Nordic market and sea-based business drive improvement in AKVA's latest quarter

AKVA group has reported a "strong" financial result in the third quarter of 2024, driven by solid performance in the sea-based business segment and positive growth in the Nordic market.

A clear example is the contract signed by the aquaculture technology company and Cermaq Chile to build a new RAS smolt facility in the Los Lagos Region, Chile, valued at 30 million euros.

Although the outlook for the post-smolt market in Norway remains uncertain, it has also contributed to the Q3 2024 figures and is expected to improve gradually towards 2025. In more detail, the Nordic region business has experienced an increase in revenue from NOK 417 million in Q3 2023 to NOK 528 million in Q3 2024.

Finally, after adjusting for the Observe Technologies transaction made in July, revenue remains at NOK 936 million, 14.5% higher compared to Q3 2023. EBITDA is NOK 199 million and after the same adjusting has resulted in NOK 128 million compared to NOK 78 million in Q3 2023.

In contrast, the digital area continues to suffer from high costs relative to AKVA's current activity level, resulting in low-profit margins.

The merger plans for AKVA group Software AS and Polarcirkel AS

On September 26, 2024, AKVA Group announced its plans for the intra-group mergers of its wholly owned subsidiaries, AKVA Group Soft AS and Polarcirkel AS.

Thus, the group's corporate structure is simplified and AKVA remains as the surviving entity. The mergers are expected to be completed in February 2025.

Polarcirkel provides the Rigid Buoyancy Boat, which is self-draining and equipped with polystyrene-filled pontoons. Polarcirkel boats are known for their practical design, high quality, flexibility, and low maintenance requirements.