Record half year revenue for SSC
THE Scottish Salmon Company has reported a 25 per cent increase in revenue in the first half of this year compared to 2016, to a record £72 million.
Harvest volumes, though, were down on last year’s, from 13,123 tonnes to 11,617 tonnes, due to bringing harvests forward in the second half of 2016, reducing availability for 2017.
The strong performance was supported by the buoyant market, increased mean weights of harvested stock and a continued focus on improving operational efficiency, said the company.
Growing demand for salmon, particularly of Scottish provenance, improved the price and subsequently earnings have risen substantially year on year with EBIT/kg before fair value adjustment of £1.65 (H1 2016: £0.39).
The SSC said that while biological challenges remain, its ability to manage the situation has improved significantly compared to last year.
Exports accounted for 52 per cent of all sales value, compared to 42 per cent in the first half of last year, with new markets in the Far East and an expanded presence in North America.
Consent was secured for an additional 2,000 tonnes at a site at Portree on the Isle of Skye, with a number of other proposals for site development underway. The Portree site will be stocked in 2018, with first harvests
anticipated in late 2019.
Craig Anderson, CEO of the company, said: ‘Demand for premium quality Scottish salmon across the globe has never been higher and we have maximised the opportunities this provides, evidenced by a record half year performance.
‘Export sales have risen exponentially in key territories like Japan, where we have just exhibited at the Seafood Expo. The response to our products has been overwhelmingly positive, particularly our unique Native Hebridean Salmon which has such a strong provenance story.
‘Our strategy for long term sustainable growth is paying dividends, with another site expansion consented in the period and a robust pipeline in place.
‘Our programme of site development and securing long-term customer relationships at home and overseas are the fundamentals which underpin this growth strategy and remain our key focus for the remainder of 2017.’