Mowi achieved first-quarter operational earnings before interest and taxes (EBIT) of EUR 196 million (USD 219.5 million) for the first-quarter of this year, representing a EUR 38 million (USD 42.6 million) improvement on the corresponding period of 2018.
The Norway-headquartered salmon farming company also reported improved operational revenues of EUR 979 million (USD 1.1 billion) in the last quarter, up from EUR 862 million (USD 965.2 million) in Q1 2018, while the total harvest volume increased by almost 23,000 metric tons (MT) and above guidance to 104,118 MT.
"Demand for our products remains strong and has resulted in high prices in all markets,” Alf-Helge Aarskog, CEO of Mowi, said. “Good operational performance and seasonally record high harvest volumes, have also contributed to good results for the group.”
The operational EBIT of its salmon of Norwegian origin in the last quarter decreased to EUR 2.07 (USD 2.32) per kilogram – down from EUR 2.26 (USD 2.53) in Q1 2018 – while improvements were confirmed in its salmon of Scottish, Canadian and Chilean origin compared to a year previously, reaching EUR 2.27 (USD 2.54), EUR 1.41 (USD 1.58) and EUR 1.47 (USD 1.65) per kilogram, respectively.
Its salmon of Irish and Faroese origin also achieved higher operational EBITs of EUR 4.38 (USD 4.90) and EUR 1.69 (USD 1.89) per kilogram respectively.
Mowi’s harvest guidance for the full year 2019 remains at 430,000 MT.
In its outlook statement, the company’s board of directors said that the salmon sector experienced “modest supply growth” in Q1 and, coupled with increased prices, the value of salmon consumed continued to grow strongly. It added that the megatrends supporting the long-term outlook of further consumption growth remain solid and that “it is up to the industry players to capitalize on the many untapped market opportunities.”
“Mowi continues to invest globally across its value chain to take advantage of these opportunities, and the recent launch of our own MOWI brand demonstrates our vision of leading the blue revolution,” the company stated.
The first-quarter also brought the launch of the MOWI brand and the Mowi Pure range in Poland, with Aaskog commenting that it was “only the beginning of the MOWI adventure,” and that it would provide “a good test” for further roll-outs in other selected markets.
Mowi states that MOWI Pure is its highest quality salmon, and it contains 20 percent more omega-3 content due to a feed that is rich in marine ingredients. The product range consists of fresh, cold smoked and hot smoked products.
