Salmon Evolution expects to soon reach steady state production of 7,900 tonnes HOG per year in Phase 1 of its hybrid flow-through/RAS facility in Norway.

Encouraging result for land-based Salmon Evolution

Norwegian company's fish farming segment made operating profit of £1.34m in Q1

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Norway land-based fish farmer Salmon Evolution harvested 901 tonnes (head on gutted) of Atlantic salmon in the first quarter of this year, and its farming segment made an operating profit (operating EBIT) of NOK 18.2 million (£1.34m).

Farming segment EBITDA (earnings before interest, tax, depreciation, and amortisation), which is another measure of financial performance, was NOK 36.2m, up from just NOK 43,000 in the previous quarter. EBITDA per kilo was NOK 40.2.

The wider Salmon Evolution group made an operating profit for the first time, reporting EBIT of NOK 5.8m, which the company said reflected potential and highlighted that scaling costs are covered even at a relatively modest harvest volume. Overall profit/loss for Q1 was NOK -1.2m.

Group revenues were NOK 100.3m, primarily from sales from harvested fish.

Salmon Evolution made an operating profit of NOK 18.2m in Q1.

“In Salmon Evolution we have a vision to grow salmon on land with excellent biology in a highly profitable way,” said chief executive Trond Håkon Schaug-Pettersen.

“The strong results in the first quarter are a testament to this and truly demonstrates that Salmon Evolution has established a unique, efficient, and profitable growth platform. We are only at the start of our journey.”

Salmon Evolution ended Q1 with a record high standing biomass of almost 2,700 tonnes live weight.

It said run-rate biomass growth supported the company reaching its target of 7,900 tonnes HOG in annual harvest during the second half of this year.

Opportunities to improve

“Long-term we anticipate continuing past this point, as we see numerous opportunities optimising feed, biology and improvements to the production plan,” the company said in a presentation document of its results.

Salmon Evolution said preparation for a second phase of its hybrid flow-through-recirculation facility on the island of Indre Harøy is progressing as planned. Phase 2 will double capacity to around 16,000 tonnes HOG.

A final investment decision will be taken in the current quarter, with construction initiated in Q3 and the first smolts being stocked in Q4 2025.

The company is also in “advanced negotiations” for a high-potential site for a 32,000-tonne facility in North America. It is looking for a site on the west or east coast, on either side of the Canada-US border.

Planning work also continues for a joint venture facility in South Korea.

Financial performance for the Salmon Evolution group in Q1 2024.