Raisio Interim Report January-September 2017President & CEO Pekka KuusniemiCFO Antti ElevuoriRaisio plc8 November 2017

68.4 70.7

37.1 41.2

0

50

100

150

Q3/2016 Q3/2017

2

Raisio’s Q3/2017 in brief• Group net sales * 108.8 (102.8) M€, growth of +5.8%

• Particularly good sales for fish feeds• Good sales development in Benecol products continued in

Finland and plant stanol ester deliveries to licensing partners increased

• Impact of the weakening pound some -1.6 M€

• Group EBIT* 13.0 (14.0) M€• EBIT* 12.0 (13.6) % of net sales• Profitability of the UK’s confectionery business continued to

weaken• Exceptionally low costs for the Group's joint operations in

the comparison period• Benecol and fish feeds up, Healthy Food and Czech confectionery

business at the comparison period level

• Strong balance sheet enables growth• Equity ratio 69.6%, Raisio Group is net debt free

* Comparable net sales and EBIT

M€

Brands Raisioagro

Group net sales*

102.8 108.8

Group EBIT* M€ %

EBIT EBIT %

+5.8%

14.0 13.0

13.6%12.0%

0

5

10

15

0

5

10

15

20

Q3/2016 Q3/2017

Key figures, comparable income statement

7-9/2017

7-9/2016

1-9/2017

1-9/2016 2016

Net sales M€ 108.8 102.8 305.5 340.9 436.3

Change in net sales % +5.8% -23.5% -10.4% -14.4% -16.3%

EBIT M€ 13.0 14.0 36.7 38.7 50.7EBIT % 12.0% 13.6% 12.0% 11.3% 11.6%

Depreciation and impairment M€ -2.8 -2.6 -8.2 -8.7 -11.3

EBITDA M€ 15.8 16.6 44.8 47.3 62.0

Financial items M€ -0.8 -0.5 -1.4 -2.4 -2.2

Earnings per share (EPS) € 0.06 0.07 0.18 0.19 0.25

3

Key figures, balance sheet

1-9/2017

1-9/2016 2016

Equity ratio % 69.6 63.1 66.8

Net gearing % -3.9 13.1 8.5

Net interest-bearing debt M€ -11.9 39.8 26.7

Equity per share € 1.93 1.93 1.99

Investments M€ 9.9 13.4 18.3

4

5

Development of Raisio’s Q3/2017 net sales* by unit(EUR/GBP conversion impact separately)

* Comparable net sales

DIVESTEDUK SNACKS BUSINESS

6

Development of Raisio's 1-9/2017 net sales* by unit(EUR/GBP conversion impact separately)

* Comparable net sales

DIVESTEDUK SNACKS BUSINESS

Key figures by quarters

2014 2015 2016 2017

Net sales*

Net working capital Cash flow after investments (before financial items)

EBIT*

-15.

2

1.5 5.9

5.3 15

.5

15.9 23

.2

-4.9

10.6

14.2

13.4

-1.9

49.0

16.4

-60-40-20

0204060

Q1 Q2 Q3 Q4

-72.

6

117 13

3

127

118

123 14

2

135

123

114 12

4

103

9593 104

109

0

50

100

150

Q1 Q2 Q3 Q4

5.4 8.

5

12.1

8.99.6

14.0 16

.0

12.0

9.7

15.0

14.0

12.0

10.6 13

.1

13.0

0

5

10

15

20

Q1 Q2 Q3 Q4

62.2

63.1

62.9

53.8

55.5

50.6

53.0

40.850

.1

46.9

47.5

44.252

.1

36.5

29.9

0

20

40

60

80

Q1 Q2 Q3 Q4

M€

M€ M€

M€

* Comparable net sales and EBIT

05

10152025303540455055

8

Group EBIT 2008-Q3/2017

Comparable EBIT, rolling 12 months

2008 2009 2010 2011 2012 2013 2014 2015 2016 Q3/2017

M€

Brand Division’s net sales and EBIT Q3

10

68.4 70.7

0

50

100

Q3/2016 Q3/2017

M€ Comparable net sales

11.1 10.6

16.2% 15.0%

0

5

10

15

20

0

5

10

15

Q3/2016 Q3/2017

%Comparable EBITM€

EBIT EBIT %

+3.4%

11

Benecol

• Net sales 29.2 (26.6) M€, growth of +9,9%

• EBIT above the comparison period level• Net sales developed positively in all home markets of

consumer products, except in Poland

• In Raisio’s largest market, UK, net sales increased mainly due to price increases and lower costs related to price promotion campaigns

• In Finland, the consumer demand for Benecol products continued

• Sales volume of plant stanol ester increased particularly with licensing partners in Asia

Net sales

+9.9%M€

26.6 29.2

0

10

20

30

Q3/2016 Q3/2017

12

Renewed Benecol is a healthy lifestylebrand

• Benecol brand was renewed based on extensive international consumer studies

• Benecol makes cholesterol lowering easier and more delicious

• Product range that fits the consumers’ lifestyles• Good availability in various distribution channels• Guidance and support to healthcare professionals

and online

ClinicalScience

Food

FoodNatureScience

13

New Benecol marketing communications

Benecol’s new TV ad

18.1 17.70

10

20

30

Q3/2016 Q3/2017

14

Healthy Food

• Good, steady performance continued• Net sales 17.7 (18.1) M€

• Net sales down from the comparison periodin Russia

• Net sales increased with deliveries to a major Finnish bakery customer

• Sales in Elovena products at the strong comparison period level

• EBIT at the comparison period level• Elovena is Finland’s 14th most valued brand

Net salesM€

-2.0%

15

Confectionery• Net sales 23.7 (23.1) M€• EBIT clearly down from the comparison period• Performance in the Czech business remained steadily

positive, for both net sales and EBIT• Net sales for Nimbus, a UK producer of inclusions

and toppings, increased and EBIT improved with the growing demand

• Operational and commercial challenges continued in the UK’s confectionery business (excl. Nimbus)

• Net sales in pounds at the comparison period level• EBIT negative• Tackling the challenges at the Leicester plant will

take clearly longer than expected

+3.0%

Net salesM€

23.1 23.7

0

10

20

30

Q3/2016 Q3/2017

17

Raisioagro

• Net sales 41.2 (37.1) M€, +11.2%• Fish feed export to Russia increased by over 50%, sales

growth also in Finland• Sales volume in cattle feeds slightly down• Planned sales reduction in low-margin farming supplies

continued

• EBIT 3.3 (2.3) M€• Sales growth in fish feeds affected EBIT

• Systematic work to reduce net working capital continued• Kesko launched Benella fish in its Pirkka Parhaat

premium private label range• Sustainable Productivity concept launched for milk farms

EBIT

EBIT EBIT %

M€ %

Net salesM€

+11.2%

2.3 3.36.1%

7.9%

0

5

10

012345

Q3/2016 Q3/2017

37.1 41.2

01020304050

Q3/2016 Q3/2017

18

Responsible Benella fish attracts interest

• Availability and shop coverage of Benella Rainbow Trout improved especially in Kesko’s grocery stores

• In September, Kesko launched Benella Rainbow Trout Fillet in its Pirkka Parhaat premium private label range and is strongly investing in the marketing

• Benella interests also abroad• The first Benella contract farmer in Russia• Wholesaler agreement signed in Sweden

• Finnish Benella Whitefish available in September• Horeca sector showing interest in

Benella Whitefish; already available in several restaurants

Raisio’s outlook for 2017

19

Raisio revised its 2017 outlook in the stock exchange release published on 21 July 2017. For the full year 2017, the company estimates its comparable EBIT to be

approximately EUR 45 million. The outlook revision was due to the prolonged operational and commercial problems at the UK confectionery business, lower than expected profitability and weakening of

the pound against the euro. Exchange rates will continue to significantly affect Raisio’s net sales and EBIT.

In line with the renewed strategy, Raisio continues to invest in brands, product concepts, sales and marketing, to streamline its operations and expand into new markets in Europe.

This will pave the way for future growth and success.