Net profit of NOK 5.5 million for  Gigante Salmon in 2022

Gigante Salmon's facility in Rødøy, Norway, will start operations next autumn.
Gigante Salmon fish farm project in Rødøy, Norway. Photo: Giant Salmon.
Gigante Salmon fish farm project in Rødøy, Norway. Photo: Giant Salmon.

Gigante Salmon's project to build a continuous flow-through facility in Rødøy, Norway continues on schedule. The land-based producer, which has presented Q4 2022 results today, reported a net profit of NOK 5.5 million (€505 thousand / $544 thousand) in 2022, of which NOK 0.5 million (€45 thousand / $49 thousand) relates to Q4. The facility will start operations next autumn and breeding for the first release of fish has already begun.

All is progressing as planned

Gigante Salmon Rødøy's project to build a continuous flow facility for land-based salmon farming is progressing on schedule. According to the Q4 2022 results report presented today by the company, Basin 3, which will be the first to go into service when the facility is commissioned in September, is already constructed, and loose material left over after blasting has been removed. Grytåga Settefisk AS, its smolt partner, has started to raise the first release of fish for the facility yet so that when the time comes, they will be ready for the transfer.

As for the financial results, the company claimed investments are progressing according to plan. In the fourth quarter, they amounted to NOK 15 million (€1.37 million / $1.48 million), of which NOK 9 million (€827 thousand / $890 thousand) was related to the development project in Rødøy and the rest to increased receivables. As the group is still in the development phase, the operating profit for the period was NOK -1.2 million (€110 thousand / $118 thousand). However, as mentioned, in the presentation the company has reported a net profit for Q4 2022 was NOK 0.5 million (€45 thousand / $49 thousand). The land-based producer closed the year with a net profit of NOK 5.5 million (€505 thousand / $544 thousand).

Significant agreements

During Q4, Gigante Salmon signed several important agreements for the completion of the project, such as those reached with the inlet pump supplier (Xylem) and the company that will pour the concrete into the production ponds (Infrakon). But not only that, one of the most significant agreements was reached with Skretting last October. The feed company will be a strategic partner of the Rødøy-based company for three years.

On this partnership, Truls Jakob Dahl, Skretting's commercial director for land-based farming, said at the time of the signing: "This is a very exciting and unique project that will provide valuable learning for both parties. We share many values ​​and goals, which will provide good synergies in the build-up phase and further into full operation. We at Skretting are looking forward to starting this collaboration".

About Gigante Salmon

Gigante Salmon Rødøy AS is a land-based salmon farming company with its first production facility under construction in Lille Indre Rosøy, in the municipality of Rødøy, Norway, where it has permission to produce 13,731 MTB. Construction of the facility started in September 2021 and is progressing on schedule to start operations on September 2023. Its aquaculture concept is based on a continuous flow system that combines the advantages of conventional and land-based aquaculture. The model thus eliminates the challenges associated with conventional offshore farming, such as lice and escapes, improves fish welfare, and reduces emissions and environmental impact.

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