Aker Seafoods Q3 : Strong operations - further weakening of prices
Aker Seafoods achieved an operating result (EBIT) of NOK 36 million in the quarter, a decrease of NOK 3 million compared to the third quarter in 2011. EBITDA in the third quarter 2012 came to NOK 29 million against NOK 59 million in the corresponding period in 2011. Operating revenues in the third quarter totaled NOK 171 million. This is NOK 65 million lower compared to the same period in 2011, reports www.megafishnet.com with reference to Aker Seafoods.
The catch volume this quarter is the second highest in a third quarter in the company's history, but still 19 per cent lower than the corresponding period in 2011. The catch efficiency (harvested volume per operating day) is 6 per cent lower compared to the same period last year, but decreased prices for cod, haddock and saithe has lead to a lower value per operating day on 16 per cent. The catch efficiency in the quarter is the second highest since the company was listed at Oslo Stock Exchange.
"Operations have been strong and the catch efficiency is at a high level.The market situation considered, the result achieved in the quarter is acceptable", says CEO Olav Holst-Dyrnes.
Operating revenues for Aker Seafoods came to NOK 171 million in the third quarter 2012, against NOK 236 million in the corresponding period in 2011. The reduction in revenues is due to lower prices and smaller harvested volume in the quarter. EBIT in the third quarter 2012 came to NOK 36 million against NOK 39 million in the same period in 2011. The EBIT result includes a capital gain amounting NOK 28 million from the sale of "Hekktind". The EBIT margin was 21.2 per cent in the third quarter 2012 compared to 16.4 per cent in the same period in 2011. EBITDA came to NOK 29 million against NOK 59 million in the third quarter 2011. The main explanation for the reduced EBITDA is decreased prices and lower harvested volume due to fewer operating days.
The good availability of is expected to continue throughout the year. The Joint Norwegian-Russian Fisheries Commission has agreed on a total cod quota of 1,000,000 tonnes in the Barents Sea in 2013, which represent a 33 per cent increase from 2012. For haddock the quota is proposed reduced approximately by 37 per cent. For saithe the quotas is proposed to stay at today's level.
"An increase in the cod quota in 2013 is positive for Aker Seafoods whereas cod is our most important source of income", says CEO Olav Holst-Dyrnes.
Cash flow from operating activities came to NOK -10 million in the third quarter compared to NOK 65 million in the same period in 2011.
Net interest-bearing debt was NOK 747 million at the end of the third quarter 2012, up by NOK 21 million, from NOK 726 million by the end the second quarter 2012.
Aker Seafoods had a total equity of NOK 872 million by the end of the third quarter 2012, corresponding 38.7 per cent.