Fishermen from Royal Greenland fishing for Nutaaq® cod, which takes place for only a few months each year, from May to October.
Photo: Royal Greenland.
Royal Greenland's profit before tax in H1 2025 was a loss of DKK 11 million. The result represented an improvement of DKK 48 million compared to the same period last year, when the deficit was DKK 59 million, and DKK 102 million compared to the losses recorded in 2023. However, despite the improvement, the company described the result as "unsatisfactory" in light of the company's long-term economic ambitions.
Regarding other indicators, revenue declined slightly by 1% compared to last year: DKK 2.61 billion was recorded compared to DKK 2.64 billion in the first half of 2024. The Greenlandic company stated that this was due to the opposing effects of falling volumes and rising sales prices in several categories.
For its part, EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for the first half of 2025 was DKK 102 million, up 12% from DKK 91 million in the same period last year, while EBIT (Earnings Before Interest and Taxes) was DKK 27 million, up 345% from DKK -11 million in H1 2024.
"With the half-year report in hand, we are confirmed that the economic ambitions in our new strategy are within reach: To achieve an EBIT margin of 5% and a result before tax of 250 million DKK in 2027. But it requires that we continue to work purposefully on both reducing costs and improving earnings in constantly changing markets," said Preben Sunke, Royal Greenland's interim CEO.
According to the seafood company statements, these results underscore the effect of the initiatives decided upon in 2024, including the comprehensive restructuring plan 'Back-to-Black', implemented last year to ensure immediate and effective measures, especially on the cost side of the business, which it claimed has secured significant improvements in revenue and costs for the company.
Following the restructuring plan, the company's three-year strategy, 'INUA 2027', was also developed and decided upon. According to the release commenting on the results for H1 2025, this is now also beginning to have a positive impact on the business.
The results were achieved during a period in which Royal Greenland faced challenges with unstable ice formation, lower catch rates, and delays in vessel operations, which negatively affected halibut, shrimp, and lumpfish fishing. However, offshore fishing for halibut and cod is stable, and capelin fishing in East Greenland has resumed.
The company said that the net effect of these fishing conditions was an 11% decline in sales volumes compared to the same period in 2024. However, given the complex geopolitical environment, with threats of trade wars and significant tariffs, it was satisfied to have managed to maintain the positive momentum of the second half of 2024 in its main markets.
"Sales prices per kilogram have increased by 9% compared to the same period in 2024, offsetting the decline in volumes. Trade policy unrest has so far only had a modest impact on Royal Greenland's international sales, as strong demand for our core species has largely allowed customers and consumers to absorb the effects of imposed tariffs," read the management's statement on the company's H1 2025 interim report.
The interim CEO, Preben Sunke, who took over the company last February following the Board's decision to replace former CEO Susanne Arfelt Rajamand, said that the half-year report showed positive development toward achieving Royal Greenland's economic ambition for 2027. Nevertheless, he also noted that achieving that goal requires a continued focus on efficiency and adaptations to an ever-changing market.
Thus, with regard to its international activities, the Greenlandic company said that, thanks to good catches, reasonable results were achieved in Canada during the first half of the year. However, it also said that in Chile, where the business plan is being followed, after completing the analysis, it has been decided to explore the possibilities of divesting the company's stake in the Chilean part of the business.
Likewise, Royal Greenland also reported that its partner in Norway, Maniitsoq AS, has just received a negative decision on its appeal against the revocation of its snow crab fishing license, and the Greenlandic company is therefore already initiating the process of winding up this partnership.
In its 2024 report, the Greenland state-owned seafood company stated that the past year had been one of "necessary but difficult decisions to ensure a stronger and more robust company in the future," but also that it expected to return to profitability in 2025.
Now, in presenting its H1 2025 report, the company said that for H2, it expects shrimp, inshore halibut, and cod fishing to continue to face challenges, and warned that if the political ambition to reallocate parts of the company's offshore halibut quota is implemented, it could negatively affect the result for the second half of the year.
However, Royal Greenland also stated that positive trends in market prices and the arrival of the new high-tech trawler, Kaassaasuk, which completes the company's trawler fleet, are generating expectations of continued revenue growth in the second half of the year.
"Royal Greenland has a special social responsibility as a company owned by the Greenlandic Government, and we take that very seriously. Therefore, we work every day to develop our business responsibly – we continuously look at how we can create increased value on the quality products we sell to customers worldwide, while maintaining a continuous focus on the efficiency of the way we run the business," said Preben Sunke.
"We do this so that we can ultimately create value for the business, our skilled employees, and the Greenlandic society," Royal Greenland's interim CEO continued, adding that the company's investment program in the coming years will focus on land facilities in Greenland.
An important first step toward this goal has already been taken with the establishment of the fish processing plant in Tasiilaq, which opened for fish reception in 2025.
