1

Raisio’s Interim Report

January-March 2016

CEO Matti Rihko Raisio plc

10 May 2016

-5

0

5

10

15

20

25

30

35

40

45

50

55

Group EBIT

2

7/2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Q1/2016

M€

Rolling 12 months EBIT

(Continuing operations, excluding one-off items)

The Group

• EBIT 9.7 (9.6) M€

• EBIT margin 8.5 (7.9)%

• Net sales 114.0 (122.5) M€

Brands

• EBIT 11.4 (11.3) M€

• EBIT margin 12.6 (12.1)%

• Net sales 90.2 (93.7) M€

Raisioagro

• EBIT 0.0 (0.1) M€

• Net sales 27.1 (32.6) M€

3

Raisio’s Q1/2016 in figures

Raisio’s Q1/2016

• Benecol successful in the home markets of consumer products

• Organic growth in the UK, Ireland and Poland

• Good quarter for Confectionery business

• Clear sales growth in Raisio’s own confectionery brands

• Good growth for Elovena snacks and gluten-free Provena products

• Benemilk Ltd’s sales to China increased; EBIT and cash flow negative

• Decision on possible financial arrangements for the Benemilk funding during summer 2016

4

34.6

39.3

34.8

51.7

9.6 9.7

0

2

4

6

8

10

12

0

10

20

30

40

50

60

2012 2013 2014 2015 1-3/2015 1-3/2016

EBIT EBIT %

M€ % Excluding one-off items

5

Group EBIT

6.6

8.0

5.4

9.6 9.7 10.6 11.0

8.5

14.0

10.7

12.0 12.1

16.0

6.6

8.4 8.9

12.0

0

5

10

15

20

Excluding one-off items

Group EBIT by quarters

M€

6

Q1 Q2 Q3 Q4

2012 2013 2014 2015 2016

0

100

200

300

400

500

600

700

2012 2013 2014 2015 1-3/2015 1-3/2016

Group net sales

7

M€

584 558

123 114

Brands Raisioagro

494 521

Key figures, result

Q1/ 2016

Q1/ 2015 2015

Net sales M€ 114.0 122.5 521.2

Change in net sales % -6.9 5.0 5.5

EBIT M€ 9.7 9.6 42.4

One-off items M€ 0.0 0.0 -9.2

EBIT excluding one-off items M€ 9.7 9.6 51.7

EBIT excluding one-off items % 8.5 7.9 9.9

Depreciation and impairment excluding one-off items

M€ 3.1 3.6 16.5

EBITDA excluding one-off items

M€ 12.7 13.2 68.1

Financial items M€ -0.9 -0.5 -2.5

Earnings per share (EPS) excluding one-off items

€ 0.05 0.05 0.26

8

Key figures, balance sheet

Q1/ 2016

Q1/ 2015

2015

Equity ratio % 58.7 55.7 62.3

Gearing % 14.7 20.6 12.1

Net interest-bearing debt M€ 46.6 67.4 42.2

Equity per share € 2.02 2.08 2.23

Investments M€ 4.0 2.1 11.0

9

10

Brands

37.4 41.4

35.9

55.4

11.3 11.4

0

2

4

6

8

10

12

14

16

0

10

20

30

40

50

60

2012 2013 2014 2015 1-3/2015 1-3/2016

EBIT EBIT %

Brand Division’s EBIT

11

M€ % Excluding one-off items

9.0 9.4

6.4

11.3 11.4 11.0 11.1

8.2

14.3

9.7 10.8 10.8

15.8

7.6

10.0 10.6

13.9

0

5

10

15

20

Excluding one-off items

Brand Division’s EBIT by quarters

M€

12

Q1 Q2 Q3 Q4

2012 2013 2014 2015 2016

Brand Division’s net sales

330

305 306

385

94 90

0

50

100

150

200

250

300

350

400

450

2012 2013 2014 2015 1-3/2015 1-3/2016

13

M€

Benecol

• Net sales at the comparison period level

• Strong EBIT, up from the comparison period

• Home markets of consumer products: • In the UK, increased sales of spreads

• In Ireland, increased sales of spreads, yoghurt drinks and yoghurts

• In Poland, steadily improving performance strengthened the position of spreads as a market leader

• Slight increase in sales of Benecol ingredient to partners • Sales of Raisio’s partner in Indonesia

increased by 50%

• New partners started in the USA and Portugal

14

• Improved EBIT for Northern Europe

• Increased sales for Elovena products. Particularly good sales were seen in Elovena snack biscuits, snack bars and instant porridges

• Clear sales growth in gluten-free Provena products

• Positive EBIT in Russia

• Sales volume down due to price increases following exchange rates

• Negative EBIT in the UK

• Honey Monster brand licensed to Brecks with an agreement signed on 13 April

• In Newport, many contract manufacturing partners adjusted their orders to tightening market conditions

Healthy Snacking

15

Confectionery

• Clearly improved EBIT

• Slightly increased net sales

• In the UK, sales growth for Raisio’s own Poppets, Fox’s and XXX brands

• In the Czech Republic, sales increased in Raisio’s own Pedro and Juicee Gummee brands

• Higher sales volumes in products made under partners’ brands and in retailers’ private label products

16

Forerunner in responsible brands

17

Sustainable food chain

Product safety

Growing interest in the origin of food and responsible production

Carbon and water footprint labels

since 2008

Top-notch traceability in contract

farming

A versatile selection of gluten-free products

TRENDS:

Ecological and healthy snacking

Certified production facilities

More than 20 products with

a carbon footprint label

Raisio’s Responsibility Programme 2016-2018 promoting sustainable

food chain

Healthy choices for consumers

18

The original expert in cholesterol lowering

Eco-friendly, responsibly produced

and healthy

Healthy and natural snacking

Stomach-friendly,

gluten-free superfood

Food as a source of health and well-being

TRENDS:

Increasing demand for snacks

Increasing importance of farmed fish as a source of

protein

Wholegrain and

low-sugar products

FreeFrom products Heart-labeled

products

19

Raisioagro

-1.8

-0.6

0.0 0.1 0.0 0.4

1.3 1.4 1.4 1.2

2.6

2.0

1.3

-0.1 -0.3

0.0 0.0

-3

-2

-1

0

1

2

3

Excluding one-off items

Raisioagro’s EBIT by quarters

M€

20

Q1 Q2 Q3 Q4

2012 2013 2014 2015 2016

54 54 49

33 27

65

71

63

45

75 76

54

40

61

53

36

28

0

10

20

30

40

50

60

70

80

90

Raisioagro’s net sales by quarters

M€

21

Q1 Q2 Q3 Q4

2012 2013 2014 2015 2016

Raisioagro Q1/2016

22

Kiristyvä kilpailu lisännyt tarvetta tarkastella eri toimintojen kannattavuutta

• Improved relative profitability for feeds

• Eco-friendly, healthy Benella Rainbow Trout successful in the markets

• Decision to start using Baltic Blend in fish feeds

• Sales volume of fertilisers and other farming supplies decreased

• Farmers continued to switch from value-added feeds to less expensive feeds; about 7% of Finnish dairy cows eat Benemilk feeds

• Fish feed season was opened as Russian customers started to stock up

9.5.2016

New fish feed innovation to decrease nutrients in

the Baltic Sea

Adding value of Baltic herring and sprat

used in the feed by producing it into

rainbow trout

23

The Baltic Sea feed - reality in 2016 ”We have a chance to eat the Baltic Sea in to better condition Benella by Benella.”

Less phosphorus and nitrogen returned to the sea than removed

with the fish

Baltic herring and sprat

caught from the Baltic Sea

Fishmeal and oil made

from fish

Fish farmed for human

consumption

Fresh fish for consumers

Raisioaqua manufactures

feeds

Phosphorus and nitrogen removed with farmed fish

Phosphorus and nitrogen removed from the sea

Baltic herring eats zooplankton

Zooplankton eats phytoplankton

Phytoplankton binds the released

phosphorus

24

Phosphorus and nitrogen load of the Baltic Sea Fish farming in Finland 13,000 tons (13 million kg)

BEFORE

Phosphorus 57,000 kg Nitrogen 517,000 kg

NOW (BALTIC BLEND)

Phosphorus -19,000 kg Nitrogen 5,000 kg

DIFFERENCE Phosphorus -75,000 kg Nitrogen -512,000 kg

Increase in fish farming would increase external nutrient load.

Increase in fish farming does not increase the load but reduces it.

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