Mowi tipped for 5% volume rise in 2020
Mowi’s harvest volume is expected to grow by 5% next year, mainly driven by an increase in Norway, according to market analysts at Nordic financial firm Nordea.
The salmon farmer will present its third-quarter results on Wednesday, and in its morning report today Nordea said the most interest would be in the volume guidance it would provide for 2020.
Figures for corporate EBIT, earnings (margins) per region as well as actual harvested volume are already known in the market through a market update made in mid-October.
“We expect a 5% increase, mainly driven by an increase in Norway, which is still behind historical peak levels on harvest volume,” said Nordea.
Lower EBIT estimate
Due to the loss of 2.6 million fish in eastern Canada in September, Nordea expects no growth from Canada in 2020. The same applies to Chile and Scottish, where analysts believe growth is levelling off after growth this year.
“Otherwise, we expect the focus to be on biology (lice, mortality) on the basis of high numbers of lice and challenges around this regionally in Norway and Chile.”
Due to lower EBIT for the third quarter, which was flagged up in the market announcement in mid-October, Nordea will reduce its EBIT estimates by 3% in 2019, while keeping other estimates unchanged and repeating its “sell” recommendation.
