Welcome to FIS   Sponsored By
Subscribe to FIS | Register with FIS | Advertise with FIS | Newsletter | About FIS | Contact us
If you would like to send us an article, contact Margaret Stacey
   


Packaging line of salmon products. (Photo: SalMar)

High prices outweigh biological challenges for SalMar

  (NORWAY, 2/27/2014)

SalMar informed that continued high prices produced strong results for the company in the fourth quarter, despite continued biological challenges. 

"We are pleased with the results, but are conscious that they are due mainly to a strong market and high salmon prices. Biological challenges linked to PD and salmon lice remain an issue, with the impact on cost levels that this entails," says SalMar's CEO, Leif Inge Nordhammer.

Operational EBIT came to NOK 348 million (USD 57.5 million) at the close of the period, a marginal decrease from the previous quarter, but a substantial NOK 222 million (USD 36.7 million) increase compared with the same period the year before.

Operational EBIT for 2013 as a whole totalled just over NOK 1.2 billion (USD 198.3 million), the highest in the Group's history.

The average price of salmon was 55 per cent higher in the fourth quarter than in the corresponding period the year before.

SalMar's gross operating revenues totalled NOK 1.8 billion (USD 297.5 million), up some NOK 500 million (USD 82.6 million) on the fourth quarter 2012.

The Group harvested a total of 34,100 tonnes of salmon during the period (29,600 tonnes), which resulted in an overall operational EBIT per kg in the fourth quarter of NOK 10.20 (USD 1.69) compared to NOK 4.26 (USD 0.70) in the same period the year before.

The company says that operational developments during the quarter may still be described as challenging, though regional variations are substantial.

Operations and profitability in the SalMar Central Norway and Rauma segments remain affected by efforts to deal with PD-related issues, while salmon lice are a growing problem in both areas. Profitability in SalMar Northern Norway has returned to historic high levels. Villa Organic also made progress with regard to cost levels, although it will still be some time before SalMar reaches its targeted cost level in the segment.

The Sales & Processing segment achieved a consistently high level of productivity through the quarter, despite the increased proportion of PD-infected fish being harvested. However, the segment's financial performance was negatively affected by the Group's fixed-price contracts.

Despite the biological challenges, SalMar says 2013 was an extremely good year for the comany, as high salmon prices and substantial non-recurring gains resulted in record earnings for the Group.

The board of directors considers SalMar's financial position to be very good, and is therefore recommending a dividend of NOK 8 per share. In the opinion of the board, SalMar has ample financial capacity for further growth.

As for the outlook, the Group says that based on estimates of the existing biomass, supply of Atlantic salmon is expected to be limited during this year.

In Norway, output of Atlantic salmon is forecast to increase by around 7 per cent to just over 1.2 million tonnes, while growth in Chile is expected to flatten out, with a total output expected to reach 477,400 tonnes, up 2 per cent on 2013.

Only minor changes in volume are expected in the other regions, so the overall output of Atlantic salmon is expected to rise by some 5 per cent in 2014.

SalMar expects to harvest 133,000 tonnes in Norway in 2014, with output from Norskott Havbruk (Scottish Seafarms) forecast at 25,000 tonnes in 2014.


[email protected]
www.fis.com


Information of the company:
Address: Fv410
City: Kverva
State/ZIP: (NO-7266)
Country: Norway
Phone: +47 7244 7900
Fax: +47 7244 7901
E-Mail: [email protected]
More about:


Location:

View SalMar in a larger map


Approval / Accreditation / Certified / Oversight by...
GMP/Good Manufacturing Practice  HACCP  ISO   UKAS  E.U.  USDA/USDC & FDA  RF (Russia)  BRC (British Retail Consortium) 
EFSIS/European Food Safety Inspection Service 



 Print


Click to know how to advertise in FIS
MORE ARTICLES
Seafood Icon Celebrates Its 30th Anniversary
Time-Temperature Solution Perfect for Reduced Oxygen Packaging
Strong Operational Earnings for Marine Harvest in Q4
Russian Fishery Company Increases Deep Processing of Pollock on Trawlers
Red Lobster Reveals Seafood With Standards Commitments
Aquabyte Aims to Transform Fish Farming Through Computer Vision and Machine Learning
New Design for SeaPak´s Seafood Product Line Hits Shelves
Meijer Chefs Offer Tips on How to Enjoy Smoked Atlantic Salmon
SafetyChain Software and Safe Quality Seafood Associates Announce Partnership
Produttori Ittici Trevigiani Certified as Sustainable for Rainbow Trout
From Boat to Door-Step
Pacific Seafood is World’s First to Offer Four-Star BAP Oysters
Swiss Company Burgerstein Attains Friend of the Sea's Certification for Omega-3 Fish Oil
New Digimarc Barcode for Thermal Labels Simplifies Retail Checkout and Reduces Product Shrink
AFT Holdings Creates All About Healthy Foods
iFresh Announces Exclusive Agreement with Sunray Venus
Crown Prince Attains Sustanable Certification for Sardines and Anchovies
The Saucy Fish Co. Expands Into Europe
Biomega Natural Nutrients Earns Sustainable Certification for Omega-3
Camanchaca Obtains Sustainable Certification for Fish Meal and Fish Oil
More Articles...

Lenguaje
FEATURED EVENTS
  
TOP STORIES
Scanning techniques, another tool to address abuses in the fishing industry
Thailand The Government of Thailand is reinforcing measures to eliminate human trafficking in its fisheries industry, following claims of widespread abuse by a human rights group.
Australia´s shellfish reefs show worrying decline
Australia A new research confirms that around 90-99 percent of Australia’s shellfish reefs have disappeared, making them the most threatened ocean ecosystem.
Half of Spanish restaurants serve fish other than those offered
Spain One out of every two of 204 restaurants analyzed in Spain serves fish dishes that do not correspond to what is indicated in the menu, according to the study led by the AZTI technological center. Mo...
Malaysia's largest tuna processing plant planned for Perak
Malaysia The country's largest tuna processing plant will be built in Hutan Melintang, in Bagan Datuk District, Perak, in the near future.
 
Maruha Nichiro Corporation
Nichirei Corporation -Headquarter-
Pesquera El Golfo S.A.
Ventisqueros - Productos del Mar Ventisqueros S.A
Wärtsilä Corporation -Wartsila Group Headquarter-
ITOCHU Corporation -Headquarter-
BAADER - Nordischer Maschinenbau Rud. Baader GmbH+Co.KG (Head Office)
Inmarsat plc - Global Headquarters
Marks & Spencer
Tesco PLC (Supermarket) - Headquarters
Sea Harvest Corporation (PTY) Ltd.
I&J - Irvin & Johnson Holding Company (Pty) Ltd.
Blue Continent Products (Pty) Ltd - (Oceana Group Limited)
Pesquera San Jose S.A.
Nutreco N.V. - Head Office
CNFC China National Fisheries Corporation - Group Headquarters
W. van der Zwan & Zn. B.V.
SMMI - Sunderland Marine Mutual Insurance Co., Ltd. - Headquarters
Icicle Seafoods Inc. -Headquarter-
Starkist Seafood Co. - Headquearters
Trident Seafoods Corp.
American Seafoods Group LLC - Head Office
Marel - Group Headquarters
SalMar ASA - Group Headquarters
Sajo Industries Co., Ltd
Hansung Enterprise Co.,Ltd.
BIM - Irish Sea Fisheries Board (An Bord Iascaigh Mhara)
CEFAS - Centre for Environment, Fisheries & Aquaculture Science
COPEINCA ASA - Corporacion Pesquera Inca S.A.C.
Chun Cheng Fishery Enterprise Pte Ltd.
VASEP - Vietnam Association of Seafood Exporters & Producers
Gomes da Costa
Furuno Electric Co., Ltd. (Headquarters)
NISSUI - Nippon Suisan Kaisha, Ltd. - Group Headquarters
FAO -Food and Agriculture Organization- Fisheries and Aquaculture Department (Headquarter)
Hagoromo Foods Co., Ltd.
Koden Electronics Co., Ltd. (Headquarters)
A.P. Møller - Maersk A/S - Headquarters
BVQI - Bureau Veritas Quality International (Head Office)
UPS - United Parcel Service, Inc. - Headquarters
Hamburg Süd Group - (Headquearters)
Armadora Pereira S.A. - Group Headquarters
NOAA - National Oceanic and Atmospheric Administration (Headquarters)
Omega Protein Corporation -Headquarter-
Marona S.A.
Marine Harvest ASA - Headquarters
Marubeni Europe Plc -UK-
Findus Ltd
Icom Inc. (Headquarter)
WWF Centroamerica
Oceana Group Limited
The David and Lucile Packard Foundation
Ajinomoto Co., Inc. - Headquarters
Friosur S.A. - Headquarters
Cargill, Incorporated - Global Headquarters
Benihana Inc.
Leardini Pescados Ltda
Mitsubishi Corporation Marine Products Depts. D.Team
CJ Corporation  - Group Headquarters
Greenpeace International - The Netherlands
David Suzuki Foundation
Fisheries and Oceans Canada -Communications Branch-
Mitsui & Co.,Ltd - Headquarters
NOREBO Group (former Ocean Trawlers Group)
Natori Co., Ltd.
Carrefour Supermarket - Headquarters
FedEx Corporation -Headquarter-
AKBM - Aker BioMarine ASA
Seafood Choices Alliance -Headquarter-
Austevoll Seafood ASA
Walmart / Wal-Mart Stores, Inc. (Supermarket) -Headquarter-
New Japan Radio Co.Ltd (JRC) -Head Office-
Gulfstream JSC
INVE Group - Head Office
Marine Stewardship Council - MSC Worldwide Headquarters
Royal Dutch Shell plc (Headquarter)
Genki Sushi Co.,Ltd -Headquarter-
Iceland Pelagic ehf
AXA Assistance Argentina S.A.
Caterpillar Inc. - Headquarters
Tiger Brands Limited
Morpol ASA - Group Headquarters
SeaChoice
National Geographic Society
AmazonFresh, LLC - AmazonFresh

Copyright 1995 - 2018 Fish Info & Services Co.Ltd| All Rights Reserved.   DISCLAIMER