Good morning, everyone, and welcome to the presentation of Mowi's third quarter results of 2022. My name is Ivan Vindheim, and I'm the CEO of Mowi. With me today to present the financial figures and fundamentals I have as usual are the CFO, Kristian Ellingsen, and after the presentation, our IRO, Kim Galtung Døsvig, will routinely host our Q&A session. For those who are following the presentation on webcast, you can submit your questions or comments in advance or as we go along by email. Please refer to our website at Mowi.com for the necessary details. Disclaimer, I think we leave for self-study as usual. We are ready for the key bullet points for the quarter. A quarter I think we can safely say goes down in history as the quarter of contrast, to put it mildly.
Because despite another set of new operational records for Mowi, the third quarter of 2022 will unfortunately be remembered for the 28th of September and the Norwegian government's infamous resource rent tax proposal of 40% on Norwegian salmon farming, or 62% including corporate tax and about 80% with Norwegian wealth tax. We haven't even included export tax, employers tax, et c, et c. Needless to say, such a tax level is completely disproportionate for a biological production process such as salmon farming, given the risks entailed. What we do is so different to the oil and hydropower industry, the two other resource rent tax industries in Norway, both from an operational and a risk point of view.
This tax level would also totally undermine the investment capacity of the salmon industry and place major limitations on future development on one of the industries we were supposed to live off in this country after the oil age. In direct contravention of the Norwegian government's rhetoric, it would put thousands of jobs at stake in rural Norway, manifested already in layoffs in the supplier industry. By extension, we can just wave goodbye to the tens of thousands of new jobs we were supposed to create along the Norwegian coastline in the coming years by growing this industry by more than threefold by 2050. Because these framework conditions are simply not fit for that purpose, as there is no money left to invest with. One cannot have it both ways, no matter what the Norwegian government says.
All this talk about resource rent tax being neutral in investments is a complete misjudgment based upon stylized assumptions that do not reflect what's happening in the real world. The greatest fallacy of them all is that capital is a non-scarce resource, which some theorists for some reason tend to believe, proven by investment projects totaling NOK 35 billion already put on hold or terminated as a direct consequence of the tax proposal. Another fallacy is that salmon farming is immovable. With RAS technology, you can farm salmon in all countries in the world. It's just a matter of cost, and tax is a cost like any other cost in the cost basket. Nonetheless, we have far from given up.
The proposal is now in a public consultation process until the fourth of January, and we will continue for our part to work with all levels of Norwegian politics and organizations to try and turn this, in our view, anti-business proposal into a viable framework for the salmon in-industry also going forward. Meanwhile, we have unfortunately been forced to put all new structural investments in Mowi Norway on hold until further notice. So much about politics for now, then over to our operations. Turnover-wise, the third quarter was the best quarter so far for Mowi with an operational revenue of EUR 1.26 billion. Earnings-wise, it was also a good quarter for Mowi with an operational profit of EUR 240 million. In line with the training update of the 17th of October and the third-best quarter to date.
On seasonally strong prices, I would say, driven by a good underlying demand and notwithstanding a global supply growth of 7% year-over-year for the quarter. In addition to record high farming volumes for Mowi of 134,000 tons, which was record high and slightly above the guidance of 131,000 tons. In terms of full year guidance for 2022, we maintain it at 460,000 tons with increased volumes from Mowi Norway in the wake of a good biomass growth season, offset first and foremost by Mowi Scotland due to prolonged biological issues there. Kristian will get back to the details later, and so will I.
For next year, we expect to harvest 470,000 tons despite the reduction of our Canadian volumes by as much as 16,000 tons year-over-year following the loss of our Discovery Islands sites in British Columbia in December 2020 and an uneven site mix structure next year. The farming costs, i.e., weighted farming costs for our six farming countries was 5.15 EUR per kilo in the quarter and relatively stable compared with the second quarter. When it comes to our other divisions, Consumer Products has delivered another set of great results in the quarter by means of our good operational performance, but also with tailwinds from seasonally lower raw material prices. The Feed division, for its part, has delivered both record high volumes and profit on strong demand from Mowi Farming.
Otherwise, it was with great pleasure we recently entered into an agreement to purchase 51% of the shares in Arctic Fish, one of the leading salmon farmers in Iceland. Iceland was the last missing spot in Mowi Farming's geographical footprint. It's also one of the very few areas left that offer extensive organic growth opportunities. On top of that, Icelandic waters also provide excellent growth and living conditions for the salmon. It's no secret that we have been looking for an entry in Iceland for years. When we finally got the chance, we were not hard to ask. Last but not least, the board of directors has declared a quarterly dividend of 1.7 NOK per share, which compares to 50% of underlying earnings per share, and as such is in accordance with the dividend policy.
That, I think, does it for the key bullet points for the quarter. Over to key financials. Kristian will, as usual, go in-depth on financial figures under his session, so to not disrupt the course of events, we'll just touch briefly upon the most important ones now. First, turnover. Which we already have been through, Mowi recorded an operational revenue of EUR 1.26 billion in the third quarter, which was record high and up by 21% year-over-year on 14% higher farming volumes. Operating EBIT of EUR 240 million, we have also already commented on. Almost double compared with the third quarter last year and the third-best quarter to date. Cash flow in the quarter was highly impacted by tie-up of working capital and capital expenditures.
Net interest-bearing debt came in at EUR 1.35 billion, within our long-term target of EUR 1.4 billion. Furthermore, underlying earnings per share in the quarter was EUR 0.34 and annualized return on capital employed was 21%, well above our long-term target of 12%. In terms of regional margins through the value chain, they varied more than normal this time around, and we will get back to the explanation shortly when we go through the various business entities. But first, briefly about the prices. As expected, spot prices in the third quarter corrected down from the second quarter on higher seasonal supply. Having said that, spot prices were still at a recently good level in the third quarter, I would say. In Europe, the prices were actually up by 30% year-over-year.
In Americas, the price development was softer and the salmon of Chilean origin was stable price-wise year-over-year, whereas the salmon of Canadian origin was down by 11% year-over-year. Our own relative price achievement. Overall price achievement for Mowi was slightly above the reference price in the quarter, and we saw good price achievement for all our fish, apart from Canada East, where we harvested out some ISA fish in the quarter. Harvest share was also very good in the third quarter. Briefly about the EBIT waterfall. Overall, operating EBIT increased from EUR 131 million- EUR 240 million year-over-year, driven by increased earnings in farming as a result of higher prices and volumes. Also the other businesses contributed positively this time around with good operational results across the board.
It's time to address the various business entities, and as usual, we start with Mowi Norway, our largest and most important one by far. Operational EBIT for Mowi Norway in the quarter was EUR 222 million, which is the second-best quarter ever, and up from EUR 98 million last year. EBIT margin was EUR 2.53 per kilo versus EUR 1.39 per kilo last year. As the graph clearly demonstrates, this was caused by higher prices and volumes. Cost, on the other hand, was up year-over-year, due to mainly inflation and then feed inflation. Because our overall operational performance has been good in Norway this year, and by extension, we have upped our full-year guidance for 2022 from 272,000 tons to record high 286,000 tons.
Further to 290,000 tons next year. As late as 2017, we harvested 210,000 tons in Mowi Norway, which means that we have grown Mowi Norway by as much as 76,000 tons or 6.4% annually over the past five years. By that, putting Mowi Norway towards the top of license utilization and production efficiency in Norway. Kudos to the organization for this achievement. It's of course, much appreciated. It's time to address the various margins in Norway, so for the different regions. Margin-wise, it was much flatter than normal this time around. Having said that, Region North stands yet again out as the margin winner with EUR 2.83 per kilo on lowest cost.
All the cost was adversely impacted by inflation and a less favorable site mix year-over-year with a higher proportion from Production Area 7 this year. Closely followed by Region Mid with a margin of 2.62 EUR per kilo and Region West with 2.40 EUR per kilo. Region South, for its part, achieved a margin of 2.16 EUR per kilo in the third quarter and improved by that its relative position year-over-year on significantly higher volumes. Although cost was adversely impacted by challenging environmental conditions for our Agder sites in Region One, or sorry, in Production Area One. Our Norwegian sales contract portfolio.
In the third quarter, we yet again capitalized on being in the lower end of our contract policy as spot prices also for this quarter were higher than the prevailing contract, price or prices. This time around with a contract share of 22% for our part. However, at this time of year, the big elephant in the room is of course contracts for next year. To call a spade a spade, the government's infamous resource rent tax proposal as it stands has, unintentionally I assume, pulled the rug under the contract market for the Norwegian salmon next year as the proposal applies the Nasdaq Salmon Index as the tax settlement price. This is double unfortunate because firstly, the Nasdaq Salmon Index doesn't really exist, it's also higher than the relevant spot price for the farmer.
Secondly, and maybe even worse, the spot price may also differ significantly from the prevailing contract price. Reference the second quarter this year when the spot price went through the roof. One by one toxic and combined completely devastating. It's paramount to sort this one out quickly. We don't have time to wait for the consultation process to conclude on this one. Meanwhile, the contract market for the Norwegian salmon is, excuse me, my language, dead for all practical purposes. It's time to address the other farming countries, and as usual, we start with Mowi Scotland. Nothing is as sure as things fluctuate in salmon farming, biology is the law, and everything else is just a recommendation. After an impressive last year for Mowi Scotland, the biological challenges seem to have no end this year for our wholly-owned Scottish organization.
No sooner had we harvested out the poor-performing externally genetic source stocks, then we run into severe issues in or around Skye and in the Western Isles due to micro-jellyfish, which caused some elevated mortalities in some of our farms. This resulted in a soft operational EBIT from Mowi Scotland in the third quarter of EUR 4 million, down from EUR 13 million last year, notwithstanding substantially higher prices. Also manifested in a drop in EBIT per kilo from EUR 0.90- EUR 0.29. Volumes, on the other hand, were stable at 14,000 and 15,000 tons. Things are now under reasonably good control in Mowi Scotland, but unfortunately, this will impact our cost and volume figures for the fourth quarter as well. In the case of the latter, as we prioritize biomass growth going forward.
Our guidance for Mowi Scotland is therefore taken down this year from 60,000 tons to 50,000 tons. Next year, we expect to be more or less back on track, and we have guided approximately 65,000 tons. Chile. Mowi Chile saw increased earnings and margins year-over-year in the quarter on higher prices and volumes, partly offset by cost due to inflation. In terms of numbers, operating profit was EUR 22 million this year versus EUR 14 million last year, and the margin was up from 0.93 EUR per kilo- 1.27 EUR per kilo. Volumes are also up, as said, from 15,000 tons- 17,000 tons. In general, both production and biology were good in Mowi Chile in the quarter. Further north to Mowi Canada.
Mowi Canada made a loss of EUR 4 million in the third quarter against a break-even result last year. This was driven by lower prices as cost is actually somewhat down year-over-year. Volumes, on the other hand, were stable at 11,000 tons. In Canada West, we achieved an operational profit of EUR 7.5 million or EUR 0.78 per kilo, which is an improvement from last year, where we made EUR 5.6 million or EUR 0.66 per kilo. As far as Canada East is concerned, we harvested very low volumes in the third quarter, and on top of that, they were related to ISA fish at both high costs and low prices, in addition to low dilution of cost in general.
In terms of overall biology for Canada East, it has improved this year compared with previous years, and in particular, the lice situation is good this year or has been good this year. Knock on wood. The work on reducing our cost basket continues in full force. It's time to address our two smallest farming entities, Mowi Ireland and Mowi Faroes. For the salmon of Irish origin, we made a loss of EUR 3 million in the quarter following previously announced issues with pancreas disease compounded by compromised gill pathology due to micro jellyfish. The same species as for Scotland, Muggiaea atlantica. Biology is now under control, but this will unfortunately impact our fourth quarter numbers as well, though not to the same extent as for the third quarter.
In Mowi Faroes, operational EBIT came to EUR 2 million with a margin of 1.06 EUR per kilo on 1,700 tons harvest volumes. So much about Mowi Farming. Over to Mowi Consumer Products. Consumer products made an operational profit, I should say, an impressive operational profit of EUR 30 million in the third quarter, up from EUR 22 million last year on higher margins, both in total and for value added only. By means of a strong operational performance, in addition to tailwinds from seasonally lower raw material prices. Volumes, on the other hand, were down from pandemic-boosted 60,000 tons product weight last year to 56,000 tons product weight this year. In terms of overall demand, it was reasonably good in more or less all markets in the quarter.
We also see reasonably good development in demand so far in the fourth quarter, notwithstanding the global economic slowdown. Our latest addition to the Mowi family, Mowi Feed. The third quarter is high season for Mowi Feed with all that entails. As said initially this morning, we can put behind us a quarter with record high feed volumes and feed profit on strong demand from Mowi farming. As recurrent capital expenditures are limited in Feed compared to farming, our key metric on earnings in Feed is EBITDA. Operating EBITDA was EUR 19 million in the third quarter versus EUR 14 million last year. Sold volumes were 169,000 tons this year versus 156,000 tons last year. Feed performance was also very good in the third quarter, which is, of course, of utmost importance to us.
Kristian, the floor is all yours for walking us through the financial figures and fundamentals. Thank you so far.
Thank you very much, Ivan. My name is Kristian Ellingsen. Good morning, everybody. Hope everybody is doing well. As usual, we start the session on financials and fundamentals with the statement of profit and loss. We see that the top line shows a record high revenue of EUR 1.26 billion in the third quarter. This was an increase of 21% from Q3 last year on all-time high volumes and increased prices from the comparable quarter. Operational EBIT, EUR 240 million. That's up 84% from Q3 last year, driven by the farming segment and with a corresponding increase in underlying earnings per share, 34 euro cents, and return on capital employed, 21.4%.
When it comes to the items between operational EBIT and financial EBIT, the net fair value adjustment was negative this time around, driven by lower prices at the end of Q3 versus end Q2. Other non-operational items include a gain of EUR 22.5 million on sale of unused development licenses. When it comes to associated companies, the operational result from our associated company, Nova Sea, was EUR 2.55 per kilo. That was a good margin for Nova Sea, but somewhat below Mowi Norway region mid and also region North in Q3 and not far away from Mowi region West. Net financial items negative EUR 33 million in the quarter. Interest as expected, so this was related to unrealized currency losses on hedges and working capital items.
The key figures are positively impacted by the increased earnings. That's very good. We also see that the net cash flow per share is impacted by working capital tie-up, which we will come back to shortly. That figure ended at EUR 0.02. Yes. We move on to the financial position. The balance sheet for Mowi remains very solid versus year-end. There are some increases on both current assets and liabilities, while fixed assets are relatively stable. Covenant equity ratio somewhat up from year-end and is 55.4%. When it comes to the cash flow, we see that net interest-bearing debt increased by EUR 116 million in the period, including a dividend payment for Q2 of EUR 122 million.
There was a working capital tie-up of EUR 151 million in the quarter, mainly due to biomass and sea, feed inventory, and consumer products. Other investments and dividends received include the proceeds from the sale of unused development licenses. The other items were as expected. When it comes to the cash flow guidance for the year as a whole, we increase the estimate for working capital tie-up to EUR 350 million, but approximately half of this is related to temporary elevated working capital build-up related to inventory, accounts receivable, et cetera, and that's expected to be released next year. The other half is mainly related to volume increase in sea and cost inflation. Also, parts of the cost inflation is temporary as we see it.
CapEx guiding unchanged at EUR 300 million. Projects already initiated will continue, but the proposal for the resource rent tax means that we have to put all new structural investments on hold until further notice. Interest paid and taxes also unchanged at EUR 35 million and EUR 130 million respectively. The dividend for Q3 of NOK 1.7 per share will be paid in the fourth quarter. Take a look at the financing, and there are no changes with regards to our existing debt instruments. We have a very solid and good financing in place for Mowi. We move over to market fundamentals. We start with the supply.
Global supply, as we see here, increased by 7% in the third quarter versus Q3 last year. That was somewhat above the guiding of between -1% to 2%. That was the guiding. The increase was driven by Chile, as we see here. Chile was up by 26%, where the company harvested more than expected due to biological challenges mainly related to SRS. Average rates were also good in Chile, indicating that opening biomass was probably higher than the initial estimates. Closing biomass in Chile is estimated to be 8% down compared to Q3 last year, and that indicates, of course, reduced volumes from Chile going forward. In Norway, the closing biomass is stable from last year, indicating that growth also from Norway will be rather limited.
We will come a little bit back to that. We move over to consumption in the various markets, and we can start with the value of the salmon consumed in the third quarter. That increased by as much as 25% with 4% higher volumes, 21% higher blended prices. In Europe, retail sales were somewhat down from a high level during the pandemic, but still higher than pre-pandemic levels. The food service segment continued to improve. Demand has been good in the quarter. So far, we will say that the salmon has performed well, even though the economic climate has become more challenging. When it comes to the U.S., this market continues to grow, as we see here. Good figures.
Annual consumption approaches 600,000 tons in the U.S., and we saw a 7% consumption growth in the third quarter. Asia saw an increase in some markets as pandemic-related restrictions were relaxed. But in general, the Asian market is impacted by still high air freight rates. There was a difference between supply and consumption of approximately 18,000 tons, mainly due to frozen inventory buildup in Chile. That's approximately the same level as last year. Nothing of particular interest as we see it. We saw a seasonal decline in prices during the quarter compared to the very high prices we saw in the first half of the year, driven by increased supply. Compared with the Q3 last year, prices were up 30% in Europe on improved demand.
The Chilean prices were relatively stable on improved demand, but high supply. The Canadian prices were impacted by record high wild catch of sockeye at the start of the quarter, and then generally increased volumes into the North American market during the third quarter. When it comes to industry supply growth, this slide indicates that growth is expected to be very modest. 0% for 2022, 1% for the fourth quarter this year, and also 1% for 2023. 2023 has been revised down following the resource rent tax proposal and unsold MAB capacity in Norway. We expect this picture really to remain in the coming years. The growth for the industry has been impacted by this proposal and the halt in investments.
When it comes to our own volumes, we maintain the guidance for 2022, as Ivan said, at 460,000 tons, but we have done some changes within the group between the entities. Norway increased by 14,000 tons- 286,000, and Scotland down 10,000 tons. In 2023, the guidance is 470,000 tons, including a reduction of 16,000 tons in Canada compared to 2022. That's related to Canada West and the loss of licenses in the Discovery Island area and this stocking pattern. Canada West is expected to stabilize around 25,000 tons from 2024 onwards. Long-term volumes in Canada East should be around 50,000 tons with the current site structure.
I leave the word to you, Ivan, to look at the outlook slide.
Thank you, Kristian, and much appreciated. It's time to conclude some closing remarks before we wrap it all up with our Q&A session hosted by our IRO, Kim Galtung Døsvig. As already said, yet another record high quarter for Mowi was unfortunately completely overshadowed by the infamous resource rent tax proposal by the Norwegian government. This would obviously be a game changer for industry and Mowi alike. There's no doubt about that if it's put in action. Having said that, I simply cannot believe that the consequences are fully understood by the lawmakers. Let's see what we can achieve by appealing to reason. We will therefore use the public consultation process for our part to continue to work with all levels of Norwegian politics and organizations to try and turn this, in our view, anti-business proposal into a viable framework for the salmon industry also going forward.
Meanwhile, we have unfortunately been forced to put all new structural investments in Mowi Norway on hold until further notice. Much about politics. In terms of fundamentals, they appear reasonably good or attractive going forward in our view. The supply side looks very constrained, but in practice, no growth next year or in the coming years for that matter, and salmon normally fares well in challenging economic times. With our continued reasonably good demand, this should lay basis for a tight market balance also in the time ahead. That's at least our main scenario for now. In terms of the harvest volume guidance for 2022, we have, as Kristian just showed us, maintained it at 460,000 tons. Though with our reshuffling of volumes, where we are guiding Mowi Norway up and Mowi Scotland and Mowi Chile down.
For next year, we expect to harvest 470,000 tons despite a reduction of our Canadian volumes by as much as 16,000 tons year-over-year. Iceland. As said earlier this morning, it was with great pleasure we recently entered into an agreement to purchase 51% of the shares in Arctic Fish, one of the leading salmon farmers in Iceland. Iceland was the last missing spot in Mowi Farming's geographical footprint, and it's also one of the very few areas that still offer extensive organic growth opportunities. This is really a good news story for us, and we are looking forward to further develop the company together with the other owners and a highly competent organization. Finally, the board of directors has declared a quarterly dividend of 1.70 NOK per share, which is equivalent to 50% of underlying earnings per share.
Thank you. I think we are ready for the Q&A session. If you, Kristian, can please join me on the stage.
Good. This time we'll start with some questions from the web. The first one from Alexander Jones, Bank of America. He has two questions, the first one on Iceland. Could you contextualize how you see Iceland ranking in the long term on farming margins versus your other geographies?
That's a very good question, Alexander, and this is something we have debated internally in depth and at length. Our take is that we cannot see why not Iceland can be the new Faroes times 1.5 in 10 years. Let's see what we can do. That's at least our initial take. At the same time, we are new in this game, so we are humbled, and we also have to learn. At the same time, we are already present in the six of the other seven farming countries in the world. I also think we have a reasonably good understanding on what we are going to.
A second question on Canada. Could you provide a split of next year's volume guidance into West and East and remind us the long-term volume path in each?
Shall I take it or will you?
Yeah, you can take it.
I can take it? Okay. For Canada East next year, we expect to harvest 8,000 tons and then the rest of the math, I guess, the audience can do itself.
Herman Aleksander Dahl, Nordea, he has a question on Scotland. Biological issues in the second half now seems to be the normal or the new normal in Scotland rather than one-offs. How should we look at this going forward? Should we pencil in continued issues in the second half next year and beyond?
Well, it's typically the third quarter which is challenging in Scotland and also in Canada West and Canada East. We have been struggling lately. We think this is partly due to the climate change, the waters are getting warmer and that leads to more pathogens, more plankton of different variants. For Scotland, our long-term solution to this is to produce post-smolt, and that's something we are looking into as we speak. I think we simply just have to reduce the production cycle, and I also have noted that our peers are looking into the same.
In addition, you can always do more with the current toolbox, and we are now taking initiatives together with the other farmers in Scotland to start with a scheme for surveillance, taking water samples and then share it with each other. At least we can take preemptive measures when we see we are facing plankton blooms. I think there are also some short-term measures we can take that can help the situation. For the most part, I think we did reasonably well in the third quarter. After all, we saved a lot of fish by moving fish and also by using oxygen tools. There are things you can do if you are prepared, but we can do more.
The long-term solution, again, I think, is using the production cycle, growing bigger smolt before we stock it in sea.
Christian Olsen Nordby, Kepler Cheuvreux. At your CMD last time, you launched quite a large post-smolt project in Norway for many years. If we assume that the current resource rent tax proposal goes through, is it now more interesting to rather invest in, for example, Scotland, or is the Norwegian post-smolt project still viable at the time?
Well, as we said earlier this morning, we have put all the new structural investments in Mowi Norway on hold until further notice, and that includes the post-smolt efforts or strategy we have. The ones we have started to build, we have passed the point of no return, obviously, but we will not initiate any new ones with the framework conditions we are facing as we speak. If this proposal stands, put in action, then we have to revisit our entire strategy because this is fundamental. This is a game changer, so I should not hide that.
Let's hope that they come to some kind of understanding with the government and also secure viable frameworks for the salmon industry in Norway going forward. Because Mowi Norway is by far, as I said, our most important entity in Mowi and we perceive ourselves as Norwegians. We are a Norwegian company, although we can read in the newspaper that someone out there has a different view on this. Nothing at least make me personally happier than to invest in Norway. At the same time, we have to justify our investments. With the framework conditions we are facing now, that will be really hard.
Carl Baretto. In Canada East, you say that the biology is improving, but next year will of course be very low on volumes. Can you say something about one of your planned smolt releases this year or next year, and what we should assume into 2024, 2025 for this region?
Yeah. Biology is the law. Biology decides, actually. When we see that we can do this properly, then we will stock more fish. We do this gradually. This year has been much better than previous years, much better. We have done a lot of changes, both organizationally and the way we operate. I think we have to revert with the long-term target of Kristian here. Biology will make the decisions for us.
I guess you have more fish to harvest in 2024 than in 2023. Is that fair to assume?
That, that-
Because that fish, I guess, you have already produced.
That's the plan if things develops as we hope and think. At the same time, we are very humble. We have been through some very tough years in Canada East. We have learned, unfortunately learned, you know, several lessons on the way.
One short on the U.K. Is it only the jellyfish problem impacting the gill of the fish that is the issue, or are there any other diseases that kind of have started to become a problem in Scotland?
Yeah, it's a mixed bag. What impacted our numbers this quarter was the micro-jellyfish. It was quite severe. This species do not happen often. It's a natural part of the fauna, but because of weather and other conditions, it bloomed this year. We had the same actually in Region South in 2003, 20 years ago, but that was actually the last time. Also this time it was the micro-jellyfish. In general, the biology is getting more challenging. It is. Because of warmer waters.
Thank you.
Welcome.
Okay. Another question from the web, from Alexander Aukner, DNB. He is asking about consumer products. You say the contract market is dead. How does this impact your consumer products business?
Yeah. For his sake, when I said dead is not a good word, but let's use dead. I meant for the Norwegian salmon, right? We have a big business and a lot of salmon in other countries. The contract market is very healthy there. I should not say the Norwegian phrase of it, but of course, when someone loses, someone else gains. That's how it is. Consumer products will survive. We will get hold of the fish, so I'm not worried about that. What I'm worried about is what are the consequences for the total market? What are the consequences for demand? This is completely devastating and, in my view, very unnecessary. I also think it must be a result of a misunderstanding.
I can't imagine that someone really intends to do this, actually.
Okay. I think that concludes the questions from the web and from the audience.
Right. It only remains for me to thank everyone for the attention. We hope to see you back in February at the fourth quarter release. Meanwhile, take care and have a great day ahead.