Fishing vessel 'Gadus Njord.' (Photo Credit: Havfisk)
Havfisk ASA achieved an EBITDA of NOK 85 million (USD 12.6 million) in the third quarter 2014, representing an increase of NOK 40 million (USD 5.9 million) compared to the same period last year.
In this analysed quarter, operating revenues totalled NOK 296 million (USD 44 million), which is NOK 107 million (USD 15.9 million) higher compared to the third quarter in 2013 (NOK 189 million [USD 28 million]). This rise in revenues is mainly due to increased catch efficiency, higher prices and change in the product mix.
“We are satisfied with the operations in the third quarter. The income per operating day is the highest in the company’s history and we have a record high result in a third quarter. The new and upgraded trawlers have contributed to improved quota utilization,” points out the firm’s CEO Eldar Farstad.
The total harvested volume for the quarter included 57 per cent cod, 14 per cent haddock and 11 per cent saithe, compared to 67 per cent cod, 19 per cent haddock and 11 per cent saithe in the third quarter of 2013.
Besides, during the third quarter there was an increased volume of other species such as Greenland halibut and redfish, representing 19 per cent of the total volume during the quarter compared with 5 per cent for the third quarter of 2013.
The fleet renewal programme has given the group increased harvesting capacity and flexibility, which has enabled the group to prioritize fishing for species other than cod, haddock and saithe.
As a result, the Group has a remaining quota basis for cod, haddock and saithe after the third quarter that will provide a good basis for operations for the rest of the year.
The Group’s relocation plans from Rypefjord to Forsøl -- which implies a production change focus on fresh filet products and a reduction in the level of activity – has been approved by the Ministry of Trade, Industry and Fisheries, who considers that the planned activity is sufficient in order to maintain the activity obligations in Hammerfest.
However, Hammerfest municipality has appealed the decision to the State Council.
Apart from this issue, Havfisk has been exposed to several risks, such as the operation of the group's trawlers, the size of the quotas, availability of fish, operational costs and foreign exchange, among others.
The Group expects an increase in opportunities for more efficient operation after the approval of the government's proposal to increase the quota ceiling from three to four quotas per vessel, which will mean that the total number of quotas can be fished with fewer vessels.
Webjørn Barstad has been appointed as the new CEO of Havfisk and takes up the position on 1 January 2015.