Bakkafrost Group Reports Strong Faroese Salmon, Smolt Performance

The Bakkafrost Group delivered a total operational EBIT of DKK 273 million (DKK 65 million) in Q2 2026.

Strong biological performance, 67% higher harvest volumes and lower ring-side costs in the Faroe Islands drove the improvement. Scotland remained impacted by low harvest volumes and challenges in one batch of fish, while demand remained strong and the supply outlook for the second half of 2026 became more balanced.

The result was driven by strong biological and operational performance in the Faroe Islands. Harvest volumes increased by 67%, average harvest weights remained high, and farming costs at site declined. This reflects the value of good biological control, disciplined operations and our integrated value chain.

The Faroese freshwater operations maintained high production and capacity utilisation, transferring 5.6 million large, high-quality smolt during the quarter. An important milestone was reached at the new hatchery in Skálavík, where the first eggs were introduced in June.

The salmon market remained challenging. Global supply increased by 7%, partly reflecting inventory movements, and salmon prices declined materially from the first quarter. Demand, however, remained solid across our main markets. With supply growth expected to slow materially in the second half of 2026, the market balance is expected to improve.

Exceptional inflation in feed raw material costs requires adjustments to sourcing and feed formulations. Our strong inventory position and integrated value chain give us greater flexibility to manage these conditions. They do not eliminate our exposure to raw material inflation, but they strengthen our ability to secure supply, adapt formulations and mitigate the impact.

We are not satisfied with the result in Scotland. Harvest volumes were substantially lower, and biological challenges affecting one batch of fish originating from externally sourced smolt had a significant impact on the result. Although these challenges were concentrated in this batch, biological performance at most other sites was stable.

Applecross continued to ramp up production, and the result from our Scottish freshwater operations improved year-on-year.

Our priorities remain unchanged: strengthen biological control, improve cost efficiency and restore stable production volumes in Scotland, while maintaining disciplined execution of our investment programme. We maintain our 2026 harvest guidance of 117,000 tonnes.

Tighter supply in H2 2026: In H2 2026, the global harvest is expected to decrease around 1%, compared to H2 2025. Including inventory movements, the global supply is expected to increase around 2% in H2 2026. For the full year 2026, the global supply is expected grow around 2-3%, excluding inventory movements and around 6% including inventory movements.

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