The most profitable salmon farmers in Norway revealed

Aslak Berge

Norway’s salmon and trout farmers strengthened their profitability from 2021 to 2022.

“It has taken time to build up what we have today,” Åge Igland, general manager of Korshavn Havbruk, stated when SalmonBusiness’s sister site iLaks visited him earlier this summer.

The company he has built up was the only one that delivered an operating margin above 50 percent among the country’s fish farmers in 2021. 54.9 percent, to be precise. That is to say, the company earned €54.9 from operations per €100 sold.

Korshavn Havbruk was recently awarded a display concession , the first in Southern Norway, together with business partner Sekkingstad. The Sekkingstad family’s part-owned harvest boat the “Norwegian Gannet” collects the fish from the cages just outside Farsund.

Climate footprint
“It gives a much smaller climate footprint for us that “Norwegian Gannet” gets the fish here. It would not be good if we had to transport all the fish by car and boat. “Ganneten” finishes collecting the fish at 11pm, so it takes five hours to get to Hirtshals. On the way, the fish is harvested and packed, so by 12 o’clock the next day, our salmon is in the store in Germany,” Igland said.

Korshavn Havbruk tops the profitability list for 2021 in solitary majesty. It’s a long way down to the next man.

Number two and three on the list are Øylaks and Ballangen Sjøfarm, with 41.4 per cent and 40.9 per cent respectively in operating margin.

SalmonBusiness has collected the annual accounts of 69 Norwegian fish farming companies. They reveal extensive differences. Four of them lost money on their operations last year. An unweighted average shows 18.9 per cent in operating margin.

If you compare the results with previous years, 2021 was better than 2020. A significant part of the explanation is the increased salmon price – which rose by four kroner, from 53 (€5.5) to 57 kroner (€5.9), from 2020 to 2021.

But otherwise you have to go all the way back to 2012 to find lower profitability.

Here, too, inflation works. Farming costs have increased significantly in the last decade.

What about the year this year?

The vast majority of fish farmers SalmonBusiness has spoken to in connection with the results presentations this summer have been forward-looking and more or less promised a jump in results in 2022. The main explanation is the violent leap in salmon prices in the first half of the year.

During the last four months, however, the salmon price has fallen by as much as NOK 70 (€7.2). It can change the picture. Harvest profile, contract coverage and cost control will be key keywords when the profitability for 2022 is to be summarized in late summer 2023.

EBIT/sales 2021
Korshavn Havbruk54.9%
Finnøy Fisk27.9%
Sandnes Fiskeoppdrett15.2%
Wenberg Fiskeoppdrett12.5%
Flakstadvåg Laks27.4%
Northern Lights Salmon27.3%
Erviks Laks og Ørret14.5%
Marø Havbruk16.8%
E. Karstensen Fiskeoppdrett17.1%
Austevoll Melaks
Eidesvik Laks23.7%
Flokenes Fiskefarm16.0%
Kleiva Fiskefarm2.5%
Fylkesnes Fisk31.3%
Osland Havbruk3.8%
Tombre Fiskeanlegg4.0%
Arnøy Laks20.3%
Steinvik Fiskefarm14.0%
Kvarøy Fiskeoppdrett13.7%
Selsøyvik Havbruk18.8%
Nord Senja Laks
Eide Fjordbruk15.5%
Landøy Fiskeoppdrett-3.4%
Svanøy Havbruk10.3%
Troland Lakseoppdrett4.5%
Blom Fiskeoppdrett1.5%
Egil Kristoffersen & Sønner15.6%
Hofseth Aqua3.8%
Quatro Laks-2.0%
Nordfjord Laks23.7%
Sjurelv Fiskeoppdrett38.1%
Telavåg Fiskeoppdrett24.9%
Hellesund Fiskeoppdrett19.4%
Nova Sea26.4%
Firda Seafood Group18.0%
Emilsen Fisk29.1%
Ellingsen Seafood34.4%
Bremnes Seashore11.5%
Midt-Norsk Havbruk28.9%
Lerøy Seafood Group14.4%
Grieg Seafood13.7%
Norway Royal Salmon9.6%
Eidsfjord Sjøfarm38.2%
Måsøval Fiskeoppdrett18.1%
Ballangen Sjøfarm40.8%
Erko Seafood7.2%
Engesund Fiskeoppdrett-6.6%