High Liner Foods Inc. reported more sales and profits in its latest quarter.
The 13-week period that ended July 2 “was another strong quarter for High Liner Foods,” said Rod Hepponstall, president and CEO of the value-added frozen seafood company based in Lunenburg, in a press release issued Wednesday.
“Our products continue to be in high demand, our team is performing well, and the reliability of our diverse global supply chain continues to differentiate us in the marketplace.”
“Our ability to perform well in a supply-constrained inflationary environment underscores the strong underlying fundamentals of our business and the potential for further growth as market conditions stabilize. We remain focused on efficiency, innovation and optimization across the portfolio. We believe this is the path to continue driving profitability and advancing our leadership position in value-added branded seafood in North America. . »
The Company’s financial results, expressed in U.S. dollars, for the second quarter of 2022 include the following (all comparisons are to the second quarter of 2021):
Sales increased $63.7 million, or 33.6%, to $253.5 million from $189.8 million, and sales volume increased by 8.4 million pounds, or 16.7%, to £58.8 million, from £50.4 million.
Gross profit increased $11.9 million, or 26.8%, to $56.3 million from $44.4 million, while gross profit as a percentage of sales decreased to 22.2% from 23.4%.
Adjusted earnings before interest, taxes, depreciation and amortization increased $5.7 million, or 29.1%, to $25.3 million from $19.6 million, while EBITDA adjusted as a percentage of sales decreased to 10.0% from 10.3%.
Net income increased $11.0 million, or 137.5%, to $19.0 million from $8.0 million, and diluted earnings per share increased to 0 $.54, compared to $0.23.
“This quarter demonstrated that our longstanding efforts to ensure we were well positioned for the full reopening of foodservice are paying off; our customers appreciate the versatility of our offerings, the reliability of supply and the value we deliver,” said Hepponstall.
“We are encouraged that while consumers have enjoyed eating seafood away from home, our retail business has remained strong and increased sales and volume over the same period. last year. Although we have yet to see a major shift in consumer behavior due to the inflationary environment, we are well positioned to continue to benefit from it at various price points across our portfolio. »
High Liner said it continued to experience shipment delays and raw material supply issues, which impacted its ability to maximize overall sales volume of approximately four million pounds, or 6, 8%, during the quarter.
The company’s board of directors on Wednesday approved a quarterly dividend of C$0.10 per share on common stock, payable Sept. 15 to holders of record Sept. 1.