Pacific Andes Resources Development (PARD), the global frozen fish supplier with a supply chain spanning industrial fishing, global sourcing and ocean transportation, today reported its second quarter (2QFY2010) and half year results (1HFY2010) for the financial year ending 28 September 2010.

PARD recorded a growth of 2.8% in revenue to HK$3,990.9 million ($710 million) in 1HFY2010 from HK$3,882.6 million in the same period last year. Gross profit increased by 13.3% to HK$956.8 million in 1HFY2010 from HK$844.4 million, while the group’s gross profit margin increased to 24.0% from 21.8%, a reflection of efficiencies of scale and the positive impact of the group’s ongoing initiatives to improve operating efficiencies.

Excluding one-off income from the repurchase of convertible bonds and non-cash provision of impairment of two fishmeal plants, net profit increased by 6.3% to HK$634.1 million from HK$596.4 million. As at the end 1HFY2010, the group’s net debt to equity ratio improved to 66.5% from 72.1%.

In 1HFY2010, revenue from the frozen fish supply chain management (“frozen fish SCM”) division rose 4.3% to HK$1,841.8 million from HK$1,765.6 million as sales increased in line with the growing demand for fish. Revenue from the fishing division increased by 1.5% to HK$2,149.1 million from HK$2,116.9 million in 1HFY2009. Higher revenues were driven by buoyant sales from the North Pacific trawling operations, while fishmeal sales dropped due to lower carried-forward inventory for sale from the last quarter.

The PRC continued to be the Group’s largest market in 1HFY2010, accounting for 80.9% of total revenue, followed by Europe with 9.7% and East Asia contributing 7.1%. The remaining 2.3% comes from sales to other markets globally.