Sea Harvest Group has reported its strongest financial results to date for the year ended 31 December 2025. The company attributed this performance to improved fishing conditions, strong demand for Cape hake, efficiency gains, and disciplined cost control.
Felix Ratheb, CEO of Sea Harvest, stated: “We delivered our strongest performance since listing nine years ago, with headline earnings per share increasing fourfold. A strong hake biomass contributed to improved fishing conditions, while robust demand, particularly from Europe, supported this record performance. In addition, lower fuel prices and continued focus on operational efficiency contributed to accretion in gross profit margin. Encouragingly, our recently acquired Pelagics business and our Australian operations delivered solid performances despite operating in challenging environments.
The Group also achieved strong free cash flow conversion, with net debt to EBITDA reducing from 2.5x to 1.3x, notwithstanding significant capital investment in vessel maintenance and the acquisition of two new freezer trawlers.”
Looking ahead, Ratheb commented: “In the immediate term, the imminent sale of Ladismith Cheese and BM Foods will further strengthen our balance sheet and allow us to focus on our fishing assets. However, the current operating environment faces headwinds, including a 5% reduction in 2026’s hake total allowable catch (TAC), a low pelagic TAC, a stronger Rand and a weak Chinese consumer environment. Despite these near-term challenges, demand for hake and fishmeal/fish oil remains robust and ongoing investment in our vessels and world-class production facilities provides a strong foundation to drive efficiencies in the Group and navigate these challenges to protect our margins. Maintaining our recently adopted strategic focus will position the Group to deliver sustainable long-term growth.”
Operationally, Sea Harvest Corporation accounted for 44% of group revenue and 74% of operating profit as its core hake business saw catch rates rise by 42% and landings increase by 17%. The Pelagic division contributed 15% of both group revenue and operating profit but was affected by low anchovy and pilchard quotas; however exceptional redeye catches helped offset this impact along with good fish oil yields.
Cape Harvest Foods represented nearly a quarter of group revenue with sales volumes up by 14% alongside an average price increase of 8%, reflecting a higher value product mix. The Australian operations made up about 13% of group revenue.
At the start of 2025 Sea Harvest refined its short- and medium-term priorities through to 2027 focusing on optimizing cash-generative businesses within its South African Fishing Group as well as addressing its capital structure.
The company noted that despite expected challenges such as reduced quotas for certain species and external market pressures like currency fluctuations or weaker demand from China it continues investing in vessels and production facilities aiming at maintaining efficiency gains over time.