Pre-tax profits at the Irish arm of pharmacy group Boots last year surged by 18.5% to €29.54m.
New accounts filed by Boots Retail (Ireland) Ltd show that the firm increased its profits after revenues rose by 9.7% from €433.37m to €475.36m in the 12 months to the end of August last.
The directors state that the cost of living crisis "has not caused a significant impact on the business to date" though there has been an increase in operational costs.
They also state that "management continue to monitor the situation and have adjusted the financial projections and forecasts in the three year plan as appropriate".
The revenues were boosted by Boots increasing the number of its stores from 90 to 92 last year.
The accounts disclose that Boots Retail paid out €4m for the trade and asses of high street chemist operator Ladanac Ltd in December 2021.
Boots Ireland sales were last year made up of 87% retail and 12.9% in pharmacy.
Retail revenue increased by 10.3% "mainly due to increased footfall following the removal of Covid-19 restrictions".
The directors state that pharmacy revenues increased by 5.9% mainly due to increased footfall "and improved items volume".
They state that the company's pharmacy revenue and profits are impacted by Government agencies seeking to minimise increases in the cost of healthcare, including pharmaceutical drug re-imbursement rates.
Numbers employed by the Boots Ireland operation last year decreased from 1,706 to 1,646. Staff costs decreased from €71.22m to €68.7m.
The company’s operating profits increased by 13.6% to €33.8m and finance costs of €4.28m reduced profits to a pre-tax profit of €29.54m.
Directors’ pay last year totalled €1.12m and the pay of the highest paid director totalled €684,000. This was made up of remuneration of €470,000, €180,000 under long term incentive schemes and €34,000 in pension contributions.
The company last year recorded post tax profits of €26.45m after paying corporation tax of €3.087m.
At the end of August last, the company's shareholder funds totalled €151m. The company’s accumulated profits totalled €48.24m.
The firm's cash funds decreased from €5.14m to €4.4m.
Reporting by Gordon Deegan
