Faeroes salmon producer Bakkafrost Group on Wednesday released its first-quarter results.
The company posted a net profit of DKK 46.2 million (USD 7.6 million, EUR 6.2 million), up from DKK 15.9 million in the first quarter of 2009, and operating revenues to DKK 190.4 million (USD 31.3 million, EUR 25.6 million), up from DKK 185.7 million.
Bakkafrost said its financial performance will be negatively affected in the short-term by the transition from trout and salmon production to strictly salmon production at the company's Farming West division.
In the first quarter of 2010, production totaled 5,744 metric tons (gutted weight), down 22 percent from the time period in 2009. Production is still expected to reach about 60,000 metric tons in 2010 and again in 2011.
"The results represent, as previously announced, a quarter in which we implemented the change of strategy in the Farming West division … to pure salmon production," said Bakkafrost CEO Regin Jacobson. "In the transition period in the first half 2010, this has a negative impact on the overall results and on harvested volumes. We expect, however, from the second half of 2010, harvested volumes will start to increase again, which should be reflected in the results following the transition."
