May 11, 2010 / 4:39 PM / 8 years ago

UPDATE 1-High Liner Foods Q1 profit up; hikes div

* Q1 sales down 10 percent

* Ups quarterly div by 13 percent

May 11 (Reuters) - Canada’s High Liner Foods Inc (HLF.TO) (HLF.A), a frozen seafood company, reported a 7 percent increase in first-quarter profit, helped partly by lower raw material costs, and raised its dividend 13 percent.

The company said it remained positive for the rest of the year, despite continued uncertainty in the economy.

“The lower raw material costs we have been experiencing benefit all our operations, and the stronger Canadian dollar benefits our Canadian business,” Chief Executive Henry Demone said in a statement

Net income was C$7.2 million ($7 million), or 39 Canadian cents a share, compared to C$6.7 million, or 36 Canadian cents share, last year.

Sales fell 10 percent to C$165.1 million, hurt by lower selling prices.

Seafood costs in U.S. dollar-terms have bottomed and it is beginning to see increases in isolated areas, High Liner said in a statement.

The company raised its quarterly dividend to 8.5 Canadian cents from 7.5 Canadian cents, payable on June 15, to shareholders of record on June 1.

Shares of the company were trading up 3 percent at C$10.99 Tuesday afternoon on the Toronto Stock Exchange.

    $1=1.023 Canadian dollar Reporting by Aftab Ahmed in Bangalore; Editing by Unnikrishnan Nair; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging:

    0 : 0
    • narrow-browser-and-phone
    • medium-browser-and-portrait-tablet
    • landscape-tablet
    • medium-wide-browser
    • wide-browser-and-larger
    • medium-browser-and-landscape-tablet
    • medium-wide-browser-and-larger
    • above-phone
    • portrait-tablet-and-above
    • above-portrait-tablet
    • landscape-tablet-and-above
    • landscape-tablet-and-medium-wide-browser
    • portrait-tablet-and-below
    • landscape-tablet-and-below