Iceland Seafood International hf

Consolidated Financial Statements 2023

Overall positive performance in the important Christmas season, after a difficult year 2023

• Sales for 2023: €429.9m, up 2% from 2022
• Sales for Q4 2023: €111,8m up 11% from Q4 2022
• Net margin for 2023: €38.4m, down €7.9m from 2022
• Normalised profit before tax for 2023: €0.7m, compared with €12.1m for 2022. Normalised profit before tax in Q4 2023 of €2.6m was €1.4m down from same period 2022
• Net loss for 2023: €20.3m compared with €10.2m loss for 2022
• Loss from discontinued operation (IS UK) in the year of €18.8m. The sale of ISUK was completed in September 2023
• Basic earnings per share (EPS) for 2023 were negative by €0.7248 cents per thousand shares compared to negative €0.3890 cents per thousand shares for 2022
• Total assets of €254.8m at the end of December 2023 were €35.5m lower than at the beginning of the year, explained by the sale of ISUK and lower inventory. Equity ratio of 28.5% at the end of December 2023
• Outlook range for Normalised PBT €5.0-7.0m for the year 2024
  
  

After low sales during the period from April to September, demand recovered to some extent in Q4 .   Group sales in Q4 of €111.8m were 11% higher than in the same period last year. This resulted in total sales for the full year of €429.9m, which was 2% higher than in 2022. Christmas sales of smoked salmon in Oceanpath and Ahumados Dominguez were in line with expectations, and sales of IS Ibérica picked up in the autumn. Prices of various seafood products did decrease in the second half of the year, which led to lower margins, especially in the VA S-Europe division. At the same time, higher interest rates significantly impacted the Group’s finance costs, which increased by €3.4m from the prior year. The full year Normalised PBT of the Group was €0.7m, compared to €12.1m in 2022. In Q4, the Normalised PBT was €2.6m, which was €1.4m lower than in Q4 2022. As previously announced, the sale of ISUK was completed in September 2023. The total negative impact of discontinued operation, including operation results until completion of the sale and impairment of assets, amounted to €18.8m. The resultant full-year loss of the Group, including discontinued operation and income tax, was €20.3m, but the Group generated a net profit of €0.4m in Q4 2023.