With increased demand following the easing of COVID-19 restrictions, Reykjavik-headquartered Iceland Seafood International (ISI) achieved total sales of EUR 449 million (USD 509.5 million) for the full-year 2021, which was 21 percent higher than in the previous year, and 3.4 percent more than in pre-pandemic 2019.
The group’s normalized profit before tax (PBT) of EUR 12.5 million (USD 14.2 million) was EUR 7.5 million (USD 8.5 million) up on 2020, while its net profit of EUR 8.8 million (USD 10 million) was EUR 8 million (USD 9.1 million) more than a year previously.
According to ISI’s 2021 results statement, an “excellent performance” by its Value Added Southern Europe division was the key driver for the results, with significant sales growth between years and strong margins from Icelandic cod products, Argentinean shrimp, and other product categories.
The Sales and Distribution division also saw a significant increase in both sales and profitability, but the results of its Value Added Northern Europe division were negatively impacted by a costly and a complex integration process in the United Kingdom, ISI CEO Bjarni Ármannsson said.
“The full-year 2021 results were overall at the lower end of our expectations, but given the highly volatile and rapidly changing external environment, we are satisfied to have navigated well in turbulent waters,” Ármannsson said.
Ármannsson said the VA-S-Europe division is reaping the benefits of the merger between IS Spain and Icelandic Iberica in 2019, as well as its acquisition of Elba in early 2020.
“This has created a strong entity that really shined in 2021 being a key driver for majority of the group profit generation. Similarly, our S&D division had its best year ever resembling the group’s strong position in trading and its long-term relationship with suppliers, especially in Iceland.”
With the lifting of COVID-19 restrictions boosting foodservice demand, Ármannsson said the company’s main challenges now relate to the significant price increases of raw materials, packaging, and logistics, as well as labor issues in the form of insufficient supply.
“These, along with pushing price increases through onto our customers, will be a challenge in the coming months,” he said.
ISI comprises 11 businesses in seven countries and services more than 5,000 customers across 45 countries. It has seven value-added factories and employs 945 people. In 2021, it sold 100,000 metric tons (MT) of products.
Photo courtesy of ISI
