Gigante Salmon (GIGA) Q3 2024 earnings summary

Executive summary

• Land-based salmon farming site under construction in Lille Indre Rosøy, Norway, using unique technology; full production targeted by 2026 with 16,000 tonnes HOG annual capacity.

• Good salmon growth, stable lice situation, and successful smolt releases reported in Q3 2024; project implementation and construction progressing on schedule.

• One production basin operational since Q1 2024; basins 2 and 3 scheduled for completion in Q4 2024 and Q2 2025, respectively.

• Mechanical, electrical, and plumbing work progressed as planned; basin 2 nearing completion and basin 1 in rough-framing phase.

• No high-risk accidents reported, but one health and safety incident requiring leave occurred in Q3.

Financial highlights

• Group net loss of -0.7 MNOK in Q3 2024; YTD net loss of -2.2 MNOK.

• No sales revenue in Q3 2024 as first harvest is expected in Q2 2025; operating costs rose to NOK 1.099m from NOK 652,000 year-over-year.

• Group liquid assets stood at NOK 110.587m as of 30 September 2024.

• Total capital at end of Q3 was NOK 1,108.238m, with equity at NOK 715.618m (64.6%).

• Initial disbursement from a second long-term construction loan (120 MNOK) granted and guaranteed by Eksfin.

Outlook and guidance

• First harvest is on schedule for Q2 2025, with production scaling up to 16,000 tonnes HOG by 2026.

• Opportunity to release more smolt in Q4 under consideration.

• Second and third basins' construction progressing as planned, supporting phased production ramp-up.