FarCargo reports major loss but expects improved results ahead

FarCargo, the Faroese salmon transport company owned by Bakkafrost, recorded a loss of 70 million Danish kroner before tax last year, but management remains optimistic about future performance, Kringvarp Føroya reports.

Bakkafrost acquired FarCargo shortly before Christmas 2024 to facilitate direct air freight of salmon from the Faroe Islands to the US market. The company was in severe financial distress at the time, requiring a capital injection. Bakkafrost provided 25 million kroner in new equity at a share price of 320, bringing FarCargo’s total working capital to 80 million kroner at the turn of the year.

While the company no longer flies salmon directly to the US, CEO Regin Jacobsen told Kringvarp Føroya that current routes—via Shannon in Ireland and Brussels/Liège in Belgium—offer strong opportunities to access markets, such as the US and China, more quickly than alternatives.

FarCargo reported a loss of 22 million kroner before tax (18 million after tax) in 2024. Despite the setback, Jacobsen expressed confidence that the company’s operations, which have accumulated losses of around 70 million kroner before tax to date, will soon turn profitable.