Sanford profit hits record $42.4m as salmon and wild catch drive gains

Seafood company Sanford has produced a record first half profit.

Seafood company Sanford says improved performances from its salmon and wild catch operations drove earnings to a record high in the first half, despite a slight dip in revenue.

The company’s net profit came to $42.4 million in the six months to March, up 24.6% on the previous comparable half, and its highest to date.

Revenue fell by 5.5% to $270.2m while net debt came to $102.1m, an improvement of $63m.

Chief executive David Mair said improved performances from salmon and wild catch were partly offset by reduced profitability from its mussel business.

There had been a continued reduction in overhead related costs, he said.

Revenue from the salmon business was down 17% but its contribution was up 29% over the previous comparable half.

“In half-year 2025, we actively brought sales forward due to US tariff and climatic uncertainty, so sales volumes in half-year 2026 are comparatively lower,” Sanford said.

A favourable product mix had helped improve returns in the salmon business.

Revenue in Sanford’s mussel business was down 27% and its contribution was down 57%.

“There have been demand and price challenges throughout the first half, reflecting a softer market,” the company said.

There was an improved performance from the wild catch business, with both revenue and contribution up 7% and 32% respectively.

The operation’s contribution was bolstered by a $3.6m gain from the close-out of fuel derivatives following a change in bank funding arrangements.

Sanford said wild catch’s revenue improvement was also driven by positive catch rates and increased sales of some species.

There had also been increased prices across many products that further contributed to the improvement in revenue and profits.

Sanford said there had been continued pressure on scampi pricing during the interim period and the catch was down on expectations.

On capital allocation, Mair said: “My intention is to position the company with a solid platform that will enable us to grow and take advantage of investment opportunities as and when they arise.”

He said the company would use “no-cost/low-cost opportunities” first to grow quickly and safely.

The review of the mussel business highlighted several opportunities for no-cost, low-cost investment, he said.

Sanford’s result for the half year missed most of the impact from the Iran war, which hit fuel prices hard in March.

Commenting on current market conditions, Mair said the company was navigating “interesting times”.

Chairman Sir Rob McLeod said the board remained focused on the primary objective of maximising total shareholder return via Sanford’s share price and dividend performance over time.

McLeod said he plans to retire from the board “at an appropriate” time this calendar year.

Sanford announced a 5c a share interim dividend.

Shares in the company traded at $8.15, having gained 65% over the last 12 months.

Jamie Gray is an Auckland-based journalist, covering the financial markets, the primary sector and energy. He joined the Herald in 2011.

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