Profits drop by half to €11.5m at River Island
PRE-tax profits at the Irish arm of clothing retailer River Island were more than halved last year to €11.5m, new figures show.
In accounts filed with the Companies' Office, they show that turnover at the UK-owned River Island Clothing Co (Ireland) Ltd dropped 11.6pc to €91m in the 12 months to the end of December last.
At the end of 2009, the company operated 22 stores across Ireland. The directors state that "turnover and margin in the first part of 2010 is satisfactory".
At the end of December, the company's accumulated profits stood at €88.4m and the directors say that they will recommend the payment of a dividend this year -- none was paid in 2009.
The chief factor behind the significant drop in pre-tax profits was that sales costs remained static at €77m, despite the drop in turnover.
The accounts show that the company recorded staff costs of €14.6 million last year -- an increase of 3pc on the €14.1m bill in 2008.
Numbers employed increased marginally to 1,278. Operating profit dropped by 49pc from €22.5m in 2008 to €11.4m .
Despite this, directors' earnings rose 20pc to €210,256.