In what should be one of its last earnings statements ahead of its official takeover by Agrosuper, Chilean salmon farmer AquaChile posted gains in its consolidated sales and profits during the second quarter of 2018 and has now posted eight consecutive quarters of profits.
In the beginning of August, Chilean proteins giant Agrosuper announced a deal worth USD 850 million (EUR 736.4 million) to purchase a majority share of AquaChile. The deal must still be approved by Chilean authorities.
AquaChile has posted profits in eight consecutive quarters, and these results come despite a drop in salmon prices that affected its sales. The company’s biggest seller, Atlantic salmon, saw its average sales price drop eight percent in the second quarter. This species represents 47 percent of the company’s total sales and 57.8 percent of its proprietary line of finished products.
According to its Q2 2018 earnings statement, the increased sales volume for the company compensated for lower prices internationally. Sales for the second quarter grew 24 percent compared to the same period last year to reach USD 149.9 million (EUR 130 million). Costs for the period rose 33 percent, to USD 117.4 million (EUR 101.8 million), leaving an operational margin of USD 31.5 million (EUR 27.3 million), down one percent compared to the same period last year.
EBITDA before fair value fell four percent to USD 25.4 million (EUR 22 million), and the company’s bottom line was benefited by the sale of 49 percent of Salmones Chaicas, which combined with its operational and financial results amounted to a profit of USD 30.7 million (EUR 26.6 million), a 501 percent increase year-over-year.
When analyzing the combined result of the first half, AquaChile saw its sales rise five percent to USD 333.9 million (EUR 289.5 million). In this period, EBITDA before fair value fell 17 percent to USD 63.4 million (EUR 55 million). Profits for this period grew 139 percent to USD 55.7 million (EUR 48.3 million) for the first half of 2018.
