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Stolt Sea Farm Reports Strong Growth and Strategic Investment

London, 30/01/2025 | Growing Demand for Turbot and Sole Drives Company Revenue to $126.8 Million

Stand Stolt Seafood Barcelona 2022

Stolt Sea Farm, a leading name in sustainable aquaculture, has reported a 14.4% year-on-year rise in revenue, reaching $126.8 million (€116.7 million) for the financial year ending 30 November 2024. The company's strong performance was fuelled by rising demand for its premium turbot and sole, alongside targeted investments to enhance operations.

In the final quarter of 2024 (September to November), the company posted revenue of $31.0 million (€28.5 million), marking a 14.8% increase compared to the same period in 2023 ($27.0 million / €24.9 million). Operating profit stood at $7.2 million (€6.6 million), reflecting healthy margins and strong operational efficiency.

Despite a slight uptick in running costs, net profit for the quarter came in at $6.6 million (€6.1 million), maintaining a 21.4% net profit margin—one of the highest among competitors in the aquaculture industry.

In its Q4 2024 earnings report, Stolt-Nielsen Limited CEO, Udo Lange, highlighted the strong performance of Stolt Sea Farm, noting that they “continue to see excellent production, steady demand, and strong pricing, with sales of both turbot and sole reaching record highs.”

Annuals Results and Expansion Plans

Stolt Sea Farm - Obras Tocha II en Portugal

For the full year, the company delivered steady growth, with operating profit reaching $29.2 million (€26.9 million), up from $24.4 million (€22.5 million) the previous year. This demonstrates its strong market position and effective cost management.

Although operating costs increased, net profit rose to $22.2 million (€20.4 million), maintaining a 17.5% net profit margin, which remains highly competitive within the sector.

Over the past year, the company invested $14.5 million (€13.3 million) in the expansion and modernisation of its operations, enhancing efficiency and sustainability in production. Looking ahead, it has set aside a further $15.1 million (€13.9 million) for investment in infrastructure and innovation.

Udo Lange stated, expansion at Stolt Sea Farm's hatchery in Cervo, Spain, is progressing, while operation in Portugal continue to advance. Additionally, "volumes from our new farms have exceeded expectations."

In February 2024, Stolt-Nielsen secured a $150 million (€138 million) revolving credit facility, using Stolt Sea Farm shares as collateral. This strategic financial move will provide greater flexibility for future growth, reinforcing the company’s position as a key player in sustainable aquaculture.

With a solid financial base, ongoing investment, and a growing appetite for high-quality seafood, the company is well-placed to strengthen its leadership in sustainable fish farming. However, it remains attuned to potential challenges, including environmental regulations and market fluctuations.

Related

Rome (Italy) 8 November 2024 | Spain and Portugal stand out as leading producers of farmed sole, thanks to significant investments in recirculation systems

London October 3th, 2024 | Although turbot sales have decrease while sole sales have grown, the company remains optimistic for the Christmas season

Portugal, October 16th, 2024 | The facility will be designed as a RAS system with a capacity of 440 tonnes of sole