Fish Master Premier Business Plan — Key Performance Indicators

The survival, feed conversion, hatchery output and cost indicators monitored per cycle, with intervention thresholds.

Key Performance Indicators

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The following are the operating measures on which this enterprise should be managed. Three of them — feed conversion ratio, fingerling sales volume and dissolved oxygen — carry more information about whether the plan is holding than any revenue figure, because revenue rises with the tonnage ramp whether or not the underlying economics are working.

Indicator

Definition

Target

Why it matters

Feed conversion ratio

Feed issued divided by biomass gained

1.52 by Year 5

Feed is the largest single cost. A weekly feed register is what makes this knowable before the annual accounts

Fingerling sales volume

Sexed fingerlings sold to third parties

2.6 million by Year 5

The largest single sensitivity. A 25% movement swings Year 5 profit by R2.15m

Realised fish price

Fish revenue divided by kilograms sold

Above R98/kg

Against a full production cost of R91.60. The margin is R6.50 a kilogram and there is no room below it

Mortality rate

Fish lost divided by fish stocked

Below 13% by Year 5

28% in Year 1 is deliberately assumed; first-cycle losses are normal and pretending otherwise misleads the funder

Hatchery share of contribution

Fingerling contribution divided by total contribution

Monitored at 82%

The structural fact of this business. It should rise, not fall

Energy cost per kilogram

Energy cost divided by kilograms harvested

Below R10/kg by Year 5

Net of solar. Improves with scale, siting and system tuning

Water quality exceedances

Readings outside the control band

Zero tolerance on dissolved oxygen

Aeration failure is the single fastest route to catastrophic stock loss

Debt service cover

EBITDA divided by interest and capital

Above 1.30x from Year 4

Nil in Years 1 and 2 by construction; the three-year grace is a term of the facility

Broodstock traceability

Spawnings with complete genetic records

100%

Traceability is the commercial basis of the fingerling business, not an administrative nicety

Premium channel contracted volume

Weekly kilograms under agreement

Ahead of harvest

Contracting weekly volume rather than expressions of interest is what separates this plan from the failures