May 20, 2011

 

Codfarmers' Q1 net earnings experience a slight increase

 

Norwegian company Codfarmers formally declared a net profit of NOK10.8 million (US$1.94 million) in the first quarter of 2011 in contrast to NOK11.9 million (US$2.14 million) during the same period in the previous year.

 

The company's operating profit before biomass adjustments (EBIT) totalled NOK8.6 million (US$1.54 million) versus the 2010 figures of NOK9 million (US$1.62 million) in the first quarter of 2010.

 

In terms of sales, Codfarmers achieved revenues of NOK40.1 million (US$7.2 million) in the first quarter of 2011, a drop from Q1 2010's NOK43.5 million (US$7.81 million). The average sale price for cod was NOK23.17/kg (US$4.16) compared to NOK26.7/kg (US$4.80) in the first quarter of the previous year.

 

There was a 12% rise in average fresh cod prices overall, of both wild and farmed fish and an 11% drop in total fresh cod export volumes.

 

EBITDA saw figures of NOK4.4 million (US$790,400) compared to NOK3.4 million (US$610,700) in the first quarter of 2010.

 

The firm also announced a cash reserve of NOK29 million (US$5.21 million) by the end of the period and short account receivable amounts on NOK6 million (US$1.07 million).

 

The company said it had harvested 1,193 tonnes of its own cod from Kjerkvika and Meløysjyen in Q1 2011, with an average harvest weight of 3,036kg.

 

Another 300,000 cods will be moved to the Rusenes location in Florø in July.

 

Cod Farmers' on-growing facility at its Mørkvedbukta site has been prepared to begin production next month.

 

In addition, Codfarmers obtained a 17% share in Nesset Fiskemottak AS through the transfer of existing equipment on loan to Nesset as related to a capital increase at Nesset in February 2011. COD's CEO Harald Dahl also took a place at the Board of Nesset.

 

Both factors reinforced the collaboration between Codfarmers and Nesset and also Nesset's ability to implement the continuous development work required to get Nesset BRC certified in 2011.