Norway Royal Salmon has reported a lot decreased working earnings for the ultimate quarter of final 12 months, with the fallout from the coronavirus pandemic largely accountable.
The This fall operational EBIT was NOK 17m (£1.45m) and the EBIT per kilo NOK 5.05. The corresponding figures for a similar quarter in 2019 have been NOK 136m (£11.6m) and NOK 17.71.
The This fall harvest was 13% decrease at 7,148 tonnes gutted weight.
Regardless of this, the board is recommending a dividend of NOK 3 per share for the entire of 2020.
CEO Charles Høstlund defined: “The market value of salmon has been affected by the Covid-19 pandemic and has been low through the quarter.
“Our margins on this quarter have been affected by this, despite the fact that manufacturing prices have been decreased barely from the earlier quarter.
“The biomass within the sea has elevated through the quarter and is 15% larger than on the finish of the identical quarter final 12 months. This results in [the fact] that NRS has virtually totally utilised our licences on the finish of the quarter.”
NRS achieved working revenues of NOK 5.1bn (£437m) and an operational EBIT of NOK 246m (£22m). The harvest quantity for this 12 months is predicted to be round 40,000 tonnes, which is a rise of 31% on the 2020 determine of 30,509 tonnes.
The CEO stated NRS has a strong monetary place with NOK 1,422m (£122m) in accessible credit score services on the finish of the quarter. It had additionally strengthened its monetary capability through the interval and has been granted an elevated mortgage facility of NOK 800m (£68m) with a sustainability mortgage.
NRS owns a 50 per cent stake in Iceland’s Arctic Fish which shall be listed on the Oslo Euronext Development trade on Friday, after its NOK 600m offering was a number of instances oversubscribed yesterday.
Høstlund stated Arctic Fish has important development potential and expects to reap 12,000 tonnes this 12 months, rising to round 24,000 tonnes by 2025.