Premier delivers strong results with 17 percent rise in revenue
CAPE TOWN – Premier Fishing and Brands, one of the largest black-owned and managed fishing companies in South Africa, delivered solid financial annual results in the year to August, despite tough economic and environmental conditions.
The group revenue increased by 17 percent to R575 million from R491 million mainly as a result of increased sales volumes across all divisions. Cash generated from operations for year increased by 36 percent to R124 million from R91 million, revenue increased by 17 percent to R575 million from R491 million and the group’s operating profit decreased by 10 percent to R83 million from R92 million.
Premier said in a statement on Thursday that the positive results were realised as a result of the consistent performances across its operating divisions with an increase in outputs, achieving better pricing, good catch rates, and efficient cost and vessel management. “The group prides itself in being one of the most transformed companies in the fishing industry in terms of its management and employees.”
Reflecting on last year, Samir Saban, the chief executive of Premier said he was delighted at the positive results and looked forward to growing the business further, increasing business sustainability as well as increasing shareholder value.”
Premier also holds medium- to long-term fishing rights in west coast rock lobster, south coast rock lobster, small pelagics, hake deep sea trawl, hake long-line sword fish, tuna as well as squid. The group owns an abalone farm as well as one of the largest squid operations (Talhado) and invests in organic agriculture through the Seagro range of products.
Saban emphasised that the expansion of the abalone farm was in the final stages of completion and would produce about 400 to 450 tons of abalone per year once completed. This initiative is said to create 200 new jobs for those candidates who are members of the immediate community.
The board announced a final gross dividend of 10 cents per share for the year to August, which brings its annual dividends to 22 cents per share for the current financial year.
The outlook for the group is a positive one, with Premier’s main strategic focus on the Fishing Rights Application Process (Frap) up for renewal in 2021.
Saban said the growth plans for Premier were taking place as expected, and “we are excited about the next growth phase for the group”.