Fishery giant Sanford posts 224% profit surge

Tuesday, 18 November 2025

Sanford posted a 224% after-tax profit rise in a year that saw it back the Government’s controversial fast track consenting laws.

Fisheries giant Sanford’s turnaround saw it deliver a 224% increase in profit in results revealed this morning, but the company warned it needs to diversify its markets as it is too dependent on the US and China for sales.

Sanford managing director David Mair announced a $63.7 million after-tax profit on revenue of $584.1m.

The result came in the 12-month period to the end of September in which the focus of the company’s management was to reduce debt, which it did by $92.1m.

Sanford, which is 12% owned by Ngāi Tahu Investments, was politically active in the year, supporting the controversial fast-track legislation and extension of marine farming consents fast-tracking bills, both of which passed with opposition from Labour and the Green Party.

Sanford is a big player in marine farming of fish and shellfish, and Mair said its aquaculture businesses farming salmon and mussels had exceeded expectations.

However, the company’s “wildcatch” business of inshore and deep-sea fishing had fallen short of the previous year, recording a drop in profitability, particularly impacted by a dip in scampi prices in China, though Sanford said it had a successful season catching toothfish in Antarctic waters.

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“I have carried out an initial high-level review of our aquaculture businesses with a clearer understanding of what is needed to build a platform for growth,” Mair said.

Mair said shareholders could expect dividend growth in future years, but said: “We have not yet reached a stable platform in the business and as a result a final, fully imputed dividend of 5 cents per share was declared by the board.”

He described the company as being at the mercy of supply and demand from market forces, though demand for protein continued to grow globally.

But, he said: “Ongoing global turbulence in markets and the emergence of trading blocs continue apace. This means we need to review the markets we operate in.

“Sanford has become concentrated in several large traditional markets, particularly China and the US. China is, and will continue to be, a key market for our company. The US will remain more challenging.”

However, he said: “We must create a broader market scope for our products, then develop, maintain and enhance our interactions with key customers in those markets.”

Japan and South Korea were the target markets into which Sanford hoped to diversify.

“We are working closely with Maruha Nichiro Corporation and other companies in the Japanese market to re-establish a market presence there,” Mair said.

“We are also reviewing South Korea, which previously was an important market, as well as other Southeast Asian markets,” he said.

As well as its political lobbying for fast track laws that put it at odds with the political left, the company has also found itself battling striking workers.

Earlier this month, Sanford Sanford mussel farming crews have picketed on the streets of Havelock, calling for fairer wages for their difficult work.

The workers went on strike for 12 hours on November 4 after negotiations with Sanford for a new collective employment agreement stalled.

Sanford workers strike in Havelock over pay and conditions.

Maritime Union New Zealand Nelson branch secretary Holly Payne said the protracted negotiations were because Sanford refused to value its frontline workforce.

“Our members work incredibly long and hard hours, often in arduous conditions, to make Sanford the profitable company it is,” Payne said.