Austevoll Seafood (AUSS) Q3 2024 earnings summary

Executive summary

• Q3 2024 operating revenue was NOK 9,296 million, up 9% year over year; adjusted EBITDA rose 18% to NOK 1,192 million and adjusted EBIT rose 34% to NOK 686 million.

• Q3 revenue was reported at MNOK 9,299, compared with MNOK 8,566 a year earlier; Peru’s recovery helped drive earnings growth.

• Q3 net profit was NOK 168 million versus a loss of NOK 508 million; adjusted EPS was NOK 2.7 versus NOK 0.4.

• 9M revenue reached MNOK 26,281 and adjusted EBITDA MNOK 5,910; results included a MNOK 1,268 gain from the sale of shares.

Financial highlights

• Q3 adjusted EBITDA margin was 13% and adjusted EBIT margin was 7%.

• Q3 operating cash flow was MNOK 1,603; cash at quarter-end was MNOK 5,814.

• Equity ratio was 53%; net interest-bearing debt excluding specified lease liabilities was MNOK 6,486.

• Q3 adjusted EBIT including associate income was MNOK 802, compared with MNOK 603 a year earlier.

Outlook and guidance

• 2024 salmon harvest forecast was reduced by 3,500 GWT to 190,000 GWT including JVs; 2025 forecast is ~211,000 GWT, including ~195,000 GWT from Norwegian operations.

• 2025 Norwegian cod quota is expected to fall 32%; lower whitefish quotas are expected to pressure earnings and make 2025 challenging.

• 2025 Norwegian salmon harvest target is 200,000 GWT; higher volume and lower feed costs are expected to reduce cost per harvested kilo.

• South American pelagic quotas increased: Peru’s second-season quota rose 57% and Chile’s jack mackerel quota rose 15%.

• Continued underlying seafood demand growth is expected, although political uncertainty remains above normal.