May 11, 2011

Seafood snacks manufacturer China Marine has reported a 43.1% jump in first-quarter net income as the company saw sales grow in both its seafood snacks and Hi-Power beverage divisions.

The company said May 9 that net income was at US$5.6 million for the quarter ended March 31, while net sales rose 35.7% to US$26.7 million.

Sales of its processed and packaged seafood snacks were up 20.4% to US$19.9 million, due to strong sales in the Fujian and Zhejiang provinces. Seafood snacks accounted for some 74.5% of total revenue in the first quarter of 2011.

Meanwhile, revenues of its Hi-Power algae-based beverage line reached US$6.7 million against US$2.8 million in the first quarter of 2010, when China Marine acquired the brand. Sales were driven by orders in the company's home province of Fujian.

The company is forecasting a 22.3% increase in full-year revenue and 16.1% consolidated adjusted net income growth.

Chairman and CEO Pengfei Liu said: "Our first-quarter results reflect strong demand for our seafood snacks and 'Hi-Power' beverages. We made solid progress by expanding distribution for Hi-Power to 14,000 retail points in total. By penetrating more retail outlets, winning a broad customer base and supporting this expansion with enhanced brand building advertisements and marketing, we expect to maintain strong organic sales growth."