Lerøy 2017 earn­ings and prof­its hit new record

Fish Farmer - - News -

THE Lerøy Seafood Group re­ported an eight per cent rise in rev­enues last year to a record high of NOK 18,624 mil­lion (£1.7 bil­lion) in what it de­scribes as a de­mand­ing and ex­cit­ing year.

And the op­er­at­ing profit also hit record lev­els, ris­ing to NOK 3,317 mil­lion (£303.5 mil­lion) from NOK 2,843 mil­lion in 2016.

The profit be­fore tax and fair value ad­just­ment re­lated to bi­o­log­i­cal as­sets in 2017 was NOK 3,805 mil­lion com­pared with NOK 2,926 mil­lion in 2016.

This, said the com­pany, rep­re­sents the high­est rev­enue, high­est op­er­at­ing profit be­fore fair value ad­just­ment re­lated to bi­o­log­i­cal as­sets and high­est profit be­fore tax and fair value ad­just­ment re­lated to bi­o­log­i­cal as­sets in any year in the group’s his­tory.

The Lerøy Seafood Group (which part owns Scot­tish Sea Farms) is not only a Nor­we­gian fish farm­ing gi­ant, but it also op­er­ates a large con­ven­tional white fish trawler fleet (for­merly Hav­fisk) and as­so­ci­ated pro­cess­ing fa­cil­i­ties through the Nor­way Seafoods Group, which it ac­quired in Oc­to­ber 2016.

CEO Hen­ning Bel­tes­tad said: ‘We can look back on one of the most ex­cit­ing and de­mand­ing years in the group’s his­tory. 2017 saw the proper im­ple­men­ta­tion of our strat­egy to in­te­grate white fish into the group’s well es­tab­lished value chain for red fish.

‘We are ex­pe­ri­enc­ing pos­i­tive de­vel­op­ment in our down­stream op­er­a­tions and we can re­port suc­cess­ful op­er­a­tions within fish farm­ing.’

In Q4 2017, rev­enues to­talled NOK 4,567 mil­lion, com­pared with NOK 4,924 mil­lion in Q4 2016. The har­vest vol­ume in Q4 2017 to­talled 42,000 tonnes gut­ted weight of salmon and trout, up eight per cent on Q4 a year ear­lier.

Bel­tes­tad added: ‘Im­prove­ments in bi­o­log­i­cal per­for­mance for the en­tire Nor­we­gian fish farm­ing in­dus­try in 2017 re­sulted in a higher har­vest vol­ume in Nor­way, which in turn put pres­sure on salmon prices to­wards the end of 2017. Lerøy has close links with the end mar­ket, and we con­tinue to ex­pe­ri­ence very strong de­mand for seafood and salmon.’

Above: Hen­ning Bel­tes­tad

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