Bakkafrost P/f

Investor Presentation • Feb 22, 2022

Q4 2021

Glyvrar 22 February 2022

DISCLAIMER

• This presentation includes statements regarding future results, which are subject to risks and uncertainties.
• Consequently, actual results may differ significantly from the results indicated or implied in these statements. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, the fairness, accuracy or completeness of the information contained herein. Accordingly, none of the Company, or any of its principal shareholders or subsidiary undertakings or any of such person's officers or employees or advisors accept any liability whatsoever arising directly or indirectly from the use of this document.

SUMMARY OF Q4 2021 MARKETS & OUTLOOK

SALES

SEGMENT INFORMATION

FINANCIALS & ESG

APPENDIX

HIGHLIGHTS

HIGHLIGHTS
	 Record high harvest in the Faroe Islands: 20,694 tgw in Q4 2021 (15,957 tgw in Q4 2020)
	 Harvest in Scotland: 5,122 tgw in Q4 2021 (9,305 tgw in Q4 2020)
Operation	 Feed sales of 32,527 tonnes in Q4 2021 (30,885 tonnes in Q4 2020)
	 Market balance strong markets and tight supply outlook
	 Raw material purchase of 27,322 tonnes in Q4 2021 (71,887 tonnes in Q4 2020)
Revenues and	 Revenues of DKK 1,488 million in Q4 2021 (DKK 1,139 million in Q4 2020), increased prices and strong demand
Operational EBIT	 Operational EBIT** of DKK 120 million in Q4 2021 (DKK 86 million in Q4 2020). Margin hampered by biological issues
Cash Flow	 Cash flow from operations of DKK 189 million in Q4 2021 (DKK -107 million in Q4 2020)
Segments	 Positive operational EBIT for all segments except SCT. Feed segment high volumes and EBITDA, and Farming FO more than tripled margin vs Q4 2020
Dividends	 Proposed dividend of DKK 5.14 per share for 2021
	) Including internal sales of 31,649 tonnes in Q4 2021 (29,516 tonnes in Q4 2020) *) EBIT aligned for fair value adjustments of biomass, onerous contracts provisions, income from associates and revenue tax

SUMMARY OF THE QUARTER HIGHER OPERATIONAL EBIT DRIVEN MAINLY BY FARMING FAROE ISLANDS

5.66 18.29 17.31 5.71 -8.41 Q4 2020 Q4 2021 OPERATIONAL EBIT/Kg (NOK) Farming Faroe Islands Farming Scotland VAP

Q4 2020 Q4 2021	(DKK million)	Q4 21	Q4 20	YTD 2021	YTD 2020
	Operating revenue	1,488	1,139	5,554	4,652
OPERATIONAL EBIT/Kg (NOK)	Operational EBITDA	270	215	1,352	1,068
Farming Faroe Islands	Operational EBIT	120	89	821	621
5.66 18.29	Profit for the period	-3	-38	964	463
Farming Scotland	Operational EBITDA margin	18.2%	18.9%	24.3%	23.0%
-55.95 -8.41	Operational EBIT margin	8.0%	7.8%	14.8%	13.4%
VAP
17.31 5.71	Operational EBIT/Kg (Farming FO) (NOK)	18.29	5.66	18.37	12.69
	Operational EBIT/Kg (Farming FO and VAP) (NOK)	20.11	12.92	20.80	16.65
EBITDA margin	Operational EBIT/Kg (VAP) (NOK)	5.71	17.31	7.36	8.51
Fishmeal, -oil and Feed	Operational EBIT/Kg (Farming SCT) (NOK)	-55.95	-8.41	-11.49	-0.99
20.6% 13.4%	EBITDA margin (Fishmeal, -oil and Feed)	20.6%	13.4%	18.5%	14.6%

Group Operational EBIT DKK 120 million in Q4 2021, compared to DKK 89 million in Q4 2020 SUMMARY OF Q4 2021

SALES

SEGMENT INFORMATION MARKETS & OUTLOOK

FINANCIALS & ESG

APPENDIX

GLOBAL MARKETS HIGHER PRICES Y/Y AND Q/Q

Average spot prices increased y/y but decreased q/q in Q4 2021

Increasing spot prices throughout the quarter except the last two weeks

Change in global market [volume harvested and market price]

SUMMARY OF Q4 2021

SALES

SEGMENT INFORMATION

FINANCIALS & ESG

MARKETS & OUTLOOK

APPENDIX

FARMING – HARVEST VOLUME INCREASED HARVEST IN FO AND DECREASED IN SCT – INCREASED AVG. SMOLT SIZE

	Harvest Volumes tonnes [HOG]	Q4 21	Q4 20	YTD 21	YTD 20
				26,082	31,029
	FO - North Region	9,268	6,486
North: 45%	FO - West Region	8,904	6,965	32,253	14,415
West: 43%	FO - South Region	2,522	2,506	8,883	5,256
South: 12% 5,122	FO – Total	20,694	15,957	67,217	50,700
	SCT	5,122	9,305	29,672	34,986

Sea water temperatures at 18m depth in the Faroe Islands

FARMING – OPERATIONAL PERFORMANCE HIGHER OPERATIONAL EBIT AND OPERATING REVENUE IN FO LOWER OPERATIONAL EBIT AND OPERATING REVENUE IN SCT Q4 2020 Q4 2021

Farming FO (DKK million)	Q4 21	Q4 20	YTD 21	YTD 20
Operating revenue	1,111	603	3,477	2,340
Operational EBIT	282	63	904	448
Operational EBIT margin	25%	10%	26%	19%
Farming SCT (DKK million)	Q4 21	Q4 20	YTD 21	YTD 20
Operating revenue	218	389	1,455	1,596
Operational EBIT	-214	-54	-249	-24
Operational EBIT margin	-98%	-14%	-17%	-2%
Sea water temperatures at 5m depth in Scotland

Farming SCT (DKK million)			Q4 21 Q4 20 YTD 21 YTD 20
Operating revenue	218	389	1.455	1.596
Operational EBIT	-214	-54	-249	-24
Operational EBIT marqin	-98%	-14%	-17% -	-2%

FO: Strong growth and good FCR. Higher sea lice levels requiring more treatments and leading to higher mortality.

SCT: High mortality due to environmental blooms (micro-jelly/hydrozoan zooplankton) as secondary complication on top of underlying gill health issues

Freight per kilo sold fresh salmon (FO) [Q3 2019 = Index 100]

FARMING FAROE ISLANDS IN Q4 2021

-

- 45 mDKK in exceptional mortality 3 sites affected

FARMING SCOTLAND IN Q4 2021

-

- 179 mDKK in exceptional mortality

Affected areas

-

VALUE ADDED PRODUCTS (VAP) SAME VOLUMES AND HIGHER COST OF RAW MATERIAL

(DKK million)	Q4 21	Q4 20	YTD 21	YTD 20
Operating revenue	359	287	1,195	1,116
			120	140
Operational EBIT	28	80
Operational EBIT margin	8%	28%	10%	13%
Farming FO transferred to VAP (tgw)	6,493	6,790	21,974	23,931

FISHMEAL, OIL AND FEED (FOF) LOWER RAW MATERIAL SOURCING AND HIGHER SALES OF FEED AND FISHMEAL

Raw material sourced (tonnes)

(DKK million)	Q4 21	Q4 20	YTD 21	YTD 20
Operating revenue	433	359	1,659	1,419
EBITDA	89	48	306	208
	21%	13%	18%	15%
EBITDA margin		30,885	128,489	111,998
Feed sold (tonnes)*	32,527

Sourcing of raw material (tonnes)

MARKET CONDITIONS FEED SIGNIFICANT INCREASE IN INTERNAL FEED SALES

Fishmeal and fish oil price index in DKK (Q1 2015 = 100)

Source: Holtermann

Market fluctuations

Fishmeal price and fish oil price increased in Q4 2021, compared to the same quarter last year.

SUMMARY OF Q4 2021

SALES

SEGMENT INFORMATION

FINANCIALS & ESG

MARKETS &OUTLOOK

APPENDIX

GROUP PROFIT AND LOSS HIGHER REVENUE, OPERATIONAL EBIT AND PROFIT

GROUP PROFIT AND LOSS	HIGHER REVENUE, OPERATIONAL EBIT AND PROFIT
Q4 2020	Q4 2021	(DKK million)	Q4 21	Q4 20	YTD 21	YTD 20
		Operating revenue	1,488	1,139	5,554	4,652
Revenue (mDKK)		Operational EBITDA	270	215	1,352	1,068
1,139 31%	1,488	Operational EBIT	120	89	821	621
		Fair value adjustment of biological assets	-140	-22	435	118
Operational EBIT (mDKK)		Onerous contracts	0	0	0	0
89 35%	120	Income from associates	18	6	30	6
		Revenue tax	-49	-2	-141	-54
Fair value of biomass (mDKK)		EBIT	-52	69	1,145	691
-22	-140	Net Financial items	8	-29	-7	-65
		EBT	-44	41	1,138	626
Revenue tax (mDKK)		Taxes	41	-78	-174	-163
		Profit for the period	-3	-38	964	463
-2	-49	Operational EBITDA margin	18.2%	18.9%	24.3%	23.0%
Profit after tax (mDKK)		Operational EBIT margin	8.0%	7.8%	14.8%	13.4%
		Operational EBIT/kg (Farming FO and VAP) (NOK)	20.11	12.92	20.80	16.65
-38	-3	Operational EBIT/kg (Farming Scotland) (NOK)	-55.95	-8.41	-11.49	-0.99
		EBITDA margin (fishmeal, oil and feed)	20.6%	13.4%	18.5%	14.6%

OPERATIONAL EBIT* AND ADJUSTED EARNINGS PER SHARE**

Operational EBIT* (mDKK)

1,378 1,075 1,325 622 821

Adjusted EPS** (DKK)

*) Operational EBIT is EBIT before fair value adjustments of biomass, onerous contracts provisions, income from associates and revenue tax

**) Earnings per share adjusted for fair value of biomass, onerous contracts provisions and tax and these.

BALANCE SHEET

	(DKK million)	End	End
		2021	2020
	Intangible assets	4,496	4,493
4,889	Property, plant and equipment	4,889	4,221
	Right of use assets	302	353
	Financial assets	149	122
	Long-term receivables	8	8
	Deferred tax assets	215	27
	Biological assets	2,448	2,117
709	Inventory	709	776
	Financial derivatives	0	0
824	Receivables	824	490
	Other receivables	79	134
	Cash and cash equivalents	509	467
	Total Assets	14,628	13,208
	Equity	9,348	8,729
	Deferred tax and other taxes	1,590	1,222
	Long-term interest-bearing debt	2,635	2,220
	Long-term leasing debt	246	265
64%	Financial derivatives	8	11
	Short-term leasing debt	88	131
	Accounts and other payables	713	629
	Total Equity and Liabilities	14,628	13,208

CASH FLOW

(DKK million)	Q4 21	Q4 20	YTD 21	YTD 20
Cash flow from operations	189	-107	1,125	474
Cash flow from investments	-289	-343	-1,112	-816
Cash flow from financing	237	471	30	-500
Net change in cash	136	21	42	-843
Cash at the end of the period	509	467	509	467
	3,063	2,323	3,063	2,323

NET INTEREST-BEARING DEBT (NIBD) NIBD INCREASED DURING Q4 2021

NIBD was increased by:

-

NIBD was decreased by:

-

Financing end Q4 2021

• NIBD: DKK 2,126 million
• Bank facilities of EUR 700 million, and an accordion of EUR 150 million.
• Undrawn credit facilities: DKK 3,063 million*

*) On the 10 December Bakkafrost entered at term sheet for a sustainability-linked EUR 700 million multicurrency revolving credit facility with a tenor of five years. The facility agreement is planned for signing by the end of February 2022.

Development in NIBD in DKK millions

NIBD and available funding

Q4 ESG UPDATE

Commits to reduce scope 3 emissions by 52% per tonne of product sold by 2030 from a 2020 base year. As with our scope 1 and 2 targets of 50% GHG emission reduction by 2030, the target will be submitted for approval by the Science Based Targets initiative (SBTi). Entered into term sheet for a sustainability-linked EUR 700 mEUR credit facility. Sustainability KPI's set: • Increase survivability • Reduce bFCR • Increase own production of renewable energy

100% sustainable financing

-

Energy Globe Foundation, a leader in the area of sustainability, has selected Bakkafrost-owned biogas plant FÖRKA as National Winner of Energy Globe Awards.

SUMMARY OF Q4 2021

SALES

SEGMENT INFORMATION

FINANCIALS & ESG

MARKETS & OUTLOOK

APPENDIX

Borðoyavík, A13 Faroe Islands

HARVESTED AND SOLD QUANTITY BY ORIGIN

• taking inventory movements into account

---

-

• -
  -

HARVESTED AND SOLD QUANTITY BY ORIGIN
 5% increase in total quarterly harvest	SUPPLY DEVELOPMENT	Q4 2021	Q4 2020	Change %
 3% increase in supply to the markets,	Norway	401	365	9.9 %
taking inventory movements into account	UK	36	41	-10.8 %
	Faroes	30	21	48.2 %
	Iceland	10	10	6.6 %
	Ireland	3	3	3.0 %
 10% increase in European harvest	Total Europe	481	438	9.6 %
 Norway close to license capacity	Chile	182	196	-7.3 %
	Canada	31	31	1.2 %
- Causing accelerated harvest	USA	4	4	6.5 %
 Drop in UK harvest due to biological challenges	Total Americas	217	231	-5.9 %
	Other	34	30	12.5 %
	Total (Harvested quantity)	731	699	4.6 %
 6% decrease in American harvest	Inventory movements	-28	-17	64.0 %
	Total (Sold Quantity)	703	682	3.1 %
 Significant decrease in Chile
- Due to low smolt release

4% increase in the EU

• Low compared to 10% harvest growth in Europe
• EU consumed larger than normal share last year due to Covid-19

5% increase in the US

• High compared to 6% reduction in American harvest
• Sticky retail demand
• Food service recovering from Covid-19
• US market given priority by Chile
• Increase import from Europe

High growth in China

Very low consumption in 2020

Large drop in Russia

Reduced supply from Chile

Salmon markets, sold quantity (head on gutted - HOG)
	Estimated volumes		Q4 comparison	Estimated volumes		FY comparison
Markets	Q4 2021E	Q4 2020	Volume %	FY 2021E	FY 2020	Volume	%
EU+UK	323 800	311 700	12 100 4 %	1 156 600	1 071 100	85 500	8 %
USA	139 800	133 000	6 800 5 %	570 200	504 700	65 500	13 %
Russia	26 900	29 000	-2 100 -7 %	85 700	79 200	6 500	8 %
Japan	18 700	19 100	-400 -2 %	64 700	64 000	700	1 %
Greater China	27 800	21 300	6 500 31 %	105 100	101 700	3 400	3 %
ASEAN	22 800	21 600	1 200 6 %	81 400	73 100	8 300	11 %
Latin America	45 000	52 100	-7 100 -14 %	184 100	168 700	15 400	9 %
Ukraine	10 600	9 500	1 100 12 %	32 400	23 600	8 800	37 %
Other markets	87 600	84 600	3 000 4 %	314 000	298 800	15 200	5 %

Comments:

EU+UK incl. estimates for both European Union (Post-Brexit) & United Kingdom (England, Scotland, Wales & Northern Ireland). Greater China = China / Hong Kong / Taiwan (incl. estimated re-export from Vietnam & Thailand) ASEAN = Association of Southeast Asian Nations (estimated re-export from Vietnam & Thailand subtracted) Latin America (including both Mexico and Caribbean + domestic consumption in Chile) All figures above are in tonnes hog, and are rounded to the nearest 100 tonnes.

SHORT TERM SUPPLY OUTLOOK

• -

Source: Kontali

OUTLOOK

Market

• Global harvest increased 4.6% in Q4 2021 vs Q4 2020
• Global supply for 2022 expected to grow moderately: - decrease 7% in H1 - increase 1% for FY 2022
  -
  -

Harvest: Farming

• In 2021, Bakkafrost harvested HOG 97,900 tonnes (Faroe Islands: 67,200 and Scotland: 29,700)
• In 2022, Bakkafrost expects to harvest HOG 103,000 tonnes (Faroe Islands: 68,000 and Scotland: 35,000)
• Smolt release:
  • In 2021, Bakkafrost released 25.5 million smolts (Faroe Islands: 14.4 and Scotland: 11.1)
  • In 2022, Bakkafrost expects to release 25.7 million smolts (Faroe Islands: 14.9 and Scotland: 10.8)

Contracts

For 2022, Bakkafrost has signed contracts for around 32% of the total expected harvest volumes in the Faroe Islands and Scotland Feed sales are expected to be around 130,000 tonnes in Fishmeal and fish oil volumes are expected to be on similar level in 2022 as 2021 Headlines from Capital Markets Day on 14-15 September

Fishmeal, Oil and Feed

- 2022

Business development / Investment programme

• 2021:
  • During 2022-2026, DKK 6.2 billion will be invested in the Faroe Islands and Scotland
  • Improve the operation in Scotland
  • Pursue sustainable organic growth in the Faroe Islands and Scotland

SUMMARY OF Q4 2021 SALES SEGMENT INFORMATION FINANCIALS & ESG MARKETS & OUTLOOK

APPENDIX

Weststrome, Scotland

• The Strond hatchery has significantly increased smolt capacity
• Large smolts grow strongly after release
• Very low feed conversion rate

Glyvradal expansion (2024) 0,3 => 3.8m smolt @500g Ónavík (2025) 2.4m smolt @500g

Significant increase in smolt capacity in Scotland

Total consent has increased by 11.6% (7,742 tonnes) since the acquisition in Q4 2019

North: 24 sites / 44,415 tonnes consent

• Uist, 5 sites
• Sky & mainland, 6 sites
• Loch Roag, 7 sites
• East Lewis & Harris, 6 sites

South: 20 sites / 30,350 tonnes consent

• Mull and Gigha, 6 sites
• Loch Striven and Arran, 4 sites
• Loch Fyne, 10 sites

SCOTLAND – STRATEGIC RATIONALE

• 1. Provides access to the attractive Scottish farming region
  2. Niche and differentiated region
  3. High quality salmon from Scottish Provenance priced at a premium
• 1. Creating a differentiated global leader in premium salmon
  2. Exposure to two geographies, Faroe Islands and Scotland
  3. Premium brands West Strome,Scotland

SCOTLAND – STRATEGIC RATIONALE

3. Potential for significant improvement

• Scottish Salmon profitability to improve over a five-year period through transfer of best practices
• Synergies
• Targeted investment programmes

4. Financially attractive

Acquiring the business at a reasonable value, multiple to the sector and Bakkafrost

Faroe Islands:

• Hatchery capacity (+18m smolt at 500g in 2026) • Processing plant • Treatment vessels
  -

Scotland:

-

-

• Marine Site development Planned investment profile is subject to necessary agreements being secured with responsible authorities

Planned investment profile 2022-2026 (DKK 1,000)

Marine Freshwater & Broodstock FOF Other Processing FSV

• Value chain syncronised at 180kt capacity in 2026
• Extra capacity as "insurance" & flexibility and for growth:
  -
  -
• with biological issues) • Primary processing (market flexibility)
  -
  -
  -

2026 2022 2018

2022-2026 Capex of DKK 6.2 bn builds 180,000t capacity by 2026

MARKETS & SALES TOTAL SALES TO NORTH AMERICA, ASIA AND EASTERN EUROPE INCREASED – WESTERN EUROPE DECREASED Q4 2020 Q4 2021

Western Europe Sales & volume Total sales of

Harvest volumes used in the VAP*

Sales & volume	Total sales of salmon by markets		Q4 2021			Q4 2020			YTD 2021			YTD 2020
Q4 2020 Q4 2021		FO	SCT	Total	FO	SCT	Total	FO	SCT	Total	FO	SCT	Total
	Western Europe	56%	97%	63%	59%	96%	74%	53%	81%	61%	57%	89%	69%
Western Europe	North America	23%	2%	19%	21%	3%	14%	23%	10%	19%	24%	6%	17%
74% 63%	Asia	10%	1%	8%	8%	0%	5%	12%	9%	11%	13%	1%	8%
	Eastern Europe	11%	0%	10%	12%	0%	7%	12%	0%	9%	6%	0%	4%
	Rest of world	0%	0%	0%	0%	1%	1%	0%	0%	0%	0%	4%	2%
North America	Fresh salmon only	Q4 2021		Q4 2020				YTD 2021			YTD 2020
19% 14%	by markets	FO	SCT	Total	FO	SCT	Total	FO	SCT	Total	FO	SCT	Total
	Western Europe	51%	98%	60%	38%	96%	70%	45%	78%	55%	31%	90%	64%
	North America						16%	27%	12%	22%	38%	6%	20%
		24%	0%	20%	32%	3%
	Asia	14%	1%	11%	13%	0%	6%	17%	10%	15%	19%	1%	9%
Asia 8% 5%	Eastern Europe	11%	1%	9%	17%	0%	8%	11%	0%	8%	12%	0%	5%

DEVELOPMENT IN SUPPLY AND SOLD QUANTITY BY ORIGIN

-

DEVELOPMENT IN SUPPLY AND SOLD QUANTITY BY ORIGIN
Expected supply growth in 2022	Global Supply of Atlantic Salmon (head on gutted - HOG)
	Norway	2018 1.129	2019 1.198	2020 1.223	2021E 1.378	2022E 1.389
 1% growth in Global supply	UK	137	171	160	180	179
	Ireland	13	14	14	14	14
 European supply unchanged	Iceland	12	22	27	35	41
	Faroes	64	78	72	96	88
 1% growth in supply from Americas	Total Europe	1.355	1.484	1.496	1.703	1.711
	Chile	598	601	657	638	663
	Canada	131	124	123	127	116
	USA	17	19	18	17	13
	Total Americas	747	744	798	783	792
	Others	65	71	91	109	117
	Total (Sold Quantity)	2.167	2.299	2.385	2.595	2.619
	Supply growth - Global	6%	6%	4%	9%	1%
	Supply growth - Europe	1%	10%	1%	14%	0%
	Supply growth - Americas	18%	0%	7%	-2%	1%

Comments:

All figures are in hog-equivalents and thousand tonnes.

Figures represents sold quantity of Atlantic Salmon from each producing country

Source: Kontali

Q4 2021 MARKET ENVIRONMENT

• 35% up vs. Q4 2020 - 2% up vs. Q3 2021

• -
  -
  -

• -
  -

MARKET CURRENCY			Q4 2021 Q4 2020 Change %
Nasdaq Norway (EUR)	6.08	4.04	50.4 %
UB North East US 14-16lb HOG (USD per kg)	10.46	7.75	35.1 %
DKK
Nasdaq Norway	45.22	30.09	Q4 2021 Q4 Q4 2020 Change % 50.3 %

PRICE NORWAY

USD

Source: Kontali

BAKKAFROST / Q4 2021 PRESENTATION Page 43

DEVELOPMENT PER QUARTER

DEVELOPMENT PER QUARTER
	Q4	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4
(mDKK)	2019	2020	2020	2020	2020	2021	2021	2021	2021
Revenue	1,605	1,255	1,134	1,123	1,139	1,176	1,618	1,272	1,488
Operational EBIT	415	248	182	103	89	224	407	71	120
Profit/Loss	220	-148	472	177	-38	408	428	131	-3
Harvest FO (tgw)	17,930	10,667	12,941	11,135	15,957	14,025	17,561	14,937	20,694
Harvest SCT (tgw)	7,925	7,268	7,937	10,476	9,305	7,002	10,634	6,914	5,122
Op. EBIT Farming FO & VAP (NOK/kg)	28.25	25.10	15.34	15.24	12.92	21.48	26.93	13.59	20.11
	25.49	26.51	9.79	12.43	5.66	14.10	26.52	12.56	18.29
Op. EBIT Farming FO (NOK/kg)		-2.97	11.06	5.84	17.31	18.56	1.53	2.89	5.71
Op. EBIT VAP (NOK/kg)	11.72
Op. EBIT Farming SCT (NOK/kg)	3.09	5.70	5.36	-3.89	-8.41	-1.44	6.75	-16.32	-55.95
Equity ratio	65%	66%	69%	68%	66%	68%	67%	67%	64%

Dividend per share in % of adj. EPS*

Dividend per share (DKK)***

Dividend

• The Board proposes dividend for 2021 of DKK 5.14 per share to be paid out in Q2 2022. Competitive return through: Dividends
• Dividend payment equals 50% of adjusted EPS.

Dividend policy

• -
  -
• Generally, Bakkafrost shall pay dividend to its shareholders
• A long-term goal is that 30–50% of adjusted EPS shall be paid out as dividend

* Adjusted EPS is EPS adjusted for fair value adjustments of biomass and onerous contracts provisions

** Dividend and acquisition of treasury shares

*** Dividend is paid out the following year

Increase in the value of the equity 99% 19% 40% 49%* 49% 46% 50% 50% 50% 0% 59% 50% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

FAROE ISLANDS

• 53,664 inhabitants (Jan 2022)
• 18 islands 1,387 km2
• Home rule within the Kingdom of Denmark Part of the Danish monetary union, Danish krone (DKK) Total working force (2021): 31,968

Key sectors (% of wage earners, M12 2021)

• Service/public admin.: ~30%
• Private service: ~30%
• Construction: ~14%
• Fish & aquaculture: ~26%
• Unemployment rate (Nov 2021): 0.9%
• GDP: DKK ~20.9bn (2019)
• GDP/capita: DKK 403,300 (2019)
  • (Norway: DKK 505,961) (2019)

Total export of fish products (2020)

DKK 7,719 million - whereof farmed fish accounts for 43%

TAXES

• Total percent of GDP: 43.3% (2019)
• Corporate tax: 18%
• Farming revenue tax: 5.0% of revenues after 1 January 2019 The tax is applied as follows (IMP ~ International market price):
  • If the IMP is above DKK 36 per kilo, the tax is 5%
  • If the IMP is between DKK 32 and DKK 36 per kilo, the tax is 2.5%
  • If the IMP is lower than DKK 32 per kilo, the tax is 0.5%

Restriction on single foreign ownership of 20% in farming companies

One company may max. control 50% of the licences in the Faroe Islands

BAKKAFROST / Q4 2021 PRESENTATION Page 48

BAKKAFROST / Q4 2021 PRESENTATION Page 49