Sealord profit up 13%

Sealord profit up 13%

Annual results of Sealord Group Limited holding company Kura show a 13% increase in net profits after tax to $20.6 million; seasonally adjusted debt levels down by $15 million and a dividend of $16 million paid to owners.

Revenue for the reporting period was $573.5 million up from $530.8 million for the previous year.

The result has been described by CEO Graham Stuart as reasonably solid following a decade of challenges faced by the deep water fishing industry.

“Conditions have been tough with reductions in quota, increases in fuel costs and a strengthening dollar over the last decade. We had to adapt and make some tough decisions, but we are quietly confident this year’s results show what the industry is capable of delivering,” said Stuart.

The results posted cover a 15 month period following a change in balance date to 30 September. Despite the inclusion of two July to September quarters, when most industry players operate at a loss due to the seasonal nature of fishing, results have been strong.

“Global demand for nutritious protein continues to grow and New Zealand seafood is recognised as a sustainable, high quality protein source.

“Sealord is well positioned to capitalise on this and is pushing innovations that continue adding value to our products,” said Stuart.

The improvement in performance was driven by a strong result from the New Zealand deep water fishing business unit.

Sealord’s marketing business in New Zealand and the UK both performed in line with expectation, although returns from the UK business have been adversely impacted by the depreciation in the value of the UK pound.

King Reef, Sealord’s barramundi farming operation in North Queensland was directly impacted by Cyclone Yasi and farming operations performed below expectations.

The New Zealand Green Shell mussel business experienced a much needed firming in market prices, but the benefit from this was offset by a weak US dollar and an infestation of barnacles impacting the North Island farming operations.

Ends

About Sealord Group Ltd

Sealord’s global net spans seven continents. Each year we deliver over $500 million worth of seafood to people in more than 60 countries around the World. We employ more than 1,100 people throughout New Zealand and more than 400 people around the world.

Established in 1961, Sealord is half owned by the Maori people of New Zealand, and half owned by leading Japanese fishing company Nissui.

The people of Sealord consider ourselves guardians of our seas and marine life. We are proactive supporters of New Zealand’s world-class quota management system that ensures Kiwis and people around the world can enjoy New Zealand seafood today safe in the knowledge that it is a sustainable resource that is being protected for future generations.

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