November 1, 2013

In the third quarter of 2013, AKVA group had an order inflow of NOK271 million (US$45.6 million), representing 82% growth compared to third quarter of 2012 resulting in an order backlog of NOK299 million (US$50 million) at the end of the quarter, but strong order inflow continues into the fourth quarter. 

Financially this has been a rather slow quarter with revenues of NOK180 million (US$30.3 million) and an earnings before income, taxes, depreciation and amortisation (EBITDA) of NOK8 million (US$1.3 million).

"We have had a rather slow financial quarter due to a normal in-between seasons effect in the Nordic market, at the same time as Chile has slowed down. Outlooks are however positive, with strong order inflow in all our product segments and markets except Chile. The high market activity continues into the fourth quarter and is expected to fuel improved financial performance the quarters to come. We continue to focus on managing activity in the Nordic and the Export segments, at the same time as we are controlling and reducing our exposure in the Chilean market", says CEO of AKVA group ASA Trond Williksen. 

In the Cage Based Technology segment there has been high market activity this quarter resulting in good order inflow. However, financially this has been a slow quarter due to the Nordic market being in between seasons with low production and projects activity. At the same time customers continue to face biological, operational and financial issues in Chile. This is slowing down their activities in this market. Significant adjustments have been implemented to maintain a profitable business in Chile. Both Scotland and Turkey are performing well in third quarter with improved margins and revenues. Export has good deliveries into emerging markets in third quarter with large projects in Russia and Saudi Arabia. Export signed the third contract with Russian Sea in October with a total contract value of NOK50 million (US$8.4 million) to be delivered in the first and second quarter of 2014.

High market activity has materialised in a good order inflow in Q3 with an 82% increase year on year. The order inflow in Q3 2013 was 271 MNOK (149 MNOK). The order backlog at the end of Q3 2013 was 299 MNOK (200 MNOK). The strong order inflow continues into Q4.

AKVA maintains their positive outlook in the Nordic market for the coming quarters. High salmon prices drive demand for technology and services. Last quarters increase in order backlog and continued high activity in the market into fourth quarter strengthen this assumption.

AKVA group is a technology and service partner to the aquaculture industry worldwide. It has more than 596 employees, offices in 8 countries and a total turnover of NOK832 million (US$140 million) in 2012. They supply everything from single components to complete installations, both for cage farming and land based aquaculture. The Corporate Headquarter is in Bryne Norway.