ALLIANCE Select Foods International, Inc. (ASFII) is on track to post profits again this year, driven by the growth of its tuna and salmon businesses.
In 2017, the listed international seafood firm made a profit for the first time since 2011, posting a net income of $1.6 million. This followed a 20% increase in revenues to $72.2 million for the year.
“We see continued growth for both tuna and salmon segments. We are confident of sustained growth in sales volume and revenue in export and in the respective domestic markets. With this, we remain optimistic towards another profitable 2018 by end year,” ASFII Chief Executive Officer Raymond K.H. See said in an e-mailed response to questions.
By the end of the first quarter of 2018, the company has already recorded a net income of $1.22 million, significantly higher than the $90,295 it made in the same period in 2017. Revenues also went up 40.6% to $23.65 million.
While it expects positive results for the year, ASFII noted the current inflationary environment is affecting its business.
“Among others, challenges are that price of raw materials continues to be volatile amid the current increasing, inflationary environment, impacting FOOD’s input costs,” Mr. See said, referring to the company’s ticker symbol FOOD.
ASFII plans to further grow its market by innovating its products and processes, as well as deliver operational efficiencies to combat inflationary pressures in the coming years.
The company said it will also upgrade its existing plant technology and equipment across all business sectors to strengthen its operations.
“Another priority for Alliance is the continued formation of formidable and lasting partnerships in all aspects of our value chain,” Mr. See said.
Incorporated in 2003, ASFII is a homegrown international seafood company whose products are distributed in foreign markets such as Europe, the United States, Japan, and the Middle East.
The company is currently undertaking an equity restructuring program that would wipe out its deficit.
Shares in ASFII gained three centavos or 5.26% to close at 60 centavos each at the stock exchange on Thursday. — Arra B. Francia