"After earlier challenges with high biomass levels in the farm, we have now reached a balance between production and sales volumes, and farming conditions have normalized," said CEO Vincent Erenst.
Photo: The Kingfish Company.
Land-based yellowtail kingfish farmer The Kingfish Company has pushed back its target for becoming profitable, saying it now expects to reach positive operational earnings and cash flow in 2026. The Netherlands-based company previously forecast this milestone to take place in the third or fourth quarter of 2025.
The company reports its revenue rose by 31% in the first half of 2025 to €17.0 million, boosted by strong demand and higher sales volumes. Sales volume reached 1,301 tons, up 41% compared with the same period last year. However, the average revenue per kilogram dropped to €13.1, down from €14.3 in 2024. The land-based producer said was due to promotional pricing and a "higher proportion of frozen product sales to reduce inventory levels".
The company reported a gross margin of €1.7 per kilogram - a drop from €3.6 last year - while operational EBITDA fell to €-2.0 per kilogram, compared with €-1.1 in the same period of 2024.
“We are pleased to report another period of strong volume growth, driven by rising demand for our sustainable Yellowtail. After earlier challenges with high biomass levels in the farm, we have now reached a balance between production and sales volumes, and farming conditions have normalized," said CEO Vincent Erenst in a news release. He added that these improvements “are laying a solid foundation for margin improvement and long-term value creation as we scale.”
The yellowtail kingfish producer also announced it will scale back its fresh fish sales in the United States, due to higher import tariffs, a weaker US dollar and increased transport costs, and despite what it called "strong volume growth acheived over recent quarters". The company noted that fresh US sales made up around 6% of its total fresh revenue, and confirmed it will continue to sell frozen products in the US market.
"While we view the US as a strategically important and attractive market, current conditions do not support profitable operations. We will monitor developments closely and revisit our commercial approach once the economic environment becomes more supportive. Our long-term commitment to the US market remains unchanged, supported by our fully permitted Kingfish Maine project," the company stated.
Reporting on the future outlook , The Kingfish Company stated it remained "optimistic about the opportunities ahead" and noted it was still in its sales and market development phase.
"The Company is focusing on accelerating revenue growth to achieve full utilization of the production capacity, while optimizing operations and making substantial investments in sales and marketing to expand its customer base," it stated, adding it "continues to evaluate the timing of its expansion plans in the US and the Netherlands".
Last month, The Kingfish Company announced that its CEO, Vincent Erenst, has decided to retire and will step down from his position at the helm of the Netherlands-based farmer at the end of 2025.