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Corporate Template 2014Guidelines & Logos

Investor Briefing ● March 2017

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Proven technology to improvecrop yield and quality

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OUR INDUSTRY AND BUSINESS

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Yield in metric tons per hectare

average 2.6world record 10.0 (USA)

average 3.7world record 16.6 (UK)

potential 3.0average 0.5

billion by

Source: FAO

Global demand of major grains (billion tons)(corn, soy, wheat, rice)

9 20503.0

2.5

2.0

1.5

1.0

0.5

1980 2000 2012 2027

20 million t extra grain every year

+1.2 %pa

Global agriculture challenge

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Meeting the challenge: closing the yield gap

Yield in metric tons per hectare. Source: 2015 averages from FAO, records or potential from local records or best yields in scientific test plots

average 2.6world record 10.0 (USA)

average 3.7world record 16.6 (UK)

average 0.5potential 3.0

Soy

Wheat

Cocoa

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Combat pests

& diseases

Feed plants Improve seeds

Improve quality and

relieve stress

FertiliserAgro-

chemicalsSeeds & biotech

Crop enhancement

Grower alternatives to improve yield

Manage better

AgTech

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What is a crop enhancement product?

• Improves and stimulates natural plant responses

• Improves quality or yield of crops

• Typically foliar sprays or seed coatings

• Contains special combinations of researched, tested and regulated chemicals (synthetic and naturally-occurring bio-stimulants)

• Compatible with other farming inputs e.g. fertilisers, pesticides and modern seed varieties

• Toxicologically benign, environmentally safe and involves no GM technology

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• Improves and stimulates natural plant responses

• Improves quality or yield of crops

• Typically foliar sprays or seed coatings

• Contains special combinations of researched, tested and regulated chemicals (synthetic and naturally-occurring bio-stimulants)

• Compatible with other farming inputs e.g. fertilisers, pesticides and modern seed varieties

• Toxicologically benign, environmentally safe and involves no GM technology

• IP-protected crop enhancement technologies and products

• Initial research focus in soybeans and wheat

• Partnered with leading AgChemmultinationals and distributors

• Sales in 23 countries• Head office and main research

facility at Rothamsted, UK• Offices in São Paulo,

North Carolina, Buenos Aires• LSE AIM Listed: PIM• ~70 employees

Our Company

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H1 FY17: Building on recent progress

R&D PROGRESS IN SOY AND WHEAT

GROWTH OF BANZAI™FOR SECOND SEASON

GROWING ADOPTION OF VERITAS® IN BRAZIL

USA FORTALIS® LAUNCH, NEW PARTNERS

GOOD MARGINS, STRONG BALANCE SHEET

ARGENTINA AND S. CONE LAUNCH

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GLOBAL PRIORITIES FOR GROWTH

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o Achieve Veritas® sales potential in Brazil, Paraguay, Bolivia

o Establish and Scale Fortalis® in Argentina and the USA

o Launch next products for soy CE portfolio

o Grow sales of Banzai™ in West Africa

o Develop and launch first CE product for wheat

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Reduced stress at flowering =

more pods, more grains per pod

5-7%Soy yield

uplift

US$ 60+ value/ha

for the grower

More than 1,500 field trials over

6 years

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e

• Increasing penetration and grower consumption in 16/17 season

• Cross-media grower campaign and offer for dealer sales-people

• Successful campaign in the South, some difficulty in Cerrado – full view in June

Brazil

• BCS, Brazil agrochemical market leader

• Fox® - leading fungicide at R1

• Launched Veritas® in 2013

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e• Marketing campaign targeting large and small

grower communities

• Successful first commercial year 16/17 with excellent yields

• Launching Veritas® from base of 15/16 demonstrations

• Enthusiastic support by BCS sales teams

Paraguay and Bolivia

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USA34m Ha Soy

Argentina20m Ha Soy

Paraguay3m Ha Soy

Canada2m Ha Pulses

Brazil32m Ha Soy

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Generation 2.0 of CaT Technology.More yield per

Litre

5%+Soy yield

uplift

Launching in USA and

Argentina in 16/17

Flexible application:

R1 or R3

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e

• Fortalis® launched to selected Argentina growers in year one (300+)

• Collaborating with BCS Ambassador programme

• CRM tools and customers developed with Brazil experience

• Launching Fortalis® with BCS in Central Growing Region

• #3 global soybean market

Argentina

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USA

• Launching Fortalis® direct to channel as tank-mix with fungicides at R3

• Product proven in small plot tests and in 2016 programme with commercial growers

• Delivers 4-5 bushels (8-10%) yield increase with fungicides vs. untreated

• 65m+ acre (26m ha) soybean market which is currently “open”

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Opportunity to create grower value and expand fungicide market

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F-1S-1 D-1 D-1

Our Vision: Integrating Seeds / CE / CP

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SEEDS&

SEED TREATMENT

HERBICIDEINSECTICIDE

&FUNGICIDE

INSECTICIDE&

FUNGICIDE

First target: Brazil

Potential: Argentina, USA

F-1 Control

Herbicide compatibility + biostimulation =

fewer weeds, more yield

F-1

S-1First target: Southern BrazilStrong start: better

nitrogen fixation and better yield

Opportunity to integrate with new rhizobacteria offer

from BCS21

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Anti-stress technology for Cocoa under

pressure from Black Pod

yield uplift>25% $140+ USD net

value to the grower

2016 Launch in Ivory Coast &

Cameroon

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• Ivory Coast programme targeting local demonstrations and training

• Access to Cameroon market through processors

• Expanding network within Cocoa industry to attract other processors: Ivory Coast test with one major processor in 2017

• 6m+ hectare market in W. Africa

• 70% of global cocoa production

• Product exclusively distributed by ArystaLifeScience

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Global wheat cultivation = 220 million hectares.

An area the size of Mexico

Wheat provides 20% of all calories consumed globally

3.7 - Global average

9 – Best farmers

20 – Genetic potential

t/ha

Yiel

d

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Targeted formulation to assist Spring

Wheat emergence

W-1

Early establishment to “Beat the Heat”

W-1 Field Trial

First target: USASpring Wheat

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H1 FY17 FINANCIAL HIGHLIGHTS

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H1 FY17: Revenue progression

Total revenue:• Up 17%• Impacted by favourable FX

• (US$ 1.26 v 1.49)

Americas revenue:• Mainly Veritas® Brazil• Includes Argentina / Paraguay

& Bolivia• BCS initial fee

RoW revenue:• Includes Banzai™

• growth in line with plans

Six month period to:

31-Jan-17 31-Jan-16 31-Jan-15£'000 £'000 £'000

Americas 4,374 3,973 2,191

Europe 136 84 263

RoW 402 164 42

Total Revenue 4,912 4,221 2,496

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Income statement• Note that slide shows

H1 FY17 and H1 & H2 FY16

• Gross profit margin healthy

• Cash operating expensesFY17 FY16H1 H1 H2£m £m £m

Sales/Mktg 2.3 1.2 1.6R&D 1.8 1.1 1.8Admin 0.8 0.6 0.5

4.9 2.9 3.9

• Investing in commercial support to drive sales

• US and Argentina• Brazil Veritas® campaign

• Capitalised R&D reflects investment in products near launch

• Restructuring is cost of EMEA refocus actions

Six month period to: 31-Jan-17 31-Jan-16 31-Jul-16

£'000 £'000 £'000Revenue 4,912 4,221 2,990

Gross Profit 3,886 3,324 2,312

Gross Margin 79% 79% 77%

Cash operating expenses (4,854) (2,940) (3,931)

Capitalised R&D 767 259 910

Depreciation/amortisation (108) (74) (72)

Adjusted operating (loss)/profit (309) 569 (781)

Net finance(cost)/income (24) (28) 30

Tax credit 303 264 250

Adjusted(loss)/profit after tax (30) 805 (501)

Share-based payments (485) (356) (653)

Restructuring costs (166) - -

(Loss)/profit after tax (681) 449 (1,154)

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Cash flow

• Cash inflow in period reflecting seasonal working capital swing

• Capitalised R&D in line with full year plan

• £1m tax credit receipts in period• Includes receipt for FY15

• £1-2m full year cash outflow expectation – dependant on timing of Q4 sales

Six month period to: 31-Jan-17 31-Jan-16 31-Jan-15

£'000 £'000 £'000Adjusted operating (loss)/profit (309) 569 119

Depreciation/amortisation 108 74 51

Deferred income (194) (194) -

Other working capital mvmnts 949 976 291

Other operating cashflows (144) (16) 20

Operating cashflow 410 1,409 481

Capex (74) (102) (6)

Capitalised R&D (767) (259) (267)

Tax (paid)/received 942 (36) (16)

Other investing/financing/FX (45) (76) 16

Net movement in cash 466 936 208

Opening cash balance 5,564 7,633 516

Closing cash balance 6,030 8,569 724

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BUSINESS OUTLOOK

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Outlook for second halfSales of Veritas® into Brazil will remain main revenue source in H2

• c.£2m of orders for current season still to ship• Anticipated early order for Brazil for growing season 17/18

Other H2 revenue opportunities outside of Brazil• Initial Fortalis® revenue expected from US• Banzai ™ follow on orders• Northern Hemisphere

Operating expenses will grow as planned, reflecting full year impact of H1 investments• Mainly in US and Argentina commercial teams

FY cash investment expected to be £1-2m depending on Q4 sales timing

Update on progress at Q3 trading update in June

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APPENDIX

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Balance sheet at period end31-Jan-17 31-Jul-16 31-Jan-16

£'000 £'000 £'000Tangible fixed assets 473 448 406

Intangible fixed assets 3,694 2,976 2,087

4,167 3,424 2,493

Inventory 46 39 26

Trade and other receivables 1,026 2,313 533

Corporation tax receivable 267 888 588

Cash 6,030 5,564 8,569

7,369 8,804 9,716

Borrowings - (50) -

Trade and other payables (1,912) (2,177) (1,339)

Deferred income (current &>1yr) (1,165) (1,358) (1,554)

(3,077) (3,585) (2,893)

Net assets 8,459 8,643 9,316

Share capital and premium 21,301 21,288 21,262

Other reserves 1,752 1,267 851

P&L reserve (14,594) (13,912) (12,797)

Total equity 8,459 8,643 9,316

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