Price drops take a bite out of Aker 4Q
Aker Seafoods had a productive fourth quarter in 2012, but drops in prices led to a loss of operating revenues.
According to the company’s 4Q report, revenues totaled NOK 165 million (USD 29.7 million, EUR 22.2 million), a loss of NOK 36 million (USD 6.5 million, EUR 4.9 million) compared to 4Q 2011, despite a 15 percent higher catch rate.
“Operations have been strong in the quarter with very high catch rates, however prices have been low, and achieved prices for cod are down with 24 per cent compared to the fourth quarter 2011,” said CEO Olav Holst-Dyrnes.
For the whole of 2012, the earnings before interest and taxes (EBIT) came to NOK 134 million (USD 24.1 million, EUR 18.1 million) compared to NOK 154 million (USD 27.7 million, EUR 20.8 million) in 2011. Operating revenues totaled NOK 774 million (USD 139.3 million, EUR 104.4 million), down from NOK 863 million (USD 155.4 million, EUR 116.4 million) in 2011.
“I am satisfied with the operations during 2012, however profitability has been reduced compared to 2011 as a result of lower prices of cod, saithe and haddock,” Holst-Dyrnes said.
Looking forward, Holst-Dyrnes said higher quotas will make for a better year in 2013.
“The quotas for cod are all-time-high and even with the reduction in quotas for saithe and haddock, the total quota situation for Aker Seafoods is good in 2013,” he said.