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Earnings Almost Double as Mowi Rings Up €207 Million Profit in Q1

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Bergen, Norway-headquartered Mowi ASA’s first quarter was characterized by a surge in salmon prices in all markets due to a continued increase in global demand combined with low supply.

“The increase in salmon prices coming out of the pandemic has been impressive. Salmon is a fantastic product with great product features and the beneficiary of strong megatrends, and I firmly believe this will continue to boost demand going forward,” said Mowi CEO Ivan Vindheim.

The aquaculture specialist’s results improved substantially in the quarter, driven by high prices.

He added: “I am pleased to see that our Norwegian Farming operations achieved record-high earnings and prices in the first quarter. It is also encouraging that our operations in Canada West are improving and delivering solid results.”

Notwithstanding record high raw material prices, Mowi Consumer Products also delivered another good set of results thanks to sound operational performance and raw material management.

“It is comforting that our processing business continues to deliver strong results despite significantly higher raw material prices. This demonstrates the value of Mowi’s integrated value chain and the organization’s relentless quest for increased productivity and cost efficiency,” stated Vindheim.

Mowi reported operational EBIT of EUR 207 million in the first quarter of 2022, compared with EUR 109 million during the corresponding quarter in 2021. Operational revenues in Q1 2022 were EUR 1,095 million (EUR 1,022 million in Q1 2021). Total harvest volume in the quarter was 96,600 tons gutted weight (125,469 tons). Full-year harvest guidance for 2022 is unchanged at 460,000 tons.

The world economy is currently facing an unprecedented inflationary pressure, however, soaring salmon prices have so far more than offset increasing input prices for salmon.

“We expect salmon to continue to stand out versus other animal protein sources due to its substantially lower feed conversion rate and energy usage, and its superior sustainability credentials,” said Vindheim.

Mowi’s board of directors has decided to pay a quarterly dividend of NOK 1.95 per share, consisting of NOK 1.44 per share in ordinary dividend and an extraordinary dividend of NOK 0.51 per share supported by a strong financial position and a favorable outlook.

Mowi ASA is the world’s largest producer of farm-raised salmon, with an end-to-end supply chain. Employing approximately 11,800 people in 25 countries worldwide, the company’s extensive fresh and frozen product line runs the gamut from whole fish to plain or marinated fillets and steaks, to hot- and cold-smoked salmon, burgers, kebabs and delicate tartars.