Business

Premier delivers dividend as well as strong mid-term performance

JOHANNESBURG – Premier Fishing and Brands (Premier), one of South Africa’s largest black-owned and operated fishing groups, had a strong mid-range performance in the six months leading up to February 28 and has in besides anticipated a good second half barring unforeseen events, general manager Rushaan Isaacs said yesterday.

A dividend of 5 cents per share was declared. This was after “a lot of work and dedication” on the part of the group and its employees during a period when operations and markets were affected by the Covid-19 pandemic, and a number of actions were taken to counter this, such as the versatility of the staff. through operations, Isaacs said.

The stock price rose 10.13% to 87 cents at the JSE close yesterday.

Revenue increased 32 percent to R 284 million and gross margin increased 9 percent to R 87 million following increased revenues from the squid, lobster, hake and pelagic sectors at Premier . Premier’s squid is a preferred brand in European markets and 99% of its catch is exported.

Premier is vertically integrated and harvests, processes and markets fish and fish products. It holds medium and long term fishing rights for squid, lobster, small pelagics, large pelagics, hake and horse mackerel, and also owns an abalone farm and produces organic fertilizer across the range of Seagro products.

Isaacs said the group is proud to be one of the most transformed in the fishing industry in terms of leadership and employees. An industry-wide review of fishing licenses was scheduled for later this year.

She said they ended the interim period on a high note. Demand for the products remained very strong, despite the Covid-19 which continued to persist as the third wave swept through parts of the world and moved closer to South Africa.

There had been consistently strong performance across most operating divisions.

The squid sector experienced a strong recovery compared to the previous period, due to the good availability of squid resources compared to the same period last year.

Isaacs said Premier expected this trend to continue throughout the year, and possibly the next one as well.

Pelagic catches are expected to increase in the second half of the year, in line with the industry trend.

The abalone sector remains a challenge due to the adverse effects of Covid-19 on Asian markets, but Premier was optimistic as markets are slowly showing signs of recovery.

The south coast lobster species remained a stable fishery and a well-managed resource, and the Premier Fishing brand was a recognized leading brand in the US market. Higher landings and higher incomes were recorded compared to the previous period, a trend that is expected to continue for the remainder of the year.

Prime Minister CFO Brent Robertson said the company remained cautious despite positive interim results.

“The Board of Directors agreed that there was no confirmed estimated period for the duration of the Covid-19 pandemic and its impact, nor a timeline for containing the pandemic.”

Despite this, Isaacs said he was optimistic the strong interim performance will continue through the end of the year and into next year.

The group’s non-executive chairperson, Aziza Amod, said the Premier team has been resilient and efficient and has maintained its focus on growth, job creation, development and sustainability, despite the global pandemic.

The group has remained well positioned to pursue new acquisitions aligned with its activities and to pursue the implementation of organic growth strategies.

Isaacs said, “The outlook for the group is optimistic. In the short term, we are constantly reviewing our mitigation strategies and plans to weather the weak economic cycle by compiling and understanding scientific data to restore Premier’s position in the markets.

Premier employs up to 900 people in the coastal regions of South Africa and is committed to helping create jobs for previously underprivileged communities, in order to meet the group’s growth and empowerment goals. .

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Premier delivers dividend as well as strong mid-term performance

Source link Premier delivers dividend as well as strong mid-term performance

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