Grieg announces best quarter yet

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Grieg Seafood has reported its best quarter to date with an operating EBIT or operating profit of NOK 986 million (about £85m).

This compares with just NOK 44m (£3.8m) for the same period last year.

The performance was driven by exceptionally high salmon prices which were a major feature during the April to June period, but also a strong biological performance.

The company said there was good seawater production in all regions, with a stable supply rate and a high survival rate for the company’s first fish in Newfoundland.

The harvest during this period was 5,900 tonnes higher at 23,700 tonnes, producing an operating EBIT or profit per kg of NOK 41.6 (£3.61). The equivalent for the same period last year was NOK 2.4 (£0.21).

Grieg sold its Shetland and Scotland business to Scottish Sea Farms last year for £164m, deciding instead to concentrate on Norway and Canada.

CEO Andreas Kvame said: “As a continuation of the positive trend in Q1, Q2 2022 has also become historic.

“Due to the strongest market in the industry, coupled with solid production, I am proud to present the best Grieg Seafood result in one quarter.

He added: “I would like to sincerely thank all my dedicated and hard-working colleagues in both agriculture and sales for their efforts and achievements during the quarter. In line with the strategy of our integrated sales organization, we have successfully accelerated some of the harvests to take advantage of the high prices in the market. ”

The company said Norway delivered record results for the quarter, fuelled by high prices and good biological results. Both Rogaland and Finnmark were positively influenced by the high price performance due to the high average harvest weight and the positive development of costs.

The results in British Columbia were solid, driven by good price performance thanks to high-quality VAP (value added production) products, as well as stable harvest costs from sites with good biological yield.

Grieg also said the fish transferred to the sea in Newfoundland are doing well, have a high survival rate and no sea lice problems. Currently, two million smolts have been transferred to the sea, and the harvest began in late 2023.

Andreas Kvame, CEO Grieg Seafood

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