THAILAND - Thai Union Frozen Products (TUF) has reported total sales in 2014 of THB 121.4 billion $3.7 billion, up 7.6 per cent.
The high record comes from an arrival of MerAlliance and King Oscar. Both transactions were completed in November 2014.
The annual net profit revealed at THB 5.1 billion, up 78.5 per cent year-on-year, retouching the record high in 2011.
The net profit is mainly driven by margin and earnings recovery across all business categories especially in the tuna and pet food businesses.
2014 EBITDA increased 39.8 per cent compared to 2013, whilst earnings per share increased 76.7 per cent to THB 1.099, compared to the previous year.
Fourth quarter result reflects a 7.7 per cent increase in sales revenue from the previous quarter.
TUF posted its best-ever quarterly sales revenue of THB 32.8 billion or $1 billion, compared to the $30.8 billion in the fourth quarter of 2013.
Mr Thiraphong Chansiri, President and CEO of Thai Union Frozen Products PCL. (TUF) commented: “This is another great year with encouraging net profit and earnings. Our 2014 result demonstrates continued accelerated growth from our branded product portfolios and operational cost management initiatives. These activities remain a priority as well as leverage sourcing activity, operating and marketing synergies with the newly acquired companies, e.g., MerAlliance and King Oscar which we expect to see further results over time. It reflects our strong commitment to drive solid results and profitable growth for all.”
Breaking down the 2014 revenue into the company's six core strategic product categories: the Tuna business commands a share of 44 per cent , Shrimp and shrimp-related business 24 per cent , Sardine and Mackerel business 5 per cent , Salmon business 5 per cent , Pet food business 7 per cent, Value-added and other products 15 per cent .
Profitability has recovered well in the tuna business. In addition, the company’s performance was particularly satisfactory with net sales growth in the salmon business thanks to its consolidation of MerAlliance and the Value-added and other products as a result of increasing in lobsters’ sales performed by the US’s subsidiary company, Chicken of the Sea Frozen Foods (COSFF).
Following strong growth in 2014, TUF’s outlook for 2015 is unchanged.
Mr Chansiri continued: “We are well positioned for another solid year in 2015, as we continue to serve customers in all markets around the world with a wide variety of products categories with premium quality. We remain focused on generating superior returns for our shareholders and position TUF for the next stage of growth.”
The company is moving ahead toward achieving its annual goal with the total sales target $5 billion by continued focusing on growth opportunities including an organic growth across all business categories and an emphasising on business integration.
“To pursue these opportunities, we perform with disciplined cost control and a focus on delivering highest quality products, innovation and ongoing commitment to sustainability across business units,” Mr Chansiri added.
TheFishSite News Desk