Clearwater sheds top posts as profits fall
CANADA’S Clearwater Seafoods has shed three executive positions as part of a move to save money and streamline its management structure.
The move was revealed by CEO Ian Smith following the announcement of the company’s third quarter results.
Clearwater, which bought the Macduff wild shellfish group in Scotland two years ago, saw its third quarter turnover fall to (Canadian) $163.6 million this year from $189.5 million in Q3 2016.
The EBITDA (earnings before interest, tax, depreciation and amortisation) was down from (Canadian) $45.2 million to $32.8 million.
Smith announced that Clearwater had begun a corporate restructuring, effective immediately, which is expected to save the company around $10 million a year.
Three executive positions had been immediately eliminated: president of global markets, president of global supply chain and chief information officer.
Looking ahead, Smith said: ‘We are taking action to restructure the organisation, and remain 100 per cent committed to our core business and strategies.
‘The powerful seafood industry fundamentals, value prop- osition and competitive advantages that form the foundation of Clearwater’s vertically integrated business model and ability to generate long-term shareholder value remain strong.
‘Global demand for seafood is out pacing supply, creating favourable market dynamics for vertically integrated producers such as Clearwater, which have strong resource access.
‘Demand has been driven by growing worldwide population, shifting consumer tastes towards healthier diets, and rising purchasing power of middle class consumers in emerging economies.’