Q1 25 results: transition towards a new platform

For the three months to 31 December 24 (Q1 25) Benchmark Holdings reported a 30%YoY decline in revenue to £17.7m (currency adjusted, -25%YoY) arising from a 16%YoY decline in the contribution from Advanced Nutrition to £16.1m, and £1.6m from Health operations. The Q1 (adj.) EBITDA loss was £(0.2)m (Q1 24 £3.5m profit on a like-for-like basis). The Group expects regulatory approval leading to completion of the disposal (for an aggregate £260m) of the Genetics business by the end of March and subsequently plans a separate announcement on use of proceeds and plans for the restructured business.

• Advanced Nutrition registered strong performance in its Mediterranean markets offset by continued weak demand for shrimp and an Artemia harvest affected by lower hatching rates. The business segment contributed £0.84m in (adj.) EBITDA compared to £4.6m in Q1 24 (-90%YoY), with gross profitability adversely impacted by a change in product mix.
• Health reflected the decision to cease mobile wellboat-based Ectosan^®Vet and Clean Treat^® operations, to be replaced by a combined onshore and client-focused approach. Demand for Salmosan^®Vet sea lice treatment in Norway and Chile remained strong resulting in (adj.) EBITDA of £0.33m compared to £0.57m a year earlier. This partially offset the impact of the absence of wellboat-based revenues.

As the Group will update separately on completion of the disposal process, retirement of debt, decision on return of proceeds to investors, composition of the balance sheet and any further strategic or restructuring initiatives, we have suspended outlook and our Fair Value estimate. It is expected that the disposal process will conclude by the end of March.