Irish Continental Group has reported pre-tax profits of €40.1m for the year ending December 2010, up from the previous year's figure of €24.9m.
Revenues for the year rose by 0.7% to €262.2m from €260.5m, while operating profits jumped by 54% to €40.9m from €26.5m.
ICG said the number of passengers it carried last year rose by 7.8% to 1,538,000 from 1,427,000. However the number of cars it carried fell by 2.4% to 367,000 from 376,000, while RoRo freight declined by 9.2% to 178,00 units from 196,000 in 2009.
The company said that key factors in the results included a strong performance from the passenger side of its business, and the profit on the sale of its Bilbao vessel (€9.4m). This was partially offset by a weakness in the freight side of the business due to the sharp reduction in economic activity in Ireland over the last number of years, and the effects of ship overcapacity in the market.
'For 2011, we are facing into an uncertain year with the combined effects of higher fuel costs and austerity programmes in Ireland and the UK providing a challenge,' commented ICG's chairman John B McGuckian.
'Nevertheless, we have made a solid start to the year and with a strong balance sheet to support us we look forward to the rest of the year with confidence,' he added.
So far this year, Irish Ferries passenger numbers are up 4% on last year while car numbers are down 1%.
Turnover at ICG's ferries division rose by 3.2% at €153.7m while earnings before interest and tax rose to €24.5m from €18.1m in 2009. The rise was mainly due to higher passenger revenue which more than offset lower freight revenue and increased fuel costs. ICG said that fuel costs rose by €7m to hit €27.9m in 2010 - a rise of 33.5%.
ICG said that the roll-on roll-off freight market grew by about 3% last year after a decline of 14% in 2009. But Irish Ferries roll-on roll-off carryings for 2010 were down 9.2% to 178,000 freight vehicles with the division seeing increased competing freight capacity on both the Holyhead route and on the neighbouring Dublin to Liverpool route.
Turnover at the group's container and terminal division fell by 2.7% to €109.8m, with operating profits down 16.7% to €7m due to higher fuel costs and higher restructuring costs.
'The recent increases in the world price of oil will be a headwind in the current financial year. With continuing focus on cost containment, our substantial investment in modern tonnage and terminal facilities and our strong financial position, we are well placed to compete vigourously in this tougher environment,' the company said.
