Leroy hits half-year prof­its high

Fish Farmer - - European News - Above:

THE Lerøy Seafood Group, whose op­er­a­tions in­clude both fish farm­ing and con­ven­tional trawl­ing, is the lat­est Nor­we­gian aqua­cul­ture busi­ness to an­nounce an over­all pos­i­tive per­for­mance for the sec­ond quar­ter of this year.

The op­er­at­ing profit (be­fore fair value ad­just­ment) was NOK 801 mil­lion com­pared with NOK 760 mil­lion in Q2 2016.

This cor­re­sponds to op­er­at­ing profit on lower har­vest fig­ures of NOK 27.3 per kg against NOK 18.5 per kg in Q2 2016.

The group re­ported rev­enues of NOK 4,224 mil­lion, com­pared with NOK 4,262 mil­lion in the same pe­riod in 2016.

But the har­vest vol­umes of salmon were down by 36 per cent on Q2 2016.

But the group said these fig­ures must be viewed in light of the high har­vest vol­ume in Q1 2017. For 2017 as a whole, the har­vest vol­ume is ex­pected to be higher than last year.

Again, in­clud­ing the 2017 Q1 fig­ures, the group’s rev­enue for the first half of this year was NOK 9,684 mil­lion, up 20 per cent on the equiv­a­lent six months of last year.

The first half op­er­at­ing profit was NOK 2,078 mil­lion, sub­stan­tially up on the com­pa­ra­ble 2016 fig­ure of NOK 1,345 mil­lion. The first half pre-tax profit fig­ure was NOK 2,134 against NOK 1,367 in 2016.

Lerøy CEO Hen­ning Bel­tes­tad said: ‘Salmon and trout prices re­main at a high level and, as a re­sult, Lerøy Seafood Group can report its high­est rev­enue and high­est op­er­at­ing profit in any hal­fyear pe­riod in the group’s his­tory.

‘As pre­vi­ously re­ported, the har­vest vol­ume for salmon and trout is down from the same quar­ter last year, but for the year as a whole, how­ever, the har­vest vol­ume is ex­pected to be higher than in 2016.’

Bel­tes­tad added: ‘The sus­tained high price level for salmon is, how­ever, strongly af­fected by the fact that the Nor­we­gian fish farm­ing in­dus­try has not in­creased pro­duc­tion since 2012.

‘In the near fu­ture, it will be of de­ci­sive im­por­tance for the long-term com­pet­i­tive­ness of this in­dus­try that Nor­way grad­u­ally starts to in­crease pro­duc­tion.’

Nor­way must start to in­crease pro­duc­tion

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