Friday 27 April 2018

Ornua sees profits surge to €28m

Ornua boss Kevin Lane
Ornua boss Kevin Lane

Paul O'Donoghue

Kerrygold owner Ornua, which rebranded from the Irish Dairy Board in March, saw its pre-tax profits jump to more than €28m last year.

This compared to a pre-tax profit of €22.8m in 2013.

Turnover at the firm was also up by 10pc, rising to €2.3bn compared to €2.1bn the year before.

The company made a substantial investment in mergers and acquisitions last year in preperation for the lifting of dairy quotas earlier in the year, leaving it with just under €100m of debt.

Ornua, which itself is a co-operative owned by many of the country's co-operative dairy and food producing companies, has also secured bank facilities worth €420m.

The company says that this will allow it "to meet domestic expansion and international growth requirements". In addition, purchases from members were up 41,000 tonnes on 2013, an increase of 16pc.

On the back of the increase, a €12m bonus was declared to members, including a cash bonus of €7.5m, up 15pc on 2013.

Ornua CEO Kevin Lane said: "In addition to an excellent financial performance, 2014 was a year in which we significantly increased the capacity of our business through brand growth, innovation and in-market investment.

"We enter into this new era for Irish dairying in an excellent position, with a strongly performing organisation, geared for growth."

Irish Independent

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