Scottish Sea Farms posts strong financial performance for Q4

Scottish Sea Farms Ltd, Scotland's second largest salmon farming company, has reported a strong final quarter for 2008, but the overall financial performance was well down as compared to 2007.

The company harvested 6,600 tonnes gutted weight of salmon in the fourth quarter 2008, compared with 5,800 tonnes for the same quarter in 2007.

This generated gross operating revenue of GBP23.8 million in the fourth quarter 2008, compared with GBP18.6 million in the same quarter the year before.

Total revenue for 2008 came to GBP78 million compared to GBP83.5 million in 2007, while total operating profit before biomass adjustments for 2008 came to GBP5.8 million compared to GBP13.9 million in 2007.

Operating profit per kilogramme of gutted weight totalled GBP0.15 in the fourth quarter 2008, compared with GBP0.08 in the same quarter in 2007.

The increase was attributed primarily to higher salmon prices in the fourth quarter 2008 compared with the same quarter the year before.

As in the fourth quarter 2007 costs during the quarter were affected by fish health issues, primarily salmon lice and PD, resulting in the harvesting of fish with a low average weight and high production costs per kilogramme.

Scottish Sea Farms Ltd has a production capacity of 30,000 tonnes and is wholly owned by the Norwegian company Norskott Havbruk AS which is jointly owned by SalMar AS and Leroy Seafood Group ASA.

US$1 = GBP0.70 (Mar 3)