Just been reading the highlights of the FY statement yesterday. Main points are a 3% increase in revenue on flat quantity of green weight catch which shows a steady progress in improving return from catch. This has been achieved with increased business with high end food service customers through their "focus on fresh" strategy and the first year with the Big Glory Bay premium branding of their salmon. Much more to be gained here.
NPAT up 8% but big improvement of 46% in cashflow from $34.4m to $50.3m. Haven't been able to study the detail of this but this gives me further confidence that we will see increased dividends coming our way soon.
The mussel powder business purchased in Blenheim during the year allows SAN to broaden their business into nutraceutical markets and will be interesting to watch.
Sadly the old factory vessel San Granit that they bought from Norway last year has been a bit of a disaster with how long it is taking to get up to scratch and still a long way to go.
Overall a satisfying result and so is the upward trajectory of the SP that has gone up around 55% since the annual report release 2 years ago.
Sadly the old factory vessel San Granit that they bought from Norway last year has been a bit of a disaster with how long it is taking to get up to scratch and still a long way to go.
Overall a satisfying result and so is the upward trajectory of the SP that has gone up around 55% since the annual report release 2 years ago.
Thanks for the update Iceman.
I assume frozen whitefish fillets processed at sea command a premium in the market. Is this the case?
I assume frozen whitefish fillets processed at sea command a premium in the market. Is this the case?
Boop boop de do
Marilyn
It differs between species and markets but generally yes for exports. McDonalds for example , a large NZ fishing industry customer, wants only frozen at sea high quality product.
Of course some of the far away fishing grounds require freezer vessels to utilise them economically.
A good week for SAN up 8c AND going XD of 14c. No dividend stripping here, just buy and hold. This share has been in a strong and steady uptrend now for about 15-16 months, during which it has risen about 45% + reasonable dividends. The new CEO´s strategy certainly seems to have support by some investors, even though this one is very quiet on ST. Probably not exciting enough but that´s fine with me as I´m enjoying the ride :-)
Greg Johansson COO tendered his resignation yesterday and will leave before end of Feb, due to personal reasons. He will be a great loss to Sanford as he has the most comprehensive knowledge of the business out of them all, in my view. Big boots to fill.
DISCL: Sold out in January and currently don't hold any SAN
Greg Johansson COO tendered his resignation yesterday and will leave before end of Feb, due to personal reasons. He will be a great loss to Sanford as he has the most comprehensive knowledge of the business out of them all, in my view. Big boots to fill.
DISCL: Sold out in January and currently don't hold any SAN
Just wondering iceman why you sold out in January. Do you see trouble ahead, are you taking profits or selling an asset that is overvalued?
I purchased some time ago for the dividend at about 7%. The share price has increased 70% since then but I don't think the dividend has hardly moved.
I think fishing has a great future, an essential industry with the quota system providing a barrier to new entrants so I am currently planning on holding forever.
Maybe if I believed my view that disaster is imminent for the worlds financial markets I would sell up and buy back at fire sale prices but as I have no idea what the future holds I will remain a bit diversified.
Just wondering iceman why you sold out in January. Do you see trouble ahead, are you taking profits or selling an asset that is overvalued?
I purchased some time ago for the dividend at about 7%. The share price has increased 70% since then but I don't think the dividend has hardly moved.
I think fishing has a great future, an essential industry with the quota system providing a barrier to new entrants so I am currently planning on holding forever.
Maybe if I believed my view that disaster is imminent for the worlds financial markets I would sell up and buy back at fire sale prices but as I have no idea what the future holds I will remain a bit diversified.
Still interested to hear why you sold.
No one thing in particular Aaron. I was hoping to see increased dividends but have been told it is unlikely to happen for a while. They have also had some operational issues with 2 additions to their fleet that I think are a result of poor management decisions.
But more than that, I have had a very good run with this share (over 100%) and feel it may stagnate for awhile now until we see some real progress towards the lofty and great goals the new CEO set. I think it will take some years, which is not unreasonable.
I still think SAN is a well managed company overall and they have some very good and undervalued assets. I will continue watching them and am likely to buy in again in the future
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Originally Posted by iceman
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