Bergen, Norway-based salmon farmer Grieg Seafood ASA has described Q1 2026 as a “transitionary quarter” after biological challenges, weaker-than-expected market conditions, and restructuring costs weighed on its financial performance following its recent divestments to Cermaq Group.
The quarter marked the first reporting period under Grieg’s new, streamlined operating structure after selling three farming regions to Cermaq, but the company acknowledged that the result was “not satisfactory.”
According to an extended trading update issued by Grieg on 19 May 2026, the period was characterized by weaker market development than expected and higher farming costs.
The company harvested 8,205 gutted weight tons (GWT) of salmon from its remaining Rogaland farming operations, located in the west of Norway, up from 7,419 GWT in Q1 2025. The operational EBIT for the farming region came in at NOK 4.70 (USD 0.50, EUR 0.43) per kilogram during the period, with the business hit by higher farming costs, elevated mortality, and a sharp drop in superior share to 59 percent (down from 83 percent in the same period last year).
Grieg Seafood also harvested approximately 1,000 metric tons (MT) earlier than planned in an effort to optimize pricing, which the company said had a positive net earnings contribution.
“Despite a challenging start to the year, operational performance improved toward the end of Q1 2026, with positive developments in both production and mortality observed going into Q2 2026,” the company stated.
According to the trading update, Grieg’s operational EBIT in Q1 2026 was NOK 1 million (USD 107,901, EUR 92,815) versus NOK 200 million (USD 21.6 million, EUR 18.6 million) in the corresponding period of 2025. Sales revenues in Q1 2026 amounted to more than NOK 1 billion (USD 107.9 million, EUR 92.8 million) – up from NOK 935 million (USD 100.9 million, EUR 86.8 million) in Q1 2025.
The company said the transition following the Cermaq transaction generated substantial one-off costs. These included expenses linked to IT separation work, organizational restructuring, contract terminations, and an ongoing legal dispute with Cermaq. At the same time, the ramp-up of Grieg’s new value-added processing (VAP) facility at Gardermoen increased downstream sales costs and further impacted group EBIT.
Production at the Gardermoen facility began on 5 January 2026.
The company said most material one-off restructuring costs had been recognized in Q1 2026, while cost-cutting initiatives are progressing faster than initially planned. Around 60 percent of the targeted NOK 50 million (USD 5.4 million, EUR 4.6 million) savings program is expected to be implemented from the second-half of 2026.
Grieg also said it has had continued progress in its post-smolt strategy, which remains central to the company’s long-term operational plans.
Post-smolt transferred to sea during Q1 averaged 1 kilogram in weight, while fish from the company’s land-based Årdal Aqua operation scheduled for harvest in Q2 are expected to exceed 5 kilograms on average.
The company said it had now achieved “optimal biomass at sea” following a decision to pause harvesting heading into the second-quarter in order to rebuild biomass and maximize utilization of its permitted biomass levels.
“We expect a gradual recovery through the remainder of the year, supported by cost initiatives and increased efficiency across farming and downstream activities as the ramp-up of the VAP facility is completed,” Grieg said. “Harvest was paused going into Q2 2026 to build biomass and fully utilize the MAB. As of medio May we have achieved optimal biomass at sea.”
As a result of the weaker-than-expected start to the year, Grieg revised down its 2026 harvest guidance from 31,000 to 30,000 GWT.
The company expects Q2 harvest volumes of around 5,200 GWT, weighted towards the latter part of the quarter.
Full-year farming costs are now expected to average approximately NOK 67 (USD 7.22, EUR 6.21) per kilogram, although Grieg said costs should gradually improve through the remainder of the year before returning to more normalized levels in 2027. Its long-term target of NOK 60 (USD 6.47, EUR 5.56) per kilogram remains unchanged.
The company also confirmed it had completed a NOK 45 million (USD 4.9 million, EUR 4.2 million) equity contribution into Årdal Aqua to support construction of an on-site smolt facility.
On the financing side, it has signed a new banking agreement with Nordea and SEB, replacing bridge financing secured during late 2025.
The update further advised that Grieg’s Stjernelaks processing facility experienced a temporary disruption to water supply during Q2 after a rupture in a public pipeline. Supply was restored on 18 May and processing operations resumed.