Seafood giant Thai Union has lifted its forecasts for annual sales and gross profits.
The company said today (3 August) it expects its full-year sales to increase 4-6% this year, up from an earlier forecast of a 3-4% rise.
In 2025, Thai Union’s sales fell more than 4% to Bt132.72bn ($3.97bn).
Thai Union, home to brands including King Oscar and John West, is forecasting its gross margin will hit between 19.5% and 20.5%, an uptick from its earlier projection of 19-20%. Last year, Thai Union’s gross margin stood at 18.9%.
President and CEO Thiraphong Chansiri said the company’s second-quarter gross margin of 21.4% was a “record high”.
He added: “Thai Union’s second quarter confirms our strategy is yielding strong results for our shareholders. Reaching a record gross profit margin already in line with our 2030 target, growing volumes for a tenth consecutive quarter, and raising our dividend payout by more than 14% shows the strength and consistency of the business we have built.”
Under a 2030 strategy, Thai Union is aiming for its gross margin to be 21-23% by that year.
In the second quarter, Thai Union’s sales grew 1.4% to Bt33.85bn amid growth from its ambient seafood, pet-care and “value-added” businesses. The latter division includes ready-to-cook and ready-to-eat items, as well as interests in packaging, ingredients and seafood by-products.
Ambient is the largest division by sales, which reached Bt16.9bn in the second quarter, a 1.5% increase. Volumes climbed 4.4%, helped by demand for private-label tuna and salmon, Thai Union said.
Sales from pet care grew 2.3%, with volumes increasing 7.8% amid “strong demand” in the US and Europe, the company added.
Thai Union said sales from its frozen business were “broadly stable” at Bt10bn.
Second-quarter operating profit increased 12.6% to Bt2.15bn. Net profit dipped 0.7% to Bt1.26bn in part due to higher tax expenses.
The second-quarter results contributed to a set of half-year numbers that included higher sales, operating profit and net profit.
Thai Union’s first-half net sales grew 4.3% to Bt65.9bn. Operating profit increased 17.9% to Bt3.31bn. Net profit rose 3.7% to Bt2.38bn.
