Quinn Group Limited has reported an operating loss of €888m for 2009, mainly due to losses at Quinn Insurance, which is currently under administration. This compares to profits of €239m in 2008.
Quinn Insurance incurred operating losses of €644m in 2009.
Turnover at Quinn Group - including its insurance operations - amounted to €1.6 billion in 2009, down from €2.2 billion the previous year. 2009 was the last year in which founder Sean Quinn fully controlled the company.
The group also took an impairment charge and writedown on assets of €274m.
But its manufacturing operations continued to trade profitably, with EBITDA from continuing operations coming in at €104m and operating profits of €30m.
Turnover in the manufacturing division fell by 28% due to the challenging trading conditions as a result of the downturn in the construction sector.
The company said the restructuring announced in April of this year would take over €500m of debt out of the manufacturing side of the business
Paul O'Brien, the chief executive of Quinn Group Limited, said the 2009 results show the full effects of the losses incurred by QIL during the period, which are 'hugely disappointing'.
He said the future of the group now lies in its manufacturing business, which are involved in glass, construction products, plastics & packaging and radiators.
'The financial restructuring of the Group announced in April 2011 will give QGL stability and sustainability by permanently removing over €500m of debt obligations from the Manufacturing businesses. Additionally, the fact that the Group's borrowings have been secured for a five year term, which is ahead of current industry norms, provides stability and certainty for our customers and suppliers,' he added.
