VHC released Q1 2021 results, in which net revenue increased 9% YoY but NPAT-MI slumped 14% YoY. Per VHC, the earnings drop was mainly due to a global shortage of shipping containers and China’s tight inspections on frozen food imports that weighed on both VHC’s volume and selling prices. VHC’s Q1 2021 results trailed our expectations — especially regarding C&G sales and fillet ASP. As such, we see potential downside risks to our current forecasts, pending a more extensive review.