Sweet result as chocolate company Lir doubles its profits
Published 21/07/2011 | 05:00
Lir Chocolates, the Irish confectioner owned by UK-based Zetar, posted an 8pc rise in sales during the last financial year and doubled its operating profit to €530,000.
Releasing preliminary results yesterday for the 12 months to the end of April, AIM-listed Zetar said that Lir own-brand chocolates achieved sales growth in the period of 29pc, albeit off a "relatively modest base".
It added that it anticipated further progress in the second half of the current financial year when the brand undergoes a relaunch with new packaging.
Zetar said that Lir's profit potential remained constrained by the strength of the euro against sterling. "We have laid the foundations for further profit growth in 2012 by implementing various operational initiatives to improve cost-efficiency," said Zetar's statement.
It added that Lir's Bailey's range of chocolates was now established as a major seasonal brand.
Zetar didn't release specific financial information regarding Lir. However, the latest set of accounts filed here for the Irish subsidiary show that in the 12 months to the end of April 2010 the firm made an operating profit of €265,000.
Lir Chocolates was acquired by Zetar in 2007 for up to €8m.
Zetar's overall sales climbed 2pc to £135m (€153m) in the last financial year while adjusted pre-tax profit rose 6pc to £6.7m (€7.6m).