The following is a summary of the High Liner Foods, Inc. (HLNFF) Q1 2024 Earnings Call Transcript:
Financial Performance:
High Liner Foods reported a 15.9% decrease in Q1 2024 revenue down to $277 million.
Gross profit also declined by 4.2% to $65.5 million, although gross margin increased 280 basis points to 23.6%.
Adjusted EBITDA rose by 9.6% to $34.2 million with a rise in net cash flows from operating activities to $17.5 million.
Net debt was lowered to $244.7 million, a decrease of $5.2 million by the end of Q1 2024.
Business Progress:
A 13% decrease in sales volume was observed due to factors including a reduced contract manufacturing, a highly competitive retail environment, and an overall soft market within the foodservice.
They maintained their US retail market share while seeing volume growth in their premium Sea Cuisine and C. Wirthy brands.
Planning is underway to enhance promotional activities to strengthen their market position.
Exploring merger and acquisition opportunities to foster growth and sustainable seafood supply is a priority for High Liner.
Despite challenging circumstances, they are on track to deliver year-over-year adjusted EBITDA growth for 2024, aiming to maintain margins amidst rising raw material costs.
More details: HIGH LINER FOODS INC IR
Tips: This article is generated by AI. The accuracy of the content can not be fully guaranteed. For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.