Grieg Seafood Shares Drop 5% Following Revised 2026 Harvest Outlook

Grieg Seafood shares fell 5% after the company lowered its 2026 harvest forecast and raised cost projections because of an unexpected algae bloom. The incident impacted fish health at a specific farming site, forcing the company to revise its operational targets for the year.

According to a report from Investing.com, Grieg Seafood now expects to harvest 29,000 tonnes of salmon in 2026, down from its previous guidance of 31,000 tonnes. The reduction follows an estimated biomass loss of approximately 1,000 tonnes caused by the bloom.

Operational Impact of Algae Blooms

Algae blooms are a recurring challenge in salmon aquaculture. In this instance, the algae caused direct gill damage to the fish, leading to increased mortality rates. To manage the situation and prevent further losses, Grieg Seafood has temporarily suspended harvesting activities at the affected site.

The company is working to mitigate the immediate impact, but the disruption created secondary financial pressures. The firm has increased its 2026 farming-cost forecast to NOK71 per kg, up from the previous estimate of NOK67.5 per kg. This adjustment reflects the combined effect of lower harvest volumes and the additional expenses associated with managing the mortality event.

Outlook for 2027

Despite the downward revision for the current cycle, Grieg Seafood indicated that the algae event is contained and should not disrupt production plans for 2027. The ability of the company to maintain its 2027 outlook remains a focus for stakeholders as it navigates the immediate costs associated with the current harvest reduction.

Aquaculture firms face biological risks, which can alter quarterly and annual financial performance. By suspending operations at the affected site, the company aims to stabilize the remaining biomass. The increased cost per kilogram highlights the margin pressure inherent in managing such biological events.