Positive results for Scottish Salmon Company

Positive results for Scottish Salmon Company

The Scottish Salmon Company has revealed successful quarter two and half year results despite facing a number of challenges already in 2016.

The salmon producer saw revenues reach £28.5m for the quarters on harvested volumes of 6,382 tonnes.

Quarter on quarter performance has been stable with operating profit standing at £4.9m.

This year’s Q2 saw a minor decrease from the previous year, with revenues down £2.7m, however this is a result of smaller fish being harvested.

Market conditions continue to thrive with industry prices reaching unprecedented levels.

Biological and operational challenges during Q2 have impacted on harvest volumes at a small number of sites however measures are in place to address these challenges.  Work is progressing well on a new site at Maragay Mor at Benbecula which will be stocked in Q3, this will produce an additional 2,000 tonnes of harvested volume.

In June the firm announced a £55m refinancing agreement with Bank of Scotland, marking a major milestone in the company’s growth strategy, providing flexible access to working capital.

The company has continued to invest in expanding its export business, securing new customers in key markets including the Far East in the quarter. It currently exports to 25 countries, accounting for 42% of revenues in the quarter.

Craig Anderson, managing director at The Scottish Salmon Company, said: “To date 2016 has presented some challenges and despite this our earnings have remained steady.” 

“We are making good headway in developing our new site in the Hebrides – increasing harvest volumes to allow balanced year round production is at the heart of our growth strategy. Our new financing arrangement with Bank of Scotland will be key to achieving this.” 

“Biological challenges remain an industry wide issue for salmon farmers and we have continued to invest in collaborative solutions and as part of this have a long term project in place for including cleaner fish as part of our farming programme.”

 

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