Salmones Camanchaca S A : Press Release 2024 - Q3

About this update from Salmones Camanchaca Sa

Salmones Camanchaca S.A. Reports Third Quarter 2024 Results, Showing Improved Performance Santiago, November 13, 2024 - Salmones Camanchaca S.A. reported its financial results for the third quarter of 2024, showing improvements in its financial and operational performance. For the period ending September 30, 2024, accumulated revenue grew 10% to USD 284 million, driven mainly by a 22% increase in sales volume, although with a lower price due to weak demand. Atlantic salmon harvests were 33,972 MT WFE, 4% lower than the first nine months of the previous year, with total 2024 harvests estimated in a range of 47 to 49 thousand MT WFE. Sales reached 32.2 thousand MT WFE with an 8% lower price. For Coho salmon, there were no harvests during the quarter, with accumulated sales as of September reaching 9.8 thousand MT WFE after clearing the inventory from the previous season and with a price recovery. Regarding the quarterly cost of harvested Atlantic salmon (ex-cage, live weight), it reached USD 4.08/kg, 13% lower than in Q3 2023, due to weight recovery, good sanitary conditions in harvested sites, and a downward trend in feed costs. Consequently, ex- cage costs accumulated this year reached USD 4.52/kg live fish, lower than the USD 4.61/kg of the same period in 2023. In the last 12 rolling months ending September 2024, the company continued to implement operational improvements, achieving a 40% reduction in antibiotic use, an improvement in the biological feed conversion ratio, and a 9% reduction in antiparasitic use compared to the same period in 2022 in comparable sites within the same zones. In this context, the EBITDA for the quarter was USD 9.2 million, positively compared to USD 2.9 million in Q3 2023. Accumulated EBITDA as of September reached USD 28.2 million, lower than the USD 32.6 million recorded in 2023, which included a record first quarter that year. Regarding the results, Ricardo García, Vice Chairman of the Company, stated, "Although prices have not recovered and demand for seafood remains weak, we have managed, through a series of measures, to reduce production costs, especially at sea, associated with an improvement in the sanitary and biological conditions of the sites, allowing for higher harvest weights and a reduction in other operational costs, along with a drop in feed costs. Consequently, this quarter's better results are solely due to cost improvements." He added, "For 2025, we estimate increasing our Atlantic salmon harvests to a range of 52 to 54 thousand MT WFE and maintaining between 3 and 4 thousand MT WFE of Coho, continuing our efforts to lower costs and adapt to customer and market needs."

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