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2014-04-29

Cermaq ASA : Strong prices drive results - all time high EBIT in Norway

EBIT pre fair value was NOK 325 million in first quarter 2014 versus a
comparable pro forma EBIT of NOK 78 million in first quarter 2013. Strong
prices led to improved earnings in all regions, and an all time high EBIT in
Norway. Operating revenues were NOK 1.5 billion in first quarter versus
comparable pro forma revenues of NOK 1.2 billion in the same quarter last
year.

- A continued strong market made this a good quarter for Cermaq, says CEO Jon
Hindar in a comment.

- It was a good quarter also in terms of other factors than price. We saw a
continued improvement in sanitary conditions in Chile where the efforts of
the company, the industry, and authorities are starting to pay off, although
significant work remains to be done. We have further seen that cost
improvements in Finnmark are coming through, Jon Hindar continues

- Securing six "green" licenses in northern Norway and two new licenses in
region XII in Chile creates room for organic volume growth in attractive
farming areas, Jon Hindar points out.

Volumes sold in first quarter were 34 700 tonnes, a decrease of 8 400 tonnes
versus same quarter last year, but some 7 000 tonnes above estimate. Expected
sales volume for 2014 is 157 000 tonnes, compared to previous estimate of 152
000. The estimate increase is largely driven by good growing conditions in
Nordland, Norway in first quarter and lower inventory building of Atlantics
in Chile during the year. Total sales volume is expected to grow by ten
percent in 2014 compared to 2013.

Cermaq Chile's earnings in first quarter improved significantly versus
previous year. The EBIT pre fair value and non-recurring items was NOK 76
million whereas EBIT for the same quarter last year was a loss of NOK 48
million. EBIT per kg for Atlantics and Coho was NOK 1.7 and NOK 6.8
respectively, while trout came in at NOK 2.0. Ex cage cost for Atlantics was
USD 4.6 per kg in first quarter 2014, down by USD 0.2 per kg compared to
fourth quarter 2013. Cermaq's 2015 ex-cage cost target is USD 3.8, in
addition to a targeted improvement of USD 0.2 per kg in achieved prices from
better product quality. The activities implemented to secure the cost
reduction proceed as planned.

The biology in Chile has improved in several areas, especially related to the
sea lice level and increased harvest weight, while antibiotics usage has
increased mainly due to treatment of Atlantics against SRS. Cermaq's
antibiotics usage remains significantly below industry average however. The
development in sea lice levels is encouraging since first quarter seasonally
is challenging from a biological perspective due to higher sea water
temperatures. In March, caligus load on Cermaq's Atlantics was the lowest
since the end of 2011 and the average harvest weight was the highest in the
company's history.

Cermaq Norway delivered an EBIT pre fair value of NOK 236 million versus NOK
85 million last year. Cermaq Norway sold six percent of its volume on fixed
price contracts. EBIT for Nordland was NOK 18.5 per kg and NOK 17.6 per kg
for Finnmark. Cermaq Canada reported an EBIT pre fair value and non-recurring
items of NOK 30 million, an improvement from NOK 12 million the previous
year. EBIT per kg was NOK 14.8 despite low volume in the quarter which
increased fixed cost allocation.

Net interest bearing debt was NOK 1.9 billion and equity ratio 55 percent.

For further information please contact:

CEO Jon Hindar ph. +47 23 68 50 10 mobile: +47 977 48 829
CFO Geir Sjaastad ph: +47 23 68 50 11, mobile: +47 905 14 831
About Cermaq -Cermaq is one of the world's leading companies in farming of
salmon and trout, with operations in Norway, Chile and Canada. In 2013 the
farming business had sales of NOK 5.1 billion, and a total harvested volume
of 142.3 thousand tonnes. Cermaq's feed business unit EWOS was sold in 2013.
Cermaq is listed on the Oslo stock exchange with ticker code
CEQ.www.cermaq.com

This information is subject of the disclosure requirements acc. to §5-12 vphl
(Norwegian Securities Trading Act)
Result presentation Q1 2014
http://hugin.info/134455/R/1780599/608849.pdf
1st Quarter 2014
http://hugin.info/134455/R/1780599/608848.pdf

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Cermaq ASA via Globenewswire

HUG#1780599

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