Cape Town, South Africa-based fish-processing company Oceana Group posted a 29 percent year-over-year increase in revenue for the fiscal year ending 30 September 2023, driven by an increase in global prices on nearly all of its products – particularly fish oil.
Oceana Chairman Mustaq Brey and CEO Neville Brink said in a joint statement issued on 27 November that a weaker South African rand that aided in export value, and a surge in revenue from its U.S. operations, pushed its FY 2023 revenue to ZAR 10 billion (USD 532 million, EUR 486 million) – the company’s highest posting in five years. Comparatively, last year’s revenues totaled ZAR 8.1 billion (USD 431 million, EUR 314 million).
“The Group’s performance benefitted further from increased demand and improved pricing across all wild-caught seafood products,” the joint statement said.
Oceana Group’s operating profit from continuing operations increased 19.8 percent year over year to ZAR 1.5 billion (USD 80 million, EUR 73 million), while its profit after tax in the category jumped 25.2 percent to ZAR 990 million (USD 53 million, EUR 48 million).
A series of business moves – such as holding higher levels of inventory and diversifying operations across various species, geographic locations, and multiple currencies – enabled the company to leverage high demand for canned fish, fishmeal, and fish oil, as well as “remain resilient in a challenging operating environment characterized by high inflation, rising interest rates, a volatile currency, and increased load shedding in South Africa,” according to the statement.
Although the market faced significant pressure, Oceana said it attracted more consumers by “maintaining affordability relative to competing proteins, building a resilient supply chain to meet growing consumer demand, and continuing with innovative marketing and brand investment.”
Capitalizing on the consumer craze for canned products, the company’s Lucky Star canned fish brand increased the ...
Photo courtesy of Oceana Group
