Winners and Losers: Dead fish sink Clean Seas
An announcement about “higher than expected mortalities” of fish was a wipe-out for Yellowtail Kingfish farmer Clean Seas last week.
Shares in Clean Seas dropped 18.92 per cent over the last trading week after the company told shareholders that more fish within the “Year Class 2024 cohort” died than expected.
As a result, sales volumes and earnings guidance were withdrawn for FY25.
“While it is not uncommon to see an increase in mortality rates in the warmer summer months, the losses currently being experienced, combined with a preliminary assessment of the condition of a sub-population of the remaining live fish, indicates that mortality rates will be in excess of the levels which formed the basis of previous guidance,” Clean Seas said.
“The cause of the higher mortalities is under investigation, as is ongoing treatment for the remaining fish, and work is underway to assess the impact of the business for the current and subsequent periods.”
Though the “performance” of the FY24 Kingfish cohort was “disappointing”, the company said it was “seeing an encouraging performance to date in the Year Class 2025 cohort”.
The company hopes this year’s class will swim through to graduation and onto our dinner plates.
“Clean Seas has made significant changes to its organisational and operational structure, and the benefits of these changes continue to be seen on farm and in the performance of the Year Class 2025 cohort,” Clean Seas said.
Clean Seas was joined by perennial Loser NeuRizer in this week’s chart, as well as Woomera Mining, Micro-X and iTech Minerals.
There was little news from the Winners, with Whitebark Energy landing on the top of the list this week on light trading volume.
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Iondrive was another Winner but went into a trading halt on Friday ahead of a planned capital raise.
The full list of Winners and Losers for the week ending 29 November:
Data via Baker Young Limited.
