BioMar, the Denmark-based aquaculture feed producer, reported a decline in sales volumes in the third quarter of 2024 compared to the previous year.
BioMar reported a dip in third-quarter sales volumes but maintains its full-year earnings guidance, projecting a strong 2024 result. Despite a reduction in revenue attributed to stable volumes and lower raw material costs, the company’s earnings improved, driven by increased operational efficiencies and a focus on fostering long-term customer relationships, according to a release from the company.
Revenue expectations for 2024 have been slightly adjusted downward due to a mix of factors, including challenging biological conditions affecting production in Norway, an energy crisis impacting shrimp feed production in Ecuador, and credit risk management efforts in the Mediterranean.
“In general, we are performing well across divisions despite challenges related to biological conditions in Norway and the Ecuadorian energy crisis,” said BioMar CEO Carlos Diaz. “Given our strong momentum and solid outlook, we will slightly narrow the full-year EBITDA expectations for 2024 to the level of DKK 1,410-1,460 million.”
Alongside the quarterly results, BioMar’s parent company, Schouw & Co., announced a review of a potential separate listing for BioMar. Diaz noted that a possible listing could provide “the right platform for BioMar to continue our growth trajectory.” If pursued, Schouw & Co. intends to remain the majority shareholder and support BioMar’s growth through organic and acquisitive strategies.
