Raisio’s Financial Statements 2016CEO Jarmo PuputtiRaisio plc13 February 2017

Raisio’s Q4/2016 in brief

2

• EBIT* 12.0 (12.0) M€• EBIT* 12.6 (9.8) % of net sales

• Net sales 95.4 (122.7) M€• Net sales change -22%

• Exchange rates had a negative impact on net sales and EBIT

• Raisio and Vaasan launched cooperation on the procurement of Finnish rye

Net sales Q4/2016

Q4/2015

Brands Division M€ 73.3 97.6

Healthy Snacks M€ 17.2 32.0

Benecol M€ 31.4 37.3

Confectionery M€ 24.8 28.5

Raisioagro Division M€ 24.7 28.3

Total M€ 95.4 122.7

*Comparable EBIT

Group EBIT and net sales Q4

3

12.0 12.0

9.8%12.6%

0

5

10

15

0

5

10

15

Q4/2015 Q4/2016

%Comparable EBITM€

12395

020406080

100120140

Q4/2015 Q4/2016

M€ Net sales

EBIT EBIT %

4

Raisio’s 2016

• EBIT* 50.7 (51.7) M€ • EBIT* 11.6 (9.9) % of net sales

• Net sales 436.3 (521.2) M€• Net sales change -16%

• Impact of the British pound on EBIT -3 M€ and on net sales -20 M€

• Raisio’s relative profitability improved• Comparable return on equity improved to

11.6%• Raisio divested its UK snack business

*Comparable EBIT

5

Group EBIT 2007-2016

Comparable EBIT, rolling 12 months

-505

10152025303540455055M€

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

6

Group EBIT 2012-2016

34.6 39.3 34.8 51.7 50.7

5.9%7.1%

7.0%

9.9% 11.6%

0

5

10

15

0

10

20

30

40

50

60

2012 2013 2014 2015 2016EBIT EBIT %

%Comparable EBITM€

7

Group net sales 2012-2016

M€

330 305 306 385 320

256 254 202146

127

0

100

200

300

400

500

600

700

2012 2013 2014 2015 2016

521436494

558584

Brands Raisioagro

Great dividend history

0.03 0.04 0.07 0.09 0.10 0.11 0.12 0.13 0.14 0.16 0.170.00

0.02

0.04

0.06

0.08

0.10

0.12

0.14

0.16

0.18

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

8*The Board’s dividend proposal

€

*

Key figures, comparable income statement

Q1/2016

Q2/2016

Q3/2016

Q4/2016

Q4/2015 2016 2015

Net sales M€ 114.0 124.1 102.8 95.4 122.7 436.3 521.2

Change in net sales % -6.9 -12.3 -23.5 -22.3 4.2 -16.3 5.5

EBIT M€ 9.7 15.0 14.0 12.0 12.0 50.7 51.7

EBIT % 8.5 12.1 13.6 12.6 9.8 11.6 9.9

Depreciation and impairment M€ -3.1 -3.1 -2.6 -2.6 -3.5 -11.3 -16.5

EBITDA M€ 12.7 18.1 16.6 14.6 15.4 62.0 68.1

Financial items M€ -0.9 -0.9 -0.5 0.2 -1.0 -2.2 -2.5

Earnings per share (EPS) € 0.05 0.07 0.07 0.06 0.06 0.25 0.26

9

Key figures, balance sheet

2016 2015

Equity ratio % 66.8 62.3

Gearing % 8.5 12.1

Net-interest-bearing debt M€ 26.7 42.2

Equity per share € 1.99 2.23

Dividend per share € 0.17* 0.16

Investments M€ 18.3 11.0

10*The Board’s dividend proposal to AGM

Raisio renewing its strategy

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• The Board initiated work to renew the Group’s strategy

• New strategy will be completed in spring 2017

• Key theme is to turn net sales for the Brands Division back to growth path

• In 2017, Raisio will enhance its operational activities and invest in brand strengthening and in expansion into new product segments and markets

Brands 2016

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• EBIT* 50.5 (55.4) M€• EBIT* 15.8 (14.4) % of net sales

• Net sales 320.1 (385.1) M€• Net sales change -17%

• Brands Division’s key challenge: organic growth

Net sales 2016 2015

Healthy Snacks M€ 95.4 138.9

Benecol M€ 124.6 140.3

Confectionery M€ 100.2 105.4

Benemilk M€ 0.4 0.0

Total M€ 320.1 385.1

*Comparable EBIT

Brand Division’s EBIT2012-2016

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37.4 41.4 35.9 55.4 50.5

11.3%13.6%

11.7%

14.4%15.8%

0

5

10

15

20

0

10

20

30

40

50

60

2012 2013 2014 2015 2016

EBIT EBIT %

M€ %Comparable EBIT

Brand Division’s net sales2012-2016

15

330 305 306385

320

050

100150200250300350400450

2012 2013 2014 2015 2016

M€

Benecol

16

• EBIT at the comparison period level• Negative impact of exchange rate volatility

and price increases of wood-based sterols used as raw material for plant stanol ester

• Net sales decreased due to volatility in exchange rates and in consumer product sales in home markets

• In UK, Benecol’s market share strengthened• Sales of Benecol ingredient to licensing

partners grew, particularly in Asia

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Benecol Soft Chew availablein five countries

• Available in Finland, Poland, Ireland, Belgium and Holland

• The first cholesterol-lowering soft, chewable food supplement

• Storage at room temperature

• A convenient way to lower cholesterol, e.g. during the workday or while travelling

• New sales channels: pharmacies and online store www.oatletstore.com

17

18

Healthy Snacks

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• In Finland, retail sales at the comparison year level

• New Elovena snacks sold well• Sales of snack biscuits tripled in six years

• Focus on brand renewals• In Russia, EBIT remained clearly positive

• Sales volume in flakes decreased due to price increases

• The UK’s unprofitable snack bar business divested on 12 July and Honey Monster brand licensed from 1 July

19

Success of new products increasedElovena brand’s net sales by almost 10%

20

Nalle brand renewed

• Traditional brand positioned as the favourite of families with children

• Healthy and tasty breakfast and snack products

• ”Good for kids, but I’ll have some myself”

20

21

Confectionery

• Net sales for the Czech operations increased by almost 15%: while net sales for the whole confectionery business declined

• Sales growth in Pedro brand continued in the Czech Republic

• Producer of inclusions and toppings Nimbus showed increased sales

• EBIT down from the comparison year• Czech operations account for almost 50%

of EBIT

• Continued challenges at the UK Leicester plant

Benemilk

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• Patents granted for Benemilk feeds and their production method in Finland and New Zealand at the end of 2016

• Benemilk Ltd’s activities to internationally commercialise the innovation were significantly reduced in the autumn 2016

• Seattle office closed

• Benemilk feeds have an established market position in Finland. Exports to Russia on the rise

Raisioagro 2016

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• EBIT 3.7 (2.8) M€• EBIT +0.9 M€• EBIT 2.9 (1.9) % of net sales

• Net sales 126.6 (145.9) M€• Net sales change -13%

• Average return on capital employed 11.4%• Net working capital decreased by

almost 50%

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Raisioagro’s EBIT 2012-2016

M€ Comparable EBIT

-0.3

3.1 3.4 2.8 3.7-0.1%

1.2% 1.7%1.9%

2.9%

-3

-2

-1

0

1

2

3

4

5

-3

-2

-1

0

1

2

3

4

5

2012 2013 2014 2015 2016

EBIT EBIT %

%

26

Raisioagro’s net sales 2012-2016

256 254202

146 127

0

50

100

150

200

250

300

2012 2013 2014 2015 2016

M€

27

Internet of Farming and feeding expertise raising the milk farm productivity• Milking robot monitoring (Tuotostutka®)

is Raisioagro’s first service for dairy farms. It processes the data of milking robots into profit

• 130 farms involved• Milk yields grown by an average of 6%

• New OMA feeding service model is based on the farmer’s own farming and feeding practices

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Fish feeds

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• Raisioaqua is the only Finnish fish feed producer

• Share of exports approx. 60% • Baltic Blend feeds launched in summer 2016

• Raw material: fishmeal and oil made from Baltic herring and sprat fished from the Baltic Sea and processed in Finland

• Nutrient emissions from fish farming decreased significantly

• Baltic Sea nutrients recycled• Benella’s sales season started in September

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• Sustainable development, innovativeness and new business model placed Benella on the pioneer list of The Nordic Council of Ministers”Nordic bioeconomy – 25 cases for sustainable change”

• Sales network expanded significantly• Available in selections of Ruokakesko and Stockmann

• Innovation of the Year' finalist in the Golden Pepper competition for the food sector organised by a well-known Finnish newspaper Iltalehti

Benella is the pioneer of the Northern bioeconomy

Guidance 2017

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In 2017, Raisio will invest in brands, product concepts, sales and marketing and in the enhancement of its operations.

This will pave the way for future growth and success. Raisio estimates its comparable EBIT for 2017

to fall slightly short of comparable EBIT for 2016. Exchange rates will continue to significantly affect Raisio’s EBIT.