Oceana Group expects significant earnings decline for FY2025

Oceana Group Limited has issued a trading statement forecasting a decrease of at least 40% in basic earnings per share (EPS) and basic headline earnings per share (HEPS) for the year ending September 30, 2025. This translates to a decline of at least 368 cents per share for EPS from the prior period's 920.9 cents, and at least 367 cents per share for HEPS from 917.6 cents. The primary driver for this downturn is the halving of average US dollar fish oil sales prices, alongside a decline in Daybrook's performance.

The voluntary trading update for the 11 months ended August 24, 2025, further elaborates on lower revenue and profitability, directly attributing it to the 50% average decline in fish oil sales prices compared to prior record levels. Despite these challenges, Lucky Star foods showed a pleasing performance with volume growth driven by export demand, and the Wild Caught Seafood segment improved significantly, particularly due to strong hake performance and reduced horse mackerel losses.

Fishmeal and fish oil businesses saw increased sales volumes, with Africa processing 18% more volume and the USA reporting 11% higher sales volumes from improved landings. However, the weaker US dollar sales prices for fishmeal and the halved US dollar fish oil sales prices ultimately undermined profitability, resulting in Daybrook's considerably lower results.