Food company Glanbia announced this morning that its pre-tax profits for the year ending December 2001 increased by 24% to €66.6 million from €53.69 million in 2000 and expressed confidence for its progress in 2002.
Operating profit at the Kilkenny-based company increased by almost 13% to €93.23 million from €82.71 million in 2000. The company said this reflected strong performances in its dairy food ingredients, Irish consumer foods sector and satisfactory results in its agribusiness and UK cheese operations.
Group turnover was also up by 9.3% to €2,625 million last year. This compares to a figure of €2,402 million the previous year. Adjusted earnings per share increased by 37% to 15.82 cent from 11.55 cent in 2000.
Glanbia said that a net exceptional charge of €5.53m arose mainly from continuing business refocusing around group strategy. It includes a loss on the sale of surplus distribution facilities in the UK, as well as a loss on the sale of the Roscrea consumer meats brand last May.
Turnover at the company's diary food ingredients division, which includes the US and Irish cheese and diary ingredient operations, grew by 10.5% to €1,025 million. The division accounted for 39% of group turnover and 63.7% of group operating profit.
The company's consumer foods operations had an improved overall performance last year compared with 2000. Turnover advanced by 8% to €1,358 million. Irish consumer foods performed strongly, although the company said the UK meat and food service businesses had a 'disappointing' year.
Despite the challenges of foot and mouth earlier in the year, Glanbia's agribusiness division performed well during 2001. Turnover was up 10.6% to €241.82 million . But operating profit declined marginally because of difficult trading conditions in fertiliser and grain markets.
Looking ahead, Glanbia said its primary focus for 2002 is to further strengthen group performance and advance implementation of its strategy for growth in cheese and nutrition. 'The Group expects that it will continue to make satisfactory overall progress in 2002,' the company added in its results statement.
Glanbia shares were down four cent to €1.40 at the close in Dublin.
