Nordic Aqua Partners A/S : 2023 Q2 NOAP Report

Q2 2023

REPORT

Nordic Aqua Partners A/S

Hundegade 1, 6760 Ribe, Denmark Business Registration No. 38 18 30 01

Q2 2023

Contents

Nordic Aqua Partners A/S

Management's Review

Nordic Aqua in Brief	3
Highlights in the First Half Year	4
Key Figures	5
Letter from the CEO	6
About Nordic Aqua	7
Project Review	12
Financial Review	22
Organisational Update	24
Transactions with Related Parties	25
Subsequent Events	26
Share information	27
Market	28
Outlook	29
Risks and uncertainties	30
Responsibility statement	31

Interim Financial Statements

Consolidated Statement of Comprehensive Income 33

Statements of Financial Position	34
Statement of Cash Flow	35
Statement of Changes in Equity	36

Selected notes to the Quarterly Financial Statements 37

Parent Company Details	41

Hundegade 1, 6760 Ribe, Denmark Business Registration No. 38 18 30 01

Nordic Aqua in Brief

Q2 2023

3

Beijing

Shanghai

Gaotang

1. million consumers

1. hours

100 million consumers 5 hours

Nordic Aqua is a Nordic land-based salmon farming company, using cutting-edge technology and expertise to set up the first fully integrated and commercially scaled Recirculating Aquaculture System ("RAS") farm for Atlantic salmon located in Ningbo, China. Construction of Stage 1 started in Q2 2021, with the first inlay of Atlantic salmon eggs made in March 2022. With the first harvest scheduled in Q1 2024, Nordic Aqua will be the first local producer of Atlantic salmon to the Chinese market, positioned to deliver fresh and locally farmed Atlantic salmon to about 100 million of China's wealthiest consumers within 5 hours and 1.4 billion consumers within 24 hours.

check Dense population and high purchasing power in cities nearby.

check High growth potential for premium quality Atlantic salmon driven by rising middle-class in China.

Stage 1 is fully financed, and will be completed within Q1 2024, with an annual capacity of 4,000 tonnes of Atlantic salmon

Stage 2, adding another 4,000 tons annual capacity is also fully financed when cash from operations in 2024 and 2025 is included, and when completed in 2025 as scheduled, the total annual capacity will be 8,000 tonnes

Existing plan for 20,000 tonnes and an ambition to reach 50,000 tonnes, including replications at other locations

Uniquely located in greater Shanghai area, with access to about 100 million customers within 5 hours

World-class RAS team providing the best land-based salmon farming experience and know-how plus a management team

Hong Kong

check Well established infrastructure in China enables fast and sustainable transportation of Atlantic Salmon to key markets.

with extensive experience in building and operating businesses in China

Dedicated support from local authorities and leading industry players

/ HIGHLIGHTS IN Q2 2023

Q2 2023 4

Highlights

• Project development in line with time and budget
• CAPEX in Q2 DKK 29 million
• Good biological performance in all batches. First batch of fish reached average weight of 900 g by mid August 2023
• Continued development of organisation, strengthening competence and capacity within farming operations and first hirings within sales
• Available liquidity of DKK 364 million as of 30.06.2023, including cash and undrawn credit facilities
• • Loan, Ekportfinansiering Norge: 75 million
  • Working Capital, Bank of Ningbo: 33 million
  • Cash: 256 million
• Changed to Norwegian domicile from mid-August 2023

/ KEY FIGURES

Q2 2023

5

Key Figures

	(Figures in DKK 1 000)	Q2 2023	Q2 2022	H1 2023	H1 2022
	Other operating income	622	136	1,033	175
	EBITDA	-8,518	-6,734	-15,534	-11,447
	EBIT	-9,235	-6,856	-16,453	-11,679
	Profit / (loss) before taxes	-23,853	-3,046	-34,799	-9,824
	Profit/loss for the period	-23,853	-3,046	-34,799	-9,824
	Cash flow from investment activities	-24,841	-54,929	-75,736	-78,162
	Cash flow from financing activities	110,686	0	306,079	0
	Payments for fixed assets	-24,841	-54,929	-75,736	-78,162
	Net cash flow	46,450	-48,889	172,387	-78,782
	Available cash	256,127	131,755	256,127	131,755
	Total assets	639,521	407,894	639,521	407,894
	Equity	509,921	394,618	509,921	394,618
	Equity ratio*	79.73	96.7	79.73	96.7

*Equity ratio = Equity / Total assets x 100