Page 1

RESULTS PRESENTATION EMPRESAS AQUACHILE S.A. As of March 31st, 2018

June 12, 2018


Highlights Financial Review Productive Performance

Sales Outlook


Highligts of the Period

Prices of Salmon and Trout decreased by 16% compared to the same period of 2017

Harvest volumes of Salmon and Trout increased by 9,8% in comparison with Q1 2017

The firm achieved a gross margin of 25% and an EBITDA margin of 21%, regardless the lower prices

Seven quarters in a row with positive EBIT, EBITDA and Net Income

ROE of 17,5% on a LTM basis

Net Financial Debt decreased by US$ 23 million since the Q4 2017, reaching a level of US$155 million

By the end of Q1-2018 the company has 31% more biomass than at the same period of the previous year

Pág. Nº3


Highlights

Financial Review Productive Performance

Sales Outlook


Consolidated P&L Statement

Figures in ThUS$

Q1-18

Q1-17

∆QoQ

2017

Sales Operational cost (1) Operational margin

183,982 -137,653 46,328

196,776 -139,791 56,986

-7% -2% -19%

632,738 -462,133 170,606

-8,088 38,240

-6,759 50,226

+20% -24%

-28,664 141,942

+20.8

+25.5%

Depreciation & Amortization EBIT pre FV adj.

-7,349 30,892

-8,662 41,564

-15% -26%

-34,273 107,669

Net Revenues from biological assets (3) EBIT post FV adj.

6.195 37,086

-10,222 31,342

+18%

-3,610 104,059

Financial expenses Financial income Other non operating items (4) Income taxes Net income

-3,552 362 -53 -8,897 24,946

-4,696 196 -1,073 -7,578 18,191

-24% +84% +95% +17% +37%

-18,215 664 -1,678 -26,278 58,912

% Net Income / Sales

+13.6%

+9.2%

Other cost and operating expenses (2) EBITDA pre FV adj. % EBITDA / Sales

(1) (2) (3) (4)

+22.4%

+9.3%

“Cost of Goods Sold” minus the “Adjustment by depreciation and amortization” “Costs of Distribution” plus “Administration Expenses” “Fair Value of harvested and sold biologic assets” plus “Fair Value of biologic assets of the exercise” “Other Income” minus “Other Expenses” plus “Exchange Rate differences” plus “Result of units adjustments”

Pág. Nº5


158

-5

-17 202 226

-2

224 192

152 172

-5

158

-10

-28

* EBITDA and EBIT Pre Fair Value 146 151 159 215

135

Net Income (US$ million)

11

197

124

100 96 121 106

26

9

2

** EBIT Salmon and Trout 10

-8

-12

-17 -21

-30 -30

Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18

Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 193 191

Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18

Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18

Financial Ratios Evolution Sales (US$ million) EBITDA* (US$ million)

209

184

63

121 39 50

25 19

56

-12 -18 -21

18

5

-2 -3 -0.28 -0.24

-0.63 -0.92

-1.13 -1.25

15 22

0 2

0.52 0.40

5

-12 -2 -19

25 25

0.82

-0.22

50

26

38

5 15

-10 -1

-26 -17

36

EBIT** (US$ / Kg WFE) 1.75 1.73 1.56

1.03 1.22

0.74

1.16

0.34 0.01

-0.08 -0.69 -0.89

-0.35

-1.23 -1.48

-36

Pรกg. Nยบ6


Financial summary by species

15,331

12,037

Sales (Th.US$): EBIT (Th.US$):

94,680 18,453

86,076 20,434

EBIT / Kg (US$/Kg WFE):

1.20

1.70

Volume (Ton WFE):

2,590

2,857

Sales (Th.US$):

14,860

19,705

EBIT (Th.US$):

3,095

7,066

EBIT / Kg (US$/Kg WFE):

1.20

2.47

Volume (Ton WFE): Sales (Th.US$): EBIT (Th.US$): EBIT / Kg WFE (US$/Kg WFE):

7,811 36,327 8,262 1.06

9,247 45,719 14,343 1.55

Volume (Ton WFE): Sales (Th.US$): EBIT (Th.US$): EBIT / Kg WFE (US$/Kg WFE):

Trout

Volume (Ton WFE):

Pacific Salmon

Q1 2017

Tilapia

Atlantic Salmon

Q1 2018

4,309 11,675 1,081 0.25

5,734 13,683 -280 -0.05

Sales Q1 2018 (US$)

60%

9%

23%

7%

Pรกg. Nยบ7


Balance Sheet Statement

Q1-18

2017

∆ YoY

Total Assets Cash and cash equivalents Accounts receivables Biological assets - Inventory Properties, plants & equipments Others Assets

824,546 65,888 68,952 304,988 195,382 189,336

794,890 40,772 76,125 288,256 191,448 198,290

+3,7% +61,6% -9,4% +5,8% +2,1% -4,5%

Total Liabilities Financial Debt Accounts payable Others Liabilities

414,212 220,929 138,928 54,355

403,365 218,731 132,004 52,630

+2,7% +1,0% +5,2% +3,3%

Equity

410,334

391,525

+4,8%

Total Equity and Liabilities

824,546

794,890

+3,7%

Figures in ThUS$

Total Assets grew by 3.7% in comparison with the close of the 2017 exercise. This variation is mainly explained by the increase in the Cash and Cash Equivalents due to the returns from the Pacific Salmon season, but also because of a bigger on-growing biomass in the sea (∆+10,000 tons WFE QoQ).

Total Liabilities grew by 2.7%, due to an increase in the Accounts Payables, which in turn is explained by the bigger on-growing biomass.

Pág. Nº8


Cash Flow Statemet

Summary (Th. US$) Q1-18

Q1-17

∆ QoQ

Operating activities

35,882

77,745

-54%

Investment activities

-9,106

-4,764

+91%

Financing activities

-1,853

-20,419

-91%

Net change in cash Cash at the end of the period

25,116 65,888

52,960 89,953

-53% -27%

Cash variation (Figures in ThUS$)

Operating Activities generated US$35.9 million in cash during Q12018. The lower level of cash generation is explained in part due to the higher requirements of working capital due to a bigger biomass in the sea (extra 30% on a QoQ basis)

The disbursement of US$9.1 million in Investment Activities is related to CAPEX investments oriented to support the organic growth plan of the company. These investments were mainly concentrated on the grow-out stage (sea operations)

During Q1-2018 no capital repayments were recorded

+35,882 65,888 -9,106

-1,853

40,772

31 Dec 2017

Operating

Investment

Financing

31 Mar 2018

Pág. Nº9


Highlights Financial Review

Productive Performance Sales Outlook


mar-18

nov-17

jul-17

mar-17

nov-16

jul-16

mar-16

nov-15

jul-15

mar-15

nov-14

3,0

mar-18

nov-17

jul-17

mar-17

7%

nov-16

jul-16

mar-16

nov-15

jul-15

mar-15

1.50

nov-14

2.27

jul-14

Quarterly

mar-14

FCRe* jul-14

5.9 5.4

nov-13

7.6

mar-14

10.0

jul-13

11.8

nov-13

13.6

mar-13

15.3

jul-13

18.7

nov-12

1.46

Q1-18

Q4-17

Harvests (Th. ton WFE)

jul-12

1.56

Q3-17

16.1

Q1-18

1.57

Q2-17

Q1-17

18.1

2017

1.59

Q4-16

10.1

2016

1.73

Q3-16

Q2-16

15.9

2015

1.51

2014

1.73

Q1-16

Q4-15

20.1

2013

1.43

2012

1.49

Q3-15

14.7

Q2-15

Q1-15

16.4

2011

2010

Q4-14

Q3-14

17.6

2009

1.53

Q2-14

13.8

2008

1.46

Q1-14

Q4-13

Q3-13

15.2

2007

2006

Summary by Species: Atlantic Salmon Harvest weight evolution (Kg WFE)

21.4

6,0

4,5 4.27

1,5

0,0

Monthly mortality(%) 8%

6%

Algae Bloom

5%

4%

3%

2%

1% 0.69%

0%

* Economic Conversion Rate

Pรกg. Nยบ11


mar-18

nov-17

jul-17

mar-17

nov-16

jul-16

mar-16

nov-15

jul-15

mar-15

nov-14

jul-14

mar-14

nov-13

3,0

mar-18

nov-17

jul-17

mar-17

nov-16

jul-16

mar-16

nov-15

jul-15

mar-15

nov-14

jul-14

mar-14

1.35

nov-13

1.53

jul-13

FCRe*

mar-13

3.7

jul-13

3.3

Q1-18

1.9

Q4-17

11.1

jul-12

1.32

Q3-17

Q2-17

4.5

Q1-18

1.35

Q1-17

3.4 3.6

2017

1.50

Q4-16

Q3-16

Q2-16

Q1-16 1.9

2016

1.53

2015

1.53

2014

1.88

Q4-15

Harvests (Th. ton WFE)

nov-12

* Economic Conversion Rate 4.0

2013

1.53 5.1

Q3-15

5.8

2012

4.6

Q2-15

Q1-15

Q4-14

4.2

2011

1.48

Q3-14

4.7

2010

Q2-14

5.1

2009

Q1-14

Q4-13

Q3-13

5.8

2007

2006

Summary by Species: Trout Harvest weight evolution (Kg WFE)

4,5 2.93

5.7

1,5

0.3 1.3

0,0

Quarterly

Monthly mortality(%)

1.75

8%

1.56 6%

4% 2.49%

2%

0%

Pรกg. Nยบ12


2%

0%

* Economic Conversion Rate

Pรกg. Nยบ13

mar-18

nov-17

jul-17

mar-17

nov-16

jul-16

mar-16

nov-15

jul-15

mar-15

nov-14

jul-14

4,5

mar-18

nov-17

jul-17

mar-17

nov-16

jul-16

mar-16

nov-15

jul-15

mar-15

nov-14

1.20

jul-14

1.25

mar-14

1.32

nov-13

FCRe* mar-14

0.2

jul-13

4.9

nov-13

14.5

mar-13

12.2

jul-13

17.8

nov-12

Harvests (Th. ton WFE)

jul-12

6.4

Q1-18

Q4-17

17.9

Q1-18

1.42

Q3-17

Q2-17

4.7

Q1-17

Season 16-17

2017

1.23

Q4-16

6.6

2016

1.31

Q3-16

Q2-16

0.6

2015

1,28

Q1-16

Season 15-16

2014

1.32

2013

1.23

Q4-15

Q3-15

Q2-15

Q1-15

Season 14-15

2012

2011

1.32

2010

11.6 11.1

Q4-14

Q3-14

Q2-14

Q1-14

Q4-13

Q3-13 Season 13-14

2009

2008

1.30

2007

2006

Summary by Species: Pacific Salmon Harvest weight evolution (Kg WFE)

Season 17-18

3.91

3,0

1,5

0,0

Monthly mortality(%)

6%

Quarterly

1.28

4%

1.22 1.13%


Highlights Financial Review Productive Performance

Sales Outlook


Sales Sales (Th. Tons WFE) 34 28

23

20

19 18

16

22

Trout

12 10

Lower sales volumes for Pacific Salmon (∆-16%) and Trout (∆-9%)

Higher sales volumes for Atlantic Salmon (∆+27% QoQ)

Q1-17

Q4-16

Q3-16

Q2-16

Q1-16

Q4-15

Sales of 26,000 tons WFE of salmon and trout during Q1-2018 (∆+8,3% QoQ)

18

Q3-15

Q2-15

Q1-15

Q4-14

Q3-14

Q2-14

Q1-14

Q4-13

Q3-13

Q2-13

Atlantic Salmon

26

24 13

Q1-13

Q4-12

Q3-12

Q2-12

Q1-12

13 13

27

33

32

30

Q1-18

31

Q4-17

27 28

Q3-17

32

Q2-17

29

Pacific Salmon

Chilean Atlantic Salmon Price – FOB Miami (US$ / Trim D 2-3 Lb)

Lower market Price (∆ -16% QoQ) ♦

7,0 6,0

The achieved sales prices of AquaChile were 11.9% lower than in Q1-2017

5,0 4,0 3,0

mar-18

nov-17

jul-17

mar-17

nov-16

jul-16

mar-16

nov-15

jul-15

mar-15

nov-14

jul-14

mar-14

nov-13

jul-13

mar-13

nov-12

jul-12

mar-12

nov-11

jul-11

mar-11

2,0

Source: Urner Barry

Pág. Nº15


Comparative Revenues: Q1 2018 vs. Q1 2017 Cifras en millones de US$

Sales Q1-17

Atlantic Salmon

Trout

Pacific Salmon

+20

197 -12

Feed

Other Income

-1

-4

+2 -3

-2

∆ Price

Tilapia

-3

-7

Sales Q1-18

184 -4

∆ Volume

The lower level of revenues for Q1-2018 is explained by the effect of the lower sales prices for the three species added to the lower sales volumes of Pacific Salmon and Trout. These effects got partially compensated by the higher sales volume of Atlantic Salmon (∆ +3,294 tons WFE).

Pág. Nº16


Sales by Market Figures in US$ million 140

120

100 140

80 120

140

140

60

100

11 120

40

80

120

2

4 100

56 20

4

Russia (11%)

100 60

80

0

40

80

60

0

0

Europe (2%)

10

North America (42%)

60

20

40

0

2

7

40

20

140

20

1 120

0

Middle East (1%)

100

80

Asia ex–Japan (6%)

1

25 11

0

Japan (24%)

60

40

20 20

1 0 2

0

Latin America (15%)

Atlantic Salmon

Trout

Pacific Salmon

Tilapia

Pág. Nº17


Highlights Financial Review Productive Performance

Sales

Outlook


World harvest perspectives Atlantic Salmon (Th. Tons) 2,228 2,000

1,634

453

2,042 446

381

583

364

2,305

485

2,558 565

2,166

518

509

491

430

1,456 407

2,317

2,403

598 504

468

579

596

623

221 130

945

1,006

2010

2011

1,183

1,144

1,199

1,234

1,171

1,208

1,298

2012

2013

2014

2015

2016

2017

2018E

Noruega

Chile

1,370

2019E

Other

Source: ABG Sundal Collier

Pรกg. Nยบ19


Atlantic Salmon Prices Norway

Chile

Source: ABG Sundal Collier

During the first four months of 2018 the Miami FOB prices for the Trim-D (3-4 lbs) Chilean salmon showed an uprising trend that reached a peak of approximately 6.5 US$/lb during the 21st week of the year

Between weeks 17 and 22 (Apr.-May) the reference prices for the Chilean salmon reached 10-year maximum levels for those weeks of the year

Pág. Nº20


AquaChile’s Production Perspectives

Tons WFE

Q1-17

Q2- 17

Q3-17

Q4-17

2017

Q1-18

Q2-18

2H-18E

2018E

Atlantic Salmon

11.755

10.038

7.586

18.685

48.065

15.296

8.000

25.000

48.000 - 49.000

Trout

3.554

1.908

3.332

1.326

10.121

3.680

10.500

5.500

19.500 - 20.500

Pacific Salmon

6.400

0

32

17.753

24.186

4.858

0

18.000

22.500 - 23.500

Total Salmonids Tilapia Costa Rica

21.709

11.947

10.950

37.765

82.371

23.834

18.500

48.500

90.000 - 93.000

5.068

4.342

4.091

3.849

17.351

4.601

4.300

7.900

16.000 - 17.000

Total Salmónids and Tilapia

26.778

16.289

15.041

41.614

99.722

28.434

22.800

56.400

106.000 - 110.000

Pág. Nº21


Thank you

Investor.relations@aquachile.com

Investors' Presentation 1Q2018  
Investors' Presentation 1Q2018  
Advertisement