Operating profit at EUR 53,5 million for Bakkafrost in Q2

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The total volumes harvested in Q2 2019 were 12,609 tonnes gutted weight.

Bakkafrost reports on Tuesday morning that the company received operating EBIT of EUR 45,4 million in the second quarter of the year. The harvest volume was 12,609 tonnes. This means an EBIT per kilo of EUR 3,14, compared with EUR 3,76 during the same quarter last year.

For the first half of the year, the harvest volume was 26,316 tonnes, compared with 25,139 tonnes in H1 last year. The company expects to harvest 54,500 tonnes of gutted weight in 2019.

“Even though the salmon price was 9 percent lower in the second quarter of 2019, compared to Q2 2018, the result for Bakkafrost was good for the second quarter. Bakkafrost is well on track with the investment plan, which includes investments of around DKK 3 billion (EUR 402 million) during the period 2018-2022. An important part of the plan is investments in the capacity to produce larger smolts. We now have clear indications from our operation that our large-smolt strategy – together with the use of lumpfish and mechanical (non-medical) sea lice treatments – is working as intended. Our salmon is only treated with lumpfish, pressurized seawater showers and with fresh water. We are very pleased with not having a single site above the threshold level for sea lice during the quarter,” says CEO Regin Jacobsen.

The combined salmon farming and VAP segments had operating EBIT of EUR 40,7 million in the second quarter of the year. Prices achieved in this quarter have had a positive effect on operating profit, according to the quarterly report.

Bakkafrost released 3.6 million smolts in Q2 (2.8 million in Q2 2018). The total release in H1 this year is 5.3 million smolts, compared with 5.9 million smolts in the first half of last year. In total, the company expects to release 13.5 million smolts this year, compared to 12.6 million smolts in 2018.

The feed division Havsbrún collected 110,109 tonnes of raw material. For the first half of the year, a total of 225,639 raw materials were collected. Havsbrún’s sales of fish feed are expected to be around 85,000 tonnes, depending on external sales.

Havsbrún landed at EUR 7,8 million in EBITDA – down from EUR 8,9 million in Q2 2018. The EBITDA margin in the second quarter was 20.6 percent (20.2 percent in Q2 2018).