Salmon Evolution (SALME) Q1 2023 TU earnings summary

Executive summary

• Production ramp-up remained on plan, with stable farm conditions at targeted densities and record March net biomass gain of ~320 tonnes.

• Standing biomass reached 1,472 tonnes at 31 March, doubling from 733 tonnes at year-end 2022.

Outlook and guidance

• Batch 2 harvest was planned to start in early May and finish during Q2 2023; average fish weight was ~3.5 kg, with the largest subgroup at ~3.7 kg.

• Batches 3, 4 and most of batch 5 were planned for harvest in 2H 2023; steady-state production targeted by late Q3 2023 at an annualized 7,900 tonnes HOG.

• Batches 6 and 7 were planned for stocking in Q2 2023.

Segment performance

• Batch 2 biomass rose from 428 tonnes at year-end to 777 tonnes at 31 March; batch 3 reached 275 tonnes and batch 4 reached 256 tonnes.

• Batch 5 was stocked in February with ~257,000 fish averaging 230 g.

• After fish transfers in February and early March, 9 of 12 tanks were in use.