Strong second quarter for Marine Harvest
(Bergen, 22 August 2018) Marine Harvest achieved an operational EBIT of EUR 175 million in the second quarter of 2018, compared to EUR 198 million in the corresponding quarter of 2017.
Supported by the good results, a strong market outlook, and a solid financial position, the Board has proposed a quarterly dividend of NOK 2.60 per share.
- The global demand for salmon has been very good so far this year. This has led to high prices in all markets in the second quarter. The result has also been impacted by strong performances by our business units in Norway and Chile, which both had their best second quarter ever, says CEO Alf-Helge Aarskog.
Marine Harvest Group reported operational revenues of EUR 888 million (EUR 884 million) in the second quarter of 2018. Total harvest volume was 78 346 tonnes in the quarter (78 612). Harvest guidance for 2017 has been reduced from 400 000 to 380 000 tonnes, including Northern Harvest, because of biological issues in Norway, Scotland and Canada.
Salmon of Norwegian origin achieved an operational EBIT per kilo of EUR 2.56 (2.50) in the second quarter, while salmon of Scottish and Canadian origin reported operational EBIT per kilo of EUR 2.38 and EUR 0.98 respectively (EUR 3.10 and EUR 2.34). Salmon of Chilean origin reported operational EBIT per kilo of EUR 1.86 in the quarter (EUR 1.46). MH Feed reported an operational EBIT of EUR 0.7 million (EUR 1.8 million). MH Consumer Products reported an operational EBIT of EUR 13.1 million (EUR 19 million).
After being given the approval by Canada's Competition Bureau to buy Northern Harvest in June, Marine Harvest completed the transaction in July. Marine Harvest has through this acquisition expanded its global footprint to include Atlantic Canada. Northern Harvest will be consolidated from the third quarter.
- This is an important investment for Marine Harvest and shows that we are committed to growing the industry in Canada. We believe the prospect for salmon farming in Atlantic Canada is great. Although this is a new area for us, we are working in close cooperation with authorities, local communities and other industry players to realize success, says Aarskog.
For further information, please contact:
Ivan Vindheim, CFO, Mobile: +47 958 71 310
Kim Galtung Døsvig, IR Officer & Head of Treasury, Mobile: +47 908 76 339
About Marine Harvest Group
Marine Harvest Group is the world's leading seafood company and largest producer of farmed salmon, with presence in 24 countries and a total of 13 233 employees worldwide. The company is headquartered in Bergen, Norway, and is listed on the Oslo Stock Exchange.
Please see www.marineharvest.com for further information.
Forward looking statements
This release may be deemed to include forward-looking statements, such as statements that relate to Marine Harvest's goals and strategies, salmon prices, ability to increase or vary harvest volume, production capacity, trends in the seafood industry, restructuring initiatives, exchange rate and interest rate fluctuations, expected research and development expenditures, business prospects and positioning with respect to market, demographic and pricing trends, strategic initiatives, and the effects of any extraordinary events and various other matters (including developments with respect to laws, regulations and governmental policies regulating the industry and changes in accounting policies, standards and interpretations) on Marine Harvest's business and results. Forward-looking statements are typically identified by words or phrases, such as "believe," "expect," "anticipate," "intend," "estimate," "may increase," "may fluctuate," "plan," "goal," "target," "strategy," and similar expressions or future or conditional verbs such as "may," "will," "should," "would," and "could." Forward-looking statements are Marine Harvest's current estimates or expectations of future events or future results. Actual results could differ materially from those indicated by these statements because the realization of those results is subject to many risks and uncertainties. Marine Harvest ASA's Annual Report contains additional information about factors that could affect actual results, including: changes to the price of salmon including the value of our biological assets; hedging risks; risks related to fish feed; economic and market risks; environmental risks; operational risks; risks related to escapes, disease and sea lice; product risks; risks related to our acquisitions; financing risks; regulation risks including relating to food safety, the aquaculture industry, processing, competition and anti-corruption; trade restriction risks; litigation risks; tax and accounting risks; strategic and competitive risks; and reputation risks. All forward-looking statements included in this release are based on information available at the time of the release, and Marine Harvest assumes no obligation to update any forward-looking statement.
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.