Lerøy reports record half-year turnover

THE Lerøy Seafood Group, one of the few companies with a significant combined salmon farming and conventional fishing business, announced impressive second quarter results for this year.

The company, which owns 50 per cent of Scottish Sea Farms, reported total revenues of NOK 5,042 million (£465 million), compared to NOK 4,224 million (£389 million) in the same period in 2017.

The operating profit before fair value adjustment related to biological assets was higher this year at NOK 1,000 million (£92.2 million), compared to NOK 801 million (£74 million) in Q2 2017.

Lerøy said the increase in profit can mainly be attributed to a higher harvest volume for salmon and trout.

This corresponds to an EBIT per kilo before value adjustment related to biological assets in Q2 2018 of NOK 23.4 compared to NOK 27.3 for the same period in 2017.

The group said first half revenues totalled NOK 10,042 million (£926 million), up four per cent on the equivalent period last year.

This is the highest turnover ever reported by Lerøy for a first half year. The operating profit before fair value adjustment related to biological assets for the first half of 2018 was NOK 1,960 million (£180.7 million) compared with NOK 2,078 million (£191.6 million) for the first half of 2017.

Lerøy CEO Henning Beltestad said: ‘The salmon and trout prices in Q2 2018 were extremely volatile and remain at a high level.

‘The high prices and increased harvest volume in the quarter are the main factors behind the highest second quarter operating profit in the Lerøy Seafood Group’s history.’