U.S. growth drives High Liner’s 1Q performance
High Liner on Tuesday releases its first-quarter results.
Despite an appreciating Canadian dollar, the Nova Scotia-based seafood supplier reported a 7.3 percent increase in sales to CAD 177.1 million and a 25.3 percent increase in net income to CAD 9.7 million. The company’s EBITDA reached CAD 18.1 million, up 23.1 percent from the first quarter of 2010.
The strong results were largely driven by High Liner’s U.S. operations, which posted a 22.8 percent increase in domestic currency sales.
“We experienced substantial growth in U.S. sales with the launch of new products and expanded distribution for our brands, which helped offset price-driven competitive challenges in our Canadian retail operations.,” said High Liner President and CEO Henry Demone. “Notwithstanding the weaker Canadian retail results, we are delighted that we significantly improved profitability with double-digit growth rates in adjusted EBITDA in both Canadian and U.S. markets.”
High Liner also successfully completed the integration of Viking Seafoods of Malden, Mass., which it agreed to acquire in December, into its operations in the first quarter of 2011, said Demone.
An appreciating Canadian dollar hurt High Liner in fourth quarter of 2010, when its sales, net income and EBITDA all declined.