Atlantic Sapphire

Earnings Release • Aug 7, 2023

Atlantic Sapphire ASA: H1 2023 Trading Update

Atlantic Sapphire ASA: H1 2023 Trading Update

Miami, FL, August 7, 2023

Atlantic Sapphire ASA (together with its subsidiaries, the “Company”) harvested a total volume of approximately 400t HOG in three months ended June 30, 2023, in line with the last guidance given in April 2023.

The preliminary estimate for the First Half 2023 revenue is approximately USD 8 million and an adjusted EBITDA (pre-fair value adjustment on biological assets) of around USD (34) million, in line with our expectations.

However, lower than expected biomass gain in Q3 2023 to date, primarily due to elevated farming temperatures and its consequences for overall water quality, has resulted in a lower standing biomass than earlier estimated. Standing biomass at the end of July 2023 was estimated to 2,700t RLW. More water chillers will be installed to ensure sufficient capacity at peak demand for cooling and the Company expects the temperature issue to be solved in Q3 2023. All else equal, this indicates a lower biomass gain and revenue in H2 2023 compared to what the Company expected.

The complete H1 2023 Interim Financial Statements will be published on August 24, 2023 at 11:00am ET / 17:00 CET, together with an operational update that will be presented by management. The operational update will include further details on the financials for H1 2023 and operational performance in H2 2023 to date.

For further information, please contact:

Johan E. Andreassen

CEO

or

Karl Øystein Øyehaug

CFO

investorrelations@atlanticsapphire.com

This information is subject to the disclosure requirements pursuant to the Norwegian Securities Trading Act section 5-12.

About Atlantic Sapphire ASA

Atlantic Sapphire is pioneering Bluehouse® (land-raised) salmon farming, locally, and transforming protein production, globally. Atlantic Sapphire has been operating its innovation center in Denmark since 2011 with a strong focus on R&D and innovation to equip the Company with the technology and procedures that enable the Company to commercially scale up production in end markets close to the consumer. 

In the US, the Company has identified and obtained the requisite permits to construct its Bluehouse® in the ideal location in Homestead, Florida, just south of Miami. The Company has completed Phase 1 construction, which provides the capacity to harvest approximately 10,000 tons (HOG) of salmon annually. The Company completed its first commercial harvest in the US in September 2020. Atlantic Sapphire is currently constructing its Phase 2 expansion, which will bring total annual production capacity to 25,000 tons, and has a long-term targeted harvest volume of 220,000 tons.