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Audited Group Results For The Year Ended 30 September 2025, Cash Dividend Declaration And Changes To The Board
OCEANA GROUP LIMITED
Incorporated in the Republic of South Africa
Registration number : 1939/001730/06
JSE/A2X share code : OCE
NSX share code : OCG
OTCQX Share Code : OCGPF
ISIN : ZAE000025284
("Oceana" or "the Company" or "the Group")
AUDITED GROUP RESULTS FOR THE YEAR ENDED 30 SEPTEMBER 2025, CASH DIVIDEND
DECLARATION AND CHANGES TO THE BOARD
SALIENT FEATURES
2025 2024 %
Rm Rm change
Revenue 9 995 10 061 (0.7)
Operating profit 1 253 1 632 (23.2)
Profit after tax 724 1 114 (35.0)
Earnings per share (cents) 562.4 920.9 (38.9)
Headline earnings per share (cents) 564.8 917.6 (38.4)
GROUP OVERVIEW
The Group's strong operating performance was underpinned by a 58% increase in operating
profit in its Africa businesses, coupled with improvements across most key performance
indicators. Revenue and operating profit declined due to lower US Dollar fish oil prices, which
halved from the record levels achieved in the previous year.
Lucky Star foods delivered a solid performance despite ongoing pressure on consumer
discretionary spending. Both the fishmeal and fish oil businesses in South Africa (SA) and the
United States (US) achieved higher catches, resulting in increased sales volumes. This was
however not sufficient to offset lower global fish oil sales prices following the recovery in
Peruvian anchovy resource and production levels. The Wild caught seafood segment delivered a
significant turnaround, driven by a record-breaking performance from the hake business and an
improvement in the horse mackerel business.
Revenue decreased by 0.7% to R10.0 billion (2024: R10.1 billion), with the positive impact of
increased sales volumes across all segments and firm pricing for Wild caught seafood being
offset by the decline in US Dollar fish oil prices.
Gross profit margin decreased to 27.8% (2024: 31.8%), attributable mainly to lower margins in
the Fishmeal and fish oil segments. The Lucky Star foods' margin improved due to increased
local production volumes, supported by higher local pilchard landings, a consistent frozen fish
supply and operational efficiency gains. Strong market prices and improved catch rates for hake
and horse mackerel contributed to good margin growth in Wild caught seafood.
Operating profit decreased by 23.2% to R1 253 million (2024: R1 632 million). Overhead
expenditure decreased by 12.3% to R899 million (2024: R1 025 million), mainly because of
lower employment costs, combined with cost savings from reduced insurance premiums.
The higher net interest expense of R288 million (2024: R226 million) was primarily due to
increased borrowings in SA to fund the recent capital expenditure programme and working
capital investment during the year. Higher imports of frozen fish in the first half led to increased
Lucky Star foods inventory levels for most of the year. The renewal of the US interest rate swap
in February 2024 at higher rates, covering 50% of the US debt, further contributed to the
increased interest expense.
The effective tax rate increased to 25.0% (2024: 20.8%) due to the Africa businesses
contributing a higher proportion of Group earnings than in the prior year, with SA and Namibian
earnings attracting a higher tax rate.
Profit after tax decreased by 35.0% to R724 million (2024: R1 114 million), due to the weaker
Fishmeal and fish oil segments operating performance, increased net interest expense and
higher effective tax rate.
CASH FLOW AND FINANCIAL POSITION
Cash generated from operations decreased by 1.8% to R1 442 million (2024: R1 468 million). A
decline in cash operating profit to R1 687 million (2024: R1 985 million) was partially offset by
lower working capital investment of R245 million (2024: R517 million).
Capital expenditure returned to more normalised levels at R327 million (2024: R645 million).
The main projects were the ongoing maintenance of the Group's processing facilities and
vessels, upgrades to the Wild caught seafood fleet and the addition of a new squid catamaran
vessel.
The Group's net debt increased marginally to R2 605 million (2024: R2 581 million) with a
decrease in US debt being offset by an increase in SA debt. The US debt reduction included a
one-off prepayment of US Dollar 15 million from surplus cash, while SA debt rose due to a R348
million increase in short-term facilities to fund working capital needs.
The Group's net debt to EBITDA ratio increased to 1.7 times (2024: 1.3 times) mainly due to the
reduction in EBITDA. In SA, the net debt to EBITDA ratio reduced to 2.2 times (2024: 2.7 times)
and the US ratio increased slightly to 0.8 times (2024: 0.7 times). The Group complied with all
lender covenant requirements relating to both its SA and US debt.
REVIEW OF OPERATIONS
Revenue and operating profit by segment for the year:
Rm Revenue Operating Profit
% %
2025 2024 2025 2024
Segmental results Change Change
Lucky Star foods 4 871 4 591 6.1% 468 428 9.3%
Fishmeal and fish oil
885 877 0.9% 26 79 (67.1%)
(Africa)
Fishmeal and fish oil
2 369 3 006 (21.2%) 537 1 178 (54.4%)
(USA)
Wild caught seafood 1 870 1 587 17.8% 222 (53) > 100.0%
9 995 10 061 (0.7%) 1 253 1 632 (23.2%)
Total
LUCKY STAR FOODS
Lucky Star foods delivered a solid performance in a challenging consumer environment,
growing sales volumes by 2% to 9.5 million cartons (2024: 9.3 million cartons). Canned fish
volumes held steady, despite a tough second-half trading environment, highlighting Lucky Star's
appeal as an affordable and available protein source. Growing export demand together with the
expansion into the canned meats category drove higher sales, increasing the canned foods
share to almost 10% of total Lucky Star foods' sales volumes. Sales volumes in the canned
vegetable category declined as part of a deliberate strategy to improve margins through price
increases and product rationalisation.
The local fish canneries achieved lower unit production costs, benefiting from the 24% increase
in production volumes to 5.0 million cartons (2024: 4.0 million cartons). Prior year production
volumes were lower, due to an extended shutdown for factory upgrades. Production yields rose
by 6%, driven by efficiency gains and a steady supply of high-quality, optimally-sized frozen fish
imports. Local pilchard landings increased by 6%, supported by good fish availability that
enabled the full quota to be caught. Canned meat production volumes continued to grow and
doubled during the year.
Inventory levels closed 20% lower compared to the previous year, due to reduced frozen fish
purchases in September.
FISHMEAL AND FISH OIL (FMO)
Despite strong operational performances, revenue and profitability in both the African and US
businesses suffered due to adverse external market factors. Global prices, particularly for fish
oil, softened following Peru's increased anchovy biomass, which improved overall market
supply.
FMO (AFRICA)
The African fishmeal and fish oil business delivered a 25% increase in production volumes,
driven by better industrial fish landings of 85 525 tons (2024: 70 877 tons), higher pilchard
trimming volumes from the canneries, and fish oil yields improving to 5.7% (2024: 4.1%). The
higher production volumes, combined with the efficiency gains from factory upgrades, resulted
in lower unit production costs. A poor industry-wide anchovy season in the second half offset
the benefits of record red eye herring landings, which would have otherwise led to a stronger
performance.
A 36% increase in sales volumes to 29 030 tons (2024: 21 319 tons) was negated by declines of
9% in fishmeal prices and 53% in fish oil prices in US Dollar terms. Inventory levels ended the
year lower.
FMO (USA)
Daybrook's performance, although significantly lower than the previous year's record high,
remained good when measured against its long-term earnings average. Gulf Menhaden landings
for the financial year increased by 20% to 633 million fish (2024: 527 million fish), with the fish
oil yield reducing slightly to 11.8% (2024: 12.2%). The Daybrook plant achieved a 9% increase in
hourly throughput and only 0.2% downtime (2024: 1.1%).
Fish oil sales volumes increased 54% to 23 027 tons (2024: 14 947 tons) due to the good
operational performance and higher opening inventory levels, while fishmeal sales volumes
reduced slightly to 40 941 tons (2024: 42 238 tons). Daybook experienced similar pricing
challenges to the Africa business, with US Dollar prices declining 9% for fishmeal and 48% for
fish oil. A 6% appreciation of the Rand against the US Dollar to US$17.77 on average (2024:
US$18.93), had a negative impact of R35 million on earnings translation.
Inventory levels closed 19% higher than the previous year, driven by increased fishmeal stock,
while fish oil stock levels remained steady, positioning Daybrook well to meet market demand.
WILD CAUGHT SEAFOOD
HAKE
The Wild caught seafood segment delivered strong results, underpinned by the exceptional
performance and record earnings of the hake business. The benefits of the recent investment in
the hake fleet were evident, with improved reliability yielding 20% more days at sea. This
enabled the fleet to capitalise on higher industry catch rates, achieving 33% higher catch
volumes. The increased catch volumes together with lower fuel prices combined to reduce unit
catch costs by 12%.
Sales volumes increased by 23% to 12 760 tons (2024: 10 420 tons) and export prices for hake
improved by 8%, driven by strong European demand. Inventory closed 700 tons higher than the
previous year.
HORSE MACKEREL
After fishing in Namibian waters for most of the first half of the year, the Desert Diamond
returned to South Africa, where it continued to experience sporadic horse mackerel catch rates.
Catch rates did show significant and consistent improvement in September, although fishing
operations were confined to a small area. Compared to the significant loss incurred in the
previous year, when mechanical failure kept the vessel docked for a substantial part of the year,
the SA horse mackerel business managed to breakeven, although remained below optimal
performance.
The Namibian horse mackerel vessels operated with comparable fishing days and catch rates to
the previous year. Higher profitability was however achieved mainly due to lower fuel rates and
a 12% increase in average US Dollar sales prices, driven by strong demand for affordable protein
in key markets. Concerns persist about the sustainability of the horse mackerel industry
framework in Namibia.
Total horse mackerel sales volumes increased by 11% to 42 768 tons (2024: 38 711 tons).
SQUID AND LOBSTER
Poor industry-wide fishing conditions impacted the squid business, resulting in a 41% decrease
in average daily catch rates. A new R25 million squid catamaran vessel was launched in July,
marking an important milestone to modernise and upgrade the squid fleet. The performance of
the squid business weakened, with a 17% decline in sales volumes. European demand
remained firm.
The lobster business held steady, supported by reasonable resource performance and
sustained market demand.
DIVIDEND
The Group declared a final dividend of 175 cents (2024: 300 cents) per share, which together
with the interim dividend, brings the total dividend for the year to 285 cents (2024: 495 cents)
per share, a decrease of 42.4% which is slightly higher than the 38.4% decrease in headline
earnings per share.
OUTLOOK
Lucky Star foods will build on its strong brand and distribution network to continue to expand its
market presence in South Africa and cross-border regions, capitalise on the growing demand for
affordable protein and pursue opportunities in adjacent food categories. The business will
continue to optimise its production processes and global supply chain to reduce costs and
enhance margins. In response to an anticipated poor Pacific sardine catch season, Lucky Star is
sourcing product from other regions.
Due to a lower-than-expected anchovy quota in Peru's second season, global fishmeal and fish
oil prices are anticipated to improve in the near term. In the medium to long term, growing
demand from the aquaculture and pet food industries, coupled with fixed supply, is expected to
underpin price growth.
Both the SA and US facilities currently have available production capacity and are therefore
well-positioned to take advantage of better catch rates and resource availability. In 2026, the
priority will be driving volume growth and cost efficiency to enhance profitability. The US team
will work closely with our fishing partner to explore options to increase supply. The 2025 Gulf
menhaden fishing season closed in the last week of October 2025 with total landings of 637
million fish (2024 season: 528 million fish).
The Wild caught seafood segment is expected to benefit from sustained demand across all
species and improving resource availability in SA waters. A strategic decision has been taken to
divest of the Desert Diamond, a dedicated SA horse mackerel vessel, and replace it with a
versatile, dual-purpose vessel that can fish both hake and horse mackerel. This change is
expected to reduce operating costs and earnings volatility in the segment. Further fleet
rationalisation will optimise the squid vessels based on licenses and capacity, retaining the best
vessels to drive improved results.
The Group will maintain a disciplined approach to capital allocation, prioritising returns and
reducing debt through efficient working capital management and focused capital expenditure.
With diversified operations, a strong operating platform and upgraded infrastructure, the Group
is well positioned to capitalise on cyclical improvements in resource availability and market
demand as well as stronger pricing.
Any forward-looking statements in this announcement have not been reviewed or reported on
by the auditors.
CHANGES TO THE BOARD, COMMITTEES AND OFFICERS
The following changes took place during the financial year:
• Jayesh Jaga stood down as Group Company Secretary while retaining his role as Chief
ESG Officer, effective 1 February 2025. Satish Bhoola was appointed as Group Company
Secretary effective 1 February 2025.
• Peter de Beyer did not stand for re-election as a member of the Audit Committee at the
Company's AGM and accordingly retired as a member of this Committee effective 27
February 2025.
• Nomahlubi Simamane retired as an independent non-executive director on 27 February
2025 and consequently retired as the chairperson of the Social, Ethics and
Transformation Committee and as a member of the Corporate Governance and
Nominations Committee and Remuneration Committee.
• Lesego Sennelo was appointed as chairperson of the Social, Ethics and Transformation
Committee on 27 February 2025 and as a member of the Corporate Governance and
Nominations Committee.
• Mamongae Mahlare was appointed as an independent non-executive director on 1
September 2025 and as a member of the Social, Ethics and Transformation Committee
and the Remuneration Committee.
The Company at its Board meeting held on 21st November 2025 (post its financial year), approved
the following board changes:
• Peter de Beyer will stand down as Lead Independent Director, effective 1 January 2026,
and will remain a member of the board.
• Aboubakar (Bakar) Jakoet is appointed as Lead Independent Director, effective 1 January
2026.
Mustaq Brey Neville Brink
Chairman Chief Executive Officer
Cape Town
21 November 2025
DECLARATION OF FINAL DIVIDEND NUMBER 163
Notice is hereby given that the Board of Directors of Oceana has declared a gross final cash
dividend amounting to 175 cents per share, out of current earnings, in respect of the year ended
30 September 2025. Where applicable, the deduction of dividends withholding tax at a rate of
20% will result in a net dividend amounting to 140 cents per share.
The issued share capital at the declaration date is 129 779 645 ordinary shares. The Company's
tax reference number is 9675/139/71/2. The relevant dates for the final dividend will be as
follows:
Last day to trade cum dividend Friday, 19 December 2025
Commence trading ex-dividend Monday, 22 December 2025
Record date Wednesday, 24 December 2025
Dividend payment date Monday, 29 December 2025
Share certificates may not be dematerialised or rematerialised between Monday, 22 December
2025 and Wednesday, 24 December 2025 (both dates inclusive).
The short-form announcement is the responsibility of the directors and is only a summary of the
information in the Annual Financial Statements of Oceana released on SENS on Monday, 24
November 2025 and does not contain the full or complete details. Any investment decision
should be based on the Annual Financial Statements which are available on our website at
https://results.oceana.co.za/year-end-results-2025 and on
https://senspdf.jse.co.za/documents/2025/jse/isse/oce/FY25.pdf as well as at our JSE sponsor
at jsesponsor@standardbank.co.za.
Group Company Secretary
Cape Town
24 November 2025
JSE Sponsor:
The Standard Bank of South Africa Limited
NSX Sponsor:
Old Mutual Investment Services (Namibia) Proprietary Limited
Date: 24-11-2025 07:05:00
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