AKVA Group Reports Impressive Q1 2025 Financial Growth
High Activity Level and Improved Profitability
AKVA group has made significant strides in its financial performance during the first quarter of 2025, showcasing innovative developments and enhanced profitability. With quarterly revenue reaching MNOK 1,013, there was a remarkable 29% growth compared to the same period in the previous year. This highlights the company’s ongoing commitment to providing superior solutions and services within the aquaculture sector.
Financial Overview
In terms of operational efficiency, EBITDA has jumped from MNOK 67 in Q1 2024 to MNOK 113 this year, illustrating the company's effective management strategies and focus on profitability.
Furthermore, the total order intake for this quarter soared to BNOK 1.2, a substantial increase from MNOK 917 collected during Q1 2024, reflecting a robust demand for AKVA Group’s products and services. As of March 2025, the order backlog stood at BNOK 2.8, positioning the company for sustained growth.
Key Contracts and Divestments
The company’s strategic choice to sign a RAS contract with Cermaq Chile, valued at approximately MEUR 30 for a smolt facility, underscores its expanding footprint in the global aquaculture landscape.
Additionally, the divestment of shares in Abyss Group to Arcus Infrastructure Partners netted AKVA approximately MNOK 144, contributing a gain of MNOK 12, further strengthening the company’s financial position.
Segment Performance
Within the Sea Based segment, revenue for Q1 2025 reached MNOK 804, an uptick from MNOK 646 achieved last year. The EBITDA for this segment climbed to MNOK 96, reflecting an improved margin of 11.9%. Order intake in Sea Based for Q1 2025 was MNOK 784, while backlog figures reached BNOK 1.1, indicative of strong demand across various regions.
In the Americas, revenue rose slightly to MNOK 153, while the European and Middle East regions maintained steady output at MNOK 68. Meanwhile, AKVA Group’s Land Based segment demonstrated impressive outcomes with revenue increasing significantly to MNOK 176 from MNOK 101, and a positive EBITDA outcome highlighting better project margins.
Digital Segment Insights
The Digital segment reported revenue of MNOK 32; although this shows a slight decline from MNOK 37 the prior year, the EBITDA still showcased a positive trajectory with profits rising to MNOK 7.
Balance Sheet and Dividend Highlights
The company has maintained a healthy balance sheet, with a working capital percentage of 8.9% based on a rolling revenue of 12 months. Cash reserves and unused credit facilities amounted to MNOK 500, underscoring financial stability. With total assets of MNOK 4,149 and equity totaling MNOK 1,317, AKVA holds a solid equity ratio of 31.7%.
In a move that reflects a commitment to enhancing shareholder value, AKVA Group announced a dividend payment of NOK 1 per share for the first half of 2025. This decision aligns with their goal to maximize investment returns through increased share prices and dividend distributions.
Future Outlook
Looking ahead, AKVA Group anticipates continued strong momentum for deep farming concepts. The normalization of the post-smolt market in Norway is expected throughout 2025, while the company aims for a revenue target of at least BNOK 4.0 and an EBIT margin of 6% for the year.
Investments into improving solutions across the Sea Based, Land Based, and Digital sectors will further aid in achieving these objectives.
About AKVA Group
As a prominent technology and service partner in the aquaculture industry, AKVA Group boasts a workforce of 1,423 employees across 12 countries. In 2024, the company achieved a total turnover of NOK 3.6 billion. A publicly listed entity, AKVA is positioned within one of the fastest-growing industries globally, providing everything from individual components to complete installations for both sea-based and land-based aquaculture. With over 40 years of expertise, AKVA Group continues to be recognized as a technology leader and innovator.
Frequently Asked Questions
What was AKVA Group's revenue in Q1 2025?
AKVA Group achieved a revenue of MNOK 1,013 in Q1 2025, which reflects a 29% increase from the same period last year.
What significant contracts did AKVA Group secure?
The company signed a RAS contract with Cermaq Chile for a smolt facility, valued at approximately MEUR 30.
How much did AKVA Group benefit from its divestment?
AKVA Group's divestment of shares in Abyss Group yielded net proceeds of approximately MNOK 144, contributing a net gain of MNOK 12.
What is the company's future revenue target for 2025?
AKVA Group is targeting revenue of at least BNOK 4.0 for 2025 while seeking to achieve an EBIT margin of 6%.
What is the dividend paid by AKVA Group in 2025?
The company has declared a dividend of NOK 1 per share for the first half of 2025 as part of its strategy to maximize returns for shareholders.
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