Q2 2024 Mowi ASA Earnings Call Transcript
Key Points
- Mowi ASA (MHGVY) recorded EUR1.34 billion in operating revenues in Q2 2024, translating into an operating profit of EUR230 million.
- The company achieved seasonally record-high harvest volumes of 110,500 tonnes, in line with guidance.
- Mowi ASA (MHGVY) saw a drop in realized blended farming costs from EUR6.05 per kilo in Q1 to EUR5.84 per kilo in Q2.
- The company expects further cost reductions in Q3 due to higher harvest volumes and lower feed prices.
- Mowi ASA (MHGVY) reiterated its farming volume guidance of 500,000 tonnes for the year, marking a significant milestone.
- Price realization was mixed, with lagging prices in America due to the cost-of-living crisis and downgrades in Norwegian salmon.
- The Canadian government decided to ban farming in net-pens in British Columbia from July 1, 2029, impacting future operations.
- Mowi ASA (MHGVY) faced soft prices and margins in the Americas, particularly affecting Mowi Chile and Mowi Canada.
- Net interest-bearing debt stood at EUR1.88 billion, above the long-term target of EUR1.7 billion.
- Operational profit and margins for Mowi Norway were substantially down year-over-year due to lower price achievement.
Good morning, everyone, both in the room and online. Welcome to the presentation of Mowi's second quarter results for 2024. My name is Ivan Vindheim, and I'm the CEO of Mowi, and the movie you just saw was from the opening of brand new state-of-the-art 100,000 tonnes primary processing plant at Jøsnøya in Hitra municipality in Central in Norway. A EUR72 million investment on time and on budget and with good value for money, I would say. So kudos to the organization for that.
And not to mention, 120 valuable jobs in coastal in Norway and yet another example of the salmon industry contributing to keeping Coastal Norway alive and thriving. As we do in Scotland, in Ireland, in the Faroes, in Iceland, in Chile and even in Canada and British Columbia, if anyone happens to believe otherwise.
Otherwise, I have, as usual, our CFO, Kristian Ellingsen, with me today, to help me with the financial figures and fundamentals. And after the presentation, our IRO, Kim Dosvig, will routinely host our Q&A session, and also who are following the presentation online, you
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
