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Grieg Seafood ASA: Capital Markets Day 2022


Jun 15, 2022
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Brief-term and long-term targets reaffirmed and sustainable progress platform past 2026 nicely established

Grieg Seafood is internet hosting a Capital Markets Day outdoors Stavanger, Norway at the moment 15 June 2022 underneath the headline “Farming the ocean for a greater future”.

Grieg Seafood has farmed salmon for nearly three a long time and the corporate is at the moment one of many world’s main salmon farmers. The Grieg Seafood operations are concentrated in Norway and Canada. The ocean has the potential to supply low influence meals for generations to return and sustainable farming practices are the muse of the corporate’s operations.

Grieg Seafood at the moment confirmed its progress ambitions with a goal of annual harvest quantity of 90 000 tonnes in 2022 and 120-135 000 tonnes in 2026 relying on profitable utilization of present capability, accessible enlargement alternatives and new ideas. Newfoundland represents the corporate’s new progress space and Grieg Seafood is at the moment constructing a platform for additional sustainable progress past 2026 on the east coast of Canada.

Grieg Seafood’s operational and monetary targets offered on the capital markets day at the moment are:

  • Harvest quantity of 90 000 tonnes in 2022: Growing harvest volumes to 120-135 000 tonnes in 2025
  • Preserve a transparent ambition to be a price chief in all of the areas the place Grieg Seafood operates
  • An extended-term goal of web interest-bearing debt to reap quantity ratio of NOK 30/kg
  • An fairness ratio of above 31%
  • Requirement of a minimal of 12% return on capital employed (ROCE) for all funding choices
  • Dividend coverage to distribute 30%-40% of the Group’s web revenue after tax adjusted for honest worth value determinations

The Group’s goal is to provide shareholders a aggressive return on invested capital by means of dividend funds and appreciation within the worth of the share, at a degree no less than equal to different firms with comparable danger. Any future dividend will rely upon the Group’s future earnings, monetary scenario, and money circulation. The Board believes that the dividend paid ought to maintain tempo with the Group’s revenue progress, whereas on the identical time guaranteeing that fairness stays at a wholesome and optimum degree. As well as, the Board should be sure that there are sufficient monetary assets to pave the way in which for future progress and funding and meet its need to reduce capital prices. The Board has adopted a dividend coverage whereby the common dividend, over a interval of a number of years, ought to correspond to 30-40% of revenue after tax earlier than honest worth adjustment of organic property.

Moreover, though a web interest-bearing debt per harvested kg of as much as NOK 30 is taken into account affordable, it might be exceeded in intervals of growth-related investments. Based mostly on this, the scale of the dividend could possibly be adjusted inside the margin set out above.

On the muse of sustainability which represents Grieg Seafood’s license to function, the three pillars within the Grieg technique are as follows:

  1. World progress. Grieg Seafood will develop the enterprise in a accountable method in the direction of an ambition to succeed in annual harvest of 120-135 000 tonnes. Progress will come from improved utilization of present capability, enlargement alternatives and new ideas.
  2. Price enchancment. Grieg Seafood will preserve the relentless deal with price enchancment. The post-smolt will enhance biology, fish welfare and progress whereas preventative measures and additional digitalization by means of precision farming will work in the identical route.
  3. Worth chain repositioning. Grieg Seafood will enhance and stabilize group earnings by means of optimization of collaboration, worth added processing and model growth along with strategic companions.

Commenting on Grieg Seafood’s capital markets day, Andreas Kvame, CEO, stated:

“Grieg Seafood has succeeded in delivering on our ambitions communicated on our newest capital markets replace even supposing the previous couple of years have been rife with upheaval. At present, sustainability is a core tenet of Grieg Seafood’s technique and the three pillars; world progress, price enchancment and worth chain repositioning stay our focus areas.

Going ahead, we’re prepared to make use of our present enterprise in Norway and British Columbia along with our new progress platform in Newfoundland to deliver Grieg Seafood to the subsequent degree. Based mostly on our lengthy expertise and powerful experience and extremely expert staff, I’m satisfied this will probably be a journey price being part of.”

Presentation and webcast

Shows are held at Flor & Fjære outdoors Stavanger from 10:00 – 14:00 CEST.

The administration displays will probably be webcast dwell on the following hyperlink: https://channel.royalcast.com/landingpage/hegnarmedia/20220615_1/

And the presentation supplies are printed on https://investor.griegseafood.com/reports-&-presentations#cmu

A recording will probably be accessible after the occasion.

For additional info, please contact:

Andreas Kvame, CEO, tel: +47 907 71 441

Atle Harald Sandtorv, CFO, tel: +47 908 45 252

About Grieg Seafood

Grieg Seafood ASA is among the world’s main salmon farmers. Our farms are in Finnmark and Rogaland in Norway, and British Columbia in addition to Newfoundland in Canada. Our headquarter is positioned in Bergen, Norway. Grieg Seafood ASA was listed on the Oslo Inventory Trade in June 2007. Greater than 750 individuals work within the firm all through our areas.

Sustainable farming practices are the muse of Grieg Seafood’s operations. The bottom attainable environmental influence and the very best fish welfare is each an moral duty and drive financial profitability. In direction of 2026, we purpose for world progress, price enhancements and to evolve from a pure salmon provider to an innovation associate for chosen clients.

To be taught extra, please go to www.griegseafood.com

The knowledge included on this announcement could also be outlined as inside info pursuant to article 7 of the Market Abuse Regulation and is publicly disclosed in accordance with article 17 of the Market Abuse Regulation and part 5-12 of the Norwegian Securities Buying and selling Act

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