Sealord's annual profit more than halved as sales slumped with low global prices weighing on New Zealand's second largest fishing company.
Net profit fell to $10.1 million in the year ended Sept. 30, from $26.9 million a year earlier, according to financial statements for holding company Kura, lodged with the Companies Office. Nelson-based Sealord's 2014 profit was restated from $25.3 million over sales cutoff errors. Annual sales fell 4.3 percent to $431 million.
Weighing on the bottom line was a $2 million impairment charge on investments, including a $1.5 million writedown on the value of its holding in North Island Mussels.
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Sealord sold its 50 percent stake in the mussel company, along with its North Island marine farm licences, on Oct. 9 last year to Japanese-owned food ingredients company Cedenco. Sealord had bought North Island Mussels out of receivership in partnership with Sanford in 2012. NZX-listed Sanford continues to hold the other half.
In a statement to BusinessDesk, Sealord said lower sales revenue was due to unfavorable foreign exchange movements.