Thai Union Reports Record Q2 Gross Margin at 21.4%

Thai Union Group reported strong second-quarter results with a record gross margin of 21.4%, achieved through disciplined cost management, as sales volume grew for the tenth consecutive quarter. CEO Theeraphong Chansiri announced that gross margin reached its highest level on record, surpassing the 2026 target and matching the company's 2032 goal, while dividend per share jumped 14.3% to 0.40 baht—the highest interim dividend since 2022, representing a 3.4% dividend yield. Earnings per share increased 3.5% to 0.33 baht, and the net debt-to-equity ratio improved to 1.15 times.

Q2 sales grew 1.4% year-on-year to 33.845 billion baht, marking the fourth consecutive quarter of sales growth, while sales volume grew for the tenth straight quarter, driven by strong demand across processed seafood, pet care, and value-added products. The record gross margin was supported by favorable product mix, efficient operations, and disciplined cost control, boosting gross profit 10.2% to 7.238 billion baht and operating profit 12.6% to 2.150 billion baht.

The ambient seafood segment grew 1.5% in sales to 16.853 billion baht with volume up 4.4%, driven by increased private label demand for canned tuna and salmon and seasonal promotions in Europe, while canned sardine and mackerel benefited from global health trends, with sardine consumption up 13% and mackerel up 7% in 2024. The segment achieved a record 23.8% gross margin. The frozen seafood segment remained flat at 9.995 billion baht but improved gross margin to 13.5% from favorable shrimp prices and cost discipline. Pet care sales rose 2.3% with volume up 7.8%, boosted by strong demand in the US and Europe.