Baxterstorey Ireland reports pre-tax loss as expansion costs hit
Expansion costs following a number of contract wins contributed to the Irish arm of catering firm, Baxterstorey recording a modest pre-tax loss of €19,000 last year.
The pre-tax loss at Baxterstorey Ireland Ltd came in spite of revenues increasing from €47m to €48.29m in the 12 months to the end of December 28th last.
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According to the directors' report attached to new accounts by Baxterstorey Ireland Ltd, "the year saw continued growth from new business wins. However, significant costs were incurred in mobilising the new business which impacted on operating margins for the year".
The directors state that "in spite of the additional cost, the balance sheet remains strong with net assets of €6.5m and cash of €3m".
The accounts show that revenues at the firm were made up of revenues from Ireland, Belgium and the Netherlands with Irish revenues totalling €38.86m or 80pc of revenues. Belgium and the Netherlands totalled €9.42m.
The directors state that the firm "strives to be the food service provider of choice for clients who understand the benefits of local sourcing and demand the highest quality fresh food".
The figures show that revenues for Baxterstorey's Irish business last year declined by 5pc from €41m to €38.8m. In contrast, revenues at the Belgium/Netherlands arms increased by 58.5pc from €5.9m to €9.42m.
The firm - which provides a wide range of food services to business and industry - continued to expand last year as employee numbers increased from 693 to 702.
At the end of last year, 679 were employed in catering and hospitality and 23 in clerical and management.
Staff costs last year rose by 5pc, from €23m to €24.2m. Directors' pay last year more than doubled to €489,000 as three additional directors were appointed to the board.