Salmon Evolution expects economies of scale as Phase 2 nears start-up
Land-based farmer's operating loss jumped last year after price pressure and strategic decision to focus on 2026
Salmon Evolution made an operating loss of NOK -25.2 million in Q4 and NOK -158.9m (£12.3m) for 2025, up from NOK -4.73m in 2024.
The salmon farmer harvested 4,403 tonnes (head on gutted) last year, compared to 4,891 tonnes HOG in 2024.
Harvest volume in Q4 2025 was 1,203 tonnes HOG (Q4 2024: 1,729 tonnes HOG).
“While the quarter was affected by pressure on market prices, the underlying financial development was in line with our expectations. We made a strategic choice to prioritise 2026, entering the year with record biomass levels in anticipation of a stronger market,” said chief executive Trond Håkon Schaug-Pettersen, in a statement accompanying the company’s Q4 2025 report published today.
Spreading the cost
Phase 2 of Salmon Evolution’s hybrid recirculation / flowthrough facility on the island of Indre Harøy, Norway, is on track, and currently in the middle of testing and commissioning in preparation for first smolt release scheduled to week 17. Much of the civil engineering work is nearing completion, with the process installations being the core focus going forward, Salmon Evolution reported.
The addition of Phase 2 will increase nominal annual production capacity from 8,000 to 18,000 tonnes HOG. Increased volume is expected to reduce costs per kilo of fish produced.
“Phase 2 is on track and approximately 70% completed, and we clearly see that the learnings from Phase 1 have been translated into tangible improvements,” said Schaug-Pettersen. “With first smolt release less than 60 days away, we are entering the scale-up phase for Salmon Evolution, supported by a proven platform and positioned to double production capacity over the next 12 months.”
Salmon Evolution plans to stock 2.8 million smolts in 2026, up 65% from 2025.
The company said high supply growth continued to pressure market prices through Q4, impacting financial results, but added that farming operations had reached a breakeven point, net of Phase 2 ramp-up costs.