Statt Torsk ASA

Quarterly Report • May 11, 2023

Statt Torsk

Financial Report Q1 2023

Gustave Brun-Lie

CEO

Dear shareholder

• I regret to say that this is disappointing.
• The prices obtained for products without long-term agreements were significantly low, sometimes even lower than prices for wild-caught fish. There are various reasons for this, but the fact remains that we have not yet achieved our goal of differentiating our product from other white fish products.
• We have adjusted our production expectations. This is a challenging task, and a longer harvesting season is crucial. We acknowledge the urgent need to improve our control over production volumes.
• Our new industry faced negative media coverage due to escape and maturation issues. We believe this treatment is unfair. • How to address these challenges:
• We must further leverage our advantages of delivery predictability and product quality. This will be the focus of our revised sales strategy.
• Our competition is not with wild white fish; we are introducing a new dimension.
• We need to explore new markets. In March, we visited Japan and Korea for the second time to explore their potential. We successfully organized events with

sushi chefs in collaboration with the Norwegian Seafood Council, gaining positive results in both countries. Our fish is highly suitable for sushi and sashimi, which are experiencing rapid growth in seafood consumption globally. Given that Japan is the birthplace of sushi, closely followed by Korea, the potential references are fascinating. Efforts are underway to export our products fresh, rather than frozen, as already established for salmon and trout.

• Our strategy revolves around establishing long-term relationships with our customers. This is vital for optimizing our production.
• Pricing: Can we improve our prices? Our long-term customers value the extended freshness, year-round deliveries, and absence of anisakis.
• Can we reduce our costs? With larger volumes, we believe this is achievable.
• Lastly, and importantly, we are making progress in utilizing the entire fish by creating new products such as canned cod liver. • The way forward: We never intended for this endeavor to be a "walk in the park." Creating a new product is challenging and demands patience.
• One thing is evident: Our product is truly excellent!

Q1 2023 Main events

. Sales

Statt achieved the highest revenues in its history, amounting to NOK 36.6 million, selling a total of 1,005 tons WFE.

Harvest

Highest volume harvested in Statt`s history - 1,086 tons WFE.

Salesprices

The achieved sales price in the first quarter of 2023 fell significantly below expectations, reaching only NOK 36 per kg WFE.

Devaluation of biomass

As a result of the decreased price achievement and reduced weight of fish in 2023, Statt devalued the value of biomass by approximately NOK 47 million in the 2022 accounts.

Q1 2023 Operational update

Harvest & sales

1.086 tons harvested, revenues NOK 36,6 million, sold tons 1,005.

Reduced weight

Expected average weight of fish has been reduced by approx. 500 tons due to harvesting regime, starvation before harvest.

Growth rate

Growth rate is still as expected before harvesting period.

Feed Conversion Rate

Biological feed conversion rate (bFCR) in Q1: 1,01, will increase. Statt targets bFCR: 1,1

Economical feed conversion rate (eFCR) in Q1: 1,04. Statt targets eFCR: 1,20-1,25.

Rekvika is not included, due to harvesting.

Mortality Mortality rate in Q1 is 2,0%, target end of production cycle of 19-21 months: 10-12%

Sites in production

As per 31.03.2023 2 sites, Rekvika and Stokkeneset, are in active production, approx. 1,150,000 fish in sea. Biomass is approx. 2.600 tons. Weight of fish is from 1,2 to 3,5 kg.

Harvest & sales plan 2023

Revised harvest plan and sales in 2023 is approx. 3,000 tons WFE.

Sustainability and Safety

Statt aims to be in the forefront regarding safe and sustainable operations.

We have not experienced any escapes from our facilities since inception in 2016. We have developed and implemented strict routines for monitoring of maturation.

Consolidated Statement of Comprehensive Income

(NOK 1.000)	Note	Q1 2023	Q1 2022	YTD 2023	YTD 2022
Revenue		36 645	7 900	36 645	7 900
Other income		0	0	0	0
Operating Income		36 645	7 900	36 645	7 900
Cost of goods sold		48 229	7 196	48 229	7 196
Wages		2 185	3 021	2 185	3 021
Depreciation	2,3	899	1 246	899	1 246
Other operating expenses		736	3 437	736	3 437
Operating profit/loss before fair value
adjustment		-15 404	-7 000	-15 404	-7 000
Fair Value adjustment	4	13 045	0	13 045	0
Operating profit/loss		-2 359	-7 000	-2 359	-7 000
Net financial items		-1 405	-530	-1 405	-530
Profit/loss before tax		-3 764	-7 530	-3 764	-7 530
Other comprehensive income		0	0	0	0
Total comprehensive income		-3 764	-7 530	-3 764	-7 530

Consolidated Statement of Financial Position

(NOK 1.000)	Note	Q1 2023	Q1 2022	Y2022
Assets
Non-current assets
Plant and equipment	2	65 462	42 268	66 267
Right-of-use assets	3	61 246	56 980	62 213
Investment in associates		0	1 023	0
Loan to associates		0	935	0
Other non-current assets		7 970	3055	4 253
Total non-current assets		134 678	104 261	132 733
Current assets
Inventories	4	92 122	61 205	90 728
Receivables		27 025	1 699	11 659
Prepayments		1 950	14 367	13 116
Cash and cash equivalents		1 762	9 852	1 197
Total current assets		122 859	87 123	116 700
Total assets		257 537	191 384	249 433

Consolidated Statement of Financial Position

( NOK 1.000)	Note	Q1 2023	Q1 2022	Y2022
Equity and Liabilities
Equity
Issued capital	5	21 217	16 611	21 029
Share premium	5	113 240	116 178	114 220
Total equity		134 457	132 789	135 249
Liabilities
Non-current liabilites
Lease liabilities		33 066	39 021	40 242
Total other non-current liabilities		33 066	39 021	40 242
Current liabilites
Bank overdraft		34 307	0	30 155
Current lease liabilities		13 484	9 508	9 187
Accounts payable and other current liabilities		42 223	10 066	34 600
Total current liabilites		90 014	19 574	73 942
Total equity and liabilities		257 537	191 384	249 433

Consolidated Statement of Cashflow

(NOK 1.000)	Q1 2023	Q1 2022	YTD 2023	YTD 2022
Cashflow from operating activities
Net profit before tax	-3 764	-7 529	-3 764	-7 529
Fair value adj. biomass	-13 045	0	-13 045	0
Depreciation	899	1 246	899	1 246
Change in inventory and biological assets	13 299	-14 691	13 299	-14 691
Change in receivables	-4 172	12 875	-4 172	12 875
Change in accounts payable	8 629	-7 805	8 629	-7 805
Change in other items	-1 426	-565	-1 426	-565
= Net cashflow from operating activities	420	-16 469	420	-16 469
Cashflow from investing activities
Purchase of plant and equipment	-383	-9 487	-383	-9 487
Investments in assosiated companies	-3 717	0	-3 717	0
= Net cashflow from investing activities	-4 100	-9 487	-4 100	-9 487
Cashflow from financing activities
New interest-bearing debt/downpayment	-2 879	2 207	-2 879	2 207
Proceeds from issuing of share capital	2 972	0	2 972	0
= Net cashflow from financing activities	93	2 207	93	2 207
Net change in cash and cash equivalents	-3 587	-23 749	-3 587	-23 749
Cash and cash equivalents (opening balance)	-28 958	33 601	-28 958	33 601
= Cash and cash equivalents (closing balance)	-32 545	9 852	-32 545	9 852

Q1 2023 Statt Torsk Group Notes

Note 1 General information and Reporting principles

Reporting entity

Statt Torsk ASA is registered and domiciled in Norway, head office in Stad on the west coast of Norway. The statements includes the 100% owned subsidiaries Stokkeneset Reiarlag AS and Statt Sjømat AS.

Reporting principles

The 2023 Q1 report is prepared according to IFRS. The financial information is not audited. Accounting principles applied in 2023 are consistent with those used in the Annual Report for 2022 ( IFRS). 2023 Q1 has been adjusted accordingly.

Bought and sold fry and fingerlings in the period are netted in the accounts and does not appear as revenue.

As there are no reliable indication on future sales prices our best estimate for fair value of the fish in sea is currently cost. The marked will be monitored closely, and we will adjust our estimate when predictable price picture for wild farmed cod becomes available.

For complete accounting principles, we refer to the Annual Report for 2022.

Note 2 Property, plant and equipment	Sites	Vessels and barges	Machinery and equipment	Construction in progress	Total 31.03.23
Accumulated cost 1 January 2023	43 375	4 938	8 101	18 743	75 157
Additions	121		262		383
Transferred to leases					0
Depreciation YTD 2023	-855	-63	-270	0	-1 188
Depreciation accumulated January 1	-7 256	-616	-1 018	0	-8 890
Carrying value 31 March 2023	35 385	4 259	7 075	18 743	65 462
Economic life	12,5 years	20 years	5 years
Depreciation method	linear	linear	linear

Note 3 Leases - Right-of-use assets	Land	Vessels and barges	Machinery and equipment	Total 31.03.23
Acquisition cost 1 January 2023	186	60 453	5 033	65 672
Addition of right-of-use assets				0
Transfers and reclassifications				0
Aquisition cost 31. March 2023	186	60 453	5 033	65 672
Accumulated depreciation and impairment 1. January 2023 Depreciation YTD 2023	106 15	2 345 733	1 008 219	3 459 967
Accumulated depreciation and impairment 31. March 2023	121	3 078	1 227	4 426
Carrying amount of right-of-use assets 31. March 2023	65	57 375	3 806	61 246
Lower remaining lease term or economic life	1,5 years	4 years	3-5 years
Depreciation method	Linear	Linear	Linear

Note 4 Inventories	31.03.2023	01.01.2023
Finished goods:
Raw material
Finished goods	2 585	0
Fish at sea (biological assets)
Total finished goods	2 585	0
Fish at sea (Biomass)	85 741	83 957
Raw materials, at cost	3 796	6 771
Finished goods	2 585	0
Total	92 122	90 728

Biomass 2023
Fish at sea	tons	Fair value NOK		Cost NOK				Fair value adjustment
31.3.	1.1.	31.3.	1.1.	31.3.	1.1.	31.3.	1.1.
2 626	2 823	85 741	83 957	124 158	135 419	-38 417	-51 462

Note 5 Share capital, shareholder information and dividend

	31.03.2023	01.01.2023
Ordinary shares, nominal amount NOK	0,10	0,10
Total number of shares	212 169 105	210 292 598

Changes to share capital and premium	Share capital No. of shares			Premium
Ordinary shares	2023	2022	2023	2022	2023	2022
Issued and fully paid 1 January	210 292 598	166 112 707	21 029	16 611	114 220	170 591
Issued new share capital	1 876 507	44 179 891	188	4 418	3 002	76 883
Retianed earnings					-3 764	-130 341
Other/Transaction cost					-218	-2 913
31.03.2023	212 169 105	210 292 598	21 217	21 029	113 240	114 220

Statt Torsk ASA Board

Marianne Kveldstad (sign) Board member

Øyvind Schanke (sign) Board member

Nicolas Brun-Lie (sign) Chairman

Statt Torsk ASA Top 20 Shareholders per 10.05.2023

Shareholder	Holding	% of total
Orinoco AS	50 556 559	23,83 %
T.D. Veen AS	24 789 250	11,68 %
Medvode AS	16 268 235	7,67 %
Techbridge AS	14 600 000	6,88 %
Borgund Brygge AS	10 139 735	4,78 %
DnB Bank ASA	9 228 444	4,35 %
Lindvard Invest AS	6 660 046	3,14 %
Bjug A. Borgund AS	6 325 000	2,98 %
GH Holding AS	5 514 705	2,60 %
Bypass Consulting AS	5 201 153	2,45 %
Alden AS	4 000 000	1,89 %
Brekke Holding AS	3 370 000	1,59 %
Tigerstaden Marine AS	3 157 418	1,49 %
Secom AS	2 700 000	1,27 %
Frode Borgund	2 627 662	1,24 %
Klo Holding AS	2 352 941	1,11 %
Fjellseter Utvikling AS	2 207 555	1,04 %
Mami Holding AS	2 170 000	1,02 %
Nersnæs AS	2 120 324	1,00 %
State Street Bank and Trust Comp	1 860 294	0,88 %
Total number owned by top 20	175 849 321	82,88 %
Total number of shares	212 169 105	100,00 %

Disclaimer and important information

(General): By reading this presentation dated 11 of May 2023 (the "Presentation") or attending a meeting or an oral presentation held in relation thereto, you (the "Recipient") hereby acknowledge, agree and accept that you have read, and agree to be bound by the term, conditions and limitations set out in this disclaimer. This Presentation has been produced by Statt Torsk ASA (the "Company") solely for the purpose of presenting the Company's financial results for Q1 2023 to the market and the investors. The financial results are based on IFRS and do not meet the requirements for a full quarterly report under IFRS and the results have not been audited. The Presentation does not constitute or form part of, and should not be construed as, an offer, invitation or recommendation to purchase, sell or subscribe for any securities in any jurisdiction and neither the issue of the Presentation nor anything contained herein shall form the basis of or be relied upon in connection with, or act as an inducement to enter into, any investment activity.

(No representation or warranty / disclaimer of liability): To the best knowledge of the Company, the information contained in this Presentation is in all material respects in accordance with the facts as of the date hereof and contains no material omissions likely to affect its import. Please note that none of the Company or its affiliates, directors, officers, employees, advisors or representatives of any of the aforementioned (collectively the "Representatives") make any representation or warranty (express or implied) whatsoever as to the accuracy, completeness or sufficiency of any information contained herein, and nothing contained in this Presentation (including, but not limited to, projections, estimates, targets and opinions) is or can be relied upon as a promise or representation by the Company or any of the Representatives.

(Forward-looking statements / information from third parties): This Presentation may contain certain forward-looking statements relating to inter alia the business, financial performance and results of the Company and the industry in which it operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forward-looking statements in this Presentation are based on numerous assumptions regarding the Company's present and future business strategies and the environment in which the Company will operate in the future. Forward-looking statements involve inherent known and unknown risks, uncertainties and contingencies because they relate to events and depend on circumstances that may or may not occur in the future and may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward looking statements. Many of these risks and uncertainties relate to factors that are beyond the Company's ability to control or estimate precisely, such as future market conditions, currency fluctuations, the behavior of other market participants, the actions of regulators and other factors such as the Company's ability to continue to obtain financing to meet its needs, changes in the political, social and regulatory framework in which the Company operates or in economic or trends or conditions. None of the Company or the Representatives provides any assurance that the assumptions underlying such forward-looking statements are free from errors nor do any of them accept any responsibility for the future accuracy of opinions expressed in this Presentation or the actual occurrence of forecasted developments, and the Company assumes no obligation, except as required by law, to update any forward-looking statements or to conform these forward-looking statements to its actual results. Investments in the Company's shares involves inherent risk and prospective investors risk to lose all or parts of their investment. This Presentation contains information obtained from third parties. Such information has been accurately reproduced and, as far as the Company is aware and able to ascertain from the information published by that third party, no facts have been omitted that would render the reproduced information inaccurate or misleading.

(No updates): This Presentation speaks as at the date set out on its front page. Neither the delivery of this Presentation nor any further discussions of the Company with the Recipient shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date. The Company does not assume any obligation to update or revise the Presentation or disclose any changes or revisions to the information contained in the Presentation (including in relation to forward-looking statements).

(No investment advice): The contents of this Presentation shall not be construed as technical, financial, legal, business, investment, tax or other professional advice. The Recipient should consult its own professional advisers for any such matter. By reading, attending or receiving this Presentation, you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the Company's business.