Atlantic Sapphire CEO Johan Andreassen departs company’s board of directors

Atlantic Sapphire’s board of directors elected new board members at its latest general meeting on 23 May, and for the first time founder and CEO Johan Andreassen will not be a member.

The change, the company's nomination committee said, is intended to allow Andreassen to focus more on the operations of the company.

"The nomination committee believes that Johan Andreassen stepping down from the position of chairman of the board of directors will allow him to focus even more on the group's operations position through the position as group CEO," the commitee wrote. "Andreassen will be appointed as formal CEO of the company following his resignation from the board of directors."

The Miami-based recirculating aquaculture system (RAS) salmon farmer told SeafoodSource in January that the company’s plans for 2023 are to optimize its operations and reach steady-state production before expanding further.

In the company’s annual report, it acknowledged it had been a “challenging year” for the company, due to unforeseen setbacks that led it to miss both production and financial targets. However, the company said it has made improvements throughout the year, including a full “reset” of its growing RAS systems, commissioning a new chiller system to decrease operational risk, a new ozone system, changes to the nutrition of its salmon, a change to the company’s organizational structure, and additional tank lights to enhance appetite and mitigate maturation.

“Despite challenges, 2022 also brought a lot of positive developments as the company continues to mature,” Andreassen said in the company’s annual report.

The company posted slightly increased revenue in 2022 of USD 18.9 million (EUR 17.5 million),  compared to USD 16.8 million (EUR 15.6 million) in 2021. Overall, the company’s net losses decreased significantly, with a net loss of USD 65 million (EUR 60 million) in 2022 versus a loss of over double that at USD 132 million (EUR 122 million) in 2021.

The company’s total comprehensive loss in 2022 was USD 67.9 million (EUR 63 million), compared to a loss of USD 136 million (EUR 126 million) in 2021.

Andreassen said that the company has continued to identify cost savings, and more will be implemented in 2023.

“In Atlantic Sapphire, operational costs are generally fixed in nature, with feed being the notable exception,” he said. “Therefore, the success of our business is based on reducing fixed costs, price achievement, and, most importantly, increase feeding and thereby production. This will lower the cost per kilo of salmon produced.”

Andreassen added that the company is seeing improvements in “key parameters” that will lead to higher productivity.

“We’re excited about what 2023 will bring,” he said.  

Photo courtesy of Atlantic Sapphire