Tassal record profit, earnings growth & launch of prawn strategy & cap raise

Company News

by Jessica Amir

Tassal Group Limited (ASX:TGR) has reported a record yet, modest 2 per cent lift in its statutory profit, to $58.44 million in the year to 30 June 2019 underpinned by strong growth in salmon biomass and sales.

Operating NPAT rose 13 per cent to $56.6 million and operating cashflow rose 105 per cent.

Meantime, earnings (EBITDA) rose about 5 per cent to $91.2 million.

Tassal says salmon demand again outpaced supply and it’s expecting this to continue with a more gradual growth in supply over the short term, which will bolster Tassal’s returns.

TGR kicked off a prawn growth strategy, alarmed with the ‘know how’ to increase yield and prawn consumption per capita. At the same time, it announced plans to raise $108 million accelerated its plans, targeting production of 20,000 tonnes per annum

Tassal Group Limited (ASX: TGR) shares last traded at $4.72. Year-on-year it’s trading 7.5 per cent higher.

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