Glenisk eyes growth despite Brexit
The managing director of the country’s largest Irish-controlled yogurt producer, Glenisk, said the firm is poised for growth in 2018 despite Brexit increasing competition in the industry.
Vincent Cleary — a former RTÉ Secret Millionaire — was commenting on new accounts which show that pre-tax profits at the family-controlled firm fell 8% to €750,851 last year.
Glenisk posted the profits drop despite increasing its revenues by 7% to €21.86m. The brand also increased its market share to 15%. Its three major competitors in the Irish market are two French firms and a UK company.
The drop in sterling has allowed UK competitors to sell their products more cheaply into Ireland.
The company has produced 110 million yogurt servings.
On last year’s accounts, Mr Cleary said: “2016 was a strong year for Glenisk in terms of revenue, thanks in part to the success of our High Protein Greek Yogurt post-launch, and continued growth in sales of our organic products.”
It paid out a dividend of €500,050 last year, which is up from the €250,000 it paid out in 2015.
The Co Offaly company’s most popular products are natural, vanilla, and strawberry organic yogurts.
Its fastest-growing lines are its yoghurts for children and babies which have no added sugar.
Mr Cleary said the company is continuing to innovate with new products, and is seeking to open up new European markets and to develop its business in the Middle East.
The profit last year takes account of non-cash depreciation costs of €809,681.
The company now employs 75 people. Staff costs last year increased from €2.8m to €3.08m.
Seven directors were on the board, and their combined pay increased to €674,584 from €545,882 in the previous year.
Shareholder funds at the end of last December totalled €7.8m, which included €2.76m in accumulated profits.
The company’s cash pile increased from €2.75m to €3.3m.
After paying a corporation tax bill of €108,680, the company recorded a post-tax profit of €642,171.
