Chilean salmon farmer Salmones Camanchaca recorded US $ 15.7 million of net profit, a revenue growth of 55.7% driven by doubling harvesting volumes, reaching 9,589 tons in Q1 2018.
The Oslo-listed company achieved an EBITDA of US$ 18.5 million, unchanged from Q1 2017, but up 16% when Trout business is excluded. Liveweight ex-cage cost continued below US$3 per kilo, and expected harvest volume is maintained at 45,000 to 48,000 tons.
Operating revenue ended at US$ 80.6 million in the first quarter of 2018, up 56% from US$ 51.8 million in the first quarter of 2017. The strong growth was driven by the increase in sales volume, which was up by 97% compared to Q1 2017, in line with an increase in harvesting volume of 99% in the same period, reaching 9,589 tons in Q1 2018. In the same period of 2017, the harvests were lower after the decision taken in 2015 not to stock two farming sites.
“Overall, Q1 2018 was a solid quarter. We saw important growth at our harvests and sales volumes, reflecting better the capacities of Salmones Camanchaca; a cost that follows our target to be below 3 dollars per kilo of live fish; and maintaining our estimated harvest volume of 45,000-48,000 tons for 2018 as a whole. Meanwhile, the selling prices were lower than those of the first quarter of last year, when we had historical record price levels. Anyway, the evolution of salmon price has been very favorable since March onwards, getting close the prices we saw at the beginning of the previous year” says Vice Chairman Ricardo García.
In effect, the sales volumes were partially offset by lower salmon prices. The average price for Atlantic salmon was US$ 6.3 per kg in the first quarter of 2018, 13% lower than the record price of the first three months of 2017, reflecting a normalization of the Chilean supply conditions during the season.
“If the current price and cost ranges are maintained, we are confident that the company’s results will continue improving” García concluded.