For Cermaq, Chile’s revival offsets low prices
A strong performance in Chile offset a challenging global salmon market, as Cermaq posted a 12 percent increase in operating revenues in the third quarter of 2012, to NOK 3.5 billion.
However, the Norwegian company also reported a 19 percent drop in operating income, to NOK 348 million, as salmon prices are off about 30 percent from a year ago.
In the third quarter of 2011, Mainstream, Cermaq’s salmon-farming division, posted revenues of NOK 719.3 million, down from NOK 842.2 million, and operating income of NOK 61.2 million, down from NOK 230.1 million. It sold 23,300 metric tons of salmon, up from 21,400 metric tons.
“Although low salmon prices and the challenges in Finnmark have hampered Mainstream’s third quarter result, I appreciate that Mainstream Chile again delivers a very strong result, based on good biological performance and increased volumes for all species,” said Tore Valderhaug, Cermaq’s acting CEO.
In the third quarter of 2011, EWOS, Cermaq’s fish-feed division, reported revenues of NOK 3.2 billion, up from NOK 2.6 billion, and an operating income of NOK 290.3 million, up from NOK 238.3 million. It sold 371,000 metric tons of fish feed, up 20 percent from the same period in 2010, thanks partly to strong demand in Chile.
“The strong growth in EWOS is a result of a long-term focus on innovation and product development that also going forward is expected to be appreciated by our customers,” added Valderhaug.