Fruit distributor Fyffes has reported results for 2008 which are slightly ahead of its own targets and market expectations.
Fyffes said its pre-tax profits for the year ending December, excluding the group's share of its property spin-off Blackrock's results and exceptional items, rose to €31.5m from €10.2m in 2007.
Revenues for the year rose by 7% from €708.9m to €758.2m, reflecting contributions from acquisitions made during the year and higher average selling prices in its key banana category. Earnings before interest and tax fell to €15.3m from €17.4m.
Fyffes said that during 2008 it experienced an 'unprecedented' level of cost inflation, with the costs of fruit, shipping and fuel all much higher year on year. However, the impact of these factors was somewhat offset by more favourable average exchange rates due to the relative weakness of the dollar for much of the year.
Fyffes said it was targeting earnings for 2009 of between €14-18m. It said that after a slow start to the year, pricing has improved in recent weeks.
'In these difficult economic environment, Fyffes' products represent excellent value for money and we believe consumption will remain strong,' commented Chairman David McCann.
Shares in the company closed down one cent at 17 cent in Dublin.
