The Chilean salmon farming frim known until recently as Multiexport Foods, which rebranded as Multi X earlier this month, posted a turnaround of net profits in Q2 2021 thanks to 40 percent higher sales prices in its largest markets.
Multi X reported Q2 operating income of USD 150 million (EUR 127 million), surging 73.4 percent when compared to the same period of 2020 and 11.9 percent higher than the first quarter of 2021. The company attributes the increases to a strong recovery in the HORECA (hotel, restaurant, and catering) sector, and high demand from the retail sector in the U.S., with average sales prices at USD 6.17 (EUR 5.21) per kilogram whole-fish equivalent (WFE), versus USD 4.40 (EUR 3.71) per kilogram WFE in the same period last year.
The firm's operating margin before fair value came to USD 20.9 million (EUR 17.6 million), versus an operating loss of USD 15.3 million (EUR 12.9 million) seen in Q2 2020. Considering fair-value adjustments, this increased to USD 52.4 million (EUR 44.2 million) for the second quarter. Net profits reached USD 29.6 million (EUR 25 million) for Q2, versus net losses of USD 31 million (EUR 26.2 million) in Q2 of 2020.
Harvest volumes reached 21,570 metric tons (MT) WFE of Atlantic salmon, increasing 27.2 percent from the same period last year. The average weight was 5.05 kilograms WFE, similar to the previous quarters, with a harvest cost of USD 3.89 (EUR 3.28) per kilogram WFE, up 3 percent due to the increased price of fish feed and raw materials.
When announcing the company rebranding as Multi X on Thursday, 2 September, executives called it “a new milestone in the history of Multiexport Foods,” emphasizing the company’s commitment to sustainable development and in defining products for different types of consumers around the world. They said the company's focus is on continuing to produce seafood products that are healthy, nutritious, and versatile.
Founded in 1987, Puerto Montt, Chile-based Multi X has more than 2,400 employees and produces approximately 100,000 MT of salmon a year, with expectations to increase this to 125,000 MT by 2023. It has productive activities in southern Chile’s regions IX, X, XI, and XII and is present throughout the salmon production chain from reproduction to distribution to more than 30 countries.
Photo courtesy of Multi X
