From Zero to Loss: Fifax’s Struggling Fish Farm Business in 2023

Fifax fails to generate revenue – Continued need for funding

Fish farm company Fifax reported a significant decrease in turnover for the second half of 2023, with zero euros compared to 0.3 million euros in the same period last year. Despite this, the company experienced an increase in operating losses, which deepened to 3.4 million euros in the July-December period. The company also reported a loss per share of EUR 0.06 in the second half of 2023, compared to EUR 0.09 per share in the previous year.

Fifax’s fish stock at the end of 2023 was 59 tons, a significant increase from the 0 tons recorded at the end of 2022. However, unlike previous years when fish produced was accumulated, none was accumulated last year due to unforeseen circumstances. This has led to concerns about funding and profitability for the company moving forward.

To address these challenges, Fifax’s CEO Sampa Ruohtula emphasized the need for further funding to achieve their goals for 2024 and beyond. In addition to securing additional funding through rights issues and loan extensions, Fifax aims to make strategic investments to reach full production capacity and develop its consulting and licensing business. The success of these goals depends on securing sufficient funding to complete facility restarts and meet production targets.

The long-term vision for Fifax is to expand production facilities, increase turnover from consulting and licensing business, and achieve significant profitability by 2030. However, with stagnant turnover and increasing operating losses, analysts predict that turnover will remain at just over EUR million euros for the next year.

Fifax’s CEO highlighted their efforts to secure additional funding through rights issues and loan extensions as crucial for achieving their long-term vision of expanding operations and improving profitability. Despite this, there are concerns about their ability to meet production targets due to unforeseen circumstances that have affected their fish stock.

Overall, Fifax’s financial situation remains uncertain with zero turnover in the second half of 2023 and increasing operating losses leading analysts to predict low turnover in upcoming years.

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