Thai Union Ups Sales Forecasts Amid Strong Q2 Performance

Thai Union, a major player in the seafood industry, has raised its annual sales and gross profit forecasts due to a robust second-quarter performance. The company now anticipates full-year sales to increase by 4-6%, a notable upgrade from its earlier projection of 3-4% growth. This strategic adjustment reflects the positive trajectory observed in recent operations.

The projected gross margin has been revised to a range of 19.5% to 20.5%, an improvement over the previous forecast of 19-20% and surpassing last year's 18.9%. President and CEO Thiraphong Chansiri highlighted the second quarter's record-high gross margin of 21.4% as a testament to the company's successful strategy, aligning with their 2030 target and demonstrating consistent business strength.

During the second quarter, Thai Union experienced a 1.4% sales growth, reaching Bt33.85bn. This increase was primarily fueled by its ambient seafood, pet-care, and value-added business segments. The ambient division, its largest, saw sales of Bt16.9bn with a 4.4% volume increase, while pet care sales grew by 2.3% driven by strong demand in the US and Europe. The frozen business remained stable at Bt10bn.

Overall financial performance for the first half of the year also showed positive trends, with net sales climbing 4.3% to Bt65.9bn. Operating profit saw a significant rise of 17.9% to Bt3.31bn, and net profit increased by 3.7% to Bt2.38bn, indicating healthy overall business momentum.