Massive write down shakes Benchmark

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Benchmark peels GBP 61.5 million from full year results.

The British fish health company, which, among other things, owns the two breeding companies SalmoBreed and Stofnfiskur, is taking a loss of GBP 61.5 million in the last quarter of the year.

The reason is heavy write-downs.

The London Stock Exchange its share price plummeted by nearly a third – at 27.6 per cent.

The losses were mainly attributable to intangible assets in the Advanced Nutrition segment, where the company recorded a write-down of GBP 44.8 million due to a negative outlook. At the same time, write-downs of £ 6.9 million are taken for assets related to assets put up for sale.

The company also reports weaknesses in the important shrimp and sea bass / sea bream markets during the period.

SalmonBusiness warned in a comment piece in February this year that: “Benchmark Holdings halves on the stock exchange, but it’s still not cheap”. After that time, the stock has almost halved again.

“Gold can be bought for too much, and so has the history shown in this case,” said SalmonBusiness.

Norwegian Ferd and Kverva are the largest shareholders in Benchmark Holding.

There was no statement from Peter George who took over as Executive Chairman following Malcolm Pye’s resignation as CEO in August. Septima Maguire joined the company post period end in November and was appointed CFO on 20 December.