tion with the presentation of the Q4 2013 results, Marine Harvest guided a total harvest volume of 80 thousand tonnes (HOG) for Q1 2014. The increase in volume is partly a function of good growth conditions in Norway and is also likely to lead to an increase in the guided annual volume.Norway reported the biggest harvest volume of 55 thousand tonnes, followed by Chile with 18 thousand tonnes, Scotland with 10 thousand tonnes and Canada with 6 thousand tonnes.
Operational EBIT for the Group was approximately NOK 1,075 million in Q1 2014 (NOK 482 million in Q1 2013). Although this is the best quarter so far for Marine Harvest, the result was impacted by high costs in Norway. Costs in Norway are expected to be lower for the remainder of the year.
Total operational EBIT per kg through the value chain were approximately as follows for the main sources of origin:
- Norway 12.8 NOK
- Scotland 12.6 NOK
- Canada 19.1 NOK
- Chile 6.7 NOK
Net interest bearing debt (NIBD) was approximately NOK 7.5 billion by the end of the quarter.
The Q1 reference price in Norway reached the unprecedented level of NOK 46.6, which was 40% above the first quarter observations made over the last five years and 17% above the previous first quarter all-time high in 2011. The solid demand is expected to absorb the measurable supply coming to the market over the next quarters, as Fish Pool futures are currently being traded at NOK 41.6 for the second quarter and NOK 38.5 for the last three quarters. However seasonal price fluctuations should be expected.
Supported by the strong operating results, the recent successful divestment of UK farming assets, a strong forward market and a solid balance sheet, the Board has resolved to propose a Q1 dividend of NOK 5 per share to the AGM. The AGM will be held 22 May.
The full Q1 2014 report will be released on 30 April at 0700 CET.
