Dairygold Co-Op profits plunge 32pc to €14.35m
DAIRYGOLD Co-Op said profits after tax plunged by almost a third last year, as turnover dipped nearly 4pc.
The country's biggest co-op said profit slid 32pc to €14.35m. The co-op said the results came "against a backdrop of lower returns across dairy markets which saw turnover reduced by 3.5pc to €731.2m".
Chief executive Jim Woulfe said: "2012 marks a fourth consecutive year of solid financial results for Dairygold and the society is in a strong financial position as it prepares for expansion arising from the removal of EU dairy quotas in 2015."
Dairygold continued with its on-going programme of capital expenditure, investing a total of €22.5m in its infrastructure and efficiency.
"Global milk production continued to rise while demand did not match this increase and created a softening in returns across all commodity markets," said the co-op.
Looking ahead to the removal of EU quotas in 2015, Dairygold said it had a €200m plan that should be adequate for the estimated 50pc increase in milk production from co-op members.