Bakkafrost U/Adr

by Rein Jakobsen, which will take over the presentation in a while. So the agenda this morning we will come to after paying a short notice to our disclaimer on forward-looking statements. You can read it entirely. It's included in the published version of the presentation. So the agenda is the usual agenda, first the summary of the quarter, then we look into markets and sales, moving on to finance, operations, and then finally outlook. So an overview of the third quarter for Backer Frost. Our revenues in this quarter were 1.7 billion. We had a group operational EBIT of 22 million. The harvest in the Faroes was up by 17.5% to 25.4 kiloton. In Scotland, we were on a similar level as in the same quarter last year, 5.3 thousand ton. Fish meal oil and feed division at Hafsbrunn, the feed sales were up 18% to around 49 thousand ton. We sold no fish oil. Fish meal sale was down by 45% to around 5.1 thousand tonne. Sourcing of marine raw material was on the same level as last year, around 40,000 tonne. Cash flow from operation were positive with 245 compared to 575 last year. And we had positive EBIT in the fish, meal, oil and feed segment, the freshwater segment in the Faroes, services and sales and other. If we look at margins on a high level and regional level, These are all inclusive margins by the way. The margin for the group was 0.72 Danish kroner per kilo compared to 6.38 the same quarter last year. In the Faroes, the margins were 8.93 Danish kroner per kilo compared to 14.35 per kilo last year. In Scotland, margins were negative with 38.72 Danish kroner per kilo. And then moving on to markets and sales, and beginning with the price development. The Selma prices in this quarter were affected by a large increase in the overall supply. Average prices for four to five kilo superior salmon dropped to 63.73, which is 13% lower than the same quarter last year, 15% lower than in the previous quarter. or corresponding to a drop from the previous quarter of around 11 NOK per kilo. Since late August, prices have been trending upwards again. We expect stronger Selma prices as we look ahead into coming quarters where the supply is expected to reduce. In this quarter, we also saw that the price premium for large fish is starting to increase again after having dropped quite sharply from the peak in the fourth quarter last year. According to the latest update from Contali, global sales increased 12% in the quarter compared to last year and actually increased to all markets except for the Middle East. The European market had an increase of 4%, which was lower than the other markets. Like in previous quarters, this is significantly below the European harvest, which means that a larger share of the European harvest has been exported to other markets. Sale to the US increased 13%. Contagly estimates that there was a 10% increase in the supply from Europe. Chilean export to Russia increased quite significantly. There might be some inventory buildup in that market as well. Strong growth in sales to China and to Japan and also to the ASEAN countries. And the same goes for Latin America, which grew 12%. If we look at the harvest in the quarter, it increased by 12.2%, slightly more than the increased sold volumes. So again, some inventory built up. All producing origin increased their supply, except for UK, Ireland, and the US. Europe as a whole increased by 12%, mainly driven by Norway, which was up 15%. Supply from Norway was especially strong in July and in August. Norway had a high incoming biomass to the quarter after a strong second quarter, generally good biology, high sea water temperatures, but we saw also some accelerated harvest in the quarter, partly driven by sea life pressure. In September, the strong growth in Norway eased off and we saw We also see that the overall feed sale, which was very high in the beginning of the quarter, dropped quite significantly. And the biomass at the end of the quarter in Norway is also lower than last year. In Scotland, harvesting dropped with 5%. However, feed sales were up with 4% to 5%. Average weights increased slightly, 2.5% to 4.5 kg. In Bacchafrost's case, we increased 13% on our average weights to 4.8 kg. Biomass is low at the end of the quarter in Scotland, so we expect that there will be lower volumes coming from Scotland in the fourth quarter. In the Faroes, harvest increased 3%. This was driven by Bacchafrost. with a 17.5% volume increase from Bacchafoss alone. Very strong biology. For Bacchafoss it has been the strongest quarter, every quarter, when it comes to biology. Average weights for the ferrous as a whole, 5.38 kg. Bacchafoss was a bit lower on average weight in this quarter, which Rain will present in more details.

um,

by the activities in our fish meal oil and feed division receivables increased with 145 million to 286 million and cash equivalents sorry equity ratio dropped to 57 percent Moving on to cash flow, 245 positive cash flow from operations. We spent 311 million on investments and we had a positive cash flow from financing of 147 million. Net change in cash during the quarter was 81 million. During the quarter, our net interest-bearing debt has increased to 4 billion. The main driver are the investments, net investments of 311 million. And at the end of the quarter, we had undrawn credit facilities of around 1.4 billion. With those words, I will hand it over to our CEO, Rein Jakobsen.