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Sanford’s Lower Tuna Catches Make Pretax Earnings Slip

Sanford, New Zealand's largest listed seafood company, has posted a five percent decline in full-year pretax earnings as lower catches of tuna,  production of mussels and jack mackerel weighed on the second half performance.
Earnings before interest, tax, depreciation and amortization fell to NZ$ 47.4 million in the 12 months ended September 30, from NZ$ 50.1 million a year earlier, the Auckland-based company said in a statement.

Revenue climbed 0.6 percent to NZ$ 462.6  million.
Net profit rose 3.8 percent to NZ$ 20.4 million as it flagged last month, missing earlier guidance because of an impairment on the value of Australian quota.
It took a charge of NZ$ 2.8m against the Australian business in the second half, adding to $1.4m of charges in the first half.
The company said securing long-term access rights for its Pacific tuna vessels with Pacific Island nations is a key focus.
“Forthcoming negotiations facilitated by the New Zealand government are likely to produce a positive outcome,” the company said.
“Difficult tuna catching conditions in the Pacific, slow growth of greenshell mussels in the Marlborough Sounds and lower-than-expected jack mackerel catches in Tauranga all impacted the second half results,” the company said.
“The ongoing high level of the New Zealand dollar continues to hamper growth in returns from generally improved markets for most species.”
The results are the last for long-serving managing director Eric Barratt, who will be replaced by Volker Kuntzsch in early December.