Danish pelagic producer FF Group reported a net profit of DKK 26 million (€3.5 million) for 2025, down from DKK 102 million (€13.7 million) in 2024, as intense competition and rising raw material costs hit margins.
The company said the result still reflects a positive outcome in a year marked by strong pressure on earnings.
Raw material costs squeeze margins
The group had already warned that 2025 would be a difficult year. Competition for raw materials increased sharply, pushing prices to levels deemed economically unsustainable.
At the same time, the value of finished products such as fishmeal and fish oil declined when measured per kilogram of raw material. This created a gap between input costs and output value.
According to the company’s management, this imbalance was a direct result of aggressive pricing among competitors.
Cost control limits the impact
FF Group said it managed to offset some of the pressure through tight cost control.
Despite wage increases and general cost inflation, the company kept its cost base stable. Management said this effort helped secure a positive bottom line.
The group described 2025 as “very demanding”. Still, it stressed that ending the year with a profit was a key achievement under the conditions.
Scandic Pelagic improves performance
Subsidiary Scandic Pelagic reported a net profit of DKK 17 million (€2.3 million), up DKK 3 million (€0.4 million) from the previous year.
The company said the improvement came despite lower raw material supply, pointing to stronger operational performance.
Management described the development as positive and said it reflects progress within the pelagic processing segment.