Adjusted EBITDA more than doubled as a result of higher revenues, operational improvements and continuous cost control.
Leading aquaculture biotechnology company, Benchmark Holdings has released its results for the quarter ending 30 June.
Adjusted EBITDA from continuing operations for the quarter was 110 per cent up at £4.4 million against £2.1 million in Q3 2020 as a result of higher revenues and ongoing cost control. Year to date adjusted EBITDA at £12.4 million was £2.6 million – 27 per cent up on the prior year’s £9.8 million.
Revenues were 17 per cent ahead of the prior year (+25% CER) (continuing operations) with strong performance across all business areas. Meanwhile, Genetics revenues were 21 per cent above Q3 2020 driven by higher sales of salmon eggs. The Advanced Nutrition segment saw revenues 15 per cent above the prior year reflecting growth across all product lines and continuing its good performance. And for Health, revenues were 20 per cent above the previous year – benefitting from higher Salmosan sales.
A statement accompanying the results reads, “We are very pleased with the Group’s performance in Q3 2021. Our three business areas delivered strong results, and we achieved a major strategic milestone post period end with the completion of all the regulatory steps required to commercialise Ectosan® Vet (previously code named BMK08) and CleanTreat® in Norway, our main target market for our new sea lice solution. The first sea lice treatments were delivered successfully in August 2021 generating the first commercial revenues from our new solution.”
“The continuing good performance in the year highlights the benefits of a streamlined organisation with a clear commercial focus. In addition, we have seen some recovery from Covid-19 in our end markets, particularly in shrimp, as Covid-19 restrictions ease and the hospitality sector reopens. While conditions in some shrimp producing countries including India remain difficult there is positive momentum and significant upside potential to reach pre Covid-19 levels. The salmon market remains stable with price recovery after a drop relating to Covid-19 and the Mediterranean sea bass/sea bream market has substantially recovered.”