AquaChile turns loses into gains in third quarter, but sales are lower
Major farmed salmon and trout producer AquaChile has reported positive results in its third quarter report. However, the totals were not nearly enough to overcome a cumulative loss in 2016 of tens of millions of dollars caused by the toxic algae bloom in February and March, which resulted in large-scale salmon mortalities in Chilean waters.
The Puerto Montt, Chile-based company recorded a third-quarter profit of USD 8.9 million (EUR 8.4 million), the result of higher prices for salmon on the international market. However, it remains USD 28.7 million (EUR 27 million) in the red for 2016 as of 30 September, primarily due to USD 43.5 million (EUR 41 million) in expenses accrued from managing the fallout of the algae bloom, including emergency harvesting and transfer of live fish to farms in areas with lower risk of exposure to the bloom.
AquaChile’s reported figures compare favorably to a year ago, when third-quarter losses totaled USD 21 million (EUR 19.8 million) and year-to-date losses reached USD 68.9 million (EUR 65 million).
The company had USD 403.6 million (EUR 380.7 million) in sales in the third quarter, down 15 percent over the same period from 2015. However, the company managed to lower its operating costs by 20 percent, it said.
Consolidated EBITDA resulted in a loss of USD 6.3 million (EUR 5.9 million) in the third quarter. The company said it was hurt by lower margins for Pacific salmon, but helped by higher profit margins in its sales of Atlantic salmon, trout and tilapia, which it said helped minimize losses.