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2015-08-26

Norway Royal Salmon ASA: Q2 15 - Weak result due to high costs

Today Norway Royal Salmon (NRS) reports an operational EBIT of MNOK 19 for the
second quarter of 2015 and an EBIT per kg of NOK 4.83.

- The second quarter was challenging, high production costs and reduced price
achievement in Region North affected the result of the farming operations,
says CEO Charles Høstlund.

Cash flow from operational activities was MNOK 70 in the quarter. Due to paid
dividend of MNOK 65, the Group's net interest bearing debt increased by MNOK
39 to MNOK 625 during the quarter. Equity at the quarter end was MNOK 901,
which equates an equity ratio of 38.5 per cent.

Region North
Region North posted an operational EBIT of MNOK 20.9 in the quarter, compared
with MNOK 25.2 in the corresponding quarter last year. Operational EBIT per
kg gutted weight was NOK 5.68, compared with NOK 7.69 in the corresponding
quarter last year. The overall sea lice and health situation at the sites in
Region North are good.

Region South
Region South posted an operational EBIT of MNOK 6.3 in the quarter, compared
with MNOK 6.7 in the corresponding quarter last year. Operational EBIT per kg
gutted weight was NOK 3.23, compared with NOK 3.19 in the corresponding
quarter last year. Region South has good control over the sea lice situation,
but the costs of sea lice treatment have increased slightly so far this year.

NRS harvested 5 620 tonnes gutted weight during the quarter, 4 per cent more
than in the same quarter last year. 3 675 tonnes of the total volume was
harvested in Region North and 1 945 tonnes in Region South. Estimated
harvesting volume for 2015 is 30 500 tonnes, an increase of 36 per cent from
2014.

16 121 tonnes was traded during the quarter; an increase of 13 per cent
compared with the same quarter last year. The sales business achieved an
operational EBIT of MNOK 4.8 in the second quarter.

The salmon prices have been under some pressure in the quarter due to the loss
of the Russian market. For the second half of 2015 the global supply growth
is expected to be between 0 and 3 per cent, and in the longer term, global
growth is expected to be low. This provides the basis for a positive market
outlook for both the second half of 2015 and in the long term for the
industry.

In June the first two NRS sites was certified after the ASC standard
(Aquaculture Stewardship Council). NRS is very happy to get its first sites
certified by the strictest international environmental standards in the
industry. This is a global standard for responsible aquaculture, which
together with our green licenses will contribute to reduce the impact on the
environment and society.

For more information, please contact:

* CEO Charles Høstlund, +47 994 18 449
* CFO Ola Loe, +47 911 79 411.

Norway Royal Salmon ASA in brief
Norway Royal Salmon ASA (NRS) is the majority shareholder in four fish farming
companies, which own a combined total of 35 production licenses, and is a
minority shareholder in three fish farming companies (associates) which
together own ten production licenses. NRS is an attractively positioned fish
farming group, which through an extensive network of collaborating
enterprises and in-house production units, offers salmon to the market
through its own sales organisation. For further details, please
visitwww.norwayroyalsalmon.com.

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

NRS Q2 2015 Report
http://hugin.info/143262/R/1947414/707118.pdf
NRS Q2 2015 Presentation
http://hugin.info/143262/R/1947414/707117.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: Norway Royal Salmon ASA via Globenewswire

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