Thai Union raises 2026 forecasts after strong second-quarter performance

THAILAND – Thai seafood producer Thai Union Group has lifted its 2026 financial projections after higher second-quarter sales and improved profitability, raising both its revenue growth and gross margin targets.

Thai Union now forecasts full-year sales growth of 4% to 6%, up from its earlier estimate of 3% to 4%, after revenue declined by more than 4% to about US$4.02 billion in 2025.

The company has also raised its expected gross margin for 2026 to between 19.5% and 20.5%, compared with its previous forecast of 19% to 20%, while the margin was 18.9% last year.

The revised guidance came after Thai Union posted a second-quarter gross margin of 21.4%, which chief executive and president Thiraphong Chansiri said was the highest quarterly level recorded by the group.

For the three months to June, sales reached approximately US$1.03 billion, representing a 1.4% increase from the same period a year earlier, with ambient seafood, pet care and value-added products contributing to the growth.

Ambient seafood remained the largest contributor, generating about US$512.3 million in quarterly revenue, up 1.5% year on year, while sales volumes increased 4.4% as demand grew for private-label tuna and salmon.

Pet care recorded a larger increase in volumes, which climbed 7.8%, while revenue rose 2.3% as demand from customers in the United States and Europe remained steady.

Meanwhile, revenue from the frozen seafood division was largely unchanged at approximately US$303.1 million during the quarter.

Thai Union’s value-added segment covers ready-to-cook and ready-to-eat products, alongside operations linked to packaging, ingredients and seafood by-products.

The group reported operating profit of about US$65.2 million for the quarter, an increase of 12.6%, while net profit edged down 0.7% to roughly US$38.2 million because of higher tax expenses.

For the first six months of 2026, Thai Union’s net sales increased 4.3% to approximately US$2.00 billion, while operating profit rose 17.9% to about US$100.3 million.

Net profit for the half-year reached around US$72.2 million, representing a 3.7% increase from the corresponding period in 2025.

The company, whose international brands include John West and King Oscar, has set a longer-term target of achieving a gross margin between 21% and 23% by 2030.

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