Group operating revenue in Q4 2023 totalled NOK 8,754 million, compared with NOK
7,639 million in Q4 2022, an increase of 15%. The increase in revenue derives
mainly from Lerøy Seafood Group (LSG). Revenue from the other companies in the
Group is similar to the same period of 2022.
Operating EBIT was NOK 804 million, on par with NOK 794 million in Q4 2022.
The operating EBIT margin for Q4 2023 was 9%, compared with 10% in Q4 2022.
Norskott Havbruk AS (Scottish Sea Farms) and Pelagia Holding AS are the two
largest joint ventures. Pelagia is sustaining its positive development via
successful operations, economies of scale, synergies through the value chain and
good market conditions. As previously reported, Norskott Havbruk (Scottish Sea
Farms) had an extremely challenging 2023. Results were critically poor, not only
in terms of historical performance but also measured against the company's
outlook. It is therefore pleasing to see operational improvements in Q4 2023
relative to the first nine months of the year. A substantial improvement in
operating performance is currently expected as early as during 2024. Income from
associates before fair value adjustment related to biological assets in Q4 2023
totalled NOK 111 million (Q4 2022: NOK 140 million). The equivalent figure
including fair value adjustment of biological assets was NOK 109 million (Q4
2022: NOK 94 million). The Group's joint ventures and associates have generated
good results over time, are significant enterprises in their segments and
represent substantial values for Austevoll Seafood ASA. Please refer to note 5
for more detailed information on associates.
Operating profit after fair value adjustment of biological assets and income
from joint ventures and associates totalled NOK 937 million in Q4 2023 (Q4 2022:
NOK 515 million). Fair value adjustment related to biological assets was
positive at NOK 250 million, a significant increase from the negative figure of
NOK -210 million in Q4 2022.
The Group's net interest expense in Q4 2023 totalled NOK -91 million (Q4 2022:
NOK -81 million). Net other financial expenses in the quarter totalled NOK -26
million. The equivalent figure in Q4 2022 was NOK 37 million.
The Group reported profit before tax in Q4 2023 of NOK 820 million (Q4 2022: NOK
471 million).
On 31 May 2023, the Storting voted to introduce a so-called resource rent tax of
25% on earnings from sea-based production of salmon and trout. This new
legislation was implemented with retroactive effect from 1 January 2023. The
resource rent tax comes on top of ordinary tax of 22%, giving a total tax rate
of 47% for the activity concerned/scope of the tax wedge. The resource rent tax
expense in 2023 comprises an implementation effect (non-recurring effect) and
the resource rent tax for the period. An implementation effect of NOK 1.8
billion was recognised in Q2 2023, the quarter in which the legislation was
adopted. A sufficiently reliable estimate was not available until Q3 2023, at
which point the remaining part of the resource rent tax expense for the period
was recognised. The best estimate at 31 December 2023 for the so-called resource
rent tax, including implementation effect, is NOK 1.9 billion. On top of this
are ordinary corporation tax of NOK 178 million on the activities liable to
resource rent tax as well as production fees paid of NOK 129 million. In total,
tax and production fees for 2023 on the activities liable to resource rent tax
amount to NOK 2.2 billion.
For further information please see attached report and presentation.
Questions and comments may be addressed to the company's CEO, Arne Møgster, or
to CFO, Britt Kathrine Drivenes.
This information is subject of the disclosure requirements acc. to Section 5-12
vphl (Norwegian Securities Trading Act).