Lerøy Seafood Group (LSG) Q2 2025 earnings summary

Executive summary

• Revenue increased 15% year-over-year in Q2 2025, driven by higher harvest and sales volumes despite a sharp drop in salmon and trout prices.

• Operational EBIT declined 25% year-over-year, mainly due to lower prices in the Farming segment, partially offset by record earnings in VAPS & D and improved Wild Catch profitability.

• Record earnings in the VAPS & D segment, driven by structural improvements and strong demand.

• Wild catch segment faced lower quotas but benefited from significant price increases, offsetting volume declines.

• Dividend of NOK 2.50 per share paid during the quarter.

Financial highlights

• Q2 2025 revenue: NOK 8,826 million (+15% y-o-y); operational EBITDA: NOK 1,138 million (-12% y-o-y); operational EBIT: NOK 680 million (-25% y-o-y).

• EPS before fair value adjustment: NOK 0.75, nearly flat year-over-year.

• Salmon and trout harvest volume rose 33% to 48,898 GWT.

• Operational EBIT/kg for the value chain was NOK 12.4, down from NOK 27.1.

• Cash flow from operations increased to NOK 1,030 million (Q2 2024: NOK 912 million).

Outlook and guidance

• Positive biological development expected in H2 2025, though high sea temperatures present challenges at the start of Q3.

• Contract share for 2025 expected at around 25%, supporting both Farming and VAPS & D.

• VAPS & D EBIT target for 2025 remains NOK 1.25 billion, with strong Q2 performance supporting achievability.

• Wild catch quotas for 2025: Cod -32%, Haddock -2%, Saithe North unchanged, Saithe South +40%. First indications for 2026 quotas: Cod -21%, Haddock +18%, Saithe North -15%, Saithe South -24%.

• Trade restrictions, including new US tariffs, pose risks but impact so far is limited.