Improved Operating Results for the Second Quarter of 2021 - Sales, Adjusted EBITDA and Net Income Growth Over the Prior Year -
LUNENBURG, NS, Aug. 17, 2021 /CNW/ - High Liner Foods Incorporated (TSX: HLF) ("High Liner Foods" or "the Company"), a leading North American value-added frozen seafood company, today reported financial results for the thirteen and twenty-six weeks ended July 3, 2021.
"We continue to be pleased with the performance and resilience of our business. This quarter, compared to the same period last year, we saw growth in sales, gross profit, Adjusted EBITDA and net income, reflecting our ongoing progress in executing on our strategy of branded value-added growth," said Rod Hepponstall, President and CEO of High Liner Foods. "On a two-year CAGR basis, we saw our gross profit increase by 1.7% and our Adjusted EBITDA increase by 4.6%, when compared to the second quarter of 2019."
"We are thrilled that consumers across North America are starting to enjoy our value-added seafood in restaurants once again and are encouraged by the pace of our foodservice business recovery as a result. In the face of global and industry supply challenges, we are working hard to meet customer and consumer demand for our products in both our foodservice and retail businesses where we benefit from diversification of species and supply as well as our North American scale."
Key financial results, reported in U.S. dollars ("USD"), for the thirteen weeks ended July 3, 2021, or the second quarter of 2021, are as follows (unless otherwise noted, all comparisons are relative to the second quarter of 2020):
- Sales volume increased by 1.1 million pounds, or 2.2%, to 50.4 million pounds compared to 49.3 million pounds, and sales increased by $24.0 million, or 14.5%, to $189.8 million compared to $165.8 million;
- Gross profit as a percentage of sales increased to 23.4% compared to 22.2% and gross profit increased by $7.6 million, or 21.0%, to $44.4 million compared to $36.7 million;
- Adjusted EBITDA1 as a percentage of sales remained consistent at 10.3% and Adjusted EBITDA increased by $2.5 million, or 14.6%, to $19.6 million compared to $17.1 million;
- Two-year Compound Annual Growth Rate ("CAGR")2 for gross profit and Adjusted EBITDA was 1.7% and 4.6% respectively;
- Net Debt1 to rolling twelve-month Adjusted EBITDA improved to 2.8x at July 3, 2021 compared to 3.0x at the end of Fiscal 2020 and 3.9x at June 27, 2020;
- Net income increased by $8.2 million, or 46.6%, to $25.8 million compared to $17.6 million and diluted earnings per share ("EPS") increased to $0.74 per share compared to $0.51 per share; and
- Adjusted Net Income1 increased by $5.7 million, or 121.3%, to $10.4 million compared to $4.7 million and Adjusted Diluted EPS1 increased to $0.30 per share compared to $0.14 per share.
| ________________________________ |
| 1 Please refer to High Liner Foods' Management's Discussion and Analysis ("MD&A") for the thirteen and twenty-six weeks ended July 3, 2021 for definitions of the non-IFRS financial measures used by the Company, including "Adjusted EBITDA", "Adjusted Net Income", "Adjusted Diluted EPS" and "Net Debt". |
| 2 Compound Average Growth Rate ("CAGR") is the measure of annualized growth over a period longer than one year. CAGR as disclosed by the Company is the annual growth rate over the two-year period, 2019 to 2021.
https://www.newswire.ca/news-releases/high-liner-foods-reports-improved-operating-results-for-the-second-quarter-of-2021-827673055.html |