The Scottish Salmon Company Q2 2010 Results
The Scottish Salmon Company, Scotland's leading independent salmon farming business, has announced good results for the second quarter of 2010. The Company made £5.5m profit before tax and adjustments for Q2 2010, against £1.7m for the same period the previous year.
Turnover during the period was £19m against £14.8m in the previous year, with the Company producing 4,916 tonnes of salmon, putting production well within reach of the anticipated 24,000 tonnes for 2010.
The Company said favourable market conditions prevailed throughout the first half of 2010 and that the strong demand for Scottish salmon continued ensuring that the Scottish price premium was maintained. It is anticipated that these conditions will continue for the remainder of the year.
These are the first results since the Company launched as The Scottish Salmon Company on July 8th 2010. The Company was renamed to build on the premium reputation of Scotland and Scottish salmon.
The half year figures present a turnover of £42.6m, compared to £21m for the same period last year and a profit of £12.1m compared to £1.7m before tax and adjustments. Cash flow remains strong and the Company's debt position is significantly improved.
The principle of stocking single year class in the loch systems, where possible, has proved to be beneficial in biological performance, although low temperatures have resulted in slower growth.
Initiatives are being developed to bring the company in line with customer requirements and to secure the leading position in the Scottish salmon market. The focus is to develop the Hebridean brand and introduce pre-rigour pin-bone-out fillets from its processing facility in Stornoway which is due to open in the Autumn with the creation of 70 jobs.
Mike Corbett, Chief Executive of The Scottish Salmon Company, said:
"We are happy to report another successful quarter, the first quarter we have reported as The Scottish Salmon Company. Overall performance has continued to be strong and the demand for a premium Scottish product remains high.
"This quarter and the first half of the year have continued to build upon the significant progress that has been made over the past 18 months. As we continue to invest in the business, we expect that this solid performance will continue throughout the second half of 2010."
Contact: Su Cox Investor Relations su.cox@scottishsalmon.com
www.scottishsalmon.com
The Scottish Salmon Company
is Scotland's leading independent producer of Scottish salmon, providing superior quality Scottish salmon to local and international markets, currently producing in the region of 24,000 tonnes per year, over 20% of the total Scottish salmon production. The Company is engaged in all stages of the value chain of farming salmon, from smolt production to harvesting, processing and sales. It owns around 50 sites on the Hebrides and West Coast of Scotland along with processing plants in Stornoway and Cairndow to create two distinct areas of operation, north and south. The head office is located in Edinburgh and the Company currently employs around 300 people.
The Scottish Salmon Company is committed to high standards of animal welfare, sustainable operations and promoting a responsible environmental policy. The company is committed to the communities in which it operates and maintaining value in Scotland.
Formerly Lighthouse Caledonia, the Company launched as The Scottish Salmon Company in July 2010, it is listed on the Oslo Axess and the turnover in 2009 was £64million.