Q4 Results (3 months ended 30 September 2024)

12 Dec 2024 08:01 CET

12 December 2024


Benchmark Holdings plc
(“Benchmark”, the “Company” or the “Group”)
Q4 Results
(3 months ended 30 September 2024)

Resilient performance in a period of trading headwinds and change
Business areas well positioned for future development

In compliance with the terms of the Company’s unsecured green bond which
requires it to publish quarterly financial information, Benchmark, the
aquaculture biotechnology business, announces its unaudited results for the 3
months ended 30 September 2024 (the “period”). All Q4 FY24 and Q4 FY23 figures
quoted in this announcement are based on unaudited accounts.

This morning the Company published its full year audited results for the 12
months ended 30 September 2024 which can be found on
https://www.benchmarkplc.com/investors

The Genetics business which is the subject of a post period end disposal has
been treated as held for sale and discontinued in this statement and in the
Annual Report. The 2024 results for Genetics have been included in the narrative
below to enable our shareholders to evaluate the performance and development of
the group as a whole before this disposal took place

Q4 FY24 Financial highlights
• Total Revenues (continuing and discontinued) operations of £36.8m, 1% ahead of
the prior year (+7% at constant exchange rate (CER)):
• Advanced Nutrition – strong performance against a backdrop of challenging
conditions in the global shrimp markets; revenues were 9% above the prior year
(+17% CER)
• Health – revenues were 66% below Q4 FY23 reflecting pause in Ectosan® Vet and
CleanTreat® activities following decommissioning of the two CleanTreat® systems
transitioning away from capital intensive model
• Genetics (discontinued) – Revenues were 2% above Q4 FY23 (+7% CER) as the
early harvest of the Spring 23 generation offset lower salmon egg volumes sold
• Revenue from continuing operations £19.6m, 1% below the prior year (+6% CER)
• Total Adjusted EBITDA (continuing and discontinued operations) excluding fair
value movements from biological assets £6.9m (Q4 FY23: £8.9m) driven by lower
gross margin in Advanced Nutrition and to a lesser extent in Genetics, partially
offset by reduced adjusted EBITDA loss in Health and lower operating costs
• Adjusted EBITDA from continuing operations of £1.6m, 20% above the prior year
• Cash and cash equivalents of £15.2m and available liquidity of £26.5m as at 11
December 2024
Operational highlights
• Resilient operations in Advanced Nutrition mitigates market headwinds and
periodic headwinds in product mix
• Genetics business with steady performance paving ground for further value
creation
• Financial discipline across the Group maintained
• Business well position for future development

Current trading and outlook

Advanced Nutrition

• Soft start to the year with unchanged conditions in the shrimp market.
• Expect improvement through the year and recovery in gross margin underpinned
by higher quality of Artemia harvest.
• Actions taken over the past years to strengthen our commercial effort, broaden
the product portfolio and increase operational efficiency, mitigate the impact
of market cyclicality and position the business to deliver growth and improved
profitability in the short and medium term.

Health

• Health has had a good start of the year. Our established sea lice treatment
Salmosan® Vet is well positioned in customers’ toolkit to tackle sea lice which
continues to be a critical issue for the industry.
• With a reduced cost base Health is expected to deliver stable profitability.
At the same time, we will continue to work with customers to develop an optimal
model for Ectosan® Vet and CleanTreat® based on customer owned infrastructure
representing future upside.

Group

• Focus on simplifying and streamlining the Group structure which is expected to
result in significant cost savings.
• Effort will commence upon completion of the disposal of Genetics, taking into
consideration the Company’s commitments under the Transition Services Agreement
which has an expected duration of [three to six months].

Financial Summary

£m Q4 FY24 Q4 FY23
restated* % AER % CER** FY24
(full year) FY23
restated*
Revenue from continuing operations 19.6 19.7 -1% +6% 90.4 104.0
Total Revenue (continuing and discontinued) 36.8 36.6 +1% +7% 147.7 169.7
Adjusted
Adjusted EBITDA1 from continuing operations 1.6 1.3 +20% +11% 11.9 17.0
Total Adj. EBITDA excluding fair value movements from biological assets
(continuing and discontinued) 6.9 8.9 -22% -19% 28.9 34.3
Statutory
Operating loss from continuing operations (20.8) (6.8) -205% -210% (35.5) (17.5)
Loss before tax from continuing
operations (25.1) (10.9) -131% -134% (45.9) (24.7)
Loss for the period including discontinued operations
(20.4) (13.5) -51% -52% (39.1) (21.6)
Basic loss per share (p) (2.78) (1.90) (5.34) (3.16)
Net debt2 (49.0) (65.5) (49.0) (65.5)
* 2023 numbers have been restated to reflect the results of the Genetics
business being classified as discontinued operations in FY24 in line with IFRS 5
following the decision to sell the business area (see note 5).
** Constant exchange rate (CER) figures derived by retranslating current year
figures using previous year’s foreign exchange rates.
(1) Adjusted EBITDA is EBITDA (earnings before interest, tax, depreciation and
amortisation and impairment), before exceptional items including acquisition and
disposal related expenditure.
(2) Net debt is cash and cash equivalents less loans and borrowings, with FY24
figures stated after transferring £22.3m into assets and liabilities held for
sale.
Business Area Summary*
£m Q4 FY24 Q4 FY23
restated % AER % CER** FY24
(full year) FY23
restated
Revenue
Advanced Nutrition 18.7 17.1 +9% +17% 75.9 78.5
Genetics (discontinued) 17.2 16.9 +2% +7% 57.4 65.8
Health 0.9 2.6 -66% -64% 14.5 25.5
Adjusted EBITDA1
Advanced Nutrition 2.7 3.5 -23% -24% 14.4 18.4
Genetics (discontinued) 5.7 5.1 +12% +19% 14.8 14.4
- Net of fair value movements in biological assets 5.4 6.9 -22% -17% 15.1 14.5
Health (0.2) (0.9) +76% +71% 2.1 4.8
* 2023 numbers have been restated to reflect the results of the Genetics
business being classified as discontinued operations in FY24 in line with IFRS 5
following the decision to sell the business area (see note 5).
** Constant exchange rate (CER) figures derived by retranslating current year
figures using previous year’s foreign exchange rates
(1) Adjusted EBITDA is EBITDA (earnings before interest, tax, depreciation and
amortisation and impairment), before exceptional items including acquisition and
disposal related expenditure.

Enquiries

For further information, please contact:
Benchmark Holdings plc benchmark@mhpgroup.com
Trond Williksen, CEO
Septima Maguire, CFO
Ivonne Cantu, Investor Relations


Deutsche Numis (Broker and NOMAD) Tel: 020 7260 1000
Freddie Barnfield, Duncan Monteith, Sher Shah


MHP Tel: 07890 952 661
Katie Hunt, Reg Hoare, Samuel Garner
benchmark@mhpgroup.com

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634429_Combined RNS Q4 FY24 final final.pdf