Trond Håkon Schaug-Pettersen, CEO of Salmon Evolution.
Photo: Salmon Evolution.
Norwegian land-based salmon producer Salmon Evolution has reported steady progress and growth prospects in its third-quarter update, with revenues of NOK 51.3 million (EUR 4.3m / USD 4.6m) and group EBITDA of -NOK 7.3 million (EUR -0.6m / USD -0.7m).
Despite the negative group EBITDA, the company achieved a Farming EBITDA of NOK 2.2 million (EUR 0.2 million / USD 0.2 million), which it said indicates robust operational performance and strong biological indicators as it advances plans for its Phase 2 expansion.
Salmon Evolution said it has postponed certain harvest volumes to the fourth quarter, aiming to capitalize on anticipated higher market prices. The company says it remains on track to meet its annual harvest target of 5,000 tonnes HOG for 2024, supported by near-record biomass levels at the close of Q3.
“We have used the third quarter well, restocking Indre Harøy and ensuring that we are in a strong position going into 2025, where we expect to increase production by about 40%”, CEO of Salmon Evolution, Trond Håkon Schaug-Pettersen said.
“Given our continued stable operations and strong operational KPIs, we have the answers we need and are very confident going into 2025," he added.
In June, the company announced it had secured investment of NOK 2.2 billion (EUR 195.2 million / USD 208.6 million), enabling construction of Phase 2 to begin during the third quarter at its Indre Harøy site.
The company maintains a strong financial position, with NOK 866 million (EUR 72.9 million / USD 78.7 million) in available liquidity, including undrawn credit facilities, and an additional NOK 1,450 million (EUR 122.1 million / USD 131.7 million) earmarked for construction financing.
"The realization of phase 2 will ensure critical scale, taking total output to 18,000 tonnes HOG and facilitating a substantial organic growth capacity for the years to come," the company said in its report.
The company confirmed it anticipates the first Phase 2 smolt release will take place during the first quarter of 2026.
“The project is on track for first harvest during 2026, and we have gotten off to a very good start at the building site.” Schaug-Pettersen said. “With phase 2 online we will have an operational strength few in the industry can rival."