1st Mar 2016 09:16
LONDON (Alliance News) - Chinese marine foods and seafood processing company Aquatic Foods Group PLC trimmed its expectations for its full-year results due to a tough trading environment.
Aquatic Foods said its pretax profit for the year to the end of December will be broadly flat year-on-year, a downgrade on its previous expectation for profit to rise.
Revenue for rose in the year, up to CNY978.7 million from CNY856.1 million, but gross margins were squeezed by pricing pressures, weaker demand due to a slowing Chinese economy, and lower average prices per kilo of fish sold.
For the full year, gross margin declined to around 29% from 32% a year earlier, Aquatic Foods said, though it said it does still intend to pay a dividend.
Shares in the company were down 30% to 8.00 pence on the news, one of the worst performers in the London market.
By Sam Unsted; [email protected]; @SamUAtAlliance
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