#1ISI ICELAND SEAFOOD Q1 2023 Presentation to Investors and Analysts ווד E#2213 Olive as S ICELAND SEAFOOD <-415 ISL 3 ISI CH ISI CELAND SEAFOOD favorite seafood aland Seafood S EEROD ICELAND ISI SEAFOOD SEAFOOD 03 03 GREA GRI VISSCHER IST STAND GO WE ARE ICELAND SEAFOOD 09 LEROY ALMON I OUR BRANDS LEBOY find trut AURORA オーロラ 2 ISI#3ICELAND ISI SEAFOOD WE SELL OVER 1.000.000 MEALS A DAY Our favourite seafood is Iceland Seafood 3#4ISI Q1 2023 ICELAND SEAFOOD Presentation to Investors and Analysts Iceland Seafood at a glance Dol €420+ m €12.4 m Revenues in 2022 Normalised PBT in 2022 516 28.0% Equity ratio at 31.12.2022 10 Businesses 45 Countries we trade 6 Value-added factories 72.000 MT Of products sold 760+ Employees at 31.12.2022 1.0+ m Meals sold every day G 5000+ Customers IS Iceland IS Germany IS France ISLANDIA ICELANDIC SEAFOOD ICELANDIC SEAFOOD ICELANDIC SEAFOOD Oceanpath 20 Shoed Secked Salmon NOLANS Quality Seafoods End. 1913 IS UK (asset held for sale) IS Ibérica ISLANDIA seastar ICELANDIC SEAFOOD Ahumados Domínguez ESPECIAL SASION SALMON AHUMADO Achernar AHUMADOS DOMINGUEZ seastar#5ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts Inflation and high volatility continued to impact Iceland Seafood's operation negatively in Q1 22 A more balanced external environment is on the horizon. • • . Price of key groundfish species has remained high but stable at the beginning of 2023. Prices of various other species (e.g. Argentinean shrimp) have declined, Steep price increases of salmon severely impacted the results of Iceland Seafood's operation in Ireland and Ahumados Dominguez in Spain during Q1. Prices have come down in Q2 and are expected to ease further with increased supply in the coming months, Customers in retail and food service customers have pushed through significant cost increases to consumers. These price increases have negatively impacted demand, at least in the short term, Price volatility, higher financing and storage costs make it more costly and risky to keep inventories. This improves Iceland Seafood's competitiveness in areas where our market position and access to resource is strong, Prices of some essential input factors have eased and stabilized during the last months. A more balanced external environment is on the horizon after a highly volatile and disruptive period since the beginning of Covid-19, Salmon prices have topped and will ease considerably in the coming months according to current forward prices € 14,00 € 12,00 € 10,00 € 8,00 € 6,00 € 4,00 Salmon Pricing • It is likely that value-added production will move closer to consumers. Processing in Europe will become more competitive, where automation and investments in production efficiencies will play a key role. € 2,00 € - The operation of Iceland Seafood is well-balanced and in good position with its solid sourcing base and value-added operations close to key markets. LO 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 Source:www.fishpool.eu 2021 2022 2023 ....2023 Forecast#6ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts Olesa de Montserrat Esparreguera Viladecavalls ICELAND 1958 C Cabassa Ull strell Ca n'Amat ISI SEAFOOD C-55 BV-1201 C-1414 A-2 8-40 Sta. Maria Can Vilalba BV-1202 Ca n'Amat Sant Esteve Sesrovires in Juan amora B-224 Abrera BV-1201 AP-7 Les Carpes E-90 C-243 Castellví de Rosanes Gelida C-24 Safari BV-2425 Muntanyes d'Ordal Je lls C-44 CAN PALET N-150 C243 C-58 CAN PARELLADA Les Fonts G-16 B-151 B-151 A-2 Castellbisbal Martorell BV 501 C-1413a BP-1503 Ponnya C-1413 CAN RULL Sabadell Sant Quirze del Vallès B-142 Santa Perpètua AP-7 8-140 de Mogoda Santiga La Florida Universidad Autónoma C-58 de Barcelona Serraparera Ripollet Bellaterra BV-1414 Rubi Cerdanyola Sant Cugat -30 del Vallès BP-1413 Montflorit Centre Comercial 27,6 Km 23 min A7B-150 Sant Andre de la Barca C-1413 El Papiol Ca n'Ermengol Can Rigol Can Coll Corbera de Llobregat Fontpineda La Palma de Cervelló N-340 Vallirana Cervelló Mira-sol AP-7 Sant Cugat C-16 Valldoreix del Vallès BV-1462 La Colonia Montserrat BV-1462 Parque Natural de la Sierra de Collserola La Llagost Moncada y Reixach BV-5001 C-3 BV-1415 Parque del C-33 C-58 Laberinto Sta de Horta ASOM Multiespai HORTA-GUINARDÓ de ( San Bartolome C-33 de la Cuadra Parc d'atraccions lejá BV-1468 Tibidabo Park Güell Molins de Rei SARRIA Palacio Real de Pedralbes BV-242 D Sant Vicenç N-340 Can Pi Sant Just Desvern B-23 A-2 dels Horts BV-2005 BV-2005 Torrelles de Llobregat Colonia Güell Sant Climent Sant Boi de BV-2004 Llobregat Sant Joan Despi Cornellà de Llobregat GRACIA 340 Poble Espanyol L'Hospitalet de Llobregat -20 -10 Dan Andal -10 Basílica de la Sagrada Família DISTRITO DEL ENSANCHE Barcelona DISTRITO DE SANTS-MONTJUÏC Castillo de Mon Livoma Barcelona ES Ongoing projects to further improve the successful operations in S-Europe Facility extension of IS Ibérica completed. It will generate increased throughput, more flexibility in packaging options and rationalizes the production. • • Increased capacity in skin pack and vacuum chain pack for retail, Improved efficiency in cutting and packing of light salted fillets. Straight-line process from cutting to final pack, Increased storage and service capacity, in addition to the extension of the production. An agreement was signed with a respected logistics company to build a new cold store in Barcelona Currently finished goods stock of IS Ibérica is stored in 5 different cold stores in Spain. The new cold store will be able to keep all our stock in one place, raw material and finished goods, and is located 23 min away from the factory. This will release significant savings in transport and logistic • costs, now estimated at €0.5m per annum, This is the final step in integration following the merger of IS Spain and Icelandic Iberica in 2018, a step that has taken longer than expected due to complexities caused by Covid-19. Construction of the cold store is expected to take 18-24 months. It will therefore start generating savings in 2025. Steps were taken to integrate Ahumados Domínguez's operation with IS Ibérica. • Management team of IS Ibérica supporting the relevant functions within Ahumados Domínguez, Focus on improved efficiency in Ahumados. Domínguez operations and increased cooperation between the two entities in different areas, which both entities will benefit from, Leveraging on the experience from successful processes after the merger of IS Spain and Icelandic. Ibérica in 2018 and Elba and IS Ibérica in 2021-22. 6#7ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts EBIT bridge IS UK 2022-2023 (£'000) (4.0) Significant steps taken towards improved operation of IS UK The losses in Q1 were in line with expectations. A negative market trend, where volume has declined due to significant consumer price increases, is impacting Q2 results. Key achievements have come through in recent months in accordance with plan: The process of recovering inflationary costs has come through as planned, Improved production efficiencies and throughput where new equipment was installed at the beginning of the year and is working well, Various input costs have stabilised and have been fixed for the remainder of the year, New retail business coming in slightly later than planned. Retail selling price. increases impact the volume of both. existing and incoming businesses. Retail selling price has increased significantly in the first four months of the year, up to 40% in some instances, 7 • Demand has decreased, and consumers are switching from fish to other proteins, especially after increases in March/April. It needs to be seen if the impacts are temporary or long-term, This is negatively impacting IS UK sales volumes. and will delay the point where positive cash flow will be reached, Progress is being made with current and new customers on significant new business wins. Discussions and tender processes are expected to bear fruit in the summertime, with launches starting in October. • Revised management plan assumes a positive EBIT from Q4 onwards but negative PBT of £4.0- 4.5m for the year, IS UK is still classified as an asset held for sale. As before, Iceland Seafood intends to support further consolidation in the UK processing industry. Cost New retail New Reduced EBIT 2022 recovery business equipment costs Volume decline New business wins Q4 3+9 Forecast • 1,0 -1,0 -3,0 -5,0 -7,0 -9,0 10.9 -11,0 4.1 0.3 2.5 3.1 (4.2) 1.0#8ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts ESG matters play a more significant role as we advance. Recycling waste is a key project for Iceland Seafood 12 RESPONSIBLE CONSUMPTION AND PRODUCTION 13 CLIMATE ACTION CO لام Recycled Waste Today 19%/69% 2026 60%/90% Today our recycling rate is 19% overall and 69% if we exclude the organic waste from Achernar. Our target for 2026 is that overall recycling rate will reach 60% and 90% if we exclude the organic waste from Achernar. Quantitative targets have been set for Key Performance Indicators (KPIs) - Published in the 2022 ESG report. One contributor to reaching our waste target for 2026 is our Waste Treatment Plant in Argentina. Achernar generates over 70% of our total waste - mostly organic waste. The treatment plant is designed with the circular economy in mind, aiming at upcycling waste for different value-added production processes. The solid waste, e.g., shrimps' heads and shells of shrimps, can be processed into shrimp flour and oil for animal feed. Ongoing project with YPF AGRO and Universidad Politécnica Nacional regarding developing fertilizer from the sludge. The liquid waste goes through specific filtration steps ending in a lagoon where the water can be reclaimed for various industrial processes. 8#9ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts Installation of solar cells driving 9% reduction in scope 1 and 2 CO2 emission for the Group · . Total investment in Spain €1m Annual reduction of CO2 emissions by around 350 MT (Considering the average grid mix in Spain) Share of renewables within the Group has increased from 47% to 54% - getting us closer to our 2026 target 7 AFFORDABLE AND CLEAN ENERGY 9 INDUSTRY, INNOVATION AND INFRASTRUCTURE Ahumados Domínguez Installation completed, 412 kWp installed, generating around 27% of the need in the first week of May. Estimated annual savings of €51k, reduction of annual CO2 emission of about 150MT. Renewable energy Today 47% 2026 80% IS Ibérica Installation completed, 388 kWp installed, generating around 37% of the need in the first week in May. Estimated annual savings of over €130k, reduction of annual CO2 emission of about 190MT. 9 Oceanpath Being evaluated. It would cover 15-18% of the energy needed. IS UK In place when the site was bought in 2020 and produced 150 MWh in 2022.#10ICELAND ISI SEAFOOD Q1 2023 RESULTS PRESENTATION TO INVESTORS AND ANALYSTS Financial performance#11ISI ICELAND SEAFOOD Q1 2023 Presentation to Investors and Analysts Strong sales of IS Iberica in Q1. The steep increase in salmon prices negatively impacted profit margins of the division Q1 22 € m's Q1 23 Sales 66.0 54.1 Net margin 6.4 7.3 Normalised EBITDA 1.8 3.2 Normalised PBT* 1.0 2.6 *Normalised PBT represents Profits before tax before allowing for significant items. > VA S-Europe > VA N-Europe > Sales & Distribution 22% sales growth driven by Normalised PBT of €1.0m, strong sales in March • • • Significant fluctuations in sales since the back end of 2022, March was a record sales month for IS Ibérica, driven by strong sales of Argentinean shrimp and Cod products in the weeks before Easter (the lent). Sales of Ahumados Domínguez were up 16% from Q1 22, driven by price increases, Sales have declined in the weeks. post-Easter, partly explained by seasonality. The outlook for tourism season in Spain is good, which should positively impact sales, down €1.6m from Q1 2022 • Overall good results of IS Ibérica, driven by strong sales, especially in March. Margins were lower than at the same time last year due to cost increases and challenging market conditions, Production of shrimp at Achernar was 1,728MT compared to 1,001MT in Q1 last year, but margins were negatively impacted by difficult market situation and price decreases. The squid season was disappointing due to low catches, Q1 was difficult for Ahumados Domínguez due to steep increases in salmon prices. Steps are being taken to further integrate the operation of Ahumados Dominguez with IS Ibérica, which will reduce costs and improve efficiency. 11#12ISI Q1 2023 ICELAND SEAFOOD Presentation to Investors and Analysts Results in Ireland were severely impacted. by a steep increases in salmon prices > VA S-Europe > VA N-Europe > Sales & Distribution Q1 22 € m's Q1 23 Sales 13.1 12.6 Net margin 1.2 0.9 Normalised EBITDA 0.1 (0.1) Normalised PBT* (0.2) (0.4) *Normalised PBT represents Profits before tax before allowing for significant items. Sales were slightly up on Q1 22 in value terms but lower in volume Steep price increases overall have negatively impacted sales volumes of the Irish operation, Overall Grocery inflation in Ireland of • c.a. 15%. Price increases offset lower volumes' impact, leading to slight growth in sales in Euro terms. Results in Q1 were slightly better than the same period last year. • . Price of salmon seems to have topped. in March 2023, whilst it reached the top at the beginning of May 2022, The steep price increases have caused similar challenges as in the same period last year. It takes time to push cost increases through to customers. Whitefish sourcing improved in Q1 compared to the back end of last year. Availability was better, and prices have stabilised, Loss before tax in the period of €0.2m was €0.2m better than the same time last year, Outlook for the remainder of the year is better, as salmon prices are expected to come down and stabilise. 12#132 4 ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts Excellent start of the year for S&D division, helped by good capelin season in Iceland > VA S-Europe > VA N-Europe > Sales & Distribution € m's Q1 23 Q1 22 Sales 48.8 40.4 Net margin 2.2 2.1 Normalised EBITDA 1.0 0.9 Normalised PBT* 1.0 0.9 *Normalised PBT represents Profits before tax before allowing for significant items. 16 14 12 10 Frozen at Sea fillets (€/kg) Series2 Series1 Fresh fish (€/kg) Series2 Series3 Series1 20 18 16 14 12 10 Series3 Sales growth of 21% from same period in 2022, • . Strong sales of IS Iceland in the beginning of the year, driven by good sales of pelagic. Good capelin season and improved sales into E- Europe helped the sales growth, Sales of Frozen at Sea products also increased by 10% from same time last year, driven by increased prices, In France and Germany, sales were slightly down on prior year. Price increases have impacted demand in these markets, Normalised PBT of €1.0m, up €0.1m from 2022 • • Overall percentage margins have decreased slightly from same time last year, but Euro net margin is up €0.1m in total, Margins and profitability in France and Germany slightly down on Q1 22, impacted by decreased demand, Operations and finance costs are in line with prior year, resulting in Normalised PBT of €1.0m which was €0.1m up on last year. 00 8 6 АА May лупр Sept ΛΟΝ Jan March May Kins Sept Nov Jan March May An Sept ΛΟΝ Jan March 2 6 4 Aug 80 Oct Dec Feb April June Aug Oct Dec Feb April June Aug Oct Dec Feb#14ISI ICELAND SEAFOOD Q1 2023 Presentation to Investors and Analysts € m's Group results show a normalised PBT of €1.0m. Bottom line results impacted by €2.5m loss from discontinued operation Q1 23 Q1 22 Sales 123.1 99.9 Net margin 9.8 10.4 Normalised EBITDA 2.9 3.9 Normalised PBT* 1.0 2.6 Net Loss (2.2) (0.8) *Normalised PBT represents Profits before tax before allowing for significant items and discontinued operations. **Ahumados Dominguez in the figures from Q4 21 Group sales in Q1 23 of €123.1m, up 23% on Q1 22 . March was a record sales month for both IS Iberica and IS Iceland, after slower sales at the beginning of the year, Strong sales of Argentinean shrimp and cod products in Spain in the weeks before Easter in Spain, Sales of IS UK (discontinued operation) were in line with budget in the period, Normalised PBT of €1.0m was down €1.6m from Q1 22 . • Reduction in net margin despite sales growth. Cost increases and challenging. market conditions are putting pressure on margins, Operating costs are €0.4m higher than Q1 22, driven by overall inflationary cost increases, • Interest costs are €0.6m higher than Q1 22, but due to positive movement in FX, the overall finance cost of €0.9m is €0.3m up on same period last year, Loss from discontinued operation in Q1 23 of €2.5m was in line with budget. Revised management forecast expecting a delay in the turnaround of IS UK, as demand has decreased following recent retail sales price increases. Positive EBIT level expected from Q4 23, • Normalised PBT of €1.0m is down €1.6m from same time last year. • After taking into account income tax expenses and loss from discontinued operation, net loss in the period amounts. to €2.2m, compared to €0.8m loss in Q1 22 14#15ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts Receivables €17.1m higher than at the beginning of the year, driven by increased sales in March € m's Fixed assets Leased assets Intangible assets 31.3.2023 31.12.2022 Variance € m's 31.3.2023 31.12.2022 Variance 29.1 27.6 1.5 Total Equity 78.7 81.4 (2.7) 1.7 1.7 0.0 Thereof minority interest 1.8 2.0 (0.2) 56.6 56.7 (0.1) Long term borrowings 33.7 32.5 1.2 Deferred tax/other 2.3 2.5 (0.2) Lease liabilities 1.4 1.4 0.0 Non-Current Assets 89.7 88.5 1.2 Obligations/Deferred tax 3.2 3.3 (0.1) Inventory 82.0 86.0 (4.0) Non-Current Liabilities 38.3 37.2 1.1 Trade and other receivables 79.6 62.5 17.1 Short term borrowings 81.1 72.1 9.0 Other assets 10.1 9.7 0.4 Trade and other payables 55.5 52.5 3.0 Bank deposits 8.9 11.1 (2.2) Other current liabilities. 10.1 10.7 (0.6) Current Assets 180.6 169.3 11.3 Current liabilities 146.7 135.3 11.4 Assets classified as held for sale Total Assets 35.0 32.5 290.3 2.5 15.0 Liab. associated w. assets held for sale Total Equity and Liabilities 41.6 36.3 5.3 305.3 290.3 15.0 Total assets of €305.3m, up €15m from the year beginning, driven by an increase in receivables. The size of balance sheet is at a high point at end of March, will reduce in Q2, Value of inventories €4.0m lower than year beginning. Stocks in the VA S-Europe division decreased by €4.8m in Q1 23, Accounts receivables increased by €17.1m from the year 305.3 beginning, driven by increased sales, especially in the S-Europe division. At the end of the period, 87% of Group receivables are insured, Two offerings of 6 months' bills for ISK 2.120 million in total outstanding at the end of March. Net debt, excluding IS UK, of €106,0m at the end of March increased by €12.4m from the year beginning, driven by the increase in working capital. Funding headroom of €26.3m at the end of March, including cash, Total equity of €78.7m and an equity ratio of 25.8% at the end of March compared to 28.0% at the end of 2022. 15#16ISI ICELAND SEAFOOD RAK 8 18 10 18°N YWWW YOU SEK S Q1 2023 RESULTS PRESENTATION TO INVESTORS AND ANALYSTS Outlook 111 111 11 Hofn seaport#17. • ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts Outlook range for Normalised PBT revised to €7.5- 11.5m, excluding impacts from IS UK operation As the IS UK operation is classified as discontinued, the results from that operation have been excluded from both historical numbers and outlook range, Prices of seafood remains high and have increased more than other animal proteins. This has decreased demand reflected in lower volumes. After strong sales in S-Europe in March, demand dropped in April partly due to seasonality. Outlook for the coming tourism season in Spain is good, which should positively impact demand, Salmon prices have come down after a sharp increase in Q1 23 and based on forward prices further decrease should come through in the coming months. Performance of the operation in Ireland and Ahumados Domínguez in Spain is expected to be back to normal levels from May onwards, After a disruptive period during the last three years, it is likely that production will move closer to home. Iceland Seafood is in an excellent position to benefit from this development with its value-added production facilities in Europe, Investments in automation and energy-saving projects are being implemented to address the difficult labour market and improve efficiency. These investments have a short payback times, Outlook range for Normalised PBT of €7.5-11.5m for 2023; the higher end assumes that economic conditions will improve in the year's second half, leading to improved sales and margins, Results for IS UK are excluded from Outlook. A negative market trend, where volume has declined due to a significant consumer price increase, will impact Q2-Q3 results. Revised management forecast estimates a loss from discontinued operation in the range of £4.0m-4.5m for 2023 (£2.0m adverse from previous forecast), but positive EBIT level from Q4 onwards. Group results are influenced by various external factors such as: • Fishing and quota changes, as well as price development and the ability to pass on price changes in the value chain, Changes in underlying global economic conditions, currency rates, import duty rates, access and cost of labour, competition and consumer behaviours, Political uncertainty and geopolitical turmoil. The current war between Russia and Ukraine and further sanctions and tariffs on Russian products, with repercussions, 2,4 2,0 2,0 0,4 2014 2015 2016 2017 4,8 2018 9,9 Full year Normalised PBT* (m's) 19,5 12,4 11,5 7,5 7,5 2019 2020 2021 2022 2023 *Normalised PBT excluding UK operation for the whole period With recent investments and projects that will increase efficiency and drive profit growth, the Group is in a solid position to reach its target of a Normalised PBT of over €20m when the external environment stabilizes. 17#18ICELAND ISI SEAFOOD Q1 2023 Presentation to Investors and Analysts Forward Looking Statements Disclaimer This presentation is furnished and intended for European market participants and should be viewed in that manner. Any potential forward looking statements contained in this presentation are reflective of managements current views on future events and performance, whilst the views are based on positions that management believes are reasonable there is no assurances that these events and views will be achieved. Forward looking views naturally involve uncertainties and risk and consequently actual results may differ to the statements or views. expressed. 18#19ISI ICELAND SEAFOOD WE ARE ICELAND SEAFOOD www.icelandseafood.com