High Liner Foods on Thursday released its first-quarter results, including a 62.4 increase in sales, to CAD 287.7 million.
The Canadian company — one of North America’s largest seafood suppliers — also watched its EBITDA (earnings before interest, taxes, depreciation and amortization) increased 72, to CAD 31.5 million, in the first quarter of 2012. However, the company’s net income dropped CAD 7.9 million, to CAD 1.8 million.
“We are pleased to report strong first quarter operating results and that we delivered a 25 percent return on equity,” said Henry Demone, president and CEO of High Liner. “Our robust results were attributable to both the addition of Icelandic USA and the strength of our pre-Icelandic USA businesses. On a pro forma basis, assuming Icelandic USA had been part of our operations for the same period in 2011, our U.S. operations experienced solid growth of 9.5 percent on sales and 13.7 percent on adjusted EBITDA.
Added Demone: “After a challenging Canadian retail market in 2011, we are pleased to say that our marketing initiatives and new product launches have yielded results, as we recorded a 10.5 percent increase in total Canadian dollar sales and an 18.7 percent growth in retail sales volume.”
Last week, High Liner announced that it is closing two of its six North American processing plants — Danvers, Mass., and Burin, Newfoundland — in an effort to consolidate its North American supply chain as a result of overcapacity and the acquisition of the more modern Icelandic USA facility in Newport News, Va., last December.
