Atlantic Sapphire pushes back profitability date after biomass adjustment

Land-based salmon farmer Atlantic Sapphire has completed a biomass adjustment to prioritise harvest size, it has announced.

The fish farmer said that over the past 18 months, the operational performance at its Florida recirculating aquaculture system (RAS) facility has significantly improved with stable water temperature, water quality, and very low mortality.

Based on this, the company is on track to deliver on its short-term strategy to produce high quality salmon with gradually increasing harvest weights over the coming months, it said.

However, the biomass adjustment means the company won’t break even this year.

More capital

“The second stage of our strategy is now being implemented and will lay the ground for gradually increasing volumes through increased feeding capacity,” Atlantic Sapphire said in a market announcement.

“These operational improvements provide a strong foundation for the company’s current activities and planned expansion into Phase 2. Preparations for Phase 2 are advancing, and the company plans to complete a capital raise in the second half of 2025. This funding will allow us to resume construction of Phase 2 and set the company up for annual production of 25,000 tonnes of salmon once Phase 1 and Phase 2 are fully operational.”

Atlantic Sapphire has the capacity to produce 9,500 gutted weight tonnes of salmon annually in Phase 1 but has never yet achieved that volume.

The news of additional capital raising caused an immediate stock market drop of approximately 45% on the Oslo Stock Exchange, from a closing price on Thursday of NOK 10.42 per share to approximately NOK 5.8.