Norway Royal Salmon’s first quarter results affected by poor performance in Region South

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Norway Royal Salmon (NRS) reports an operational EBIT of EUR 16.7 million first-quarter and EBIT per kilo of EUR 2.28. Corresponding figures for the same quarter last year were EUR 19.7 million and EUR 1.91.

“We are pleased with the operation in our main region, Region North, during the quarter. It is particularly gratifying to see that Finnmark continues the positive trend. Region South has harvested from the same site as in the previous quarter, with announced high production costs due to biological challenges. An important milestone has also been reached in the quarter by harvesting the first salmon from Arctic Fish on Iceland with a good biological result”, said CEO Charles Høstlund in a stock exchange announcement.

Region North posted an operational EUR 18.2 million in the quarter, compared with EUR 18.8 million in the same quarter last year. Operational EBIT per kilo gutted weight was EUR 2.6 compared with EUR 1.96.

Region South posted an operational EBIT of EUR 254,621 in the quarter, compared with EUR 2.1 million in Q1 2018. Operational EBIT per kilo gutted weight was NOK EUR 0.24, from EUR 1.59 in the same quarter last year.

NRS harvested 8,096 tonnes gutted weight in the quarter, which is 26 per cent lower than in the same quarter last year. 7,016 tonnes of the total volume were harvested in Region North and 1,080 tonnes in Region South.

Estimated harvest volume for 2019 is 37,500 tonnes. The sales business sold 22,838 tonnes of salmon during the quarter, approximately the same as in the corresponding quarter last year.

“We continue to develop the company and have continued working on our investment program. It is, therefore, gratifying that we recently could announce that Fosen Yard will build the cages for our offshore aquaculture facility, Arctic Offshore Farming. We are now developing new technology that will contribute to developing the industry further, and create a number of jobs along the coast,” said Charles Høstlund.