n Monday announced increased revenue of 20.1 percent for the first half of the year, compared to the same time period in 2013.Revenues for the company reached USD 325.2 million (EUR 237.4 million) in the first six months of 2014, compared to USD 270.8 million (EUR 197.7 million) in 2013.
The company attributed the increased revenue to a more than five-time increase in revenue from its Peruvian fishmeal operations. The increase in fishmeal revenue was driven by higher a TAC for Peru anchovy for the 2013 second fishing season as well as contributions resulting from the acquisition of Copeinca.
Profit was also up 21.9 percent to USD 107.2 million (EUR 78.3 million). However, due to higher finance costs after the consolidation of senior notes issued by Copeinca and the term loan drawn to finance the acquisition, net profit for the half decline by 39.2 percent to USD 33.3 million (EUR 24.3 million).
“For the immediate future, we are focused on consolidation, and increasing the efficiency and effectiveness of our expanded operations,” said Ng Joo Siang, China Fishery managing director. “In particular, we are in the process of ensuring that we extract the full benefit of synergies and efficiencies as we integrate our operations in Peru. I’m pleased that we have completed the privatization of Copeinca as this offers greater flexibility for the group to realize these synergies.
“In addition, the successful completion of the refinancing of the group’s bridge loan into a 4-year term loan has improved our credit profile. We are committed to improving the group’s gearing over the next two years.”
Moody’s Investors Service said the first half results are in line with expectations and support the China Fishery’s B2 corporate family and senior unsecured bond ratings. In addition, the company’s completion of the refinancing of its acquisition loans for and its privatization of Copeinca are facilitating the consolidation of its fishmeal businesses in Peru.
