Kellogg Irish arm back in black with €338m pre-tax profit
The main Irish arm of breakfast cereal giant Kellogg last year returned to profit to record pre-tax profits of €338.56m.
New accounts filed by Kellogg Europe Trading (KET) Ltd with the Companies Office show that the company returned to pre-tax profit as revenues increased marginally from €1.111bn to €1.114bn.
The pre-tax profit last year of €338.56m followed a pre-tax loss of €75.5m in 2015 - a positive swing of €413m.
The accounts show that the company last year received a corporate tax credit of €7m. This followed the company paying zero corporation tax in the two prior years.
The profit last year included net interest receivable of €264m.
Kellogg has been based in Ireland since 2005 and employs 250 people here including the head of its European cereal business unit and a number of senior cereal functional leaders for Europe.
The company's brands include Corn Flakes, Coco Pops, Nutri-Grain and Rice Crispies.
A breakdown of the KET's revenues show that €540m were generated in the UK with €567m in 'Rest of Europe' and the remaining €5.2m in 'Rest of World'.
Numbers employed last year reduced from 215 to 197 with staff costs reducing from €39.8m to €37.2m
The profit last year takes account of the €15.6m exceptional costs arising from the firm's 'Special K' project which is described as "a significant, multi-year, global growth and efficiency programme that will reshape the business and serve as a catalyst for growth".
The directors state that "the outlook for 2017 remains challenging with an expectation of little year-on-year growth in turnover or operating profit".