Food group Kerry has reported adjusted pre-tax profits of €449.1m for the year to the end of December, a 10.8% improvement on the €405.4m reported the previous year.
Revenues rose by 6.4% to €5.3 billion from €4.96 billion despite the weak consumer confidence in many markets and significant raw material and input cost inflation.
The company said that its trading profit reached a milestone of €501m in 2011 and it has proposed a final dividend of 22.4 cent. This gives a total dividend of 32.2 cent - up 11.8% on the 2010 dividend.
Kerry said it performed well in all key developed markets during the year and continued to extend its market positions in developing markets. But it added that cost recovery in its consumer foods markets in Ireland and the UK proved ''more challenging due to the prevailing economic situation and level of price promotional activity in both markets.''
Kerry's chief executive Stan McCarthy said the company is confident of achieving its strategic growth objectives for 2012 and expect to achieve 7-10% growth in adjusted earnings per share to a range of 228 to 235 cent per share.
Kerry said that revenues at its ingredients and flavours business increased by 7.7% to €3.706 billion, while trading profits rose by 9.4% to 4439m.
The company said that innovation in the division continues to be driven by increasing consumer demand for ''free-from-foods'', reduced calorie, reduced salt, reduced fat, higher fibre, natural flavours and ingredients as well as trends towards more convenient and cost-effective products.
Revenues at Kerry's consumer foods division rose by 3.2% to €1.674 billion while trading profits inched 1% higher to €130m with further tightening of household budgets in Ireland and the UK continuing to drive value consumption.
It added that its Irish brands business has been ''realigned to reflect the current market environment as consumers remain challenged by the recessionary economic situation''.
