Aker BioMarine — Earnings Release 2020

Jul 15, 2020

AKER BIOMARINE DELIVERS STRONG GROWTH IN H1 2020

AKER BIOMARINE DELIVERS STRONG GROWTH IN H1 2020

FORNEBU, 15 July 2020 – Aker BioMarine AS (“Aker BioMarine” or the “Company”) today announces its results for H1 2020 and Q2 2020.

During H1 2020 the key highlights included Kori’s successful launch with US retailers and its major marketing launch campaign. The Company has received regulatory approvals and import permits for Qrill Aqua and Qrill Pet in China, and has signed significant contracts securing growth for Qrill Aqua in the region. In the beginning of April 2020, the Company sold the vessel Juvel, without factory, patents and fishing license. The sales price was USD 21.5 million, resulting in an accounting gain of USD 1.2 million. The Company completed an USD 225 million private placement with strong interest from Nordic and international investors on 24 June 2020 and was subsequently listed on Merkur Market on 6 July 2020.

For YTD Q2 2020, the Company delivers an adjusted EBITDA of USD 30.2 million which is in line with the Company’s business plan. Revenues YTD Q2 2020 of USD 142.9 million is up 36% over same period in 2019 and the adjusted EBITDA of USD 30.2 million is up 38% over same period in 2019. The financials for Q2 2020 continues on the trajectory from Q1 2020 with adjusted EBITDA margin of 24.3%. In Q2 2020, the Company delivered revenues of USD 72.2 million and adjusted EBITDA of USD 17.6 million

In line with the business plan, H2 2020 is expected to provide higher contribution than H1 2020 on both revenues and adjusted EBITDA margin, with less volatility in adjusted EBITDA between the quarters in H2 2020 as seen in previous years. Qrill Aqua goes into high season from July, benefitting from the capacity increase from Antarctic Endurance as well as the seasonality in fish farming. The Company expects improved production costs compared to H1 2020 due to operational excellence and benefits of scale.

“We are off to a good start during the first half of the year with strong growth in all business segments. We are on track to deliver on our goals for 2020 with accelerated growth into H2 2020 and subsequent increased margins as we gain the benefits of scale. I am particularly pleased to see the positive development for Kori in the US with distribution established at major US retailers.“, says Matts Johansen, CEO of Aker BioMarine.

Based on YTD performance, current market conditions and assumptions, the Company targets a full-year adjusted EBITDA of approximately USD 80 – 90 million and current outlook is at the upper end of the range. The full-year target is in line with the previously communicated financial targets including revenue growth of 20 - 30% during 2020 – 2021, with highest growth in 2020, at gradually increasing margins towards its EBITDA margin target of 30% from 2022. The Company targets an adjusted EBITDA margin in H2 2020 of up to 30%.

The Company targets a higher adjusted EBITDA in Q3 2020 compared to Q3 2019, which also was the best quarter in the Company’s history.

Please see attached the Q2 2020 presentation and the Q2 2020 financials.

For further queries, please contact: Katrine Klaveness, Chief Financial Officer, Aker BioMarine AS, Telephone: +47 99 15 89 15

Definitions of alternative performance measures (APM)

Certain financial measures and ratios are not specifically defined under IFRS or any other generally accepted accounting principles. These measures are presented because they are among the measures used by management to evaluate the cash available to fund ongoing, long-term obligations and they are frequently used by other interested parties for valuation purposes or as a common measure of the ability of a company to incur and meet debt service obligations. These measures may not be comparable to other similarly titled measures of other companies and are not measurements under IFRS or other generally accepted accounting principles, and you should not consider such items as alternatives to profit for the year, total operating revenues, operating income or any other performance measures derived in accordance with IFRS, and they may be different from similarly titled measures used by other companies.

EBITDA

Earnings before interest, tax, depreciation and amortisation (“EBITDA”) represents operating income plus depreciation.

Adjusted EBITDA

Adjusted EBITDA is a key financial parameter for Aker BioMarine. Adjusted EBITDA represents EBITDA adjusted for any non-recurring items.