Thai Union delivers record 18.9% margins

Thai Union Group has reported a landmark financial performance for 2025, achieving an all-time high gross profit margin of 18.9%.

Despite a volatile macroeconomic landscape and significant US tariff pressures, the seafood giant saw earnings per share (EPS) climb by 7.2%, supported by eight consecutive quarters of volume growth.

The Group’s resilient execution resulted in full-year sales of THB 133 billion, with sales volumes reaching 908,000 metric tons. This performance has paved the way for a 6% increase in the annual dividend, totalling THB 0.70 per share.

The final quarter of 2025 showcased the strength of Thai Union’s diversified portfolio, with organic sales expanding for the second straight quarter.

The frozen segment was a standout performer, with sales growing 3.4% year-on-year and volumes up 5.6%. Most notably, the gross profit margin (GPM) for this category hit an all-time high of 14.5%. This was driven largely by strategic price adjustments implemented to offset US tariffs and a robust performance from the feed business.

Thai Union’s PetCare division continues to exceed expectations. Sales rose 6.7% in USD terms, fuelled by a 2.8% volume increase from key markets in the US and Europe. For the third consecutive quarter, the PetCare GPM (26.3%) outperformed its target range of 23–25%, signalling strong demand for premium, sustainable pet nutrition.

While volumes expanded across Europe, North America, and Thailand, Ambient sales softened slightly by 1.8% due to lower average prices, particularly in European markets.

The value-added segment maintained a healthy GPM of 21.7%, though overall sales faced headwinds due to cooling demand in the US market.

Thai Union’s record profitability is attributed to an internal transformation. CEO Thiraphong Chansiri noted that acting as “one global organisation” allowed the company to manage costs with extreme discipline.

Looking ahead to 2026, the Group is targeting:

• Sales growth: 3-4% (driven largely by PetCare).
• Gross profit margin: a guided increase to 19-20%.
• Cost efficiency: a “Cost Reset” program aimed at delivering USD 60 million in savings.

“Thai Union is entering 2026 from a position of greater strength and readiness,” said Thiraphong Chansiri. “Our focus on innovation and sustainability differentiates our portfolio, particularly in premium segments where customers value quality and responsibility.”