Vega Salmon posts net profit after being in the red last year

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Now the Danish Danish salmon processor wants to increase earnings, partly by closing its Swedish branch.

According to JydskeVestkysten, the company has a fiscal year variant that ended on June 30th. The revenue was €188m in 2016/2017, an increase of 40 percent from 2015/2016. The reason was high salmon prices.

At the same time, profit after tax and financial expenses amounted to a modest €108.589 but this shows solid progress from minus €2m.

Operating profit ended at €1.8m 2016/2017, while it was minus €1.4m in 2015/2016.

Moved headquarters
The company has made a number of changes recently.

Last year, the company moved the headquarters from Esbjerg to Kolding. Later, it decided to shut down its production in Swedish Horvik by the end of June 2018, and also aims to expand its large-scale production in North German Handewitt.

“It’s easier to execute leadership when concentrating on one location. Furthermore, there are many costs from having multiple addresses. At the same time, we have some unused capacity at the factory in Germany,” said CEO Michael Budtz Berthelsen.

Norwegian salmon
Berthelzen says that the company would like to have customers with whom it can enter into long-term relationships.

The company is largely supplied with salmon from Norway, and has smoked and marinated salmon as its best-selling products.

The main shareholder is Maj Invest Equity, which acquired the business in 2012. The company has 30 employees in Kolding, while there are between 300-500 people working at the German factory, depending on the season.