Norwegian seafood farmer Grieg Seafood reported a slight improvement in 3Q 2015 over last year, but the company is still struggling with losses in part due to restructuring.
The company had a write-down of NOK -50 million (USD -5.8 million, EUR -5.2 million) due to divesting its processing facilities in Shetland. It also announced it was terminating production of Pacific and coho salmon in British Columbia, Canada, which added up to a loss of earnings before interest and taxes (EBIT) of NOK -19 million (USD -2.2 million, EUR -2 million).
Overall, the company reported a 3Q total EBIT of NOK -44 million (USD -5.1 million, EUR – 4.7 million), which is an improvement over the NOK -52.7 million (USD -6.1 million, EUR -5.7 million) reported in the same quarter last year.
The company reported price per kilogram was down on Rogaland in part because of low harvest volume, prompting the company to announce a renewed effort to improve overall volumes.
“The company is not satisfied with the trend in the harvested volume and, as yet, has been unable to extract the potential available under existing concessions,” the company wrote. “Clearly defined targets will be set in each region for the next 4-year period. Plans are also in hand to broaden our internal smolt capacity in Norway within the same 4-year period. The overall effect of this should be a 10 percent annual increase in production in the period 2017-2019.”
