AKVA Group (AKVA) CMD 2025 summary

Strategic Vision and Industry Context

• Focus on pioneering technology and innovation to address industry barriers and enable sustainable growth in salmon farming.

• Industry faces regulatory, environmental, and financial headwinds, but expects renewed growth from 2025, supported by new Norwegian regulation.

• Key growth drivers include deep farming, post-smolt strategies, land-based production, and digitalization.

• Targeting 5% annual global salmon production growth to double output by 2040, requiring significant investment and stable regulatory frameworks.

• Emphasis on ESG, with technology reducing fish mortality and environmental impact.

Business Platforms and Technological Innovation

• Operates across sea-based, land-based, and digital platforms, each with leading technology and recurring revenue streams.

• Deep farming (Nautilus) submerges cages to reduce sea lice, improve fish health, and increase production, with 80%+ reduction in lice treatments and halved mortality.

• Post-smolt production and land-based RAS technologies are commercially viable, especially in China and Iceland, with a NOK 1.4bn order backlog.

• Digital solutions (FishTalk, Observe, Submerge, Connect) enable precision feeding, automated monitoring, and cloud-based analytics, supporting efficiency and sustainability.

• Service and after-sales business is expanding, driven by increased installed base, complexity of equipment, and high customer retention.

Financial Guidance and Growth Targets

• Revenue target of NOK 5 billion by 2027 (12% CAGR from 2024), with ambition to reach NOK 7 billion by 2030 and double 2024 revenue.

• EBITDA margin targeted at 14% in 2027, up from 11% in 2024, with EBIT margin goal of 9% in 2027 and over 10% by 2030.

• Segment targets: Sea Based revenue to NOK 3.4bn and EBITDA margin to 14%; Land Based revenue to NOK 1.4bn and EBITDA margin to 10%; Digital revenue to NOK 250m and EBITDA margin to 40% by 2027.

• CapEx intensity to decline to ~4% of revenue as platforms are fully invested, focusing on capital-light, organic growth and improved ROACE.

• Dividend policy reinstated, aiming to return 40%-50% of post-investment cash flow to shareholders, subject to capital needs and market conditions.