Carbery Group reports increase in earnings

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Carbery Group, the west Cork-based manufacturer of value-added ingredients, flavours and cheese, has reported its results for the year ended December 31, 2016. The Group has reported an increase in earnings before interest, taxes, depreciation and amotisation (EBITDA) to €37m on turnover of €340m for 2016.

EBITDA increased by 4.8 per cent, up from €35.3m in 2015. Turnover for the year was down slightly at €340m compared to €349.5m in the previous year.

The Group is reporting operating profit before interest, tax, amortisation and exceptional items (EBITA) of €27.1m (2015: €25.5m), reflecting a year-on-year increase of 6 per cent. On a constant currency basis, EBITA increased by 9 per cent year on year.

Dan MacSweeney, chief executive officer, Carbery Group, said that the results were achieved against a market backdrop of weak global dairy prices. “During the year, we prioritised the need to support milk prices for our dairy farmers and, once again, Carbery paid industry-leading milk prices. This was possible due to the underlying strong performances from our Ireland-based dairy and nutrition divisions and our international division, Synergy, which continued to grow its customer base in overseas markets,” he said.

During 2016 Carbery invested €15.4m in its dairy and ingredients divisions. This brings investment in the business over the past five years to a total of €78.2m. Carbery Group’s net debt position at December 31, 2016, was reduced to €26.2m (2015: €27.8m).

The value of Carbery B shares increased from €3.08 in 2016 to a value of €3.51 in 2017, an increase of 14 per cent.