High Liner Foods cuts staff at its North American office

High Liner Foods Inc. announced organizational changes that led to staff cuts at its North American office. According to the company's statement, these changes resulted in 35 employees leaving the organization, representing approximately 9% of its North American office workforce.

The Canadian value-added frozen seafood processor and marketer, which also provided an update on its performance outlook for the first quarter of 2026, said that the goal of these measures is to further align its cost structure with current market conditions.

"These actions are part of a broader set of initiatives already underway, including disciplined margin management, cost reduction, and supply chain efficiency efforts, intended to mitigate the impact of sustained pressure from rising inflation, tariffs, and higher input costs and to strengthen the company's value proposition to customers and consumers," the statement read.

The company also said it is confident that these measures will help support a return to year-over-year growth in adjusted EBITDA for fiscal year 2026.

Although further details will not be provided until the release of its first-quarter 2026 financial results—scheduled for May 2026—High Liner Foods has already indicated that current estimates suggest first-quarter results will be "modestly below" those of the previous year.

In its statement, High Liner Foods noted that, while it experienced strong demand during the first quarter, underlying promotional activity, combined with rising input costs and tighter supply, put pressure on margins and plant performance, delaying the realization of the profitability improvements it expects to achieve in 2026.

Precisely in June of last year, the Canadian company announced the signing of a purchase agreement to acquire two U.S. frozen seafood brands from Conagra—Mrs. Paul's and Van de Kamp's breaded and battered frozen fish brands—for USD 55 million.

Subject to a customary inventory adjustment, the company then stated that the purchase price included approximately USD 36 million in inventory. The transaction secured the volume associated with a previous contract High Liner Foods had with Conagra to co-manufacture products for the Mrs. Paul's and Van de Kamp's brands at its U.S. production facilities, which expires in 2027.

In line with its strategy to further diversify its global supply chain, at that time, High Liner Foods also stated annual volume from this business - an average of 25 million pounds annually - was expected to increase to approximately 29 million pounds of fish purchased, processed, and sold in the U.S.