Everything Fresh Limited is rebalancing portfolios in order to place more emphasis on the local retail and wholesale trade as opposed to the hotel trade, said management.
Suffering from the closure of the hotel sector which occurred between March and June, the company has been compensating by ramping up sales to the retail sector and also implementing cost cutting measures.
At the end of first quarter March, sales fell to $489.2 million compared to $593.2 million last year. Net losses for the quarter were $11.4 million compared to a profit of $229,000 at March 2019.
Management said in the annual report released this week “As we look ahead, we are committed to rebalancing our revenue ratio of the hotel trade and the retail/wholesale market.
“Due to COVID-19, we are repositioning our products to increase retail sales both to supermarkets and direct delivery to our consumers who require that service.”
Management said that in alignment with this strategy, the company will be substituting consumer products for hotel specific products, “where practical, in an effort to focus on our wholesale and retail customers.”
They added, “We are optimistic about our business prospects, as we have seen a promising increased demand for our products and improved efficiencies in our operation.
“Everything Fresh is positioned to capitalise on opportunities that will be created through the repositioning of our products, while managing any associated risk.”
Despite the heavy losses suffered from the acquisition of a meat plant in 2019, the company says in its annual report that it is also open to new acquisitions.
Management stated in the annual report, “We are open to potential opportunities while carefully assessing revenue growth and revenue stream diversification. Therefore, Everything Fresh, remains open to further negotiations of potential strategic acquisitions on the horizon.”
Previously, Everything Fresh incorporated a company based in Miami, Florida which buys directly from manufacturers and sells to the company at marginal mark-up. This strategy allowed Everything Fresh to increase market share significantly.
The Florida company was incorporated under the name Quality Produce and Groceries Inc. In July 2012 the Company also started to supply beef, poultry and seafood to hotels.
What’s more, the company said it has managed to retain its entire staff amidst the Coronavirus (COVID-19) pandemic, only having to reduce work hours.