Lännen Tehtaat Oyj

Apetit Kala

Recognized as a healthy choice, fish is among the fastest growing food product groups, and this high growth rate is expected to continue in the years to come. The market for consumer-packaged fish grew by 18 per cent in 2004. Among the different product groups, the fastest growth is in the consumption of standard-weight packs of fresh and processed fish. Farmed fish is increasingly replacing wild fish in today’s market. New fish species are also being introduced in fish farming, alongside the traditionally farmed rainbow trout and whitefish. Fish products are also being sold in more highly processed forms. Concentration is occurring in both the fish processing and retailing sectors.

Apetit Kala’s operations cover the entire chain from fish purchasing and processing to wholesaling and retailing. Its range of fish products is diverse and the products are easy and convenient for today’s busy consumers. Apetit Kala is the market leader in consumer-packaged fresh fish products and a major supplier in other product areas.
Apetit Kala operates from modern factories in Kuopio, Kerava and Kustavi and has 60 shop in shop Kalatori outlets around the country. Its raw material procurement network extends across all Finland’s inland and coastal waters. Together with the company’s own importing, this guarantees a wide selection of Finnish and imported fish products all year round.

Apetit Kala’s administration and telephone sales are located at its factory site in Kuopio. The factory produces hot- and cold-smoked fish products, fish portions and frozen fish products. At Kerava, the company has its logistics centre, where its national collection and distribution activities are concentrated. Other operations at Kerava include rainbow trout and salmon filleting, and fresh fish packaging. The Kustavi factory produces fish strips and lightly salted fish products, and the Kaskinen factory is where the associated company Ab Silva Seafood Oy produces its fried fish and Baltic herring products.

Apetit Kala also has over-the-counter retail sales at its Kalatori outlets located in major supermarkets. The product range in these outlets includes not only fish but also ready-made foods, meat products and salads. There are 60 Kalatori outlets, 14 of which operate as franchises. Fish products account for about 70 per cent of Kalatori sales, while other food products account for 30 per cent.

The Kustavi factory of Tresko Fish Ltd, which was merged with Apetit Kala Oy at the end of 2004, is a natural addition to Apetit Kala’s operations and broadens its product range. This range includes a wide variety of fish products that are ‘pan ready’ and processed for the convenience of today’s busy consumers. Apetit Kala’s main product groups are hot- and cold-smoked and lightly salted products, fish strips and fish portions, ready-to-eat fish products, Baltic herring products and fresh fish products.

The operational management system was modified at the end of the year, and operations rationalized in production, raw materials purchasing, sales and marketing.
Eight further outlets were added to the Kalatori chain during 2004, and its sales grew at a faster rate than the growth in the retail grocery sector as a whole.
Apetit Kala Oy and Tresko Fish Ltd achieved their net turnover and oparating profit targets.

Apetit Kala’s operating profit is strongly influenced by the availability and price of the fish used as raw materials. Significant factors in the price of the company’s main fish products are the world market price for rainbow trout and salmon in particular and the success of Finnish fish farms. The quarterly distribution of net turnover and profit are related to annual celebrations at different points during the year. A considerable share of Apetit Kala’s sales and operating profit depends on the success of Christmas sales.

In 2005, the growth in Apetit Kala’s net turnover is expected to be above the market average. Substantial investment will be made in marketing packaged products, and sales by the Kalatori chain are expected to continue growing. The company’s operating profit is expected to rise as a result of efficiency improvements in its operations.

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