Norwegian salmon farmer Måsøval has issued a trading update for Q3 2024, revealing a preliminary operational EBIT loss of NOK 62 million ($5.6 million) and an adjustment to its annual harvest guidance.
The company now expects to harvest between 24,700 and 25,700 tonnes GWE (gross weight equivalent) this year, down from the previous target of 26,500 to 27,500 tonnes.
This downward revision follows higher-than-expected costs due to accelerated harvesting from two sites impacted by Infectious Salmon Anemia (ISA) and elevated sea lice pressures that led to additional treatments.
Costs were also heightened by logistical challenges and lower-than-average weights for harvested salmon, contributing to a challenging operating environment.
The company has also experienced substantially higher sea lice pressure, compared to what is seasonally normal in the region, and what was expected at the time of the Q2 presentation. More treatments of sea lice have hampered production resulting in a negative revision of harvest guiding for 2024.
One-time expenses related to the setup of Måsøval’s new TL52 harvesting plant impacted the results, though the plant has now begun ramping up operations since early September, according to a stock exchange update from the salmon producer on Monday.
The company notes that the updated operational figures, based on unaudited and preliminary financials, represent a weaker performance than anticipated by market analysts and investors.
Måsøval plans to release its finalized Q3 financial results on November 19, 2024.
