Canned fish from Russian Sea Group. (Photo Credit: Russian Sea Group)
RUSSIAN FEDERATIONTuesday, November 11, 2014, 03:40 (GMT + 9)
The largest Atlantic salmon and trout producer in the country, Russian Sea Groupachieved a consolidated revenue amounting to RUB 13,204 million (USD 281 million) for the first nine months that ended 30 September 2014, representing an increase of 13.4 per cent year on year.
"Currently, we see a very important stage of Russian Sea Group development. The Group strategic focus on aquaculture business has been confirmed by the first sound results of the aquaculture segment, this year objectives were achieved, the Group has managed to cope with worsening economic conditions and import restrictions," pointed out Russian Sea Group CEO Dmitry Dangauer.
The firm reported the operating EBITDA during this period amounted to RUB 686 million (USD 14.6 million) compared to RUB 232 million (USD 4.9 million) in the same period last year, which is a threefold increase year on year.
In the first three quarters, the first 3 thousand tonnes of Atlantic salmon raised in the Barents Sea were harvested and sold by the Group, which contributed 35 per cent to the operating EBITDA.
The Group informed that after the cease of the Norway salmon supply to Russia due to the Russian import ban, sales growth and the leading position in the salmon market was maintained by means of salmon supplies from the Group’s aquaculture segment, Chile, Faroe Islands and the Far East of Russia.
Furthermore, it informed there has been 13.4 per cent revenue growth in chilled and frozen fish distribution year on year, driven by improvement of operations in sales channels and optimization of products mix as well as actions taken to substitute prohibited fish supplies from EU and Norway.
For the 9-months period, revenue from the salmon and trout sales increased by 26 per cent year on year up to RUB 8,251 million (USD 175.6 million) and the pelagic fish ones showed a growth of 12 per cent to RUB 4,940 million (USD 105 million).
Sales of the Russian Far East assortment amounted to RUB 1,286 million (USD 27.3 million), showing 55 per cent increase year on year.
For the last quarter the Group plans to harvest more than 1 thousand tonnes of Atlantic salmon from the second farm the company owns in the Barents Sea.
During this period, the firm has devised to start harvesting trout on farms located in the Republic of Karelia, Russia, apart from increasing production volume of trout roe, improving trout farming profitability in this area.
The Group announced that this year two new farms have been launched in Titovka Bay of the Barents Sea, Murmansk region.
The firm’s long-term strategy of is aimed at building the largest vertically integrated company in aquaculture segment in Russia with its own production of feed and smolt, slaughtering and processing facilities as well as the largest fish distribution network.
The Group’s product range includes more than 60 species of fish and seafood including Atlantic salmon, trout, codfish, herring, mackerel, Alaska pollock, flounder, shrimp, and squid.