Oceana happy with Nam performance
Oceana happy with Nam performance

Oceana happy with Nam performance

Jo-Mare Duddy Booysen
Jo-Maré Duddy – Oceana’s canneries in Namibia continued to deliver production and supply chain efficiencies along with increased throughputs, contributing to a net profit of nearly R247.3 million for the group’s segment for canned fish and fishmeal in Africa in its 2020 financial year.

This is an increase of nearly 51.2% compared to Oceana’s previous book-year.

Oceana’s results released on the Namibian Stock Exchange (NSX) show the group generated revenue of more than R4.2 billion from its operations in Namibia and South Africa in the year ended 30 September 2020, up about 0.96% from 2019.

“Canned fish demand remained resilient in an environment where the disposable income of consumers was under considerable pressure,” Oceana said.

The group elaborated: “In light of the continued slow recovery of the local pilchard resource in both South Africa and Namibia, supply of raw material for our canned fish product is predominantly from frozen fish imported from other geographies.

“During the year overall procurement levels and pricing of raw materials improved but was insufficient to offset the negative impact of a weaker rand. Production efficiencies and improved throughputs have enabled this segment to maintain operating margins at attractive levels.”

FIGURES

Oceana said its fishing operations suffered intermittent disruptions due to Covid-19 infections during the year.

“This resulted in approximately 10% of harvesting time lost, particularly in our USA and Namibian operations. We estimate earnings lost as a consequence of these disruptions at R75 million,” the group said.

Other group highlights of Oceana’s past financial year are:

* Operating profit up 21% to R1.399 billion;

* Profit before tax up 28% to R1.146 billion;

* Earnings per share (EPS) up 23% to 650.9c;

* Headline earnings per share (HEPS) up 15% to 628.4c;

* Cash generated from operations improved to R2.083 billion; and

* Total dividends 393.0c per share.

Oceana is dual-listed on the Overall Index of the NSX. It ended Friday at N$66.49 per share.

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