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Q4 2021 Results – Strong growth, improved biological results

In Q4 2021, Icelandic Salmon AS (Euronext Growth Oslo: ISLAX) reported an operating income of EUR 36 million, up from EUR 16 million in the same period in 2020. This 125 per cent strong increase is mainly a result of improved price achievements, higher harvest volume and better utilisation of licensed maximum allowable biomass (MAB). Operational EBIT in the quarter was EUR 3.8 million, corresponding to EUR 0.89 per kg, also a significant improvement from 2020.

Icelandic Salmon is the Norwegian parent company of Arnarlax and other subsidiaries involved in salmon farming and processing in Iceland. The companies are collectively referred to as “Icelandic Salmon” or the “Group”.

Icelandic Salmon harvested 4,300 tonnes in Q4 2021, representing an increase of 13 per cent compared to the same quarter in the previous year (YoY).

“We have achieved significantly improved biological results in the fourth quarter, with steps taken to reduce mortality at sea and improve lice control. As a result, the operation has had significantly reduced mortality throughout 2021 and without major incidents, demonstrating that the steps taken to reduce risk and winter preparations are working as expected,” said Björn Hembre, CEO of Icelandic Salmon and Arnarlax.

Successful market strategy

Icelandic Salmon has continued its emphasis on sea transport of products to the US market, with a significant share of the production now serving the North American market. These efforts have proven to be a success, with high-quality ASC certified salmon reaching new clients even further into the US.

“Icelandic logistics routes offer a new choice for a low carbon footprint salmon in the US market, with good shelf life. We have seen our customer base expand, as buyers realise the benefits of our fresh and sustainably farmed salmon,” said Hembre.

Salmon from Icelandic Salmon is known in the market as Arnarlax – Sustainable Icelandic Salmon. The brand was launched during the fall of 2021 and has now been implemented in most markets, with full implementation continuing in 2022.

“With more regular supply, high focus on efficient logistics and prioritising markets that look for high-quality, sustainable products, Arnarlax has achieved better prices and margins across all markets during 2021,” Hembre added.

Full year results and outlook

For the full year 2021, Icelandic Salmon had an operating income of EUR 91 million (2020: EUR 62 million) and an operational EBITof EUR 7.8 million (2020 negative: EUR 4.7 million).

Whereas there is no final decision yet with respect to the Group’s application for additional total allowable biomass, the planned expansion of current and new smolt facilities is proceeding as planned. Icelandic Salmon expects to harvest 16,000 tonnes in 2022.

The presentation for Q4 and the full year 2021 can be found here.

CEO, Björn Hembre and CFO, Jónas Heiðar Birgisson will be presenting the company’s results at 10 am CET via a webcast on arnarlax.webcast.is.
The presentation will be made available for replay shortly after the live event.

For further information, please contact:

CEO Björn Hembre
Tel: +47 913 47 432
Email: bjorn@arnarlax.is

CFO Jónas Heiðar Birgisson
Tel: +354 414 0609
Email: jonas@arnarlax.is