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New Zealand King Salmon returns to profit with new farming strategies

September 21, 2023
in Business
New Zealand King Salmon returns to profit with new farming strategies
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New Zealand King Salmon farm

Supplied / New Zealand King Salmon
Photo: Supplied / New Zealand King Salmon

New farming strategies have seen New Zealand King Salmon’s mortality rate drop helping it return to profit after suffering $24.5 million dollar loss last year.

Key numbers for the six months ended July 31 compared with a year ago:

Net profit $10.6m v $24.5m loss
Revenue $91.6m v $80m
Mortality cost $7.8m v $22.3m
No dividend v no dividend

Chairman Mark Dewdney said the result reflected the company’s financial turnaround following heavy losses in 2022.

“Our new farming strategies have resulted in reductions in mortality, with mortality reducing from $22.3m to $7.8m, when compared to the prior comparable period.

“This, combined with a focus on operational excellence across our processing and sales operations has resulted in a strong result for the first half of FY24,” Dewdney said.

Recently appointed chief executive Carl Carrington said the business had made progress in the past year, but there was still work to do.

“We have a truly worldclass product and there remains a lot of opportunity within both the existing business and future growth options,” he said.

“I want to thank our many stakeholders who support what we do, it’s a pleasing set of results and we acknowledge we have more work to do.”

The increasing rate of salmon losses have been attributed to warming waters linked to climate change.

The company recently overcame objections to expand its operations into the cooler areas of the Cook Straits, after being granted approval from Marlborough District Council.

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Copyright for syndicated content belongs to the linked Source : RNZ – https://www.rnz.co.nz/news/business/498454/new-zealand-king-salmon-returns-to-profit-with-new-farming-strategies

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