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Thu 21 May 2026
Close: 5 930c 
Day's move: 430c (7.82%)
Volume: 380 755
Trades: 394
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Revenue for the interim period lowered to R4.9 billion (R5.2 billion) and operating profit decreased to R665 million (R676 million). Profit for the period attributable to shareholders of Oceana Group Ltd. went up to R424 million (R386 million). In addition, headline earnings per share increased to 349.8 cents per share (324.9 cents per share).
Declaration of interim dividend number 164
Notice is hereby given that the board declared an interim gross cash dividend of 110 cents per share, out of current earnings, in respect of the period ended 31 March 2026.
Company outlook
Securing an adequate supply of frozen fish to rebuild inventory levels remains a key priority for Lucky Star foods in the second half of the year. With the lower inventory carried into the second half, proactive management will be required to maintain consistent market supply until stocks are sufficiently replenished. The stronger pilchard biomass outlook in both South Africa and Namibia, reflected in the increased SA TAC to 51 800 tons, should help alleviate some of the supply pressure.
US Dollar-denominated costs are expected to rise due to global shortages and increasing freight expenses; however, the strength of the Rand relative to the prior year should help to offset some of these pressures. Higher levels of frozen fish procurement will result in higher working capital levels and inventory holding costs during the second half.
Lucky Star foods remains focused on driving volume growth by broadening its product range in the wider food sector.
Global fishmeal and fish oil prices are experiencing upward pressure due to prevailing market conditions. This trend is largely driven by the 36% reduction in the Peruvian anchovy first season quota to 1.9 million tons (March 2025: 3.0 million tons). Compounding this impact, fishing performance in Peru has been weak, with only 24% of quota landed to date, heightening supply concerns and supporting higher prices.
Recent SA anchovy biomass research also indicates a higher biomass compared to last year, signalling a favourable outlook for next season’s recruitment. The 2026 anchovy TAC has been maintained at a conservative level of 30 000 tons, consistent with the 2025 allocation, to ensure sustainable management of the resource. Redeye catches up to end-April are 68% lower than the prior year, making increased catch rates during the winter months essential for improved profitability of the FMO (Africa) segment in the second half of the year.
The US Gulf menhaden fishing season started mid-April and will run for 28 weeks to the end of October. By the end of week 4, early-season landings are ahead of the 5-year average for the same period.
The Wild caught seafood segment is projected to maintain strong demand and firm pricing. Rising fuel costs, particularly where hedging is not in place, together with increased freight expenses and the strengthening of the Rand, are however expected to offset these positive effects. Additionally, planned surveys for two Namibian horse mackerel vessels and one South African hake vessel in the second half will reduce operational days at sea, which may further impact segment performance.
A recently acquired dual-purpose vessel was delivered in May 2026. The vessel will undergo a comprehensive refit to equip it to target both the hake and horse mackerel fisheries, further supporting fleet versatility. Operations are scheduled to commence in January 2027, following completion of these upgrades.
The Group anticipates that higher working capital levels in the second half of the year will result in higher short-term borrowings and a corresponding increase in interest expense in South Africa.
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| Closing price data source: JSE Ltd. All other statistics calculated by ProfileData. |
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