TUNA canner Alliance Select Foods International Inc. on Wednesday said it suffered another net loss last year, mainly caused by the challenging environment in the fishing industry.
The company booked a net loss of $8 million last year, unchanged from 2014, while revenues fell 23 percent to $68 million from $74.73 million in the previous year.
Alliance Select’s canned tuna division contributed 56 percent of the total revenue.
“The loss is mainly attributed to the current unstable environment in the fishing industry as well as the challenges tackled by the company in 2015. Furthermore, the net loss is significantly lower without one-off charges undertaken by the company as part of its objectives on achieving cost efficiencies,” the company said.
Its total assets marginally grew by 4 percent to $69 million from $66 million in 2014, mainly from a $15 million increase in cash from the company’s successful stock rights offering.
“The past two years were very challenging for us as we executed necessary cost efficiency measures geared toward financial stability. The losses are a result of a clean-up process and we fully expect that this optimization process will reveal its progressive results starting the first quarter of 2016,” Alliance Select president and chief executive officer Raymond See said.
The new management claims to have implemented cost efficiency initiatives last year in order to improve operations.
Despite the bitter rivalry with its Singaporean partners, the company was picked as one of the consumer stocks recommended by leading brokerage firm COL Financial as among those expected to appreciate in value in the coming quarters.