The CEO of High Liner Foods says he is encouraged by first quarter earnings announced this week.
Revenue increased by $11.8-million to $29.8 million compared to the same period in 2015.
Keith Decker says the company benefited from lower raw material prices.
“The trend in sales volume improved compared to the year-over-year declines experienced throughout 2015 and strong free cash flow allowed us to pay down debt and improve debt leverage.”
The Lunenburg-based company also approved an 8.3 per cent increase in its quarterly dividend to 13 cents per share.
Decker says progress is being made but work still needs to be done to improve performance going forward.
Meanwhile, the transfer of production from High Liners New Bedford plant to other facilities is moving ahead.
The company is ceasing its value-added fish operation in Massachusetts, moving about 50 jobs to Lunenburg.
Another 150 will be moved to two plants in the U.S.
“The annual ongoing reduction in operating costs as a result of this consolidation are estimated at $7-million, with $5-million in one time costs to be incurred this year.”
Decker says things remain on track to halt by September.
