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HF Foods Hits Record Revenue Amidst Profit Pressures
11 Aug
Summary
- Record quarterly revenue achieved in Q2 2026, reaching $323.8 million.
- Profitability impacted by tariffs, higher fuel expenses, and softer dine-in traffic.
- Pending acquisition of Searay Foods marks expansion beyond the United States.
Hf Foods Group announced record-breaking quarterly revenue for the second quarter of 2026, with net revenue climbing to $323.8 million for the period ending June 30. This achievement was bolstered by volume increases in seafood and commodity products, alongside improved pricing in the seafood sector.
However, the company's profitability was significantly challenged by external factors. Incremental tariffs introduced in late 2025, coupled with rising fuel expenses and a general decline in dine-in customer traffic, put pressure on margins. While gross profit remained flat at $55 million, gross margin dipped to 17.0% from 17.5% year-over-year.
Looking ahead, Hf Foods is making strategic moves to expand its footprint. The company highlighted its pending acquisition of Searay Foods, a Canadian seafood importer and distributor. This acquisition is viewed as a crucial step in the company's strategy to grow its business beyond its current operations in the United States.
