High Liner on Wednesday announced its fourth-quarter and year-end results.
The Canadian seafood supplier reported a fourth-quarter net income of CAD 2 million, down from CAD 3.8 million in 2009. The decrease was due to increased stock option and acquisition related expenses. Fourth-quarter sales also dropped from the previous year, down to CAD 140.7 million from CAD 148.8 million.
Fourth-quarter EBITDA also declined to CAD 10.6 million from CAD 11 million during the same period in 2009. However, net income for the year was up slightly to CAD 19.8 million from CAD 19.7 million in 2009. In 2010, EBITDA also increased to CAD 50.8 million from CAD 43.9 million in 2009.
Due to a stronger Canadian dollar reducing sales of the company’s U.S. subsidiary, sales were down to CAD 584.7 million in 2010 from CAD 627.2 million in 2009.
“We are very pleased by our continued strong profitability in 2010, with meaningful growth in adjusted EBITDA and operating cash flow, despite lower reported sales largely driven by the stronger Canadian dollar, lower prices on commodity products, increased promotion on value-added products, and lower volume in Canadian operations as consumers reacted to higher selling prices,” said High Liner President and CEO Henry Demone. “We benefited from the growth in sales volumes in the U.S. in both our food service and retail businesses, as well as from our cost-reduction initiatives to expand our margins. Moreover, we improved on our key performance measures while executing our strategic goals.”
