Finance
Britain's Hilton Food slumps after seafood risks, salmon unit under pressure
Published by Global Banking & Finance Review®
Posted on September 3, 2025
2 min readLast updated: January 22, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on September 3, 2025
2 min readLast updated: January 22, 2026
Hilton Food Group's shares dropped 19% due to rising seafood costs and regulatory issues, impacting its salmon unit and financial outlook.
(Reuters) -Shares of Hilton Food Group fell more than 19% on Wednesday after the British food supplier warned of higher costs in its seafood unit from rising raw material prices and regulatory curbs at its Foppen business in Greece.
Reduced fishing quotas in the UK and post-Brexit fishery policies have driven up raw material costs, dampening demand for seafood products among Britons.
Hilton's UK seafood sales were hit by lower availability of white fish as well as a drag in its Foppen unit, central to Hilton's smoked salmon output.
U.S. shipment curbs forced a temporary shift of production to the Netherlands, pushing up costs, the company said.
"We are working closely with the FDA to resolve the current disruption, although we anticipate continued impact on Foppen through the second half of 2025," Hilton said in a statement.
The company said it expects an adjusted pre-tax profit between 76.8 million pounds ($103.75 million) and 81 million pounds for the year ending 28 December, based on a company-compiled consensus.
Analysts at Panmure Liberum said the current consensus was at 80 million pounds.
The company's revenue grew 7.6% year-over-year to 2.09 billion pounds in 26 weeks to June 29, while its adjusted operating profit fell marginally to 46.6 million pounds.
Shares, at 662 pence, were at their lowest since November 2023.
If losses hold, the stock will record its biggest one-day percentage fall since September 2022.
($1 = 0.7402 pounds)
(Reporting by DhanushVignesh Babu in Bengaluru; Editing by Nivedita Bhattacharjee)
A seafood supply chain refers to the network involved in the production, processing, and distribution of seafood products from the ocean to consumers.
Brexit has led to changes in fishing quotas and policies, affecting the availability of fish and increasing costs for seafood suppliers in the UK.
Rising costs in the food industry refer to increases in expenses related to raw materials, labor, and compliance, which can affect profit margins for food suppliers.
Adjusted pre-tax profit is a financial metric that reflects a company's earnings before tax, adjusted for certain items to provide a clearer picture of operational performance.
Fishing quotas are regulations that limit the amount of fish that can be caught in a specific area during a certain period to ensure sustainable fish populations.
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