 1 January 2022, the Group uses new or revised standards and IFRIC interpretations published by the IASB, included in the accounting principles of the annual financial statements 2021.

The preparation of the interim report in accordance with IFRS requires the Group's management to use estimates and assumptions that affect the reported amounts of assets and liabilities, income and expenses. In addition, discretion must be used in applying the accounting principles. The estimates and assumptions are based on the views at the end of the review period and include risks and uncertainties. The realised values may deviate from the estimates and assumptions. Due to the financial uncertainty caused by the geopolitical situation and the coronavirus pandemic, the company has assessed the effects of these on the income statement and balance sheet for the review period. In particular, the company has assessed whether the situation gives rise to indications of impairment of assets or the need to update provisions or other accounting estimates.

Due to the changed geopolitical situation, Atria made the decision to exit the fast food business in Russia. Measures have been initiated to implement the decision. On 31 March 2022, the value of net assets in Russia was EUR 4.8 million. Cumulated translation differences associated with the company will stand at around EUR 10 million. When divesting a foreign subsidiary, the cumulative translation differences associated with said subsidiary, which have already been recognised in equity, are recognised through profit or loss. Since the cumulated translation differences already reduce the Group's equity, the translation difference recognition will have no impact on the Group's equity ratio or cash flow. The translation differences will only be recognised in connection with the final transaction.

The key accounting estimates and discretionary decisions are presented in more detail in the accounting principles for the 2021 consolidated financial statements.

The formulae for calculating the indicators are presented at the end of the report. In the company's view, the indicators presented serve to clarify the view provided by the income statement and balance sheet of the operational result and financial position of operations.

The figures presented in the release are rounded to EUR million, so the combined total of individual figures may differ from the total sum presented.

The figures presented in this interim report are unaudited.

Operating segments

EUR million	1-3/2022	1-3/2021	1-12/2021
Revenue from consumer goods
Atria Finland	201.3	198.7	846.6
Atria Sweden	82.1	76.7	351.7
Atria Denmark & Estonia	25.3	24.0	102.6
Unallocated	0.0	10.0	15.0
Eliminations	-7.6	-10.1	-37.1
Total	301.2	299.3	1,278.8
Revenue from primary products
Atria Finland	72.9	61.5	259.1
Atria Sweden	-	-	-
Atria Denmark & Estonia	0.6	0.6	2.3
Unallocated	-	-	-
Total	73.6	62.0	261.4
Total net sales	374.8	361.3	1,540.2
EBIT
Atria Finland	3.0	9.8	48.1
Atria Sweden *)	-0.9	-1.2	5.0
Atria Denmark & Estonia	0.8	1.9	5.1
Unallocated **)	-0.6	-4.0	-51.9
Total	2.3	6.6	6.4
Investments
Atria Finland	17.4	5.3	40.0
Atria Sweden	2.9	2.4	11.5
Atria Denmark & Estonia	1.2	0.8	4.1
Total	21.5	8.5	55.6
Depreciation and write-offs
Atria Finland	9.2	9.2	37.1
Atria Sweden	3.2	3.5	14.0
Atria Denmark & Estonia	1.1	1.1	4.5
Unallocated	0.0	1.5	1.4
Total	13.5	15.4	57.1

*) Year 2021 includes refund of employment pension contribution of EUR 2.3 million.

**) Year 2021 includes accumulated translation differences of the sold subsidiary of EUR -45.1 million.

Fair value hierarchy of financial assets and liabilities

EUR million

Balance sheet items	31.3.2022	Level 1	Level 2	Level 3
Assets
Financial assets at fair value through other
comprehensive income	0.8			0.8
Derivative financial instruments	13.9		13.9
Total	14.8	0.0	13.9	0.8
Liabilities
Derivative financial instruments	0.9		0.9
Total	0.9	0.0	0.9	0.0
Balance sheet items	31.12.2021	Level 1	Level 2	Level 3
Assets
Financial assets at fair value through other
comprehensive income	0.8			0.8
Derivative financial instruments	6.3		6.3
Total	7.2	0.0	6.3	0.8
Liabilities Derivative financial instruments	0.8		0.8

There were no transfers between Levels 1 and 2 during the period.

Level 1: Prices listed on active markets for identical assets and liabilities. Level 2: Fair values can be determined either directly (i.e., as prices) or indirectly (i.e., derived from prices). Level 3: Fair values are not based on verifiable market prices.

Fair values of financial instruments do not deviate significantly from balance sheet values.

Related party transactions

EUR million

The following transactions were completed with related parties:

	1-3/2022	1-3/2021	1-12/2021
Sales of goods and services	7.3	5.1	23.7
Purchases of goods and services	-29.4	-24.7	-103.3
	31.3.2022	31.3.2021	31.12.2021
Receivables	2.8	1.6	1.7
Liabilities	6.4	5.3	6.3

Contingent liabilities

EUR million	31.3.2022		31.3.2021 31.12.2021
Debts with mortgages given as security Loans from financial institutions	1.1	1.3	1.2
Pension fund loans Total	4.7 5.8	4.3 5.6	4.2 5.4
Mortgages given as comprehensive security Real estate mortgages	1.1	1.3	1.2
Guarantee engagements not included in the balance sheet Guarantees	0.1	0.1	0.1

The main exchange rates

	Income statement				Balance sheet
	1-3/2022	1-3/2021	1-12/2021	31.3.2022		31.3.2021 31.12.2021
SEK	10.4795	10.1167	10.1445	10.3370	10.2383	10.2503
DKK	7.4408	7.4373	7.4371	7.4379	7.4373	7.4364
RUB *	95.5554	89.7335	87.2392	90.4700	88.3175	85.3004

* Reuters since 2022

FINANCIAL INDICATORS

In addition to the IFRS figures, Atria publishes other widely used alternative financial indicators that can be derived from the income statement and balance sheet.

Principles for calculating financial indicators:

Adjusted EBIT, adjusted profit before taxes and adjusted profit for the period		In addition to reporting EBIT, profit before taxes and profit for the period the company publishes an adjusted EBIT, adjusted profit before taxes and adjusted profit for the period indicators to describe the actual financial development of the business and to improve comparability between periods. The adjusted figures are determined by adjusting the above items for material items that affect comparability. These may include events that are not part of ordinary business activities, such as the restructuring of operations, capital gains and losses attributable to the sale of operations, impairment, and the costs of discontinuing significant operations.
Gross investments		Investments in tangible and intangible assets, including acquired businesses
Free cash flow	=	Cash flow from operating activities - Cash flow from investments
FTE	=	Hours worked during the review period Number of working days during the review period * normal working hours per day
Return on equity (%)	=	Profit/loss for the accounting period Equity (average)	*	100
Adjusted return on equity (%)	=	Adjusted profit/loss for the accounting period Equity (average)	*	100
Return on investment %	=	Profit/loss before tax + interest and other financial expenses Equity + interest-bearing financial liabilities (average)	*	100
Adjusted return on investment %	=	Adjusted profit/loss before tax + interest and other financial expenses Equity (average)	*	100
Equity ratio (%)	=	Shareholders' equity Balance sheet total – advance payments received	*	100
Interest-bearing liabilities	=	Loans + lease liabilities
Gearing (%)	=	Interest-bearing liabilities Shareholders' equity	*	100
Net interest-bearing liabilities	=	Interest-bearing liabilities - cash and cash equivalents
Net gearing (%)	=	Interest-bearing liabilities – cash and cash equivalents Shareholders' equity	*	100
Earnings per share (basic)	=	Profit for the period attributable to the owners of the parent company Weighted average of outstanding shares
Adjusted earnings per share (basic)	=	Adjusted profit for the period attributable to the owners of the parent company Weighted average of outstanding shares
Equity/share	=	Equity attributable to the owners of the parent company Undiluted number of shares on 31 Dec

Dividend per share	=	Dividend distribution during the accounting period Undiluted number of shares on 31 Dec
Dividend/profit (%)	=	Dividend/share Earnings per share (EPS)	*	100
Adjusted dividend/profit (%)	=	Dividend/share Adjusted earnings per share (Adjusted EPS)	*	100
Effective dividend yield (%)	=	Dividend/share Closing price at the end of the accounting period	*	100
Price/earnings (P/E)	=	Closing price at the end of the accounting period Earnings per share
Adjusted price/earnings (P/E)	=	Closing price at the end of the accounting period Adjusted earnings per share
Average price	=	Overall share turnover in euro Undiluted average number of shares traded during the financial period
Market capitalisation	=	Number of shares at the end of the financial period * closing price on 31 Dec
Share turnover (%)	=	Number of series A shares traded during the accounting period Undiluted average number of series A shares	*	100

ATRIA PLC

Board of Directors

For more information, please contact: Juha Gröhn, CEO, Atria Plc, tel. +358 400 684224.

DISTRIBUTION

Nasdaq Helsinki Ltd Major media www.atria.com

The interim report is available on our website at www.atria.com.