Polar Seafood Denmark – which is half-owned by Polar Seafood Greenland and Brim – announced “less satisfactory” results in FY2023.
Polar Seafood Denmark reported its profit dropped to DKK 81.76 million (USD 11.8 million, EUR 10.9 million) in FY2023, down 46 percent from the DKK 151.3 million (USD 21.9 million, EUR 20.3 million) it posted in FY2022. That drop came as the company’s revenue also decreased, dropping from DKK 3.89 billion (USD 563.2 million, EUR 521.4 million) to DKK 3.85 billion (USD 557 million, EUR 516 million).
Profit in 2022 was also impacted by Polar Seafood Denmark selling its stake in Polar Seafood Russia in response to Russia’s invasion of Ukraine – a move which the company highlighted in its 2023 results as “discontinued activities” that cost the company DKK 57 million (USD 8.3 million, EUR 7.6 million) in 2022. That amount results in Polar Seafood Denmark’s “final result” for the year, dropping to DKK 94.4 million (USD 13.7 million, EUR 12.6 million) when the decrease is taken into account.
For 2023, a significant chunk of the decrease was related to financial activities, the company said. Impairment of financial assets cost the company DKK 61.9 million (USD 8.9 million, EUR 8.3 million) in FY2023, up from DKK 27.3 million (USD 3.9 million, EUR 3.6 million) in 2022.
The company said that it expects the decreases to reverse course in 2024, and that it expects its profit before tax will be around DKK 175 million (USD 25.3 million, EUR 23.5 million).
The drop for Polar Seafood Denmark is similar to that of Polar Seafood Greenland, which saw decreases in profits thanks to issues with some of its fishing vessels.
Polar Seafood Greenland is facing reforms to the country’s fisheries laws, which will likely impact its operations, as the company could end up losing as much as one-third of its quota.
