NZ King Salmon Reports $6.3M Loss, Projects Up to $15M EBITDA in FY26

Financial Snapshot and Operational Challenges

New Zealand King Salmon Investments Ltd (NZK) has reported a net loss of $6.3 million for the eight months ending 30 September 2025, a stark contrast to the $13.4 million profit recorded for the previous full year. This shift is partly attributed to the company’s revised balance date, shortening the reporting period, but also reflects operational hurdles, including biological challenges affecting fish performance during the 2024/25 summer.

Pro-forma EBITDA also declined sharply to $7.1 million from $29.7 million in the prior full year, underscoring the impact of reduced harvest volumes and sales. Sales volumes fell to 3,260 metric tonnes over eight months, down from 6,582 metric tonnes in the previous 12-month period, while revenue dropped to $117.7 million from $210.9 million.

Strategic Response and Growth Initiatives

Despite these setbacks, NZ King Salmon’s leadership remains focused on long-term growth and resilience. Chair Mark Dewdney highlighted that decisions made three years ago have helped mitigate volatility amid biological challenges, with a deliberate reduction in harvest volumes allowing biomass to rebuild as planned. This cautious approach aims to stabilize the core business while preparing for future expansion.

CEO Carl Carrington emphasized ongoing initiatives to enhance fish health and operational performance, including infrastructure projects such as the Westshore Warehouse feed storage facility and the acquisition of the Cloudy Bay site to support processing capacity. Although the mooring grid installation is behind schedule, the company expects completion in early 2026, which is critical for next year’s salmon production at that site.

Outlook and Market Positioning

Looking ahead, NZ King Salmon has provided FY26 guidance projecting a pro-forma EBIT ranging from a $3 million loss to a $3 million profit, with EBITDA expected between $9 million and $15 million. Harvest volumes are forecast between 5.5 and 5.9 metric tonnes, supported by capital expenditure of $28 million to $36 million aimed at underpinning growth and operational improvements.

The company positions itself as a compelling growth story within New Zealand’s primary sector, balancing the need to strengthen its core operations with measured investments designed to capture future opportunities. This dual focus reflects a pragmatic response to recent challenges while maintaining confidence in the sector’s long-term potential.