High costs and low prices for Måsøval

This is in line with previous trading updates from the company, writes Fish Farming Expert's Norwegian sister site, Kyst.no.

In the same quarter in 2023, Måsøval made an operating profit of NOK 113 million. 

A challenging quarter

In the company's Q3 2024 report, chief executive Helge Kvalvik says that the third quarter was challenging for Måsøval.

"Higher sea temperatures than normal for the season in our region led to increased lice pressure, which hindered growth and increased delousing costs. In addition, we experienced ISA (infectious salmon anaemia) at two locations during the quarter."

Furthermore, Kvalvik says that harvesting salmon with low average weight resulted in high costs and low prices for Måsøval. The report shows that the average sales price ended at 65.8 NOK per kg, compared to 82.8 NOK in the third quarter of 2023.

Maintains Guidance

In "Sales & Processing", the farmer also reported a negative operational result, mainly due to startup costs at the TL52 processing facility in Hitra. 

"Although the quarter was challenging, it is important to highlight the positive development in 'Region West', with improved biology leading to lower costs, higher superior share, and increased slaughter weights. Overall, the quarter provided valuable insights that have strengthened our approach," he comments.

The announcement reveals that the group maintains its harvest guidance at 24,700-25,700 gutted weight tonnes for the full year, while in 2025 it expects increased activity levels with a harvest volume of 29,300-31,000 gwt.

At the end of the third quarter of 2024, Måsøval's total assets amounted to NOK 5.083 billion, a decrease of NOK 335 million from the previous quarter. Biological assets were reduced by NOK 143 million, reflecting a decrease in biomass of 311 tonnes.

See more details in Måsøval's report here.