Pacific Andes frozen fish. (Photo Credit: Pacific Andes)

Pacific Andes reveals gross profit fall

Leading international frozen seafood supplier Pacific Andes International Holdings Limited revealed to have experienced an 8.9 per cent drop in revenue and 21.3 per cent decline in gross profits in its fiscal year 2013 due to lower sales from the Fishery and Fish Supply division (FFS).

Besides, the firm reported that lower catch and sales volume from FFS division was reflected in 17.7 to 15.3 per cent fall in overall gross profit margin.

The company informed that there was an 8.1 per cent decrease in revenue from the FFS Division in the year that ended on 28 September 2013, to HKD 4,329 million (USD 558.3 million), accounting for 32.5 per cent of the Group's total revenue, mainly due to lower average selling prices of various products, and lower sales contributions from the Peruvian Fishmeal Operations.

However, the higher average selling prices of fishmeal/fish oil and one-month revenue contribution from Copeinca contributed to partly mitigate the negative impact.

The Frozen Fish SCM Division, which operates through its Singapore-listed subsidiary Pacific Andes Resources Development Limited (PARD), recorded an 8.9 per cent reduction in revenue because of lower sales volume and average selling prices of products.

It was noted that there was a 10 per cent drop in revenue from the Processing and Distribution Division, which was partially mitigated by focusing on improving efficiency, reducing costs and selectively increasing capacity and downstream capability.

"We remain positive about the growth potential for all of our business divisions. The acquisitions and investments completed in 2013 are expected to become growth engines for the Group and will provide increasing revenue to facilitate our development in the global seafood industry," said Ng Joo Siang, Vice-Chairman and Managing Director of Pacific Andes.

He added that on the corporate front, they we will focus their efforts on strengthening their balance sheet and improving their organizational and capital structures, "setting the stage for sustainable growth well into the future."

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Address:	Room 3201-3215 Hong Kong Plaza 188 Connaught Road West
City:	Hong Kong
Country:	Singapore
Phone:	+65 225 470 168
Fax:	+65 228 582 764
E-Mail:	[email protected]
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