Shetland Catch secures new investment and markets after year of heavy losses
Trading conditions more favourable for fish processor
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Fish processor Shetland Catch has reported an improvement in margins and a better trading position following a year of heavy losses.
Gremista-based Shetland Catch made pre-tax losses of £3.93million on turnover of £54.91million during the year to March 31, 2007, figures from Companies House revealed yesterday.
The losses came after a £4.21million pre-tax deficit on turnover of £42.87million reported for 2005-06.
In a report with the latest accounts, the firm’s directors said the losses in the latest period were largely due to increased sales costs. They added: “The company had a negative net current assets position at the year-end and has taken steps to rectify this situation.
“The market improved after the year-end and margins have now increased.
“In addition to this, new investment totalling £2.7million has been secured from new and existing shareholders. The company has also been able to refinance on more advantageous terms. This, together with new species opportunities, makes trading conditions more favourable.”
Norwegian seafood giant Austevoll Seafood took a 25% stake in Shetland Catch – Europe’s largest pelagic processor – for £1.5million last year, with an option to increase its position up to 50%.
A new joint marketing company was formed, giving Shetland Catch access to new markets. Shetland Catch employed 112 people on average during 2006-07, compared with 121 the year before.
The firm’s highest-paid director received £135,368 in pay and pension contributions during the latest period, against £114,326 previously.
